July 18 (Bloomberg) -- Galp Energia SGPS SA, Portugal's biggest oil company, will receive a shipment of 1 million barrels of oil from Venezuela in the first week of August as part of agreements signed with Petroleos de Venezuela SA.

The two countries have made ``progress'' in their discussions about planned natural-gas and alternative-energy projects, the Portuguese Public Works Ministry said yesterday evening in an e-mailed statement.

Galp in May said it signed agreements with state-owned oil company Petroleos de Venezuela covering oil purchases, the joint study of a block in Venezuela's Orinoco belt and the development of liquefied natural gas and wind energy projects in the Latin American country.

To contact the reporters on this story: Joao Lima in Lisbon at jlima1@bloomberg.net.

Last Updated: July 18, 2008 04:17 EDT