Radu Danila @radudanila21: "The year just started and..."

Romania

The year just started and the world got hit with the news that USA just "annexed" the Venezuelan oil industry. In a short operation that took under 4 hours, USA managed to capture the president of Venezuela, Nicolas Maduro, and completely forcing the government in Caracas in a complete disarray. Bellow I will state a few point for which i believe this is more then a simple government change in an embargoed and isolated country. 1. Venezuela has the world's largest proven oil reserves, estimated at around 303 billion barrels. Even with a degrading oil extraction and refining capacity, is still one of the biggest exporters worldwide. It is also a country that is a close ally to China, Russia and Iran, but not a BRICS member as Brazil blocked Venezuela's application to the bloc. Moving all this resources from the eastern sphere of influence to the western one, is a major hit for the above mentioned trio. 2. China and Russia have made big investments in Venezuela along the years and the ROI has not been achieved. Acording to Reuters, China Concord Resources Corp has begun developing two Venezuelan oilfields, planning to invest more than USD 1 billion in a project to produce 60,000 barrels per day of crude oil by end-2026. On top of that, to make an insult felt harder, the USA Navy used the visit of the envoy from China to track Maduro location for the operation. China Imports 4% of its oil from Venezuela, at premium price due to partnership and embargo. Probably in the near future, if the situation does not get worse, thru US oil companies, this resources will join back the western global market and put pressure on reducing the $OIL $EUROOIL prices. 3. Key ally in the South America continent, whiteout Venezuela, the pro China/Russia governments in the continent will face harder times then expected. This is a huge hit to the multi-polar world that China is envisioning for the future. Beijing has been a key ally of Maduro and his predecessor late President Hugo Chavez and is currently buying more than 90% of Venezuela's total oil exports. Chinese state oil giant CNPC was among the largest investors in Venezuela's oil sector before U.S. energy sanctions were first imposed on Venezuela in 2019. China was also a big lender to Venezuela. Early last year, CCRC began negotiating its participation in the two oilfields - Lago Cinco and Lagunillas Lago - and signed in May 2024 a 20-year production sharing contract with Venezuela. 4. After the 12 days war over Iran and the 4 hours operation in Venezuela, USA showed its power when it comes to military operations, military strength, technology implementation and usage. With money, information intelligence and weapons, NATO blocked Russia (once considered the 2th worlds power) in a 4 year war in Ukraine, grinding its economy, people and weapons at a degree never imagined even in the worst case scenario that the Russians put together before the "Special Operation". Iran is almost on the point of collapsing, as protest become more and more often and violent. The list may continue with Syria, Myanmar, Sudan, Mali, Libya, Cambodia and so on. I am sorry but I don't see a multi-polar world. I see kids with sticks that try to poke the bear, and when the bear swings, one goes down. Wish you all to stay profitable!

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