X

Sign Up To Our Free Newsletter

Join Now

Thanks for subscribing to our free newsletter!

ERROR

  • 4 minutes IMPORTANT ARTICLE BY OILPRICE.COM EDITOR - "Naked Short Selling: The Truth Is Much Worse Than You Have Been Told"
  • 5 minutes “Cushing Oil Inventories Are Soaring Again” By Tsvetana Paraskova
  • 7 minutes United States LNG Exports Reach Third Place
  • 10 mins Texas forced to have rolling black outs. Not from downed power line , but because the wind energy turbines are frozen.
  • 11 hours Wednesday Nikki Haley reached out to Trump for meeting at Mar-a-lago. Trump said No ! You blew it Nikki . . .
  • 17 hours NYT:  The Supreme Court’s order (Re:  Trump’s tax returns) set in motion a series of events that could lead to the startling possibility of a criminal trial of a former U.S. president
  • 2 hours The World Economic Forum & Davos - Setting the agenda on fossil fuels, global regulations, etc.
  • 4 hours Retired RAF pilot wins legal challenge over a wind farm
  • 21 hours The latest GOP nonsense on Texas shows us the future Republicans want
  • 2 hours Minerals, Mining and Industrial Ecology
  • 20 hours Disaster looming in UK offshore wind power
  • 1 day The Cyberpandemic has Begun: SolarWinds + FireEye – Gmail & Google services down
  • 22 hours U.S. Presidential Elections Status - Electoral Votes

Venezuela’s Restarts Its Largest Oil Export Terminal

Venezuela’s largest oil export terminal is has resumed operations and is now operating at 100 percent capacity after a blackout took it offline earlier in the week, according to Reuters sources, but chances are its problems are not over just yet.

The most recent blackout was the second such blackout in about as many weeks, straining an already strained oil industry that serves as the lifeblood of Venezuela. The first blackout in early March shuttered the Jose oil port—Venezuela’s largest—after the Guri dam hydropower plant, supposedly responsible for supplying nearly 80% of the country with power, went offline.

Some oil production, too, was shut in as a result of both blackouts, which the Maduro regime claims was an act of sabotage at the hands of the United States.

While the scale of the recent blackouts is profound, Venezuela’s power blackouts are nothing new, and most experts agree that the blackouts are likely the result of the severe neglect of its infrastructure that has gone on for many years.  Hugo Chavez and Nicolas Maduro both were forced to take extreme measures to deal with its power problems, including altering time zones to get the most out of daylight hours, instituting bans on electricity-heavy appliances such as clothes and hair driers, and entire public-sector shutdowns.

The recent string of power blackouts not only choked off Venezuela’s only real revenue stream—crude oil—it plunged its citizenry into a whole new brand of horror as hospitals went without power and food supplies came up short.

It is unlikely with its oil revenue stream drying up that Venezuela will have the funds to invest in its failing critical infrastructure without the aid of a foreign entity with a large wallet. Even its foreign oil interests are no longer providing it with a revenue stream as new sanctions are restricting financial transactions from its partnerships in both Jamaica and Dominican Republic oil refineries.

By Julianne Geiger for Oilprice.com

More Top Reads from Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News