Venezuela's Vast Oil Reserves: A $200 Billion Problem

Venezuela sits on the largest proven oil reserves in the world. Yet its production has collapsed. Experts now say reviving the industry could cost over $200 billion. The crisis is the result of two decades of problems. Massive corruption, a severe lack of investment, and widespread theft have broken the national oil company. Major infrastructure is in ruins. This reality contradicts recent optimistic statements. Former U.S. President Donald Trump has suggested the industry could rebound quickly if he wins the November election and lifts sanctions. Energy analysts say this is impossible. Even with unlimited funding and the immediate return of foreign companies, repairs would take many years. The needed investment is larger than the total market value of most major oil corporations. The staggering cost presents a global dilemma. The world needs stable energy supplies, but rebuilding Venezuela's oil sector requires a sum unlikely to be provided by wary investors.