Chevron's Venezuela Bet: A High-Risk Gamble on Oil Production

Chevron is planning to spend $7 billion in Venezuela over the next five years to boost its daily oil production from 280,000 barrels to 600,000 barrels by 2031.

The company's decision to increase its presence in Venezuela comes after a long history of involvement in the country that dates back over a century. Chevron is well-positioned to reap rewards if the Venezuelan oil market opens up for Western oil majors.

A recent agreement between the US and Venezuela has given the US control of 65 billion barrels of Venezuelan crude, with Chevron expanding into two more Orinoco Belt fields.

However, critics argue that President Delcy Rodriguez is simply playing ball with the White House to wait out Trump's time in office. Some oil industry insiders also warn that developing the Venezuelan fields could take years, making it uncertain if Chevron will meet its 2031 target.