Chevron Expands Operations in Venezuela with $7 Billion Investment
US oil giant Chevron has confirmed it will expand its operations in Venezuela. The company will invest more than $7 billion over the next five years, nearly doubling production to approximately 600,000 barrels per day.
Chevron's CEO Mike Wirth stated that the expanded position reflects the company's confidence in Venezuela's deep resource potential and ability to compete for investment within its portfolio. The US government has been pushing for American companies to restore a presence in Venezuela, which holds the world's largest proven oil reserves.
Trump has said that the agreement with Venezuela would 'substantially lower' gasoline prices in the US, but experts have warned that Venezuela's dilapidated oil infrastructure will require years of restoration work and tens of billions of dollars to resuscitate.