Negotiators on both sides said they hoped a return to the bargaining table would end the spiral of violence that escalated Friday, December 6, when three people were killed and 18 wounded in a shooting in Caracas.

Caracas Fire Chief Rodolfo Briceno said the shooting occurred in opposition-controlled east Caracas borough of Chacao, on the fifth day of a crippling strike called by the opposition to force Chavez to step down.

Both government and opposition, meanwhile, pointed fingers of blame at one another for the shooting.

Army General Enrique Medina, leader of officers and troops who have declared themselves in rebellion against Chavez, blamed the shooting on Chavez' "murderous government," telling a press conference: "What we saw tonight was a brutal massacre."

Interior Minister Diosdado Cabello, however, told state television that the government "reject(s) this, we express our strongest protests ... we will not allow this type of situation to continue."

The violence erupted after the government, during the day, announced a cutback in oil production as refinery and tanker crews joined the protest strike.

Ali Rodriguez, president of the state oil company, Petroleos de Venezuela (PDVSA), acknowledged output had been affected by the strike.

"We have had to reduce some production volumes," Rodriguez told state television, adding that PDVSA was the target of a "sabotage plot." He said the company was tapping its reserves in efforts to ensure supplies.

Rodriguez denied reports that the export of one million barrels had already been postponed, but admitted it could happen if the protests continued.

"As refining and exports are affecting, millions of dollars are being lost," the PDVSA president said, adding that the failure to meet contracts also damaged Venezuela's reputation.

The spasm of violence prompted President Hugo Chavez and the military-led opposition seeking his ouster to give another chance for negotiations to end the protests that have crippled Venezuela's vital oil industry, reported Agence France-Presse (AFP).

Vice President Jose Vicente Rangel Friday announced that Chavez had accepted a call by Cesar Gaviria, Secretary General of the Organization of American States, to immediately return to talks with strike leaders.

Venezuela is the world's fifth largest oil exporter and a major exporter to the United States, and the week-long strike has rattled global oil markets, as well as those of its North American neighbor.

Chavez on Thursday ordered the army to guard oil installations and told the navy to reclaim three tankers taken over by their crews who joined the protest called by the opposition and Venezuela's main employers.

Three oil tankers held by strikers are stuck in the Maracaibo inlet on the far northwestern coast. The military said it had control of the tankers but the captain of one, the Pilin Leon, loaded with 280,000 barrels of oil, had as of early Friday refused to relinquish command.

"The worst-case scenario is that Venezuela devolves into some sort of civil war and that it becomes as ungovernable as Colombia, which is really possible," said Bill O'Grady, a petroleum expert and vice president at AG Edwards, a brokerage in Saint Louis, Missouri.

The U.S. government, meanwhile, said late Friday said it was distressed by the outbreak of violence.

"The United States is deeply concerned that this deplorable act will lead to an escalation of violence and confrontation in Venezuela," the State Department said in a statement.

"We offer our condolences to the families and loved ones of those who died or were wounded," added the statement.