WASHINGTON (Pakistan Point News / Sputnik - 20th May, 2019) Venezuela's oil production hit a 16 year low in April as a result of mismanagement as well as US sanctions against the nation's energy sector, the Energy Information Administration said in a report on Monday.
In April, Venezuela's crude oil production averaged 830,000 barrels per day (b/d), down from 1.2 million b/d at the beginning of the year," the report said. "This average is the lowest level since January 2003, when a nationwide strike and civil unrest largely brought the operations of Venezuela's state oil company, Petroleos de Venezuela, S.A. (PdVSA), to a halt."
Widespread power outages, mismanagement of the country's oil industry and US sanctions directed at Venezuela's energy sector and PdVSA have all contributed to the recent declines, the report said.
The report predicted oil production would continue falling and possibly accelerate throughout 2019 as sanctions-related deadlines pass.
The deadlines include provisions that third-party entities using the US financial system halt transactions with PdVSA by April 28 and that US companies, including oil service companies and companies involved in the oil sector must cease operations in Venezuela by July 27, the report said.
