An oil refinery along the highway between Puerto la Cruz and Maturin, in Maturin, Venezuela, on March 2, 2022. JURI CORTES / AFP
Against the backdrop of skyrocketing US oil prices, Joe Biden and Venezuela, a socialist and under US sanctions, Nicolás Maduro began the beginning of a rapprochement. This Saturday, March 5, a delegation of high-ranking American officials secretly arrived in Caracas. The news, published by The New York Times, was confirmed on Monday, March 7 by the White House press secretary and Mr. Maduro. “The purpose of the visit was to discuss several topics, among which, of course, energy security,” said Jen Psaki to the press.
In an effort to isolate Russia, cut it off from its allies and contain the rise in the price of a barrel of oil, the Joe Biden government plans to partially lift US sanctions that have been weighing on Venezuela and affecting its oil sales since 2019. This is reported by the American press.
There were no official details about the outcome of the discussions held in Caracas. But they are “continuing,” Mr. Maduro confirmed. Ms Psaki said they also address the situation of six former executives of Citgo, the U.S. subsidiary of Petroleos de Venezuela (PDVSA), who have been imprisoned in Venezuela since 2020 for embezzling funds. Five of the six detainees are US citizens.
The world’s largest reserves of crude oil
“The threat of an oil price explosion has been pivotal for the White House and the State Department to seek more direct contact with the government of Nicolás Maduro,” lawyer Mariano de Alba, senior adviser at the International Crisis Group, told Le Monde. organization. For his part, Nicolás Maduro must achieve a sustained improvement in the country’s economic situation if he wants to be re-elected in 2024. He can achieve a partial lifting of sanctions on Venezuelan oil against the release of American prisoners. »
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Venezuela, which has the world’s largest reserves of crude oil, produced more than 3 million barrels a day in 1999. Its production has fallen to less than 800,000 barrels a day, according to the Organization of the Petroleum Exporting Countries (OPEC). “Perhaps this figure is an underestimate, because due to US sanctions, the country is secretly exporting some of its products,” says analyst José Antonio Gil from the Institute for Data Analysis. Twenty years of Chavismo – and three years of sanctions – have ruined the oil industry and the state-owned PDVSA. “But there are still wells, equipment and skills,” continues Mr. Gil. Venezuela can double its production in less than a year and reach 1.5 million barrels per day. On Monday evening, Nicolas Maduro said that PDVSA is ready to increase production to 3 million barrels per day “for the sake of the stability of the world.”
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