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UNCLAS SANTIAGO 000149 
 
SIPDIS 
 
STATE FOR R/MR, I/PP, WHA/BSC, WHA/PDA, INR/IAA 
 
E.O. 12958: N/A 
TAGS: KMDR KPAO PGOV ECON PREL SNAR EFIN CI
SUBJECT:  CHILE MEDIA REPORT - FEBRUARY 20 
 
Leading Stories 
--------------- 
¶1.  The Chaiten volcano in southern Chile erupted again yesterday. 
The town was evacuated, except for several individuals who have 
refused to leave.  Dailies also report that after a meeting with his 
Chilean counterpart in Santiago, the Foreign Affairs Deputy 
Secretary of Bolivia said his country would keep the maritime issue 
in the bilateral arena, but added that La Paz does not rule out 
resorting to a multilateral organization if there is no progress. 
 
U.S.-Related News 
----------------- 
¶2.  Secretary of Energy Steven Chu and his Chilean counterpart 
Marcelo Tokman, met yesterday in Washington, D.C.  Both officials 
discussed the possibility of establishing a strategic partnership in 
the area of non-conventional renewable energy.  Tokman, who was in 
Washington to attend an IDB conference on this subject, is the first 
GOC official to meet with a representative of the Obama 
administration (El Mercurio, conservative, influential 
newspaper-of-record, circ. 129,000, 2/10). 
 
¶3.  The judge investigating the illegal commission paid in the sale 
of Belgiun Mirage aircraft to Chile in 1994 filed requests with 
courts in New York, Miami, and Pennsylvania to lift bank secrecy on 
several accounts linked to the daughter and son of former Air Force 
Commander-in-Chief Ramon Vega (All dailies, 2/20). 
 
¶4.  Gary Hughes has been participating for at least a year in the 
battle against the Endesa-Colbun hydroelectric project in Chile's 
Patagonia.  Hughes is now replacing Aaron Sanders as head of the 
campaign. (Que Pasa, conservative, influential newsweekly, 2/20). 
 
Regional affairs 
---------------- 
¶5.  OAS Political Affairs Secretary Dante Caputo praised Chile and 
Brazil's democracies, but said it is "not viable" to apply the same 
model to other countries in Ibero America because of the "cultural 
history" that prevails in some of those nations (La Tercera, 
conservative, independent, circ. 101,000, 2/20). 
 
Economics 
--------- 
¶6. The Latin American Consensus Forecasts estimates that Chile's GDP 
growth in 2009 will be only around 0.7%.  This is lower than the 
January estimates (El Mercurio, 2/20). 
 
¶7.  The Canadian that manufactures the famous BlackBerry, Research 
in Motion (RIM), will open an office in Chile (Que Pasa, 2/20). 
 
Bolivia 
------- 
¶8.  The Foreign Affairs Deputy Foreign Ministers of Chile and 
Bolivia, Alberto van Klaveren and Hugo Fernandez, respectively, met 
yesterday afternoon.  Officially both were to discuss the agreement 
of the waters rights of the Silala River.  However, the meeting 
focused on Evo Morales' remarks that Bolivia would take its sea 
access claim into the multilateral arena.  After the meeting, the 
Bolivian official said both countries had agreed to keep up the 
"pace" of the talks on this issue in the context of the bilateral 
agenda.  However, he added that Bolivia would resort to multilateral 
organizations if the talks do not yield results (La Tercera, 2/20). 
 
 
Cuba 
---- 
¶9.  Former CIA analyst Brian Latell, author of the only biography 
written about Raul Castro, said that the sudden impasse between the 
revolutionary leader and Bachelet was typical Fidel, and likely 
brought about by the Cuban leader's "narcissism."  Latell also 
highlighted Fidel's strong differences with Raul(Que Pasa, 2/20). 
 
Volcanic eruption 
----------------- 
¶10. The Chaiten volcano erupted again yesterday afternoon.  The 
volcano's dome collapsed, expelling gas and volcanic material.  The 
authorities are concerned that if it rains, the volcanic material 
could again turn into a major mud flow that blocks the river and 
floods the town.  The police have evacuated everyone, except for 
several adults who refuse to leave their homes.  Those staying 
included six children.  Minister of Interior Edmundo Perez Yoma said 
the government would not file any judicial action against those who 
chose to stay behind, but added that he will not put more people at 
risk.  "They are on their own," said Perez Yoma (All dailies, 2/20). 
 
 
SIMONS