Guyana\Venezuela cross words on spaceport project

Guyana accused neighbouring Venezuela of interfering in its plans for a commercial satellite launching facility, a response to Venezuela's criticism of U.S. support for the spaceport to be located in a disputed area along the South American countries' border.

Venezuelan Foreign Minister Jose Vincente Rangel said last week in a Venezuelan newspaper opinion piece that the United States was opening "a dangerous breach" in relations by supporting Frisco, Texas-based Beal Aerospace Technologies' plans to build the project in the mineral-rich Essequibo Region, which Venezuela also claims.

"The government of Guyana reaffirms its strong opposition to any attempt by Venezuela to undermine its economy by hindering investment possibilities which have the potential to contribute significantly to Guyana's national development efforts," the Ministry of Foreign Affairs said in a statement.

Venezuela has claimed the area since the 1940s. The dispute has become a major rallying cry for Venezuela since Hugo Chavez was elected president last year, and the rhetoric stepped before elections in July.

Rangel also announced during a television interview last week week that Venezuela would grant oil concessions in the Essequibo Region.

Guyana already has most of its international investment in mining, lumber and other projects in the 76,000-square-mile (197,000-square-kilometer) region, which accounts for three- fifths of the former British colony's land mass.

The United Nations for years has been mediating the countries' dispute over the border drawn in 1899. The Guyanese government said in the statement that it has complained to the United Nations about Venezuela's latest comments.

Beal is to locate its project on 100,000 acres (40,000 hectares) of remote land in the area. Launches are not planned until 2002.

Guyana also is locked in a maritime boundary dispute with its neighbor to the east, Dutch-speaking Suriname. The dispute flared in June when Suriname ordered out an oil rig operated by CGX Energy Inc. of Toronto, Canada.

CGX last week pulled out of the Guyana project, at least for several years, after leaders of Suriname and Guyana failed to reach any agreement that would allow the company to drill in the area.