Latin American power play
Politics again dragged down Venezuela's oil industry, but helped lift up Mexico and Argentina
Petropolitics was the dominant force in Latin American energy in 2017. Start in Venezuela, where utter mismanagement of the nation's oil industry and petro-wealth continued to plunge the country into a deep economic and political crisis. The descent has been extreme. The economy shrank by 12% in 2017 bringing the total contraction to a third since the 2014 oil price collapse, while inflation galloped to more than 650%. The government was short on cash, and imports of vital food and medicines plummeted, giving a humanitarian dimension to the crisis too. Many Venezuelans, once among the wealthiest in the region, fled for neighbouring Brazil, Colombia, or Miami—if they could afford it. Through
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5 March 2026
Gas is a central pillar of Colombia’s energy system, but declining production poses a significant challenge, and LNG will be increasingly needed as a stopgap. A recent major offshore gas discovery offers hope, but policy improvements are also required, Camilo Morales, secretary general of Naturgas, the Colombian gas association, tells Petroleum Economist
4 March 2026
The continent’s inventories were already depleted before conflict erupted in the Middle East, causing prices to spike ahead of the crucial summer refilling season
4 March 2026
The US president has repeatedly promised to lower gasoline prices, but this ambition conflicts with his parallel aim to increase drilling and could be upended by his war against Iran
4 March 2026
With the Strait of Hormuz effectively closed following US-Israel strikes and Iran’s retaliatory escalation, Fujairah has become the region’s critical pressure release valve—and is now under serious threat
