BNamericas cited Mr Henry Arias director of labor relations at state aluminum reducer Alcasa as saying that the dissolution of the basic industries and mining ministry and the creation of two new ministries announced by Mr Hugo Chávez president of Venezuelan will increase efficiency at sector companies.

Mr Arias said that the new structure will alleviate the centralization problems that were an issue with Mibam in control. The separation could also be a good thing for the companies in the sense that it will allow for more specialization in each activity. For example, aluminum production itself has nothing to do with mining, so I believe that they are issues that should be treated differently and this allows for more transparency in resource management.

Mr Chávez said that "We're going to merge everything related to the heavy industries such as iron, steel and aluminum. We are going to make a single industries ministry."

He said that the industries ministry will control steelmakers Sidetur and Sidor, CVG and aluminum reducers Alcasa and Venalum. The publication in La Gaceta also created the new oil and mining ministry, which will oversee gold miner Minerven, alumina and bauxite company Bauxilum, carbon anodes producer Carbonorca and the JV for geology and mining development in Venezuela, Cuba and other ALBA countries.

Mr Chávez said that it's a political move aimed at more efficient development both upstream and downstream, as well as the industrial development of the country.

(Sourced from Business News Americas)