Current Location:Home > News > Industry News >

OPEC and the spoils from Oil Industry

The Organization of the Petroleum Exporting Countries (OPEC) is a permanent, intergovernmental Organization, created at the Baghdad Conference on September 10–14, 1960, by Iran, Iraq, Kuwait, Saudi Arabia and Venezuela as founding members. As a matter of fact, it all came as a result of an initiative lead by Venezuelan Juan Pablo Pérez Alfonzo also known as the father of OPEC.
Venezuela used to be a prosperous small country i.e. on average some 25 to 28 Million people living in it; with all types of climate conditions, and tremendous wealth of oil and with proven reserves, to last over a 100 years.
Prior to oil being struck, we were multi-taskers and the economy was based on agriculture, fishing, minerals, etc.; early in 1930 the black gold appeared in our horizon and with it, all the respective draw backs of a country becoming rich on the sudden. Needles to say oil became, at the beginning of 20th century the main provider of income to our republic.
If you revise the technological developments and advances our country has made to the Oil industry you could find many but no other more beneficial than the early 1980's Orimulsion.
Venezuelan scientists came up with a none convencional fossil oil, which could be used to fuel thermo plants, made of extra heavy hydrocarbon and 30% of fresh water from the Orinoco river. Orimulsion was bonded via surface active agents providing a similar pattern of behaviour than gasoline with the added advantage of not being explosive.
These surfactants were alcohol based which are much more eco-friendly than the traditional phenol based ones.
Air emissions associated to Orimulsion were classed by EPA as the best available option as far as pollution control at the time.
Today all our brilliant minds, formerly from Technological Division for the Development and Strengthening of Domestic Capital [Intevep], have left the country as the resultant of our Oil Industry having been brought down to its knees by its ideological politicization, great levels of corruption and the poor handling of its scientific and technological value.  
The spoils have benefited neighboring countries like Colombia were oil production was none relevant, 500K barrels per day 2005 up to a significant 1,2KK b/d during the past 10 years which is commendable taking into account Colombia's oil is extra heavy source which requires solvent dilution prior to extracting.