Venezuela Suspend's Oil Sales to Exxon Mobile

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Throughout the 1960s and 1970s, the Venezuelan oil boom brought livlihood to Venezuela and the surrounding region. Today, Venezuela, an OPEC member, still relies heavily on its ability to export oil to the rest of the world. Venezuela is currently the fourth leading source of United States oil imports.

Late last week, Venezuelan President Hugo Chavez cut off his nation's oil sales to Exxon Mobile, an American based oil and gas corporation. The announcement follows a recent dispute over the attempted Venezuelan nationalization of Exxon's oil assets in the country. Historically positive Venezuelan-US relations have been strained since Chavez's election in 2000. Chavez has often threatened to cut off all Venezuelan oil exports to the United States altogether. If carried through, this act would severely strain the economies of both nations. As United States President Barack Obama considers future United States foreign policy with Venezuela, the continued availability of United Sates oil resources will undoubtedly remain an important factor.

-Daniel Uden 2-16-2009