Chevron to Expand Operations in Venezuela Amid Larger US Oil Deal

Oil giant Chevron is set to announce its plans to expand operations in Venezuela, according to a US official. This move comes just days after President Donald Trump announced an ambitious deal to develop the nation's oil reserves and give the Pentagon a stake in the profits.

The new investment will be formally unveiled during a visit by Chevron officials and Energy Secretary Chris Wright to Venezuela on Wednesday. Chevron is the second-largest US oil company and the only one with a major presence in Venezuela.

The deal was negotiated between the White House and North American Blue Energy Partners (NABEP), which is owned by Venezuelan businessman Alejandro Betancourt. NABEP has been given 100-year rights over 17 oil fields with reserves of 65 billion barrels, and the Pentagon will take a 35% ownership stake in the new company.

The US administration defended its decision to partner with Betancourt, who has faced criminal investigations for alleged money laundering in Spain and Switzerland. However, the official said that Betancourt was vetted and no US laws were violated.