LA PAZ, Bolivia (AP):
The president of Bolivia's state oil company, Jorge Alvarado, re-signed Monday amid a probe into a contract with a Brazilian company, marking a setback in President Evo Morales' drive to nationalise the hydrocarbons industry.
In his letter of resignation, read at a press conference in La Paz, Alvarado wrote that the accusations against him were "an attack by the oligarchy and the reactionary right-wing" aimed at halting the nationalisation process.
He said he was resigning "to avoid committing any further harm to
the great ideas for change in our country."
Alvarado was one of the key figures in leftist President Evo Morales' drive to nationalise the South American nation's hydrocarbons industry, but his leadership of Yacimientos Petroleos Fiscales Bolivianos (YPFB) has come under increased scrutiny as nationalisation has run into troubles.
Bolivian Government last week acknowledged that Alvarado had violated the terms of a May 1 nationalisation decree by having YPFB contract to export crude oil through an independent Brazilian firm.
Investigation
Opposition members of the Bolivian Senate voted last Wednesday to open an investigation of Alvarado.
Morales said Monday that Alvarado had committed "no act of corruption, nor harm to the state" and alleged there was a 'conspiracy' among opposition figures and international petroleum interests to slow down Bolivia's nationalisation process.
Former YPFB vice-president, Juan Carlos Ortiz, has been tapped to fill Alvarado's position.
Under Morales' May 1 nationalisation decree, YPFB is required to assume control of every stage of the production process. Foreign companies were given six months to cede operational control to YPFB or leave the country.
Earlier this month, Bolivia announced that the 'full effect' of nationalisation would be suspended while YPFB underwent a complete reorganisation and sought US$180 million (euro140.5 million) in emergency financing.
Critics say YPFB lacks the resources or technical know-how to manage Bolivia's natural gas reserves on its own.
Hydrocarbons Minister Andres Soliz tendered his resignation last week after being censured by the Bolivian congress over nationalisation's limited progress, but Morales' rejected the offer.
