What are the 10 countries in the world with the largest oil reserves?
We all know who the world's largest producers of crude oil are, and we can list the top three effortlessly. But the fact is that the major producers are not necessarily the countries with the largest reserves, ie which over time can produce more black gold. After all, owning a natural resource does not mean exploiting it completely, either for financial reasons or for a specific choice of the country. Furthermore, there is a difference between definitely established resources and potential resources of a country.
Here are the ten richest countries in crude oil in ascending order.
No. 10 Libya
It is estimated that the North African country has reserves of around 48.3 billion barrels of crude oil. However it is a relatively minor producer, with a daily average of about 1.2 million barrels. Political instability and power struggles between different factions following the civil war are the main reason for Libya's continuing problems in making the most of its oil resources. However, it seems that things are starting to change, with Europe looking to the North African country as a major source of oil and natural gas, with ENI as the protagonist.
No. 9 USA
Sources estimate US crude reserves differently. Some, such as the Energy Information Administration, estimate it at just under 36 billion barrels and count the reserves of condensates in the shale layers separately. Others, such as the World Population Review, count crude oil and condensates together, arriving at reserves of 68.8 billion barrels for the United States. According to EIA data, crude oil and condensates together amount to about 74 billion barrels. Yet the country is the largest producer of crude oil in the world. This means that its reserves will be the first to run out
#8 Kuwait
According to OPEC, Kuwait has about 101.5 billion barrels of proven oil reserves. The small Gulf state produces between 2.4 and 2.67 million barrels of oil per day and exports about 1.7 million bpd. The state has big plans for its oil wealth: by 2030, the Kuwait Petroleum Corporation plans to increase the country's production capacity to 4 million barrels per day. Clearly, Kuwait is not particularly concerned by forecasts that demand for oil will decline.
No. 7 United Arab Emirates
The United Arab Emirates, OPEC's third largest oil producer, holds about 111 billion barrels of crude oil and produces an average of 2.7 million a day. Of that, it exports 2.3 million barrels a day, according to OPEC data. Besides being a major oil producer and hosting some of the world's largest reserves, the UAE is also an example of an economy that is using its main export commodity to diversify from it. Thanks to its oil wealth, the UAE has turned into a magnet for luxury tourism and holds high hopes as a high-tech hub.
No. 6 Russia
According to the EIA, Russia has about 80 billion barrels of proven reserves of crude oil and, as of this month, is producing about 9.4 million barrels a day, excluding condensates. A couple of years ago, Russia was producing more than 11 million barrels a day, including condensates, but the invasion of Ukraine and the Western sanctions that followed prompted a response that resulted in a production cut . Despite this, exports of crude oil and fuel have returned to pre-war levels.
#5 Iraq
Iraq, OPEC's second largest producer, has proven reserves of about 145 billion barrels, with production of about 4.5 million barrels per day. Exports average 3.4 million barrels a day but, like Kuwait, Iraq has big plans. Baghdad's ambition is to match the output of OPEC's largest member, Saudi Arabia, but analysts say it won't be able to do so: production capacity is expected to peak at around 6.3 million barrels per day over the next five years.
#4 Iran
Iran has oil reserves of 208.6 billion barrels and produces about 2.39 million barrels per day. Of that, it exports just over 760,000 bpd, according to OPEC data. The reason for this substantial gap between reserves, production and exports is, of course, the US sanctions that the previous administration re-imposed on Iran. Despite sanctions — and failed negotiations to lift them — Iran has exported more crude, reaching 1.13 million bpd at the end of 2022 and starting this year on an upward trajectory. There are also plans to increase production in the future as well, especially for the eastern markets of China and India.
#3 Canada
Canada has 171 billion barrels of crude oil, most of which is in the form of bitumen in the tar sands: 166.3 billion of the total are tar sands, concentrated in Alberta. This is one-tenth of the world's total oil reserves. The country is the fourth largest oil producer in the world, with a daily average of more than 5 million barrels last year, a record. Interestingly, production is on the rise despite federal government efforts to reduce the industry due to its carbon footprint. But the demand for oil keeps producers pumping. A recent Ipsos poll found that Canada is also the preferred supplier of oil on a global scale.
#2 Saudi Arabia
Saudi Arabia, the world's second largest producer and OPEC's largest, has proven reserves of about 267 billion barrels. Production was just over 9 million bpd in 2021, climbed to 11.5 million bpd in 2022, only to be cut recently by half a million bpd as part of the latest round of production cuts of OPEC+. Despite tightening the reins on production, the kingdom plans to expand its production capacity from the current 12 million b/d to 13 million b/d in 2027. However, some analysts warn that Saudi Arabia is close to reaching its peak of oil production.
No. 1 Venezuela
One of the most problematic countries in the world, Venezuela is also the country with the largest oil reserves in the world, estimated at over 300 billion barrels. However, US sanctions, a now chronic economic crisis and corruption have prevented the country from making the most of its oil riches. After a period of prosperity in the 1990s and early 2000s, the first oil price crash of the new millennium crippled the Venezuelan economy. Before it had a chance to recover, the US imposed sanctions that decimated production: In 2022, the average was 600,000-700,000 bpd. Exports averaged just over 600,000 bpd. Furthermore, Venezuelan oil is acidic and dense, so it is not suitable for processing in all refineries.
This is the current situation of world oil reserves. It is a Hic et Nunc photograph, which does not take into account any technological evolutions of the extractive industry or new discoveries, for example submarines. Furthermore, not all oil is the same: one thing is "Light and sweet" oil, like that of some areas of North America, and another thing is the dense and bituminous Venezuelan oil. Finally, the difficulty of extracting Canadian bituminous oil is not comparable to that of, for example, Iraq.
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The article Which are the 10 countries in the world with the largest oil reserves? comes from Economic Scenarios .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/quali-sono-i-10-paesi-al-mondo-con-maggiori-riserve-di-petrolio/ on Sun, 30 Apr 2023 08:00:02 +0000.