Petroleos de Venezuela will sell annually 340,000 barrels of gasoline, diesel and fuel oil to Grenada, the Caracas-based company said Tuesday in a press statement. No value of the contract was given.

Grenada may pay for part of the fuel with goods, Petroleos de Venezuela Vice President for refining Alejandro Granado said in the statement. The two countries may also form a joint venture to oversee the distribution of fuel, Granado said.

The PetroCaribe initiative offers the 13 members, including Grenada, Venezuelan petroleum products on preferential terms that eliminate third parties. Member countries may pay for oil in goods, and under subsidized financing.