IMPACT OF US ACTIONS IN VENEZUELA ON NORTH AMERICAN OIL PRODUCERS REMAINS LIMITED: FITCH

ISTANBUL, Jan 7  (Bernama-Anadolu) --  Fitch Ratings reported Tuesday that the US actions in Venezuela have had a limited impact on North American oil producers, Anadolu Ajansi reported.

"Recent US involvement in Venezuela could ultimately support oil production growth in the country and benefit US exploration and production (E&P) companies should they result in policy shifts that enable increased foreign participation in the sector," the international credit rating agency said in a statement.

However, meaningful gains would likely require major investment and time, and investment incentives remain limited in a currently oversupplied global market, it said.

The statement indicated that the US actions in Venezuela have had a limited impact on North American oil producers, noting that Canadian crude oil exports could face price pressure in a low-probability scenario, such as a rapid increase in Venezuelan crude oil supply, but that this would have a limited impact on credit ratings due to the significant resilience Canadian producers possess.

The statement emphasised that American refineries, particularly those with a high level of complexity, would likely benefit from this situation, suggesting that the US intervention in Venezuela could increase future production capacity by providing companies with access to the country's vast reserves and opportunities to invest in infrastructure reconstruction.

It added that this could, in the long term, reduce raw material costs and improve refineries' profit margins.

-- BERNAMA-ANADOLU