Venezuela’s Oil Today: Reserves, Production, and Recent Events

Venezuela holds the world’s largest proven crude oil reserves, about 303 billion barrels, concentrated in the Orinoco Belt. Although these reserves are vast, most are extra-heavy crude that must be upgraded or blended before it is saleable. The extraction and processing require specialized techniques and large investment, which have been limited by long-term mismanagement and international sanctions.

Production has fallen sharply from past highs and now stands at roughly one million barrels per day, while exports have shifted toward Asia through barter and complex shipping arrangements. PDVSA, the state oil company, has been the main source of government revenue but has struggled to maintain wells and refineries. Sanctions and a U.S. blockade in late 2025 have cut exports and led shipping firms to avoid Venezuelan ports. PDVSA has stored crude on tankers while exports slowed, and some cargoes were seized. In early January 2026, U.S. forces struck in Venezuela and captured President Nicolás Maduro; the U.S. president said the United States would run Venezuela temporarily and involve U.S. oil companies to repair oil infrastructure.