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Spanish energy group Repsol said on Thursday it has reached an agreement with the Venezuelan government to regain control of its oil business in the country and sharply increase production over the coming years.<\/p>\n
Repsol\u2019s operations in Venezuela have been sharply limited since 2025 after Washington unilaterally revoked its operating license, a move that also affected other foreign companies in the country.<\/p>\n
The deal will allow Repsol to resume operational control of its Petroquiriquire joint venture created to develop and operate oil fields in eastern Venezuela, the company said in a statement.<\/p>\n
Repsol said it is prepared to increase gross oil production in the country \u2014 which currently averages some 45,000 barrels daily \u2014 \u00a0by 50 per cent within 12 months and potentially triple output within three years, provided \u201cnecessary conditions\u201d are met.<\/p>\n
\u201cThis agreement underscores Repsol\u2019s commitment to Venezuela, where we have operated continuously since 1993,\u201d the company\u2019s head of exploration and production, Francisco Gea, said in a statement.<\/p>\n
\u201cWe have the assets and the technical, operational, and human capabilities on the ground to increase our production in the country.\u201d<\/p>\n
The deal was signed between Repsol, Venezuela\u2019s hydrocarbon ministry, and Venezuela\u2019s state oil and gas firm PDVSA, which owns 60 percent of the Petroquiriquire joint venture.<\/p>\n
A new bonanza from Venezuela\u2019s vast oil reserves has been touted after the United States captured its socialist strongman, Nicolas Maduro, in January in a lightning military operation in Caracas.<\/p>\n
The new authorities, led by interim president Delcy Rodriguez, have cooperated with US President Donald Trump\u2019s administration and introduced reforms to liberalise the sector.<\/p>\n
The United States has eased a seven-year-old oil embargo on Venezuela and issued licenses allowing a handful of multinationals, including Repsol, to operate in the country under certain conditions.<\/p>\n
US oil giant Chevron and the government of Venezuela signed two deals on Monday that will expand oil production in the country.<\/p>\n
The possibility of increased Venezuelan oil output comes as global markets face disruptions to Middle East oil supplies from the conflict in Iran, which has driven up oil prices.<\/p>\n
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