Venezuela Considers Exiting Opec Amid Shift in US Relations
Venezuela is considering leaving Opec, an idea that has been discussed in conversations with US officials. The country's importance has ebbed due to US sanctions and domestic turmoil, which have gutted its petroleum industry. Venezuela pumped 1.16 million barrels a day in July, less than half the amount it produced a decade ago.
A decision to pull out of Opec would illustrate the sweeping political realignment in Caracas since President Donald Trump ousted longtime leader Nicolás Maduro and took control of the nation's oil sales. Washington's growing influence is also reflected in US talks with Venezuelan leaders to take a large stake in the nation's oil fields, a development that would have been unthinkable just two years ago.
US officials envision an oil powerhouse built from an alliance between the US and Venezuela that would greatly diminish Opec's influence. Freeing Venezuela from any potential quotas would help it maximize production over the longer-term and thus lower prices.