To reduce energy costs, the Ministry of Basic Industry (MINBAS) announced in early March that it would increase domestic oil production this year by more than 30% to a total output of 23.8 million barrels. Production of natural gas is projected at 660 million cubic meters--a 45% increase over last year. However, the rising price of imported oil threatens to cancel out much of the savings from domestic production. Cuban oil is heavy crude used mainly for electricity generation and for various industrial applications. Domestic production supplies half the island's electricity needs and all its energy requirements in the cement industry.
NotiCen. "CUBA: OIL PRODUCTION IS UP BUT SO IS THE COST OF IMPORTED OIL." (2000). http://digitalrepository.unm.edu/la_energy_notien/184