The companies affected by the decree are Exxon Mobil, Chevron, ConocoPhillips from the US, Total SA from France, British Petroleum and Norway's Statoil ASA.

The U.S. has ``seen the results of nationalization in other places, and in general these types of actions do not produce economic benefits as expected,'' White House spokesman Gordon Johndroe said. ``If any U.S. companies are affected, we expect them to be promptly and fairly compensated.'

Memories of the abuses have resurfaced as former officers of the dictatorship are brought before the courts following the repeal of the special amnesty laws that protected them from prosecution.

But perhaps we should try to understand why so many people around the globe are upset with the United States rather than simply dismiss Ch�vez as a despot or off his rocker. A quick glance at recent U.S. policy and posture toward Venezuela gives us some clues as to why people in Venezuela are getting set to reelect a president who calls the United States an empire.

Maduro said that when he explained that he was the Venezuelan foreign minister and showed his diplomatic passport, he said he was threatened, pushed and yelled at by immigration and police officials.

Pace described Latin America as �a large family� with common goals and aspirations. �But we need to be alert to the fact that there are forces brewing right now that are not friendly to the United States and not friendly to other freedom-loving countries in this hemisphere. And together we need to do something about it,� he said.

The tri-border area is home to the Guarani Aquifer, one of the world�s largest reserves of water. Near the Estigarribia airbase are Bolivia�s natural gas reserves, the second largest in Latin America. Political analysts believe U.S. operations in Paraguay are part of a preventative war to control these natural resources and suppress social uprisings in Bolivia.

The unavoidable �gringo� invasion will soon follow.

Tom Casey, a deputy spokesman for the U.S. State Department, said Tuesday that President George Bush's administration wanted Russia to review the deals. He said the weapons purchases Venezuela planned exceeded the country's demands and did not contribute to regional stability.

But Venezuela insists it has a right to buy arms for defensive purposes.

"We cannot set aside the possibility of a military invasion on our country," because its vast oil deposits make it a target, he said.

The program is currently operating in Maine, Massachusetts, Pennsylvania, Delaware, Pennsylvania, Vermont, Connecticut, and Rhode Island. Most local politicians, desperate for ways to reduce energy costs for their constituents, have welcomed it with open arms.

Some defense analysts suggested that the unusual two-month-long deployment, set to begin in early April, could be interpreted as a show of force by anti-American governments in Venezuela and Cuba.

President Hugo Chavez's government has recently stepped up threats to cut off oil exports to the United States and sell Venezuelan-owned refineries there amid rising tensions with President George W. Bush's administration.