Russian Production & Stakes in Venezuelan Oil Projects (40% stake is limit)
Last October & November I succeeded in interviewing several people in the Venezuelan private sector directly knowledgeable of Russian oil projects with PDVSA. Many Venezuelans wonder what all the Russians-known for their secrecy-are up to there. Some of my key findings are in Americas Quarterly‘s Winter 2016 edition. Read on …
Russia Is Beating China to Venezuela’s Oil Fields – By THOMAS W. O’DONNELL
The profits, politics and luck behind Russia’s growing footprint.
The late Venezuelan President Hugo Chávez, had long envisioned China becoming Venezuela’s biggest oil-sector production partner. So when Rafael Ramírez, then president of Petróleos de Venezuela, S.A. (PDVSA), announced in January 2013 that Russia would produce enough oil with PDVSA by 2021 to become “the biggest petroleum partner of our country,” very few people believed him. It sounded like empty hype.
Yet it turns out that Ramírez was serious. Three years later, Russian companies are already producing more oil in joint projects with PDVSA than their Chinese counterparts. Official figures are either unreliable or unavailable, but according to field data provided by Global Business Consultants (GBC), a Caracas-based energy consulting firm, Russia-Venezuela production as of late 2015 was 209,000 barrels per day (bpd), compared to China-Venezuela’s at a bit over 171,000 bpd.
Posted in Chavez, Chavez lagacy, China, Energy and Geopolitics, Energy and Geostrategy, Faja of the Orinoco, Global Oil Market, heavy oil, Hugo Chávez, international relations, PDVSA, PDVSA weakness, Putin, Rosneft, Russia, Sanctions, Sechin, Uncategorized, Venezuela oil, Zulia
Tagged China, geopolitics, Hugo Chávez, oil sector, PDVSA, Petróleos de Venezuela, Venezuela
PDVSA president, Eulogio Del Pino, meets to “consolidate the new PDVSA.” (@delpinoeulogio Aug 11)
Mery Mogollon quotes me several times on PDVSA’s trajectory in Platt’s September Energy Economist. Here it is:
Venezuela, South America’s biggest oil producer, has seen the value of its oil exports fall to its lowest level since 2004. The economy faces hyperinflation and increasing shortages of basic goods. Debt default seems highly likely. State oil company PDVSA has neither the institutional capacity nor the funds to expand oil production. It is a downward spiral that will lead to political change. Continue reading
Posted in Faja of the Orinoco, Global Oil Market, heavy oil, Oil prices, OPEC, PDVSA, PDVSA weakness, Venezuela oil
Tagged Eulogio Del Pino, Heavy crude oil, Nicolás Maduro, oil sector, OPEC, PDVSA, Petróleos de Venezuela, Venezuela
Falling oil prices are not a US-EU-Saudi plot against Russia, Iran and Venezuela… though their effect is certainly not unwelcomed..Foto: REUTERS/Jim Bourg
[Printed in IP Journal, German Council on Foreign Affairs] Pin-pointing the reason for the dramatic – and continuing – fall in the price of oil is relatively easy: OPEC held its 166th conference in late-November 2014 to decide on a strategy to address oil prices, which had been falling at five to ten percent per month since July. Rather than pursue a production cut
Posted in Chavez, Energy and Geopolitics, Euroepen Union, Global Oil system, international relations, Iran nuclear, Oil prices, Oil supply, OPEC, PDVSA, Persian Gulf, Putin, Resource conflicts, Russia, Sanctions, Saudi Arabia, The USA
Tagged Ali Al-Naimi, Business and Economy, Chavez, Energy, geopolitics, Iran, Middle East, oil sector, OPEC, Petróleos de Venezuela, Rafael Ramírez, Saudi Arabia, United States, Venezuela, Washington
Here’s my piece [in Spanish] in Petroguía 2015, the oil-&-gas sector catalog for Latin America Note: Hemispheric integration (e.g., energy infrastructure) was endlessly promoted by Hugo Chavez. In the end, he built none. The region’s resources continue going mainly to develop other regions, such as China. Continue reading
Posted in Brazil, Chavez, China, Colombia, Ecopetrol, Gas globalization, Global Oil Market, Latin America, Latin America and Caribbean, LNG, PDVSA, Petrobras, The USA, Trade policy, Uncategorized
Tagged Beijing, Chavez, China, Energy, energy infrastructure, Heavy crude oil, Hemispheric integration, Hugo Chávez, Latin America, oil sector, PDVSA, Petróleos de Venezuela, South America, Venezuela
If you’re in New York: Luiz Pinto and I speak at Columbia University’s Institute for Latin American Studies (ILAS) on post-Chavez Venezuela, 12-noon, Thursday, 9 October:
Posted in Chavez, Chavez lagacy, Chavez legacy, heavy oil, Hugo Chávez, Latin America, Leopoldo López, Maracaibo, PDVSA, PDVSA weakness, Uncategorized, Venezuela oil, Venezuela update, Venezuelan Democracy
Tagged Caracas, Chavez, Chavismo, Columbia University's Institute for Latin American Studies, Heavy crude oil, Hugo Chávez, Latin America, Maracaibo, Nicolás Maduro, oil sector, PDVSA, Petróleos de Venezuela, Rafael Ramírez, Venezuela
Last week, I was quoted in the Wall Street Journal on why Petróleos de Venezuela SA (PDVSA) is looking to sell its Citgo refining affiliate in the USA. The key motivation, in my estimation, is to finance projects critical to … Continue reading