Summary
The United States is looking to control Venezuela's oil sector after Venezuelan President Nicolas Maduro was taken. Venezuela has the world's largest oil reserves, mainly a type of heavy, sour crude that is harder to refine but may have potential if significant investments are made.
Key Facts
- Venezuela has the world's largest proven oil reserves, estimated at 303 billion barrels.
- Most of Venezuela's oil is heavy, sour crude, located in the Orinoco Oil Belt.
- Heavy, sour crude is more challenging and costly to refine compared to light, sweet crude.
- The U.S. government under President Trump is interested in investing in Venezuela’s oil sector.
- Venezuela's oil industry has been affected by nationalization under Hugo Chavez and U.S. sanctions.
- Venezuela's oil production dropped from about 3.5 million barrels per day in the 1970s to around 860,000 barrels per day as of November.
- Significant investment, estimated at $110 billion, is needed to boost Venezuela's oil output.
- U.S. oil companies, like ExxonMobil, have concerns about investing in Venezuela due to its uncertain political situation and past expropriations.
