Taipei - Taiwan has signed an oil exploration agreement with Belize in a deal described Tuesday by Taipei as deepening relations with its Caribbean ally.

"CPC Corporation Taiwan signed the production sharing agreement with Belize on January 14, indicating further improvement of both diplomatic and substantive relations between our two sides," Diego Chou, deputy director for Latin American and Caribbean Affairs of the Foreign Ministry, said in a news conference.

Belize is one of just 23 nations that recognize Taiwan diplomatically.

Washington  - A new tropical storm, Arthur, was heading toward the coast of Belize and the east coast of the Yucatan Peninsula, the National Hurricane Centre in Miami, Florida, said Saturday.