This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.

You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/6095550.stm

The article has changed 8 times. There is an RSS feed of changes available.

Version 0 Version 1
Deadline looms on Bolivia energy Bolivia agrees Brazil energy deal
(about 4 hours later)
Bolivia is holding last-minute talks with eight foreign energy companies who have until midnight on Saturday to sign new contracts or leave the country. Bolivia has signed an energy deal with Brazil's Petrobras just hours before a deadline for foreign firms to agree new contracts or leave the country.
Two companies - France's Total and US-based Vintage petrol company - signed new operating deals on Friday. Petrobras is the third company to sign up to the new terms. Last-minute talks are going on with seven other firms.
The contracts come after President Evo Morales nationalised the oil and gas industry in May to give the state more control and a larger slice of profits.The contracts come after President Evo Morales nationalised the oil and gas industry in May to give the state more control and a larger slice of profits.
Bolivia, though poor, is second only to Venezuela in terms of gas reserves.Bolivia, though poor, is second only to Venezuela in terms of gas reserves.
Under the terms of President Morales' 1 May decree, foreign companies had six months to sign contracts giving up majority control of their Bolivian operations.Under the terms of President Morales' 1 May decree, foreign companies had six months to sign contracts giving up majority control of their Bolivian operations.
Talks were continuing on Saturday with companies including Bolivia's largest natural gas producer, Brazil's Petrobras, as well as Spain's Repsol YPF, and the UK's BG Group. The companies will also have to work in partnership with the re-founded Bolivian state energy firm, Yacimientos Petroliferos Fiscales Bolivianos (YPBF).
Bolivia wants to use its oil and gas profits to cut poverty levels The BBC's Damian Kahya in La Paz says a deal with Petrobras is a significant boost for Mr Morales as the company has invested more than $1bn in Bolivian gas and is key to the industry.
"There has been significant progress with Repsol, as well as with other companies," minister Juan Ramon Quintana told state media, ABI. Bolivia wants to use its oil and gas profits to cut poverty levelsHowever, Petrobras and the Brazilian government had been angered by the way the Bolivians conducted negotiations, accusing them of bullying, our correspondent says.
Quoting an unidentified government source, ABI also said the talks with Petrobras were "going well" and that an agreement was expected on Saturday. Deals with the remaining seven firms, including the second largest investor Spain's Repsol YPF and the UK's BG Group, are now likely, he adds.
Details of the contracts signed on Friday were not immediately available, but the president of Bolivia's state energy firm, Yacimientos Petroliferos Fiscales Bolivianos (YPBF), said they would bring Bolivia $120m (£63m) in annual gas revenues. Details of the contracts signed on Friday are not yet available, but the president of YPBF, said they would bring Bolivia $120m (£63m) in annual gas revenues.
'Rocky' negotiations'Rocky' negotiations
Talks were dealt a blow in September when Andres Soliz Rada, a main player in the nationalisation process, resigned as energy minister. The negotiation process has not been simple. Talks were dealt a blow in September when Andres Soliz Rada, a main player in the nationalisation process, resigned as energy minister.
Mr Soliz had clashed with state-owned Petrobras, the biggest investor in Bolivia's energy industry.Mr Soliz had clashed with state-owned Petrobras, the biggest investor in Bolivia's energy industry.
However, Mr Rada was replaced by Carlos Villegas, and talks have since proved to be more fruitful. However, Mr Rada was replaced by Carlos Villegas, and talks proved to be more fruitful.
There also were other problems including a lack of money that hampered Bolivia's YPBF, in its plans to buy control of the assets like refineries and pipelines. There were other problems including a lack of money that hampered Bolivia's YPBF, in its plans to buy control of the assets like refineries and pipelines.
YPBF also missed a 1 July deadline to restructure itself so it would be better able to handle its more dominant position in the oil and gas industry.YPBF also missed a 1 July deadline to restructure itself so it would be better able to handle its more dominant position in the oil and gas industry.