By early 2026, global crude oil extraction costs vary enormously, with Venezuela's situation being the most typical example.

Looking first at light crude oil in the Lake Maracaibo region, extraction costs are approximately $23 per barrel. But the real protagonist is the Orinoco Heavy Oil Belt—this region accounts for 74% of Venezuela's total oil reserves. The official figures don't sound too unreasonable at $16.5 to $23.5 per barrel, but in actual operations, due to aging facilities and low management efficiency, costs skyrocket to $23 to $30 per barrel. More critically, you must also add diluent, long-distance transportation, refining, and other full-chain costs, which combined can reach $50 to $60 per barrel, with some projects even exceeding $70.

Comparing with other oil-producing nations paints a stark picture: Saudi Arabia's light crude only requires $3 to $5 per barrel, and U.S. shale oil runs about $40 to $55 per barrel. Venezuela's heavy oil at these costs sits clearly on the high end of the global cost curve, and once oil prices fluctuate, profit margins become extremely fragile. For energy-dependent economies, what this implies hardly needs explanation.