Chevron, Eni commit to expand oil projects in Venezuela under US eye

Chevron of the United States and Italy's Eni are among foreign energy producers that have pledged major expansions to raise oil output in Venezuela, according to Business Recorder. The commitments were signed on Wednesday in Caracas, with interim leader Delcy Rodriguez and US Energy Secretary Chris Wright present. Most of the agreements relate to projects already under negotiation with the oil ministry and PDVSA, as contracts move to new terms under a reform approved in January.

Eni intends to enter Junin 5, a sizeable heavy crude zone of the Orinoco Belt, with $1.5 billion earmarked, industry sources have said. The arrangement converts its existing partnership with PDVSA into a production sharing deal running 25 years, the company stated. Junin 5 currently produces approximately 12,000 bpd, and Eni has set a goal of 400,000 bpd across all its oil projects by the decade's end.

Chevron has earmarked more than $7 billion, aiming for about 600,000 bpd of output within five years through joint ventures with PDVSA. GE Vernova also signed a power sector agreement, which Rodriguez highlighted given the nation's electricity shortfall. Separately, a controversial Caracas-Washington deal opens 17 oilfields to US access, and it sits outside Wednesday's signings.