A Spanish delegation says it has reached a “good understanding” with Bolivian President Evo Morales over his energy nationalisation programme.

The issue matters to Spain because of the huge Bolivian gas reserves controlled by Spanish firm Repsol.

But Spain’s Deputy Foreign Minister, Bernardino Leon, said he respected Bolivia’s decision to nationalise.

He said Spanish firms would have to decide whether to stay in Bolivia under the new terms.

Earlier this week Mr Morales took control of Bolivia’s natural gas industry and told foreign firms to leave if they were not willing to comply with the new conditions.

The Bolivian government has said it will start renegotiating energy contracts with all foreign companies from next week, giving them 180 days reach agreement, or face eviction.

In the meantime, the government will take 82% of profits.
bbc.co.uk

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