Chevron to Invest $7 Billion in Venezuela, Targets 600,000 Barrels Per Day
Chevron is set to invest over $7 billion in Venezuela's oil sector over the next five years. The company has secured improved terms for its joint ventures and additional drilling rights in the Orinoco Belt. However, investors are being advised to focus on Chevron’s production target of 600,000 barrels per day by 2031—more than double current output—which could significantly boost revenue if oil prices remain stable. Chevron's three joint ventures produced around 280,000 barrels daily in Q2 2026. Reaching the new target would add about 320,000 barrels per day of production. At $70 per barrel, this could generate roughly $8.2 billion annually before costs and government payments. The company also expects operating costs to stay below $20 per barrel, potentially allowing for strong profitability. Despite the potential upside, Venezuela's political instability and aging infrastructure pose significant risks. Chevron has operated in the country for over a century but will need substantial investment to maintain production growth.
Tickers: $CVX
Topics: Chevron investment oil production Venezuela