Dominican refinery buyout a done deal

Dominicantoday.com, Santo Domingo , August 6 th 2008

The Government signed a contract to pay US$110 million for 50 percent of the shares it didn't already own in Dominican Republic 's only petroleum refinery, newspaper Diario Libre reports.

Hacienda minister Vicente Bengoa and Shell general manager Rafael Maradiaga signed the agreement, with other government officials and representatives of the company present.

The deal makes the country the Refinery's sole owner and would allow raising oil imports from Venezuela through the PETROCARIBE agreement, which finances 60 percent of the crude.

Diario Libre said Bengoa explained the contract terms including the use of a new insurance company and an audit of the assets "to establish formally what the State is going to receive.

"It's an essential aspect in the protocol of the handover," the official said and affirmed that a company with international prestige will conduct the audit.