Brazil plans to sign oil deal with Cuba – CNN.com.

Last week I posted a link about a BBC story outlining the Cuban clames of very large off shore oil reserves. The folks at Petrobras (PBR: 31.44 0.00 0.00%) must be reading my blog, ’cause today I find the above article about PBR’s plan to sign and oil exploration deal with Cuba.

Brazilian President Luiz Inacio Lula da Silva has been in Cuba greasing the skids and the Brazilians may have pulled a fast on on Venezuelan President Hugo Chavez. Venezuela has become Cuba’s major trading partner including selling 100,000 barrels per day of low cost oil to supplement the 60,000 barrels per day Cuba pumps for itself.

It will be interesting to see Mr. Chavez’ reaction to Brazil’s move towards increased trade with Cuba.