|
|
|
|
Search: 
Latin American Herald Tribune
Venezuela Overview
Venezuelan Embassies & Consulates Around The World
Sites/Blogs about Venezuela
Venezuelan Newspapers
Facts about Venezuela
Venezuela Tourism
Embassies in Caracas

Colombia Overview
Colombian Embassies & Consulates Around the World
Government Links
Embassies in Bogota
Media
Sites/Blogs about Colombia
Educational Institutions

Stocks

Commodities
Crude Oil
US Gasoline Prices
Natural Gas
Gold
Silver
Copper

Euro
UK Pound
Australia Dollar
Canada Dollar
Brazil Real
Mexico Peso
India Rupee

Antigua & Barbuda
Aruba
Barbados
Cayman Islands
Cuba
Curacao
Dominica

Grenada
Haiti
Jamaica
Saint Kitts and Nevis
Saint Lucia
Saint Vincent and the Grenadines

Belize
Costa Rica
El Salvador
Honduras
Nicaragua
Panama

Bahamas
Bermuda
Mexico

Argentina
Brazil
Chile
Guyana
Paraguay
Peru
Uruguay

What's New at LAHT?
Follow Us On Facebook
Follow Us On Twitter
Most Viewed on the Web
Popular on Twitter
Receive Our Daily Headlines


  HOME | Venezuela (Click here for more Venezuela news)

Venezuela Oil Production Crashes to 28-Year Low



CARACAS – The oil production of state-owned Petroleos de Venezuela (PDVSA) fell by 100,000 barrels a day in December and stood at 1.7 million barrels per day – the lowest numbers since 1989 –, according to data from the energy market analysis firm S&P Global Platts.

This figure is “a minimum that had not been seen since its oil industry suffered the effects of a large strike between December 2002 and February 2003,” according to S&P Global, which uses sources from the Organization of the Exporting Countries of Oil (OPEC).

“Without counting the months in which the strike had an impact, it is necessary to go back to August 1989 – more than 28 years ago – to find such a low production by Venezuela,” the report published on Monday.

According to the document, “the country has been suffering from a spiraling economic, political and humanitarian crisis, with the state oil company PDVSA cutting funds, personnel and equipment and affected by the sanctions of the United States, which restrict their financing.”

The Administration of Donald Trump issued financial sanctions in August against the Venezuelan government and PDVSA, which prohibited US companies from negotiating new debt issued by the Venezuelan state and its state oil company.

PDVSA has been declared in default or suspension of payments by several international financial agencies, by delaying the payment of the maturities of several of its bonds.

The Venezuelan authorities blame the payment problems on Trump’s sanctions, and explain the drop in production at PDVSA – of which they have not offered official figures – on corruption within the company.

In a supposed campaign against this alleged corruption, more than 60 people, including two former PDVSA presidents, have been arrested, and President Nicolas Maduro has appointed a Major General with no experience in the sector to run the company.

“Experts say the prospects for any short-term improvement in oil production in Venezuela are slim,” says S&P Global Platts.

Before President Hugo Chavez came to power in 1998, PDVSA was producing 3.5 million barrels per day and was on track to increase production to 6 million barrels per day.

Over the weekend, PDVSA workers demonstrated against low wages, chanting that their children are starving. The basic wage in Venezuela has fallen to less than $6 a MONTH at the black market rate, so even a worker making 2 to 3 times the basic wage is earning less than $20 a month.







Russ Dallen - Future Scenarios in Venezuela - Presentation to SouthCom - 15 August 2016 by Latin American Herald Tribune on Scribd


 

Enter your email address to subscribe to free headlines (and great cartoons so every email has a happy ending!) from the Latin American Herald Tribune:

 

Copyright Latin American Herald Tribune - 2005-2018 © All rights reserved