OPEC: Venezuela’s Oil Production Continues Growth in April

Venezuela’s oil production has shown stability over the month of April, averaging an output of 1,051,000 barrels per day (bpd). The figures—reported by OPEC in its latest monthly report—consolidate a growth trend this year. This volume represents an increase of 3,000 bpd compared to March, underscoring the recovery of the Venezuelan oil industry despite sanctions from the US empire and its colonial allies.

The performance of the Merey 16-degree API crude price—the Venezuelan benchmark within the OPEC basket—averaged US$56.72 per barrel in April. This price represents a 7.2% decrease compared to the previous month.

When comparing the price of Merey with the OPEC basket average, a significant difference is observed. Venezuelan crude was quoted US$12.26 below the OPEC average, which closed April at US$68.98 per barrel, a 6.8% decrease compared to the previous month. Despite this, stable production levels suggest Venezuela continues to strive to maintain and, where possible, increase its market share.

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Challenges and opportunities for the Venezuelan oil industry
It is crucial to consider the factors influencing Venezuelan oil production. On the one hand, the government’s efforts to strengthen the industry through strategic partnerships and the optimization of existing infrastructure play a key role. On the other hand, international sanctions and technological limitations continue to pose significant obstacles to accelerated growth. However, the slight production increase in April indicates that implemented initiatives are beginning to yield results.

Stability in oil production also has direct implications for the Venezuelan economy. Oil has been the country’s main source of income, so any increase could positively impact national finances. However, the gap between the price of Merey and the OPEC basket highlights the need to diversify revenue streams and improve the competitiveness of Venezuelan crude.

April’s data confirms a gradual recovery trend in Venezuela’s oil production. Despite persistent challenges, the country has managed to maintain and even slightly increase its production levels.

(RedRadioVE) by Jhulimar Fraga

Translation: Orinoco Tribune

OT/JRE/AU