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LATIN AMERICA ADVISOR

Energy ADVISOR

A daily publication Of the dialogue

September 9, 2022

Will Venezuela Be Able to Ramp Up Oil Production?

Power outages took a toll on Venezuelan state oil company PDVSA’s production in July. A worker at the company’s Paraguaná Refinery Complex is pictured. // File Photo: PDVSA.

Q

A

Francisco J. Monaldi, director of the Latin America Energy Program at Rice University’s Baker Institute for Public Policy: “By the end of 2021, Venezuela’s production recovered from the lows of mid-2020, doubling to 750,000 barrels per day. Such an increase was based on reopening existing potential; no new wells were drilled. The price boom and Iran helped. In 2022, production stagnated as investment continued to lag, while the competition of sanctioned Russian oil in the Chinese market forced steep discounts and unsold crude piled up. A flexibilization of sanctions and regulatory changes are needed to allow foreign companies operational, and cash flow, control. So far, negotiations with Chevron appear to be quite advanced and waiting for a U.S. license. Others may follow. If all goes well…”

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ABOUT THE Energy ADVISOR

A sister publication of the Inter-American Dialogue’s daily Latin America Advisor, the weekly Energy Advisor captures fresh analysis from business leaders and government officials on the most important developments in oil and gas, biofuels, the power sector, renewables, new technologies, and the policy debates shaping the future of energy in the Western Hemisphere and beyond. To subscribe or for more information, contact Gene Kuleta, editor of the Advisor, at gkuleta@thedialogue.org.

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Gene Kuleta
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202.463.2920
gkuleta@thedialogue.org

Jack Quinn
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Lori Rampani
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board of advisors

Nigel Blackaby
Global Head, International Arbitration Group,
Freshfields Bruckhaus Deringer

Jimena Blanco
Chief Analyst,
Verisk Maplecroft

María José Cortés
Head of ESG,
Atlas Renewable Energy

Jeffrey Davidow
Senior Counselor,
The Cohen Group

Analia Gonzalez
Leader, Arbitration & Litigation,
Laitn America, BakerHostetler

Jonathan C. Hamilton
Partner,
White & Case

Raul Herrera
Partner, Corporate &
Securities Practice,
Arnold & Porter

James R. Jones
Chairman,
Monarch Global Strategies

Jorge Kamine
Partner, Corporate &
Financial Services,
Willkie Farr & Gallagher

Craig A. Kelly
Senior Director,
Int’l Government Relations,
Exxon Mobil

Jeremy Martin
Director,
Energy Program,
Institute of the Americas

Larry Pascal
Chairman, Americas
Practice Group,
Haynes & Boone

R. Kirk Sherr
President,
Clearview Strategy Group

Daniela Stevens
Director,
Energy Transition and Climate Program,
Inter-American Dialogue

Doris Rodríguez
Partner,
Hunton Andrews Kurth

Alexandra Valderrama
Director,
International Government
Affairs, Chevron

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