Venezuela has reached fresh agreements with foreign energy companies, including firms from the United States and Italy, aimed at ramping up crude oil extraction across the country. According to reports, American oil giant Chevron is preparing to invest roughly $7 billion (about 7,000 million dollars) to double its production in Venezuela, one of the largest single investment commitments in the country’s oil sector in recent years.
The move comes as Venezuela seeks to revive an industry that once made it a dominant global oil exporter but has since suffered years of decline. That downturn has been driven by a combination of US sanctions, chronic underinvestment, aging infrastructure, and a broader economic crisis that has crippled state oil company PDVSA’s ability to maintain output.
Chevron has managed to keep a foothold in Venezuela even amid sanctions, operating under special licenses granted by Washington that allow limited activity despite the broader restrictions imposed on the Venezuelan government. The new deal suggests an expansion of that role, signaling renewed confidence—at least from Chevron and Italian partners—in the country’s long-term oil potential.
Venezuela holds the world’s largest proven oil reserves, but geopolitical tensions and years of mismanagement have kept it from capitalizing on that wealth. Whether these new agreements mark a genuine turning point for the sector remains to be seen.
For more details, read the original report at jornada.com.mx.
Source: Venezuela pacta extracción de petróleo con firmas de EU e Italia (jornada.com.mx). English version produced with AI assistance.
Image: Kevstan.