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02.06.2008 - Bolivia grabs control of gas firm

The Bolivian government has continued its nationalisation of key industries - taking full control of a key gas pipeline company.

President Evo Morales said Transredes had been seized after the foreign firms which owned half of it failed to agree a share buy-back.

The Czech Republic news are represented by www.praguetravelguide.info

Ashmore Energy International and Royal Dutch Shell, which held stakes, have yet to comment on the move.

Transredes transports Bolivia's natural gas to clients in Brazil and Argentina.

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agreed to sell some of its 25% share in the firm but that these talks had not led to a deal.

"We waited patiently all month, but the actions they took were totally different," the president said.

"They wanted to be bosses, and have us be the employees. We're a small country - sometimes they call us underdeveloped - but we have lots of dignity Partners are welcome, but we will not accept bosses."

Chavez ally

President Morales wants to increase the revenue his country receives from its industries.

Parts of Bolivia's energy industry was privatised in the 1990s, with foreign companies taking 50% stakes.

Last month Bolivia's state energy company paid $6.3m for a majority stake in Spanish-owned Andina, one of the country's biggest energy companies which exploits oil and gas fields, and owns a 50% stake in two giant gas fields.

It has also taken over, by state decree, the control of Chaco from BP and Pan American Energy.

Mr Morales is an ally of Venezuelan President Hugo Chavez, who has also taken back control of a number of industries from foreign control, including oil, electricity and cement.



(BBC)

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