May 13 (Bloomberg) -- China National Petroleum Corp., the nation's biggest oil producer, said it will own 40 percent of an oil-production venture in Venezuela.

The venture between CNPC and state-owned Petroleos de Venezuela SA targets to produce 20 million tons of crude oil a year, CNPC said on its Web site today. The companies will pump oil from an area called Junin 4, Venezuelan President Hugo Chavez said at a signing ceremony in Caracas May 9.

China is investing in oil assets in South America and Africa to secure long-term supplies to meet the needs of the world's fastest-growing major economy. The country's oil consumption is forecast to rise 5.3 percent this year, the International Energy Agency said Jan. 16.

CNPC also said a Chinese partner in an oil-refining project with Venezuela, to be built in southern China, will own 60 percent of the plant. The refinery will have enough capacity to process the output from the oil field in Venezuela, CNPC said without naming the Chinese partner.

To contact the reporter on the story: Yu-huay Sun in Taipei ysun7@bloomberg.net

Last Updated: May 13, 2008 04:56 EDT