Chevron Set to Expand Operations in Venezuela Amid Trump-Backed Oil Deal
Oil giant Chevron is set to expand its operations in Venezuela, according to a US official. This move comes just days after President Donald Trump announced an ambitious deal to develop Venezuela's oil reserves and give the Pentagon a stake in the profits.
The company's officials and Energy Secretary Chris Wright are expected to visit Venezuela on Wednesday where the new investment will be formally unveiled. Chevron is the second-largest US oil company and has a major presence in Venezuela.
The announcement follows the White House confirming that it is partnering with North American Blue Energy Partners (NABEP) as part of President Trump's push to tap into Venezuela's oil industry. This deal would create a new company where the Pentagon would take a 35% ownership stake, and the State Department would have the right to buy 20% of the oil produced at cost.
Analysts have questioned whether Venezuela's acting President Delcy Rodríguez has the legal authority to give NABEP 100-year rights over 17 oil fields with reserves of 65 billion barrels. They also worry that future Venezuelan or American administrations may overturn the agreement, which is set to face legal challenges and potentially questions of legitimacy.