Venezuela’s Faltering Oil Sector Undermines U.S. Energy Plans
Following the U.S. detention of President Nicolas Maduro, President Donald Trump orchestrated a takeover of Venezuela's energy infrastructure, securing a pact with PDVSA. Trump declared Venezuela would deliver between 30 and 50 million barrels to American markets.
Venezuela holds nearly 20% of the world's oil reserves—the planet's largest deposits—eclipsing those of Iran, the United States, Saudi Arabia, and Canada combined.
However, decades of American economic restrictions and chronic investment shortfalls have severely degraded Venezuelan petroleum production capabilities.
Current extraction rates hover between 900,000 and slightly above 1 million barrels daily, according to the Organization of Petroleum Exporting Countries (OPEC). The organization's most recent data shows production frozen at 934,000 barrels per day as of November—meaning Venezuela would require 30 to 50 days of continuous output to fulfill the volume Trump announced.
Venezuela's existing energy infrastructure remains inadequate to meaningfully impact U.S. petroleum consumption, which surpasses 20 million barrels every single day, figures from the U.S. Energy Information Administration confirm.
The Trump administration is dismantling certain economic penalties to facilitate Venezuelan crude marketing, the U.S. Energy Department announced, adding that Washington will also permit imports of specialized oil field machinery, components, and technical services through collaborative ventures between American and international energy corporations.
The White House confirmed Trump has scheduled a Friday summit with oil industry executives to explore their potential participation in revitalizing Venezuela's petroleum sector.
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