Venezuela expands railway network with Chinese assistance

Venezuela and China formed a joint venture worth 7.5 billion dollars for the construction of rail lines that will connect the farms and the oil regions in the South American country forward Reuters.
40% of the company are owned by the China Railways Engineering Corporation (CREC) will have a 40 percent share, while Venezuela will possess the rest, said Minister of Infrastructure Duiosdado Kabeyo. 468 kilometers of rail will link the production of grain and livestock in south-western state with Kohedes oil fields in the eastern state of Anzoategui. „Now farmers will have a rail to help with production, citing the statement of Kabeyo. The project will create 7,500 seats and will be completed by 2011

Venezuela is dependent on rail for freight and started construction of several railway lines to link the regional production centers. Government plans to build thousands of homes for workers who will develop oil field Orinoko. Some investment plans that were published by the socialist government of President Ugo Chaves were detained by bureaucratic procedures, lack of funds or technical problems.

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