China to help Venezuela build three power stations

* Funding is part of deal agreed in April

* Among 19 projects worth nearly $5 billion

* Ties growing between Beijing and Caracas

By Daniel Wallis

CARACAS, July 29 (Reuters) - China will help Venezuela build three 300 megawatt (MW) electricity generating plants in return for oil deliveries under a long-term $20 billion financing deal, the Latin American OPEC nation said on Thursday.

Three months ago, Beijing said the China Development Bank had signed a "framework financing agreement" worth about $20 billion with Caracas, half to be paid in dollars and half in yuan, but gave few other details. [ID:nTOE63J06H]

The Venezuelan government said 19 development projects costing almost $5 billion had been agreed during bilateral talks in its capital on Thursday, including constructing the three power stations at a cost of about $520 million.

"This financing is the counterpart ... of crude oil and oil products Venezuela has been sending to China and represents a form of payment that has been agreed with China's government," Venezuelan Vice-President Elias Jaua said in a statement.

The Andean nation suffered severe electricity shortages during a drought this year that slashed hydropower production and led to power rationing in much of the country.