Venezuela is considering leaving OPEC, making it the second nation in a matter of months to weigh an exit from the organization, according to Bloomberg.
Venezuela is one of OPEC's founding members, which makes the development particularly significant for the group's long-term standing. The country's possible departure adds to a pattern of fractures that have been building inside the cartel as its decades-long hold over global oil markets continues to weaken.
Bloomberg reported that OPEC's future is darkening as the defections and potential departures mount. The organization has faced repeated internal disputes in recent years over production levels, quota compliance, and the growing influence of non-OPEC producers, particularly in the United States.
Venezuela's oil industry has been severely damaged by years of economic collapse, U.S. sanctions, and mismanagement. The country's production capacity is a fraction of what it once was, and its ability to influence global oil prices through OPEC membership has diminished accordingly.
No timeline was given for when Venezuela might make a final decision about its membership. The development nonetheless adds to broader questions about what role OPEC will play as the global energy landscape continues to shift.
