Investing.com - President Nicolas Maduro said yesterday that recession-ravaged Venezuela is sending a proposal to the Organization of Petroleum Exporting Countries (OPEC) and non-OPEC producers to stabilize crude oil prices.
“Venezuela, as of next week, will circulate a letter with a new proposal, a new formula for the stability of real and just prices so that it can be studied and debated by all the governments that have signed this deal,” the president said in a speech, without providing additional details.
Venezuela was a vehement supporter of OPEC’s supply-cut deal, in which OPEC and other non-cartel producers agreed to reduce oil production by a total of almost 1.8 million bpd, of which 1.2 million would come from OPEC and 558,000 from non-OPEC producers, including Russia.
Last week, before the January 1 start date for the implementation of cuts, Venezuela said it would begin reducing output by nearly 100,000 bpd.
Shale oil production is up in the U.S., in the wake of the OPEC deal, and President-elect Trump is planning to open up federal lands to drilling and offshore areas to sea-based exploration and drilling after he takes office later this week.
Energy Secretary Rick Perry is going to lead that effort, as he is a former governor of Texas, and has experience dealing with oil, natural gas and petroleum issues.