In recent years, the ongoing conflict between Russia and Ukraine has led to the fragility of the international energy chain, and countries have begun to seek energy diversification and reduce dependence on specific regions. And Venezuela, a country that has just lifted sanctions, has given China a new energy option. Recently, the United States decided to suspend oil and gas sanctions on Venezuela, and Western businessmen and middlemen have traveled to Venezuela to conduct energy transactions. At the same time, ChemChina reached an agreement with Venezuela to buy 1 million barrels of heavy quality at $11 per barrel. The shipment will be shipped to Sinochem Changyi Refinery in Shandong Province. As a country with abundant oil and gas resources, Venezuela's oil reserves even exceed those of Saudi Arabia and Russia, which is of great significance to China's energy diversification.
China is currently mainly dependent on oil imports from Middle Eastern countries such as Saudi Arabia, Russia, Iraq and the United Arab Emirates. In 2021, China imported a total of 512.98 million tons, accounting for nearly 70% of China's oil consumption. And Venezuela, as a country with 302.8 billion barrels of oil reserves, provides China with a new energy option. Through cooperation with Venezuela, China will be able to reduce its over-dependence on specific regions such as the Middle East, diversify its energy sources**, and enhance its national energy security.
As early as more than a decade ago, energy has become an important area of economic and trade cooperation between China and Venezuela. China and Venezuela have signed a number of cooperation agreements in the field of electric power, and have contributed to power transmission and transformation projects, improving Venezuela's industrial and rural electricity consumption. At the same time, Venezuela has also signed oil supply and marketing contracts with Chinese oil companies, providing guarantees for Chinese investment in Venezuela. China and Venezuela have a solid foundation and broad space for cooperation in energy cooperation.
In addition to oil resources, Venezuela also has abundant solar energy resources. In order to promote the development of renewable energy, Venezuela plans to build 10,000 megawatts of wind farms within 15 years, providing new opportunities for cooperation between China and Venezuela in the field of renewable energy. As one of the world's largest energy consumers, photovoltaic power generation is China's dominant industry, and the cooperation between China and Venezuela in the fields of hydropower, wind power and solar energy will promote the interconnection of energy infrastructure and achieve green and sustainable energy development.
As one of the world's largest energy demanders, China faces huge energy** and security challenges. Diversified energy sources*** can improve the country's energy security, and the energy partnership between China and Venezuela will provide strong support for China's energy security. Despite the difficult situation facing Venezuela, we still hope that they will be able to weather it and create new opportunities for the world order. China will continue to support Venezuela in its predicament, and believes that through the joint efforts of both sides, closer energy cooperation can be achieved and green and sustainable development in the energy sector can be promoted.
The energy cooperation between China and Venezuela is of great significance for China's energy security and sustainable development. Diversifying energy sources*** not only reduces dependence on specific regions, but also improves a country's energy security. Venezuela has abundant oil and solar resources, and cooperation with China will inject new impetus into the green and sustainable development of the energy sector. At the same time, China's investment also provides opportunities and guarantees for Venezuela's development. I believe that with the joint efforts of both sides, China-Venezuela energy cooperation will achieve more fruitful results and make greater contributions to the sustainable development of the energy sector between the two sides and the world.