Venezuela Oil Update: Big Reserves, Broken System 💥
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Venezuela holds the world’s largest proven oil reserves—over 300 billion barrels, more than Saudi Arabia or the US. On paper, it’s a massive prize for global energy markets. But here’s the catch: their oil infrastructure is in ruins. Pipelines, refineries, and production facilities have suffered years of neglect and underinvestment. Any supply boost will be slow, limited, and costly. ⛽💸
Because of this, the market might see a geopolitical premium—a small uptick in oil prices triggered by headlines and uncertainty—but don’t expect a game-changing supply shock anytime soon. Venezuela simply cannot flood the market with barrels overnight. The real impact will take years of repair, foreign investment, and stable governance to materialize. 🕰️🔧
Even with President Trump and US-backed initiatives aimed at rebuilding oil capacity, the story isn’t immediate. In the short term, oil prices might react to the political news, but fundamental supply changes are still far away. So yes, Venezuela is a sleeping giant, but for now, it’s more of a geopolitical headline driver than a market mover. 🌎📈$PTB
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