Chevron Doubles Down on Venezuela Oil Expansion
US oil giant Chevron has confirmed it will expand its operations in Venezuela. The company has been assigned additional acreage in the Orinoco Belt, where it already has a significant presence. Chevron's joint venture plans include investing more than $7 billion over the next five years and doubling production to approximately 600,000 barrels per day.
The announcement comes after President Donald Trump announced an ambitious deal to develop Venezuela's oil reserves, giving the Pentagon a stake in the profits. Chevron has had a presence in Venezuela since 1923 and operates several joint ventures, including Petroindependencia and Petropiar, S.A.
Energy experts have questioned the legality of the agreement, citing concerns over whether Venezuela's acting President Delcy Rodríguez has the authority to grant 100-year rights to Chevron over 17 oil fields with reserves of 65 billion barrels. Trump has said that the deal will lower gasoline prices in the US and create assets for American consumers.