BAKU, Azerbaijan, September 2. Chevron Corporation has reached agreements with Venezuela establishing updated terms for its joint ventures, paving the way for additional investment, project development and higher oil production in the country.
Chevron said the agreements provide the company’s joint ventures with enhanced fiscal, commercial and legal terms designed to support long-term investment. They also expand the company’s operating footprint in Venezuela’s Orinoco Oil Belt through the allocation of additional acreage.
Under the new framework, Chevron and its partners plan to invest more than $7 billion over the next five years, with production expected to more than double to approximately 600,000 barrels per day, compared with 2026 levels.
Chevron said the projects have total costs of less than $20 per barrel, while Venezuela’s large resource base provides the company with significant potential for further oil production growth.
As part of the agreements, Petroindependencia, S.A., in which a Chevron subsidiary holds a 49% interest, has been granted rights to develop the adjacent Carabobo-1 and Carabobo-2-South-A areas in the Orinoco Belt.
The new greenfield areas will expand the joint venture’s existing operations, which focus on the production of extra-heavy crude.
The move follows an agreement reached in April under which Chevron increased its working interest in Petroindependencia to 49% and obtained rights to develop the adjacent Ayacucho 8 area near its Petropiar, S.A. joint venture.
Chevron said production across its three Venezuelan joint ventures has increased by 15% year-to-date.
“Chevron’s history in Venezuela spans more than a century, and our expanded position reflects our confidence in the country’s deep resource potential and its ability to compete for investment within our portfolio for decades,” Chevron Chairman and CEO Mike Wirth said.
“With improved terms and additional acreage, we are strengthening a portfolio that we believe can deliver attractive low-cost oil growth, support energy supply and create differentiated long-term value,” he added.
Chevron has operated in Venezuela since 1923. Its Petroindependencia and Petropiar joint ventures operate extra-heavy oil projects in the Orinoco Oil Belt, while Petroboscan operates in western Venezuela’s Zulia state.
Venezuela remains one of the world’s major oil-resource holders and a significant OPEC producer, but its actual production is far below its historical levels. OPEC’s latest statistical data put Venezuela’s proven crude oil reserves at about 303 billion barrels, the largest among OPEC members. Average crude production was around 921,000 barrels per day in 2024, according to OPEC.
Production subsequently increased during 2025. According to OPEC’s direct-communication data, Venezuelan crude output reached 1.069 million barrels per day in June 2025, compared with 982,000 bpd in the first quarter and 933,000 bpd in the fourth quarter of 2024.
The increase reflects efforts to restore production capacity and develop Venezuela’s heavy-oil resources. The country’s oil industry remains centered on PDVSA, while foreign companies have participated through joint ventures and other arrangements. Venezuela’s crude is predominantly heavy and extra-heavy, meaning production and refining require specialized infrastructure and technology.
Venezuela’s refining sector also remains strategically important but faces significant infrastructure and operational constraints. OPEC reported that the country had around 1.3 million barrels per day of installed refining capacity in 2024, while actual refinery throughput was considerably lower.
The Venezuelan oil sector remains closely connected to the international sanctions and licensing environment. Changes in the ability of foreign companies to operate in Venezuela can have a direct impact on production, investment, exports and access to technology.
