Venezuela’s Oil Revival Accelerates as U.S. Majors Push Trump’s New Energy Order

Since the ousting of Venezuela's former leader Nicolás Maduro on January 3rd, U.S. oil companies have been aggressively working to boost the country's oil output, in alignment with President Donald Trump's energy strategy outlined in the 2025 National Security Strategy. Venezuela possesses the world's largest crude reserves, about 303 billion barrels (17% of global total), primarily extra-heavy crude from the Orinoco Belt that is cheaper to extract but requires advanced technology for handling.

Currently, Chevron, a major U.S. oil producer, has boosted its output in Venezuela from 40,000 barrels per day (bpd) to 250,000 bpd over the last few years, and production has risen by 12% year-on-year to 280,000 bpd over the past six months. This surge in production was facilitated by an asset-swap agreement with Venezuela's state oil company PDVSA, which increased Chevron's stake in the Petroindependencia joint venture to 49%.

Looking ahead, Chevron anticipates a 50% increase in production by the end of 2028, reaching an estimated 420,000 bpd. Apart from Chevron, Spain's Repsol aims to triple its oil production in Venezuela within the next few years, already holding 40% of the Petroquiriquire Occidente joint venture and producing 45,000 bpd. Repsol is also developing the Horcón Area, combining existing fields with new light crude reserves.

Other oil giants, such as BP and Italy's Eni, are also actively involved in Venezuela's oil sector. BP has set up a permanent office in Caracas, appointed a country manager, and secured a license to explore and develop Phase 2 of the offshore Loran gas field. BP's Loran Phase 2 block contains an estimated 4 trillion cubic feet (Tcf) of recoverable natural gas, which will be piped to Trinidad via a liquefaction facility before being shipped to global markets.