The Trump administration is pushing U.S. oil companies to invest in Venezuela, but Energy Secretary Chris Wright said Thursday that greater output there is likely to push prices lower.
“I believe we will see that growing Venezuelan production drives prices down,” Wright said.
Wright, the former chief executive of Liberty Energy, was speaking in Washington at the United States Energy Association’s annual State of the Energy Industry Forum. His comments come as U.S. oil companies hesitate to invest in Venezuelan oil production amid already low global oil prices and a number of uncertainties about Venezuela’s future and stability.
“Why do I like low prices? Because 100 percent of Americans consume oil and natural gas every day of their life, and 1 percent of Americans produce oil and gas,” Wright said. “So, high prices are a win for 1 percent — they’re overlapping of course. But it’s a loss, it’s a net loss for the other 99 percent.”
