Global Oil Prices Hold Steady After Capture of Venezuelan President Maduro

The Kenya Times ~ Trending, Breaking News and Videos

Global Oil Prices Hold Steady After Capture of Venezuelan President Maduro

Global oil markets have remained steady following the dramatic capture of Venezuelan President Nicolás Maduro by United States (U.S) forces.

Brent crude, the international benchmark, opened slightly lower on January 5, 2026, slipping by approximately 17 cents to trade at $60.58 (Ksh7,808) per barrel.

Similarly, West Texas Intermediate (WTI), the U.S. benchmark, fell by about 23 cents to $57.09 (Ksh7,358.90) per barrel during early trading.

Prices briefly fluctuated as traders assessed the implications of the operation, but volatility remains restrained, and no significant upward or downward trend has emerged.

Why Maduro’s Arrest Has Not Impacted Global Oil Prices

Nicholas Maduro’s arrest has not impacted global oil prices, mainly due to the current condition of Venezuela’s oil sector.

Years of economic decline, international sanctions, and lack of investment have reduced the country’s production to approximately 1 million barrels per day, far below its historical output and global market share.

Before Maduro’s capture, Venezuelan oil exports were already sharply reduced by U.S. sanctions and enforcement actions targeting illicit shipments.

Recent seizures of tankers carrying Venezuelan crude had worsened logistical challenges, leaving Venezuela with limited avenues to move its oil to international markets.

Reports from Caracas confirmed that core oil infrastructure remains intact following the U.S.-led operation on Jan. 4, 2026.

Facilities operated by state-owned Petróleos de Venezuela, S.A. (PDVSA) have not sustained major damage, ensuring that production continues at its current reduced levels. However, port operations have been disrupted.

The La Guaira port, a key hub for crude exports, suffered severe damage during the raid, temporarily halting tanker loadings and further constraining Venezuela’s already diminished export capacity.

Also Read: Bobi Wine Appeals to Elon Musk as Starlink Shuts Down in Uganda Before Crucial Election

U.S to Increase Venezuelan Oil Trade

American companies have maintained a limited presence in Venezuela’s oil industry under special licenses despite years of sanctions.

Chevron, operating under a U.S. Treasury license since 2022, has continued to produce and export approximately 150,000 barrels per day.

However, logistical challenges and storage constraints have recently forced Chevron to scale back operations.

Following the capture of President Nicolás Maduro on Jan 4, U.S officials have signaled plans to encourage major American oil firms—including ExxonMobil and ConocoPhillips—to re-enter Venezuela’s market.

These companies previously exited after expropriations in the late 2000s.

Current proposals involve multi-billion-dollar investments aimed at restoring production capacity and rehabilitating infrastructure, provided that Venezuela achieves political stabilization and a favorable legal framework.

The U.S has also indicated that companies could recover seized assets as part of future agreements, creating incentives for long-term commitments.

Also Read: Venezuela’s Supreme Court Appoints Delcy Rodríguez to Replace Maduro

Any significant increase in output will require billions in investment and years of work, as Venezuela’s oil infrastructure is severely degraded.

Oil’s Central Role in Venezuela’s Economy

Oil remains the backbone of Venezuela’s economy, accounting for more than 90 percent of export earnings and a major share of government revenue over the past two decades.

At its peak in the late 1990s, the country produced more than 3 million barrels per day, funding public services, subsidies, and social programs tied directly to petroleum income.

As production declined due to mismanagement, sanctions, and underinvestment, state finances declined sharply, contributing to shortages of food, medicine, and fuel.

PDVSA, once one of South America’s strongest state oil companies, now struggles with aging infrastructure and limited access to international financing.

Follow our WhatsApp Channel and X Account for real-time news updates. 

This post Global Oil Prices Hold Steady After Capture of Venezuelan President Maduro first appeared on The Kenya Times ~ Trending, Breaking News and Videos and is written by Wiltord Otieno