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Desperate Venezuela

Oil output is falling and the state company is struggling to pull itself out of a dangerous tailspin

Venezuela, Opec's worst performer in 2016 when output losses will have amounted to as much as 300,000 barrels a day, ended the year facing simultaneous economic, financial, social and political crises. In 2017 it is unlikely to escape them. Production declines will persist. State company PDVSA has restructured some of its debt, but its cash position - and Venezuela's - remains desperate. Despite recession - the economy will have contracted by about 10% in 2016 and about 5% again in 2017 - and the decline in domestic oil demand, exports between January and October 2016 were down by about 200,000 b/d. At 2016 prices, every 100,000 b/d drop equated to $1.5bn less in annual export income. Unable

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