Venezuela reports increases in proven oil and natural gas reserves

Venezuela’s proven oil and gas reserves increased in 2004, the government reported Oct. 17.

Venezuela’s Ministry of Oil and Energy said it confirmed an additional 3.441 billion barrels of oil, raising its total proven reserves by 4.46 percent to 80.582 billion barrels in 2004 from 77.141 billion barrels in 2003.

Its proven gas reserves had also increased by 1 percent to 151.479 trillion cubic feet from 150 trillion cubic feet, the ministry said in its statement.

The ministry said “intensive exploration efforts” were behind the increase.

Venezuela’s Orinoco Belt has vast deposits of extra-heavy oil and tar-like bitumen, which can be converted into crude.

State oil company Petroleos de Venezuela S.A., PDVSA, expects to be able to include those deposits — an estimated 236 billion barrels worth — to the country’s proven oil reserves by 2021.

President Hugo Chavez has said that would make Venezuela home to the world’s largest reserves of oil. At present, Saudi Arabia has the world’s top reserves with about 262 billion barrels, according to industry estimates.

Venezuela currently has the biggest oil reserves outside of the Middle East and is the world’s fifth-largest oil producer. Its gas reserves are the second-largest in the Western hemisphere, after the United States, and the ninth largest in the world.

—The Associated Press