Chevron Doubles Down on Venezuelan Oil Reserves
US oil giant Chevron is expanding its operations in Venezuela after being assigned additional acreage in the Orinoco Belt. The company, which has a major presence in the country since 1923, will invest over $7 billion over five years to more than double production to approximately 600,000 barrels per day by 2026.
Chevron's expansion comes just days after President Donald Trump announced an ambitious deal with Venezuela to develop its oil reserves. The agreement includes giving the Pentagon a stake in the profits and has been met with skepticism from analysts who say it will take years to revive Venezuela's production, which is in disarray after years of neglect.
Energy experts have questioned whether Venezuela's acting President Delcy Rodríguez has the legal authority to give Chevron 100-year rights over 17 oil fields with reserves of 65 billion barrels. Trump has been pressing for U.S. businesses to restore a presence in the country, and suggested that other oil companies are readying for business in Venezuela.