What consequences does the global context—with both lower prices and falling demand—have on Petrobras’ long-term strategies and on Brazil’s oil and gas sector in general?
Political changes are shaping the outlook in many of South America’s smaller and emerging oil and gas producers, including Guyana, Suriname, Ecuador, Peru and Bolivia. At a webinar co-hosted by the Inter-American Dialogue and the National Capital Area Chapter of the United States Association for Energy Economics (NCAC-USAEE), panelists discussed how political developments and the oil price decline are likely to impact producers in the region.
How much will the latest sanctions hurt Venezuela’s oil production and exports, and will the move ultimately result in significantly more pressure on Maduro to step down?
Once a major OPEC producer, Venezuela has witnessed a spectacular fall in oil production over the last 20 years under Hugo Chávez and Nicolás Maduro. In 2019, U.S. sanctions hastened this decline. Will Venezuela ever reclaim its place as a top oil producer?
Lisa Viscidi and Nate Graham spoke with S&P Global Platts about the findings of a new report which argues that Western oil companies will be needed to revive Venezuela’s oil sector. They discuss the obstacles that could affect whether these firms increase production in the country under a new government, including US sanctions uncertainty, high taxes, and a shortage of workers and working infrastructure.
With Venezuela’s state oil company in disarray, international oil companies will be the key to tapping the country’s oil resources. The Inter-American Dialogue interviewed eight large Western oil companies about the conditions that will determine how rapidly, and to what degree, they start or ramp up operations in Venezuela following a political transition.
Top content from the weekly Energy Advisor publications this year.
Venezuelan opposition leader Juan Guaidó and his allies need continued U.S. support to prevent Citgo’s seizure, said Citgo Chairwoman Luisa Palacios.
Argentina’s economic crisis and the fiscal belt-tightening it demands have led to gradual cuts to wholesale electricity and natural gas subsidies for consumers and a liberalization of energy prices over the course of Mauricio Macri’s administration. This has helped make Argentina more attractive as a destination for energy investment despite its economic tumult, said Argentine Secretary of Energy Gustavo Lopetegui at an event organized by the Inter-American Dialogue on March 14.
Will Pemex’s most recent oil discoveries be enough to reverse the country’s output declines?
Until this year, resource nationalism—when a government asserts its control over a country’s natural resources—seemed to be on the wane in Latin America. But its potential return could set back Latin America’s two largest economies.
The Brazilian oil & gas industry is going through its “largest transformation ever,” said Décio Oddone, Director-General for the Brazilian National Petroleum, Natural Gas and Biofuels Agency (ANP) at an event organized by the Inter-American Dialogue on June 28th.
Latin America faces many challenges in developing its energy resources and providing clean, affordable and reliable energy. With presidential elections in Brazil, Mexico and Colombia next year, there is considerable uncertainty about future energy policy, as potential candidates in these countries have presented widely varying energy and economic policy platforms.
While the Trump administration’s “America first” policies are aimed primarily at giving higher priority to national security and economic growth for the United States, the White House’s approach will have impacts on energy relations with the rest of the hemisphere that should also be considered.
Brazil is on track to double its oil and gas production following a series of energy policy reforms aimed at increasing investment.