A Venezuelan expert has pointed out that the country possesses the technical capabilities to ensure oil production, and the political calculations behind the U.S. blockade are unlikely to succeed.
The United States recently announced a maritime blockade targeting sanctioned oil tankers entering or leaving Venezuela, attempting to sever the country's energy lifeline.
Currently, oil production and export activities continue uninterrupted in Maracaibo, Venezuela's western oil hub. However, widespread concerns persist that given that the South American country's production and processing of heavy crude oil highly rely on imported diluents from Iran and other sources, U.S. sanctions could potentially cripple oil production.
In an interview with China Global Television Network (CGTN), Oswaldo Felizzola, director of the International Center for Energy and Environment at the Instituto de Estudios Superiores de Administración (Institute of Higher Studies in Administration), said that the situation could be mitigated by either producing diluents domestically or purchasing light crude oil from abroad for blending.
"If the Petroleum of Venezuela allows domestic and foreign capital to enter and urgently repairs the infrastructure, our diluent production capacity can be restored within three to four months, which is sufficient to replace imported diluents. Another option is to purchase crude oil from other countries like Guyana or Brazil. They are relatively close to Venezuela and produce light or medium crude oil, which can be mixed with our heavy crude oil," he said.
Felizzola said he believes that the United States' recent extreme pressure on Venezuela and threats to block crude oil exports from the country are not only driven by coveting Venezuela's oil resources but also serve domestic political needs.
Currently, global oil prices hover around 60 U.S. dollars per barrel - a level that poses significant risks to U.S. shale oil companies, which are a major source of funding for President Donald Trump's campaign. The U.S. government is attempting to artificially create supply shortages to drive up global oil prices, said the expert.
"Because as long as the crude oil price drops to below 57 U.S. dollars per barrel, those U.S. shale oil companies will suffer losses. These firms account for the majority of the oil producers in the United States. The current U.S. decision to impose these restrictions essentially delivers an 'electric shock' to the market, creating supply disruptions to lift oil prices out of their current slump and restore them to levels where U.S. shale oil production becomes profitable," said Felizzola.
Expert says U.S. political scheme to blockade Venezuela unlikely to succeed
Chinese Foreign Minister Wang Yi said on Thursday that UN Security Council actions must not provide legal cover for unauthorized military operations, nor should they heighten tensions or escalate conflict.
Wang, also a member of the Political Bureau of the Communist Party of China Central Committee, made the remarks in a phone conversation with Kaja Kallas, the High Representative for Foreign Affairs and Security Policy of the European Commission.
Kallas shared her views on the situation in the Middle East and commended China's active diplomatic mediation efforts to ease the situation, including the latest five-point joint initiative issued by China and Pakistan for restoring peace and stability in the Gulf and the Middle East.
The European side has not been involved in this war but has suffered from its spillover effects, she said, expressing hope for swiftly de-escalating the war and resuming dialogue and negotiations.
The European side supports UN humanitarian operations, the protection of civilians and non-military targets, and will make every effort to ensure the opening of navigation through the Strait of Hormuz, she said.
Wang said that amid the current international turmoil, it is the shared responsibility of China and Europe to step up communication and exchanges, and to uphold the UN-centered international system and the international order based on international law.
Wang elaborated on China's principled position on the Middle East situation, noting that the five-point initiative proposed by China and Pakistan reflects a broad international consensus, whose core elements include a cessation of hostilities, the start of peace talks as soon as possible, ensuring the security of non-military targets and security of shipping lanes, and safeguarding the primacy of the UN Charter.
A ceasefire and an end to hostilities are the strong call of the international community, and also the fundamental solution to ensuring safe navigation through the Strait of Hormuz, Wang said, adding that all parties should build greater consensus and create the necessary conditions to that end.
The UN Security Council actions should focus on cooling down the situation and de-escalating tensions, Wang said, adding that China stands ready to maintain communication and cooperation with the European side to promote an early end to hostilities and restore regional peace.
The two sides also exchanged views on China-EU relations. Wang said that China's development represents opportunities for Europe, and that the challenges Europe faces do not originate from China. Protectionism does not enhance competitiveness, and decoupling from China means decoupling from opportunities, Wang said, expressing hope that the European side will develop a comprehensive and objective perception of China and maintain the correct direction of China-EU relations.
Kallas said that the European side views China as an important cooperation partner, does not seek decoupling from China, and looks forward to maintaining dialogue and communication between the two sides.
Chinese FM says UN Security Council actions should not legitimize unauthorized military operations
