Empresas y finanzas

Russia trumpets ties with Venezuela's Chavez

By Oleg Shchedrov and Chris Baldwin

MOSCOW (Reuters) - Russian President Dmitry Medvedev onTuesday hailed closer ties with Venezuelan socialist leaderHugo Chavez, overseeing energy deals bringing the two key oilproducers and rivals of the United States closer together.

Upbeat after the cordial reception, Chavez declared, albeithypothetically, that Russia would be welcome to deploy amilitary base in his country, if it asked for such.

"If Russia's armed forces want to be present in Venezuela,they will be given a warm welcome," Chavez told a newsconference in response to a question. The idea did not,however, seem to have been on his Moscow agenda.

Chavez, who met Medvedev and Prime Minister Vladimir Putin,said he had felt "strong human warmth" while meeting Medvedevand "personal chemistry immediately appeared between us".

"We are already big and good friends," he said.

"We are considering issues linked to our strategicpartnership, be it in the energy sector, industry, finance,science and technology, or military issues," Chavez said.

Earlier on Tuesday, Medvedev and Chavez oversaw four dealsbetween Russian oil companies and Venezuela's state energy firmPDVSA. These allow the Russians to develop new deposits in theSouth American country and pave the way for big infrastructureand engineering projects. Values were not disclosed.

In an implicit slap at the United States, whichtraditionally considers Latin America its zone of influence,Medvedev signalled the importance Russia attaches to relationswith Washington's main adversary in the region.

"Venezuela is now the most important partner of the RussianFederation," Medvedev said after his talks with Chavez at astate residence outside Moscow.

"Our relations are a key factor of regional security ... Wehave one common task -- to make the surrounding world moredemocratic, fair and secure."

Chavez said he would pursue fresh purchases of Russianarms, "because the North American empire ... has plans toinvade Venezuela, to disarm Venezuela."

"We are a peace-loving country, but we are threatened bythe United States ... because Venezuela's oil reserves are theworld's largest," he told the news conference. "And we areforced to defend ourselves."

Underlining the importance Moscow attaches to relationswith its anti-American partner, Medvedev said he and Chavezwould personally oversee a number of the key projects.

OIL AND AIR DEFENCE

Russia, the world's No. 2 oil exporter, and OPEC memberVenezuela also agreed to cooperate on global energy marketswithout hurting the interests of consumers, Medvedev added.

"Russia and Venezuela are two very important oil and gaspowers and ensuring energy security depends on our concertedactions," Medvedev said after receiving Chavez at a stateresidence outside Moscow.

He also said the idea of creating an OPEC-like group forgas exports had not been fully abandoned. The idea haspreviously sent jitters across Europe and brought criticismfrom Washington, which said it could lead to pricemanipulation.

Despite media reports that a big arms deal would be signedon Tuesday, a Russian government source said there was noguarantee anything would be finalised.

Chavez, a former soldier who led an abortive 1990s coupbefore later winning an election, wants to rearm the Venezuelanarmy with Russian missiles, tanks and diesel submarines.

He said Caracas was already closing a deal with Moscow ondelivery of Russian Sukhoi Su-30 fighter jets, and the twocountries were now working on an integral system of protectingVenezuela with short-, middle- and long-range air defences.

"President Medvedev reiterated today Russia would supplythis equipment to Venezuela," he said. He did not elaborate.

Chavez showed off his cordial ties with Russian leaders,giving Putin a hearty hug and joking his late arrival at thepremier's residence was due to Medvedev's long speeches.

Putin stepped down as Russian president in May afterserving eight years in office. Medvedev was elected presidentby a landslide after Putin asked voters to back his successor.

"Now there are three of us -- Dmitry, Vladimir and Hugo,"Chavez told the news conference. "This is a good combination."

Chavez's closeness to the Kremlin has alarmed Venezuela'sneighbour Colombia, a close U.S. ally which had hoped topersuade Russia to adopt a balanced stance in the Andeanregion.

Rows over U.S. plans to station a missile shield in Europeand NATO's intention to expand into Ukraine and Georgia havehurt ties between Moscow and Washington in recent years andincreased Russia's determination to seek allies to counter U.S.power.

Chavez accuses Washington of planning a 2002 coup againsthim, while the United States accuses him of seeking out itsenemies -- such as Iran and Cuba -- as allies.

For a separate story on energy deals signed on Tuesdayclick on

(Additional reporting by Denis Dyomkin)

(Reporting by Oleg Shchedrov and Chris Baldwin, Writing byDmitry Solovyov and Michael Stott; Editing by Ralph Boulton)

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