Russia wants to prop up the existing government as it keeps oil production in Venezuela extremely low. If Venezuela was producing at full capacity, the world would be flooded in oil and oil prices would drop to $30/barrel or less. There are a lot of refineries on the Gulf Coast that are set up to run on the heavy Venezuelan crude that they now can't get. They get replacement crude from the middle east and Russia (at a higher shipping cost).
Russia and OPEC would have to cut production severely to have any hope of propping up the price of oil if Venezuela were back in the game. Most of OPEC is going through their cash reserves at a fairly rapid pace. At some point, they will deplete their reserves and won't be able to pay off their not so loyal subjects. That may result in a change in leadership in those OPEC countries. Russia needs the income from their oil exports and would rather sell their oil and gas than see Venezuela selling their product.
Russia is in Syria for a reason. They don't want a big natural gas pipeline going from the middle east (through Syria) to Europe as that would displace large amounts of natural gas that Russia now sells in Europe. Energy is a powerful tool that many fight and die for.
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Return to “No place but Venezuela”
- Sun Mar 31, 2019 12:44 pm
- Forum: Off-Topic
- Topic: No place but Venezuela
- Replies: 92
- Views: 29649
- Tue Mar 12, 2019 6:42 pm
- Forum: Off-Topic
- Topic: No place but Venezuela
- Replies: 92
- Views: 29649
Re: No place but Venezuela
This is the sort of thing that happens when citizens give up their guns. We must never let the corrupt tyrants and weak minded people in this country disarm us. That may very well mean an armed conflict against those that want to destroy the Constitution (and this country) one line at a time.AndyC wrote: ↑Tue Mar 12, 2019 5:14 pm Desperate Venezuelans swarm sewage drains in search of water:
https://www.reuters.com/article/us-vene ... SKBN1QS2SN