Venezuela says they need $50 oil just to be able to pay their debts. That assumes that production levels can be maintained. In May alone they declined 300k BPD, and things will only get worse. Oil production is hard on equipment, especially the heavy crude that Venezuela mostly produces. They are a country that can not afford food. Expensive parts and maintenance are well beyond their ability to afford. As the blackouts continue and their infrastructure continues to break down, their production will inexorably decline. Declining oil production will drop government revenue, and the whole process will keep continuing to get worse. Opec won't help them. Venezuela imploding will only boost all of their profits. Only continued Chinese support could possibly hope to keep them running. Unfortunately it is the Chinese that they already owe a mountain of money to.
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