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The implications for Colombia for the oil crisis in Venezuela



Despite having the largest reserves in the world, the political crisis has reduced the production of the neighboring country to the lowest level.

Venezuela has the world's largest oil reserves, 296 billion barrels. But its production, historically high and close to 3 million barrels a day, fell to its lowest point in its history, from 1,200.00 barrels per day, of which 420,000 exported to the United States.

"Today Venezuela's production is insignificant on the world market. You see, Donald Trump said yesterday:" I will close all of the DDS accounts, "and today oil prices are falling, one can expect this to be the opposite," said analyst Eduardo Pisano.

Some analysts in Venezuela say the country will cut production to about 700,000 barrels per day.

Economist and risk-taker Leonardo Buniac points out that "the Venezuelan oil industry is experiencing a perfect storm on the international market: prices are falling and production is reduced to such a level that Venezuela could cease to be a net exporter of oil by 2019 or early 2020 year. "

Colombia had a record product of one million barrels, although today it produces 900 thousand barrels per day. It is still far from what Venezuela produces, despite the current crisis.

That's why experts in the sector are asking Colombia to use the moment for recovery, before Venezuela.

"While the problem is not solved in Venezuela, the country can receive investments from this sector, because definitely in a scenario where Venezuela will open its borders for private investment will take away all investment opportunities that will reach Columbia," said Julio Caesar Vera , president of Acipet.

Is this oil crisis in Venezuela useful for Colombia?

"Colombian exports to the United States have already exceeded those of Venezuela last year, for example, for 470 thousand barrels a day, just over the barrels sent by Venezuela, but it's already at those levels," says German Espinosa, President of Campetrol.

Meanwhile, US security adviser John Bolton, in an interview with Fox News, said the ouster of the Venezuelan government is a business opportunity in the region for his country.

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