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U.S. Department of Energy
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GAO; Venezuelan reforms do little to spark oil investiment by U. S. firms

Journal Article · · Oil and Gas Journal; (United States)
OSTI ID:5650950

This paper reports that Venezuela's 1991 foreign investment reforms did little to encourage U.S. oil companies to invest there despite the overall investment attractiveness of the country's oil sector, says the U.S. General Accounting Office. In a report to Congress, GAO noted Venezuela's oil production peaked in 1970, declined through 1985, and since then has increased by about 21% through 1990. The primary factors affecting continued increases in production through 1996 include Petroleos de Venezuela SA's ability to encourage investment capital, the cost of producing and refining heavy and extra heavy crude oil., and the level of production quotas imposed by the Organization of Petroleum Exporting Countries, of which Venezuela is a member. GAO noted Venezuela implemented policy reforms in 1991 to encourage some foreign and private investment petroleum related ventures. However, these reforms have not yet succeeded in attracting U.S. investment in oil exploration, production, or refining in Venezuela.

OSTI ID:
5650950
Journal Information:
Oil and Gas Journal; (United States), Journal Name: Oil and Gas Journal; (United States) Vol. 90:5; ISSN OIGJA; ISSN 0030-1388
Country of Publication:
United States
Language:
English