Venezuela Oil Production Set to Surge as US Secures New Deals

US Energy Secretary Chris Wright is on a one-day trip to Venezuela, his second since US forces seized President Nicolas Maduro in January. Wright said deals signed by oil companies from the US and other countries tomorrow will lead to a significant increase in crude production over the next few years.

Venezuelan oil production peaked at 3 million barrels per day in the late 1990s but plummeted due to lack of investment, mismanagement, and US sanctions. Recently, it has been around 1.1-1.2 million bpd, slightly rising since Maduro was captured.

The Trump administration's efforts to ease regulations on refiners should also lead to lower oil prices in the coming weeks, according to Wright.