Woods indicated ExxonMobil is open to deploying a technical team to Venezuela for assessment, contingent upon formal invitations from Venezuela and security assurances. This cautious approach contrasts with the optimism shown by other firms like Chevron, which remains active in Venezuela and plans to increase production by 50% in the next two years. ConocoPhillips also signaled the necessity of restructuring Venezuela’s state oil company, PDVSA, as a precondition for reengagement. European operators such as Spain’s Repsol and Italy’s Eni expressed commitments to expand production linked to offshore gas projects.
President Trump has pressed oil majors to spearhead investments aiming to rebuild Venezuela’s deteriorated oil infrastructure to reintegrate Venezuela’s substantial reserves—estimated at 303 billion barrels—into the global market. Trump pledged US oversight on contracts and investor security, explicitly criticizing previous regimes for the lack of protection. Despite governmental assurances, industry leaders remain wary of long-term commitments given Venezuela’s political volatility, confiscation history, and the enormous capital requirements to rehabilitate production, which currently stands below one million barrels per day, representing less than 1% of global output. This dynamic suggests that while a strategic reopening of Venezuelan oil resources remains a priority for US energy and foreign policy, practical steps toward revitalization face complex structural and bilateral challenges ahead.
This article was curated and published as part of our South American energy market coverage.
