The Latin American Region With 300 Billion Barrels of Oil, More Than All of Saudi Arabia, But Producing 12 Times Less Due to Declining Production and Expensive Technology

Written by Romário Pereira de Carvalho

Published on 23/11/2025 at 21:11

Updated on 23/11/2025 at 21:14

Imagem: Ilustração

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Even with the Orinoco Belt gathering 300 billion barrels, Venezuela produces little, faces technological limitations, and depends on external investments to react

Saudi Arabia is often remembered when talking about oil, as it has held leading positions worldwide for decades. However, Latin America holds extraordinary potential that remains far from the expected performance. Furthermore, its current production is 12 times lower, despite the enormous volume of available resources.

Venezuela is the biggest example of this contradiction. The country is home to the Orinoco Oil Belt, considered one of the largest reserves on the planet.

The state-owned PDVSA reported that the region gathers 300.878 billion barrels, surpassing Saudi Arabia’s 267 billion. This represents at least a 34 billion-barrel difference.

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Sharp Decline in Production

The problem appears when looking at daily production. Venezuela produces only 770 thousand barrels per day. At its peak, this number reached 3 million. Therefore, the contrast between potential and reality is evident.

This decline has placed the country in 21st position among the largest producers. Today it lags behind Colombia, Mexico, and Brazil.

Because it relies on heavy oil, Venezuela faces high costs and technological limitations that hinder more robust production.

Additionally, heavy oil requires more expensive processes from extraction to refining. This directly affects competitiveness.

Challenges of Heavy Oil

A report from Global Americans details that heavy oil is difficult to produce, transport, and refine.

Thus, Venezuela must sell it to refineries at much lower prices. This difficulty reduces margins and undermines investments.

Jorge Navarro, vice president of the Spanish Association of Geologists and Petroleum Geophysicists, explained the scenario in an interview with El Economista. According to him, the high viscosity and low gas content make oil recovery underground difficult.

The expert states that unconventional methods become necessary. He mentions steam injection and the use of diluents.

This also requires mixing with lighter oils before transportation, marketing, and refining.

Impacts of Years of Crisis

This set of factors reveals how the Venezuelan oil industry has degraded over the years.

Prolonged neglect, combined with corruption and economic collapse, harmed the operational capacity of refineries and limited any technological advancement.

Consequently, Venezuela cannot leverage the potential of the Orinoco Belt. Therefore, experts argue that the sector needs external support to regain lost efficiency.

Growing International Interest

The United States suspended sanctions related to Venezuelan oil, gas, and gold for six months.

This encouraged foreign companies to look for opportunities in the country. The movement sparked optimism because it reopened doors that had been closed.

The temporary suspension acted as a green light for investors. Still, Washington continues to use sanctions as a way to pressure Nicolás Maduro’s government.

In this scenario, companies from other countries can request individual licenses to operate in the sector.

An Uncertain Future, but with the Possibility of Advancement

This process indicates that there is a real chance of recovery, although the path is long. The opening for investments represents hope to modernize outdated structures and regain some of the lost potential.

Even so, many challenges remain. The country is trying to regain stability, but recovery depends on profound changes.

Uncertainty increased after the 2024 presidential elections, making the future of the Orinoco Oil Belt even more unpredictable.

For now, it remains to be seen if international interest will translate into concrete results for the Venezuelan industry.

With information from Xataka.

The Latin American Region With 300 Billion Barrels of Oil, More Than All of Saudi Arabia, But Producing 12 Times Less Due to Declining Production and Expensive Technology

Even with the Orinoco Belt gathering 300 billion barrels, Venezuela produces little, faces technological limitations, and depends on external investments to react

Sharp Decline in Production

Challenges of Heavy Oil

Impacts of Years of Crisis

Growing International Interest

An Uncertain Future, but with the Possibility of Advancement

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The Latin American Region With 300 Billion Barrels of Oil, More Than All of Saudi Arabia, But Producing 12 Times Less Due to Declining Production and Expensive Technology

Even with the Orinoco Belt gathering 300 billion barrels, Venezuela produces little, faces technological limitations, and depends on external investments to react

Sharp Decline in Production

Challenges of Heavy Oil

Impacts of Years of Crisis

Growing International Interest

An Uncertain Future, but with the Possibility of Advancement

A giant printer called the “Ferrari” of concrete has landed in Latin America and can already build a 120-square-meter house in just 48 hours, making the traditional construction site look like something from the last century.

Great Atlantic Sargassum Belt has ceased to be a climatic phenomenon and has become a biological system that feeds on itself, with 8,000 kilometers in length, 37 million tons of algae, and scientists confirm that it is now permanent.

A British company has installed in the middle of the ocean the world’s first floating platform that generates electricity 24 hours a day from the temperature difference between the surface and the depths of the Atlantic, without relying on wind or sun.

China is building an artificial island in the middle of the sea, covering 20 km², to construct the largest offshore airport in the world, the Dalian Jinzhouwan. This $4.3 billion project is anchored on more than 3,000 pillars embedded in the rock beneath the ocean and is scheduled to open in 2035.

Austrian engineers have developed an inflatable concrete technology that transforms flat slabs into domes using only air pressure, eliminating scaffolding and temporary forms, and potentially changing the way bridges, tunnels, and curved roofs are constructed worldwide.

Engineers had to pour concrete mixed with tons of ice throughout entire nights in the Dubai desert to erect the Burj Khalifa; any carelessness could clog the pipes half a mile high.

The James Webb telescope spotted a planet 700 light-years from Earth with mornings full of sand clouds and nights with clear skies, the temperature difference between the two hemispheres reaches an impressive 170 degrees.

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China places in the sea an 8-story, 25,000-ton steel giant, the largest offshore wind station in the world, capable of transmitting 6 billion kWh per year and bringing clean energy to areas increasingly distant from the coast.

Braking only in front of the radar and accelerating right after may no longer be an option for drivers, because BR-101 in Espírito Santo tested a system that measures the average speed over an entire stretch and caught a car at 124 km/h on a 60 km/h road.

Building a 95-square-meter house in 2026 can start at around R$ 185,000 at the reference base and exceed R$ 330,000 in high standard, but the final cost depends on the land, finishing, fees, and the region, with the South of the country being among the most expensive in Brazil.

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