Chevron Aims for 600,000 Barrels a Day in Venezuela by 2031 Amid Political and Operational Risks
Chevron (NYSE: CVX) plans to increase its oil production in Venezuela from the current rate of 280,000 barrels per day to over 600,000 barrels daily within five years. The U.S.-based energy giant is investing $7 billion into two new Orinoco Belt fields as part of a broader agreement between the United States and Venezuela that grants American companies access to 65 billion barrels of crude oil reserves. However, achieving this ambitious target by 2031 faces significant challenges. Political uncertainty remains high in Venezuela, where current President Delcy Rodriguez is seen as an ally of former leader Nicolás Maduro. Critics suggest the agreement may be a temporary arrangement meant to last only until U.S. President Donald Trump leaves office in January 2029—well before Chevron’s target date. The development timeline for these fields could also delay production goals, with industry insiders noting that such projects often take years to become fully operational. Additionally, if opposition leader María Corina Machado eventually assumes the presidency following free elections, she has criticized the agreement and may not support it.
Topics: Chevron investment risk oil production expansion Venezuela oil