Venezuela, holding the world's largest proven oil reserves, confronts persistent challenges in its oil production and export capabilities. Economic turmoil,...
Venezuela's oil production has significantly declined from its peak, fluctuating around 600,000 to 800,000 barrels per day (bpd) in recent years, a fraction of its historical capacity due to various factors.
Production has plummeted due to years of underinvestment, mismanagement of the state oil company PDVSA, lack of maintenance, brain drain, and severe international sanctions restricting equipment, technology, and sales.
Sanctions, primarily from the U.S., restrict Venezuela's ability to sell crude internationally, access financing, and acquire necessary technology and diluents, severely limiting its export revenue and production capacity.
Venezuela possesses the world's largest proven crude oil reserves, estimated at over 300 billion barrels. Despite this vast potential, operational challenges and political factors prevent it from fully leveraging these resources on the global market.