Venezuela’s direct communication with OPEC indicated a production decline of 33,000 barrels per day. Russ Dallen, an attorney, publisher and head of Caracas Capital Markets writes:
” … Venezuela’s rig count had fallen to 49 in July 2016. Venezuela did try and get more rigs drilling over the last year, hitting a high of 56 in April, but guess what: the rig count for Venezuela is for June 2017: back at 49.
Based on its own estimates that its production was collapsing — estimates similar to ours –Venezuela agreed with OPEC to cut production to 1.972 barrels per day (in other words giving what was already a fait accompli). Venezuela has fallen through that cut and is now 34,000 barrels per day below its quota — while as OPEC notes, everyone else’s production is going higher. Worse, if you look at the 2015 column on the chart above, Venezuela was producing 2.375 million barrels per day just a year and a half ago in 2015. That means Venezuela is producing 437,000 barrels per day less than it was 2 years ago, which at Venezuela’s average 2017 oil price of $43.60 (so far), means that Venezuela is losing over half a billion dollars every month; $6.9 billion a year…”