No. of Recommendations: 2
Thing is- Venezuelan production is currently less than 1 million bbl/day. Not sure how restricting that production will affect global crude output, especially given the elastic nature of OPEC quotas- leaky as they are.
Yes, a bit less than 1Mbpd. He is also threatening Columbia, 700,000bpd, and Iran, about 2Mbpd. If he could invent a excuse to attack Iraq, that would take 4Mbpd off the market.
Another thing he could do, which would impact USian refiners that want a lot of heavy, sour, would be to embargo Canadian imports. As Canada lacks the means to get that much crude to the coast for export, that would leave another 2Mbpd landlocked. When God and Savior Trump imposed tariffs last spring, he exempted Canadian crude, for the moment, but he did impose the tariff on Mexican crude. Mexico was unimpressed, as it *can* move it's crude to port, for export to other customers.
Steve
