Chevron and Eni Commit to Expanding Oil Projects in Venezuela
International energy firms are committing to expand oil projects in Venezuela as part of a broader effort to revive the country's struggling oil industry. Chevron and Eni have agreed to invest billions of dollars in Venezuela, with Chevron planning to double its output in the country over the next five years. The deals were announced at a signing ceremony in Caracas, which was attended by interim President Delcy Rodriguez and US Energy Secretary Chris Wright.
Eni will expand its operations to the Junin 5 heavy oil area in the Orinoco Belt, where it plans to invest $1.5 billion. The company's current joint venture with PDVSA will transition into a 25-year production-sharing contract. Chevron, on the other hand, plans to invest more than $7 billion to double its output in Venezuela.
The signing ceremony was part of a broader effort by private companies with a longstanding presence in Venezuela to help the country revive its oil industry. The US and Venezuela are also working to lift sanctions on Venezuela, which officials say will lead to increased investment and production.