Belarusian oil company doesn't know cost of Venezuelan oil

The news about serious shipments of crude oil from South America to Belarus impressed and alarmed Belarusians. Why should we import oils from a far Venezuela if Russia has traditionally been the main supplier? And, why, as some experts reckon, would Venezuela give us oil almost free of charge? The European Radio for Belarus has tried to find out that.

Euroradio: You have possibly heard that Belarus is going to import oil from Venezuela. What is your opinion?

— I think it is too far away. I guess it will not be profitable.
— This is ridiculous. It will end up being even more expensive than buying from Russia. This is a dumb decision.

We remind that Belarus and Venezuelan presidents agreed that in May Venezuela will ship 80,000 tons of oil to Belarus.

The conflict with Russia early this year again forced the Belarusian authorities to look for an alternative to the Russian oil supplies. Possibly, that's why we need an alternative South African partner, because prices are growing as Russia has started to apply export duties fo its crude supplies.

Leonid Zaiko: "Venezuelan oil is one of the best in the world. It can be mined easily. This crude is not expensive; only the Arab oil is cheaper. That's why Chavez gets it free of charge. Such free oil will be transported by Belarus by railway. In principle, at refineries it could cost $40-50 per barrel".

Economist Leonid Zaiko has calmed us down that the first shipments from overseas will not affect fuel prices in Belarus.

Leonid Zaiko: "I repeat that this oil is not at the market. It is simply taken by the two presidents from the Venezuelan people for their own experiment. The guys will push it to the West; it is for the West. For Belarus, we have enough oil that Russia has given us".

Belarus officials do not reveal the exact price of the Venezuelan oil. They claim the price can be formed only after the first shipment.