VZCZCXRO4434
PP RUEHQU
DE RUEHPU #1377 2091843
ZNR UUUUU ZZH
P 281843Z JUL 06
FM AMEMBASSY PORT AU PRINCE
TO RUEHC/SECSTATE WASHDC PRIORITY 3645
INFO RUEHZH/HAITI COLLECTIVE PRIORITY
RUEHBR/AMEMBASSY BRASILIA PRIORITY 1148
RUEHSA/AMEMBASSY PRETORIA PRIORITY 0990
RUEHQU/AMCONSUL QUEBEC PRIORITY 0529
RUEATRS/DEPT OF TREASURY WASHDC PRIORITY
RUCPDOC/DEPT OF COMMERCE WASHDC PRIORITY

UNCLAS PORT AU PRINCE 001377 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE FOR WHA/CAR 
WHA/EPSC FOR FAITH CORNEILLE, ED MARTINEZ 
EB/IFD 
STATE PASS TO USAID FOR LAC/CAR 
COMMERCE FOR SCOTT SMITH 
 
E.O. 12958: N/A 
TAGS: ENRG EPET ECON EAID HA
SUBJECT: PETROCARIBE GAS ON THE MARKET 
 
REF: PAP 1205 
 
¶1.  (U) This message is sensitive but unclassified: please 
protect accordingly. 
 
¶2.  (SBU) The PetroCaribe petroleum delivered to Haiti on May 
14, the day of President Rene Preval's inauguration, has 
finally hit the local market.  The Haitian Government (GOH) 
is selling the entire shipment, including the diesel 
(initially intended as a donation to the national electricity 
company) and the gasoline, at the same price as petroleum 
from a July 14 industry ship.  (Note: The industry shipment 
arrives about every two to three weeks.  Due to regular 
arrivals, petroleum companies have not experienced fuel 
shortages in several months.  End note.)  So far Dinasa, 
Haiti's domestic petroleum company, and Total, the French 
petroleum company with which the GOH has close relations, 
have expressed an interest in purchasing the PetroCaribe 
petroleum from the GOH.  The two U.S. companies, Esso 
(ExxonMobil) and Texaco (Chevron), have received the proposal 
but have not responded. 
 
¶3.  (SBU) Comment: The sale of the PetroCaribe shipment does 
not mean that the PetroCaribe agreement is moving forward in 
Haiti.  The first and only shipment has been a burden on the 
GOH, which does not have experience with petroleum 
management.  Since the first shipment on May 14, there has 
been no sign of a second PetroCaribe transport ship, despite 
the agreement that one shipment would arrive each month. 
XXXXXXXXXXXX (please protect), an employee of Dinasa, told 
econoff that managing and selling petroleum stock is 
difficult for the professionals in Haiti; no wonder the 
government is having trouble.  (Note: The petroleum business 
is difficult here because all petroleum shipments are 
delivered to two ports, which are located in unsafe areas of 
Port-au-Prince.  Haiti also lacks adequate storage facilities 
and methods of transportation, not to mention other 
infrastructure and commercial inadequacies.  End note.) 
Post will continue to send updates as they are available. 
SANDERSON 

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