General Discussion

Last edited Mon Jan 5, 2026, 12:12 PM - Edit history (1)

Around 2000, they were producing over 3 million barrels per day. Today, they're under 1 million barrels. They're simply not a big player anymore.

What they do produce is very heavy crude, to the point they are known to buy light crude and import it, just so they can blend their own production into something more usable. Most refineries can't process it, and it's not really as fungible as other oil blends. Not to mention quite a bit goes to China, and some of that is handled as repayment of prior Chinese aid / loans.

Plus futures markets had already priced in Venezuelan disruption. IMO it's what broke the long downward trend, and bounced the market off it's six month low of $55 back in december.

Oil production facilities weren't it in Venezuela, so there also is a possibility that with Maduro removed, the disruption to export will be lifted in the not too distant future.