ENERGY AND ENVIRONMENT
Venezuela is one of the world’s most important producers of oil, with reserves potentially exceeding 315 billion barrels. While Venezuela remains a vital supplier of energy to many countries throughout the world, it has also sought to promote alternative energies and prepare for a post-oil world.
For more information on Indicators and Statistics on Energy and the Environment, follow the links below:
- Venezuelan Crude Reserves
- Petroleum Production
- Refining Capacity
- PDVSA’s Investment in Venezuela
- Petroleum Supplies to the United States
- Oil Prices
- Petrochemicals
- Proven Natural Gas Reserves in Venezuela
- Oil and the Environment
- Total Energy Consumption in Venezuela
- Petroleum Industry
Venezuelan Crude Reserves
At the close of 2008, Venezuela’s crude reserves totaled 155 billion barrels. By 2010, Venezuela will have 316 billion barrels of proven reserves — the largest reserves in the world for a single country. The better part of those reserves will come from the Orinoco Petroleum Belt, an area well-known to have a low geological risk and thus low production costs (with an extraction cost of less than $1 per barrel) and zero cost for exploration.
Petroleum Production
In 2008 petroleum production in the Bolivarian Republic of Venezuela was 3.422 billion barrels per day (BPD), not including the volume of liquid petroleum gas (LPG).
Refining Capacity
The refining capacity of PDVSA is 3.0 million barrels per day of finished product. The global PDVSA refining network includes 24 facilities.
PDVSA’s Investments in Venezuela
PDVSA’s investments in Venezuela exceeded $11 billion U.S. dollars in 2007 and approached $15 billion for 2008.
In foreign investment, PDVSA makes all necessary investments to comply with all host country regulations.
Petroleum Supplies to the United States
In 2008 Venezuela was the fourth largest supplier to the U.S., providing 1.534 million barrels per day. It was also the second largest exporter of gasoline and gas to the U.S., representing 10.1% of total petroleum imports to the U.S. With the reduction in domestic consumption in the U.S. in 2008, imports from Venezuela and other petroleum exporting countries have been reduced. In 2006, the U.S. Government Accountability Office (GAO) concluded in a report that the United States unilaterally suspended the Venezuela – US program of technical energy cooperation.
Oil Prices
To learn more about oil prices, please visit the website of the Ministry of People’s Power for Energy and Petroleum.
Petrochemicals
Venezuela’s plan for petrochemicals includes projects to produce olefins and aromatics and to increase fertilizer production capacity over the next 14 years. These plans are based on Venezuela’s huge natural gas reserves.
Proven Natural Gas Reserves in Venezuela
Venezuela has around 180 trillion cubic feet (TCF) of natural gas and more than 150 trillion cubic feet in future reserves, mainly offshore. Venezuela plans to be a global player in Liquified Natural Gas (LNG) by the year 2014.
Oil and the Environment
Venezuela is an environmentally-conscious country with future plans for making domestic energy consumption more environmentally friendly, including an increase of the use of natural gas from 33% today to more than 50% in 2012. Venezuela promotes energy conservation and has replaced of over 68 million incandescent light bulbs with energy-efficient compact fluorescent light bulbs. There are also pilot projects for the use of solar and wind power. Venezuela is achieving radical changes in its transportation system by increasing the use of natural gas instead of gasoline.
Environmental regulations in Venezuela are comparable and compatible with environmental laws on a global scale, and in some cases are even stricter. Mining and hydrocarbon-related industries must be environmentally compliant and obtain environmental authorization to begin any projects.
Total Energy Consumption in Venezuela
Venezuela’s internal energy consumption is equivalent to 250 million barrels of oil a year. The country’s energy comes from a variety of sources, though the overwhelming majority — 70% — comes from hydroelectricity. Another 20% comes from natural gas, 6% from gasoline and 4% from diesel.
Petroleum Industry
For more data on the Bolivarian Republic of Venezuela’s petroleum industry, please consult the Ministry of People’s Power for Energy and Petroleum: “Petroleum and Other Data Statistics” (Spanish)
