Venezuela oil 'may double Saudi Arabia'

[Die Neue Zeit]

[I remember doing some commentary on Venezuela's oil reserves, but my findings then, like the statements of Chavez, were lower than now]

http://news.bbc.co.uk/2/hi/americas/8476395.stm


A new US assessment of Venezuela's oil reserves could give the country double the supplies of Saudi Arabia.

Scientists working for the US Geological Survey say Venezuela's Orinoco belt region holds twice as much petroleum as previously thought.

The geologists estimate the area could yield more than 500bn barrels of crude oil.

This assessment is far more optimistic than even the best case scenario put forward by President Hugo Chavez.

The USGS team gave a mean estimate of 513bn barrels of "technically recoverable" oil in the Orinoco belt.

Chris Schenk of the USGS said the estimate was based on oil recovery rates of 40% to 45%.

Petroleos de Venezuela SA (PDVSA), Venezuela's state oil company, has not commented on the news.

However, Venezuelan oil geologist and former PDVSA board member Gustavo Coronel was sceptical.

"I doubt the recovery factor could go much higher than 25% and much of that oil would not be economic to produce", he told Associated Press news agency.

Venezuela holds the largest oil reserves of any Opec country outside the Middle East. Saudi Arabia has proven reserves of 260bn barrels.

[RedStarOverChina]

Good stuff, at least some of that money could be put into good use.

[el_chavista]

Curiously enough, the "old" PDVSA (before 2003) said that the Orinoco belt contained just bitumen. Let me add this quotations to recall the situation.

From a Chávez speech:

The old PDVSA, subordinated to the gringo empire, said it was not oil, that it was a bitumen: "yes, yes that not Oil. That Bitumen. OK. Sir! and yes sir! Mr. Danger."

They wanted we sell out what they called bitumen of Orinoco. Don't you remember that it was called the " Bituminous" Orinoco belt, which is a very heavy oil. The old PDVSA and former governments accepted that that was not oil and that the sale price would be the price of coal.

Bommer Bernard (vice minister by 2008)


Well first let me clarify the difference between natural bitumen and extra heavy oil. You know what? It is the same as between water and ice, only the temperature varies, I'll explain. If you have a frozen lake, to get water you have to break the ice with an ax or a pick. So, natural bitumen does not flow. For example, in Canada there is bitumen, which requires a powerful technology to extract. The chemical difference may be none, but as I say, it is the same kind of difference between ice and water. It is easier to extract a liquid, it is not a secret.


Everything about the bitumen is a myth, which led to give it (to the Orinoco Oil Belt) the "title" of "bituminous belt", perfect setting to say that it has no worth and begin the "story" of Orimulsion because supposedly, it was solid as a coal. The Canadian case is different, it is a country exposed to low temperatures and it is difficult bitumen extraction, and yet they do.

That's part of a mythology which the President ended in his latest program where he opened a tap and took a sample, which flowed as "jam".

if one recalls the old PDVSA, especially in relation to the Orinoco belt, all the talk of the past was very bad, was a speech to hand over control to the multinationals and leave with little involvement of the State.

What would have happened? In the belt they merely would get the cheapest oil and pay only 10 percent, with the arguing that they had to spend a lot of technology

Here we tell the world now that we can extract heavy oil to make it medium, profitable, competitive with conventional oil.

[pranabjyoti]

Well, I personally don't like the idea of workers and peasants society dependent on oil. I hope that this oil reserve wouldn't harm Venezuela's search for alternative energy and other progressive research. The best use of the oil would be investing the money got by selling the oil into alternative energy research.

[piet11111]

The best use of the oil would be investing the money got by selling the oil into alternative energy research.

no hell no

the best use would be providing the Venezuelan people with more social programs and expanding the ones already in place to increase their living standards.

after that then he could for instance look into nuclear fusion.

[RadioRaheem84]

Does this also signal coming troubles for Venezuela politically with the US if Chavez continues his social experiment?

[pranabjyoti]

no hell no
the best use would be providing the Venezuelan people with more social programs and expanding the ones already in place to increase their living standards.
after that then he could for instance look into nuclear fusion.
Do you think that nuclear fusion is the only alternative?