Venezuelan Situation No Shock For World Energy Market, Global Economy - Petrobras CEO

Venezuelan Situation No Shock for World Energy Market, Global Economy - Petrobras CEO

The current situation in Venezuelan is not a shock for the global energy market, and will not affect the world's economy, Petrobras CEO Roberto Castello Branco told Sputnik on the sidelines of the CERAWeek conference on Tuesday

HOUSTON (Pakistan Point News / Sputnik - 13th March, 2019) The current situation in Venezuelan is not a shock for the global energy market, and will not affect the world's economy, Petrobras CEO Roberto Castello Branco told Sputnik on the sidelines of the CERAWeek conference on Tuesday.

When asked whether the ongoing crisis in Venezuela will have an impact on the price of oil, Branco said, "I don't think so."

Branco explained Venezuela in the late 1990s produced more than 3 million barrels of oil per day, but now is barely producing 1 million barrels of oil per day.

"While Venezuela is decreasing its production continuously, it's not a shock [to the world energy market]. Others are increasing production. Ourselves, we'll be increasing production," Branco said. "So , I think it will not cause any impact on the global economy."

Branco expressed hope Venezuela will succeed in freeing itself from the current situation, which he characterized as "very damaging for the Venezuelan people."

The United States has imposed numerous rounds of sanctions against Venezuela in response to the political developments in the country. In January, the United States blocked $7 billion in assets belonging to Venezuela's oil company PDVSA.

Venezuelan President Nicolas Maduro said US sanctions against his country were tantamount to an illegal seizure of Venezuela's sovereign assets.

The political crisis in Venezuela escalated in late January, when opposition leader Juan Guaido declared himself to be the country's interim president.

The United States and 54 countries have recognized Guaido, but Russia, China, Bolivia, Turkey and a number of other countries have voiced their support for the Maduro government as Venezuela's only legitimate authority.

Maduro was sworn in for his second presidential term in January after winning the May 2018 elections. He has characterized Guaido as a puppet of the United States and accused Washington of attempting to stage a coup d'etat in Venezuela to exact a change in government and claim the country's resources.