Venezuela is seeing the biggest drop in oil production in a decade. The crippling month of May was shown in a Linked In report that the already weakening economy of Venezuela is getting worse by the day. The decline of oil production is down to 120,000 barrels a day, to 2.37 million barrels a day, according to data from the Organization of the Petroleum Exporting Countries. With Venezuela facing an economic hardship, major oil companies cut back on operations as the country is failing to pay multi-billion dollar debts with partners.
Venezuela relies heavily on the income from oil. Expert Manuel Gonzalez says that over spending being a major problem, they can no longer bring in the millions of barrels of oil per day that they were longing for. The last time oil production was this low in Venezuela was in 2003, when it was completely halted due to a strike led by PdVSA workers who wanted then-president Hugo Chavez discharged from power. The price of oil has impacted the revenue of Venezuela so much so that they can no longer afford the cost of a barrel of oil per barrel to turn a profit, or break even for that matter.