Other fields are increasing in importance, mainly in eastern Venezuela, where the Oficina Formation was discovered in 1937. Ĭabimas still plays an important role in production from the nation's largest oil fields, which are located around and beneath Lake Maracaibo. Oil ended Venezuela's relative anonymity in the eyes of world powers, making it a linchpin of an ever-expanding international oil industry and a new consideration in global policymaking. Soon dozens of foreign companies acquired vast tracts of territory in the hope of striking it rich, and by 1928 Venezuela became the world's leading oil exporter. This discovery captured the attention of the nation and the world. 2 well in Cabimas in 1922 that marked the beginning of Venezuela's modern history as a major producer. By the end of 1918, petroleum appeared for the first time on the Venezuelan export statistics at 21,194 metric tons. By the end of 1917, the first refining operations began at the San Lorenzo refinery to process the Mene Grande field production, and the first significant exports of Venezuelan oil by Caribbean Petroleum left from the San Lorenzo terminal. Due to the difficulty in purchasing and transporting the necessary tools and machinery, some oil companies were forced to forego drilling until after the war. This major discovery encouraged a massive wave of foreign oil companies to Venezuela in an attempt to gain a foothold in the burgeoning market.įrom 1914 to 1917, several more oil fields were discovered across the country including the emblematic Bolivar Coastal Field however World War I slowed significant development of the industry. On 15 April 1914, upon the completion of the Zumaque-I (now called MG-I) oil well, the first Venezuelan oilfield of importance, Mene Grande, was discovered by Caribbean Petroleum in the Maracaibo Basin. One such concession was granted to Rafael Max Valladares who hired Caribbean Petroleum Company (later acquired by Royal Dutch Shell) to carry out his oil exploration project. Most of these oil concessions were granted to his closest friends, and they in turn passed them on to foreign oil companies that could actually develop them. Over the next few years, Gómez granted several concessions to explore, produce, and refine oil. In 1908, Juan Vicente Gómez replaced his ailing predecessor, Cipriano Castro, as the president of Venezuela. 1908–1940 Juan Vicente Gómez The main office of the Mene Grande Oil Company was built in 1951.ĭespite the knowledge of the existence of oil reserves in Venezuela for centuries, the first oil wells of significance were not drilled until the early 1910s. The first documented shipment of petroleum from Venezuela was in 1539 when a single barrel of oil was sent to Spain to alleviate the gout of Emperor Charles V. Upon arrival in the early 16th century, the Spanish conquerors learned from the indigenous people to use the naturally occurring bitumen for caulking their ships as well, and for treating their weapons. The thick black liquid, known to the locals as mene, was primarily used for medical purposes, as an illumination source, and for the caulking of canoes.

The Indigenous peoples in Venezuela, like many ancient societies already utilized crude oils and asphalts from petroleum seeps, which ooze through the ground to the surface, in the years before the Spanish conquistadors. Venezuela is a founding member of the Organization of the Petroleum Exporting Countries (OPEC).

In 2008, crude oil production in Venezuela was the tenth-highest in the world at 2,394,020 barrels per day (380,619 m 3/d) and the country was also the eighth-largest net oil exporter in the world. The country was one of the world's largest exporters of oil, but the oil industry saw a significant decline since its peak in 2012. Venezuela has the world's largest proven oil reserves at an estimated 304 billion barrels (18% of global reserves) as of 2020. For example, initial crude oil production for 2010 was 356,911,000 barrels.The Real and Nominal price of oil from 1861 to 2015. Some numbers below are reflected in thousands of barrels of oil as indicated. As additional late or corrected reports are received, the initially reported production volumes are subject to change.

Note: This table lists initially reported production for both onshore and offshore wells. Historical Crude Oil Production and Well Counts History of Texas Initial Crude Oil, Annual Production and Producing Wells

Historical oil production by country