Venezuela is currently producing around 850,000 barrels per day (bbl/d) of oil and hopes to reach 1 million bpd in the near future, marking a significant increase from the 786,000 bbl/d output in October.

The temporary lifting of U.S. sanctions on Venezuela has allowed the country to export oil, gas, and fuel to its chosen markets until mid-April. This move by Washington is aimed at encouraging negotiations for a fair presidential election next year. However, the measures could be reverted, so it is important for Venezuela to make the most of this opportunity.

“We have set a plan with several phases: recovery, stabilization, and growth. Of course, six months in the oil industry is a short time, but it will allow us to progress. In the medium term, we will see the results,” Erick Perez, Venezuela’s deputy oil minister, said on the sidelines of an energy conference in Caracas.

The nation has about 5,000 active wells for crude and gas output, and its natural gas production currently averages some 4 billion cubic feet per day (bcf/d).

Perez also highlighted the importance of importing diluents to produce exportable heavy crude grades, which will help in increasing oil output. The country is also looking to recover its market share in the United States, which was its main destination for oil exports, while pushing deals for starting exports of natural gas, including to Trinidad and Tobago.

“The recovery of our markets and the recovery of those customers will improve over time,” he noted.

Ali Moshiri, former Chevron executive and current chief executive officer of Houston-based Amos Global Energy, said state company PDVSA had done “an excellent job maintaining production despite sanctions,” but added that Venezuela needs to encourage private participation and restructure debt to attract capital and reach up to 2.5 million bbl/d of output.”

“The Venezuelan energy sector eventually should be privatized with the participation of the government as an equity holder,” Moshiri said during the conference.

Notably, Venezuela is progressing in talks with Trinidad’s government for the Dragon Field, a U.S.-authorized offshore project in negotiation with Trinidad’s National Gas Company (NGC) and Shell that would provide Venezuelan gas for producing liquefied natural gas and petrochemicals, Perez said.

Trinidad’s Energy Minister, Stuart Young, traveled to Caracas this week to negotiate the terms of Dragon’s exploration and production license.