Venezuelan state oil firm Pdvsa in the middle of the yea had to instruct newly created Pdvsa Services to procure oilrigs abroad, as the holding had only 112 operational oilrigs to meet an estimated production of 3.6 million bpd, which led the firm to declare a state of operational emergency.

Pdvsa restored operations of a number of oilrigs that were undergoing major maintenance for some two years. Further, Pdvsa purchased 14 units in two recent bidding processes. Therefore, the number of operational oilrigs climbed to 139. In addition, two Chinese oilrigs arrived in the country last week.

With 29 oilrigs above the number in 2006, Pdvsa board expects to increase production in 2008, so as to offset three consecutive of stagnant output following a rebound after an oil strike in 2002-2003.

But by the end of the year, Pdvsa should have 191 operational oilrigs to take production to 3.7 million bpd. This means a deficit of 50 oilrigs and at least 500,000 bpd below the best-case scenario of oil output considered by Pdvsa.