Oil reserves in Venezuela
Encyclopedia
The proven oil reserves in Venezuela
are claimed to be the largest in the world, according to an announcement in early 2011 by President Hugo Chavez
and the Venezuelan government
. The reported proven reserves reach 297 Goilbbl, surpassing that of the previous long-term world leader, Saudi Arabia
. OPEC said that Saudi Arabia's reserves stood at 265 Goilbbl in 2009.
According to the United States Geological Survey
(a bureau of the United States Department of the Interior that employs approximately 8,670 people), the Orinoco Belt
alone is estimated to contain 900–1400 Goilbbl of heavy crude in proven and unproven deposits. Of this, the United States Geological Survey estimated that 380–652 Goilbbl could be technically recoverable, which would make Venezuela's total recoverable reserves (proven and unproven) among the largest in the world. The technology needed to recover ultra-heavy crude oil, such as in most of the Orinoco Belt, may be much more complex and expensive than that of Saudi Arabia's light oil industry.
Already by 2009, Venezuela reported 211.17 Goilbbl of conventional oil reserves, the largest of any country in South America
. In 2008, it had net oil exports of 1.189 Moilbbl/d to the United States
. As a result of the lack of transparency in the country's accounting, Venezuela's true level of oil production is difficult to determine, but OPEC analysts estimate that it produced around 2.47 Moilbbl/d of oil in 2009. This would give it 234 years of remaining production at current rates.
In October 2007, the Venezuelan government said its proven oil reserves had risen to 100 Goilbbl. The energy and oil ministry said it had certified an additional 12.4 Goilbbl of proven reserves in the country's Faja del Orinoco region. In February 2008, Venezuelan proven oil reserves were 172 Goilbbl.
In addition to conventional oil, Venezuela has oil sands deposits similar in size to those of Canada (approximately equal to the world's reserves of conventional oil). Venezuela's Orinoco tar sands are less viscous than Canada's Athabasca oil sands
– meaning they can be produced by more conventional means – but they are buried deeper, meaning they cannot be extracted by surface mining
. Estimates of the recoverable reserves of the Orinoco Belt range from 100 Goilbbl to 270 Goilbbl. In 2009, USGS updated this value to 513 Goilbbl.
Venezuela's development of its oil reserves has been affected by political unrest in recent years. In late 2002 nearly half of the workers at the state oil company PDVSA went on strike, after which the company fired 18,000 of them. The crude oil that Venezuela has is very heavy by international standards, and as a result much of it must be processed by specialized domestic and international refineries. Venezuela continues to be one of the largest suppliers of oil to the United States, sending about 1.4 Moilbbl/d to the U.S. Venezuela is also a major oil refiner and the owner of the Citgo
gasoline chain.
Venezuela
Venezuela , officially called the Bolivarian Republic of Venezuela , is a tropical country on the northern coast of South America. It borders Colombia to the west, Guyana to the east, and Brazil to the south...
are claimed to be the largest in the world, according to an announcement in early 2011 by President Hugo Chavez
Hugo Chávez
Hugo Rafael Chávez Frías is the 56th and current President of Venezuela, having held that position since 1999. He was formerly the leader of the Fifth Republic Movement political party from its foundation in 1997 until 2007, when he became the leader of the United Socialist Party of Venezuela...
and the Venezuelan government
Government of Venezuela
|Venezuela is a federal presidential republic governed by a constitution. There are five branches of government: Executive, Legislative, Judicial, Citizen, and Electoral....
. The reported proven reserves reach 297 Goilbbl, surpassing that of the previous long-term world leader, Saudi Arabia
Saudi Arabia
The Kingdom of Saudi Arabia , commonly known in British English as Saudi Arabia and in Arabic as as-Sa‘ūdiyyah , is the largest state in Western Asia by land area, constituting the bulk of the Arabian Peninsula, and the second-largest in the Arab World...
. OPEC said that Saudi Arabia's reserves stood at 265 Goilbbl in 2009.
According to the United States Geological Survey
United States Geological Survey
The United States Geological Survey is a scientific agency of the United States government. The scientists of the USGS study the landscape of the United States, its natural resources, and the natural hazards that threaten it. The organization has four major science disciplines, concerning biology,...
(a bureau of the United States Department of the Interior that employs approximately 8,670 people), the Orinoco Belt
Orinoco Belt
The Orinoco Belt is a territory which occupies the southern strip of the eastern Orinoco River Basin in Venezuela. Its local Spanish name is Faja Petrolífera del Orinoco ....
alone is estimated to contain 900–1400 Goilbbl of heavy crude in proven and unproven deposits. Of this, the United States Geological Survey estimated that 380–652 Goilbbl could be technically recoverable, which would make Venezuela's total recoverable reserves (proven and unproven) among the largest in the world. The technology needed to recover ultra-heavy crude oil, such as in most of the Orinoco Belt, may be much more complex and expensive than that of Saudi Arabia's light oil industry.
Already by 2009, Venezuela reported 211.17 Goilbbl of conventional oil reserves, the largest of any country in South America
South America
South America is a continent situated in the Western Hemisphere, mostly in the Southern Hemisphere, with a relatively small portion in the Northern Hemisphere. The continent is also considered a subcontinent of the Americas. It is bordered on the west by the Pacific Ocean and on the north and east...
. In 2008, it had net oil exports of 1.189 Moilbbl/d to the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
. As a result of the lack of transparency in the country's accounting, Venezuela's true level of oil production is difficult to determine, but OPEC analysts estimate that it produced around 2.47 Moilbbl/d of oil in 2009. This would give it 234 years of remaining production at current rates.
In October 2007, the Venezuelan government said its proven oil reserves had risen to 100 Goilbbl. The energy and oil ministry said it had certified an additional 12.4 Goilbbl of proven reserves in the country's Faja del Orinoco region. In February 2008, Venezuelan proven oil reserves were 172 Goilbbl.
In addition to conventional oil, Venezuela has oil sands deposits similar in size to those of Canada (approximately equal to the world's reserves of conventional oil). Venezuela's Orinoco tar sands are less viscous than Canada's Athabasca oil sands
Athabasca Oil Sands
The Athabasca oil sands are large deposits of bitumen, or extremely heavy crude oil, located in northeastern Alberta, Canada - roughly centred on the boomtown of Fort McMurray...
– meaning they can be produced by more conventional means – but they are buried deeper, meaning they cannot be extracted by surface mining
Surface mining
Surface mining , is a type of mining in which soil and rock overlying the mineral deposit are removed...
. Estimates of the recoverable reserves of the Orinoco Belt range from 100 Goilbbl to 270 Goilbbl. In 2009, USGS updated this value to 513 Goilbbl.
Venezuela's development of its oil reserves has been affected by political unrest in recent years. In late 2002 nearly half of the workers at the state oil company PDVSA went on strike, after which the company fired 18,000 of them. The crude oil that Venezuela has is very heavy by international standards, and as a result much of it must be processed by specialized domestic and international refineries. Venezuela continues to be one of the largest suppliers of oil to the United States, sending about 1.4 Moilbbl/d to the U.S. Venezuela is also a major oil refiner and the owner of the Citgo
Citgo
CITGO Petroleum Corporation is a United States-incorporated, Venezuela-owned refiner, transporter and marketer of transportation fuels, lubricants, petrochemicals and other industrial products. The company is owned by PDV America, Inc., an indirect wholly owned subsidiary of Petróleos de...
gasoline chain.