Venezuela expects to attract nearly $76 billion in oil investment over the next five years, acting President Delcy Rodriguez said. The deals include a bilateral agreement with the U.S. The country holds the world's largest proven reserves but produces significantly less than a decade ago.
Venezuela expects nearly $76 billion in oil investment over the next five years under new agreements, acting President Delcy Rodriguez said Saturday. Speaking on national television, she said the commitments include a bilateral agreement with the U.S. covering 17 oil fields and plans to deploy 250 drilling rigs.
A package of 61 deals
The U.S. agreement is part of a broader package of 61 deals aimed at reviving the energy industry and expanding crude production. According to Investing.com, Rodriguez said: "Major investments are coming." She added that the expected spending would benefit both Venezuela and its international partners.
The announcement comes as Venezuela seeks to reopen its energy sector to foreign investment after the removal of President Nicolas Maduro in January. President Donald Trump's administration has backed the country's efforts to attract international energy companies.
Venezuela produces significantly less oil than a decade ago
Venezuela holds the world's largest proven reserves of crude oil, yet it continues to produce significantly less than it did a decade ago. Years of underinvestment, operational difficulties at state-owned PDVSA and U.S. sanctions have constrained production capacity.
Rodriguez also pointed to a recovery in the western state of Zulia. Production there rose from 70,000 barrels per day to 370,000 barrels per day, she said, although she did not specify the period. The government expects Zulia's output to reach 400,000 barrels per day by the end of 2026.
Spending depends on implementation of the agreements
The planned investments could support efforts to restore ageing oil infrastructure, expand drilling activity and increase production capacity. However, the scale of the spending will depend on how the agreements are implemented and on whether the country can sustain foreign investment.
A sustained recovery in Venezuelan output could eventually increase global supplies of crude oil as the country rebuilds its energy industry.
Source: Investing.com
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