Venezuela's legislature prepares to debate sweeping oil reforms that would break the state's decades-long monopoly. The proposed changes would allow foreign drillers to directly produce and export crude from the country's massive reserves, marking a dramatic policy shift.

The move signals President Maduro's administration is seeking new revenue streams amid crippling economic sanctions. Venezuela holds the world's largest proven oil reserves, yet production has collapsed to roughly 700,000 barrels per day from over 3 million in the early 2000s.

International oil companies could gain access to untapped fields if reforms pass. However, US sanctions targeting Venezuela's energy sector may limit which firms can participate. Analysts question whether foreign investment will materialize without clear legal protections.

What happens next depends on legislative approval and potential sanction relief. The proposal faces political resistance domestically. Investors are watching whether this represents genuine policy reform or merely symbolic gesture.