Trump’s $100bn Venezuela Oil Push Meets Industry Resistance

Venezuela Oil: US President Donald Trump has called on American oil companies to invest at least $100 billion (£75bn) in Venezuela’s oil sector, but the proposal received a cautious response from industry leaders, with one executive describing the country as currently “uninvestable.”

Executives from major US oil firms met Trump at the White House, acknowledging that Venezuela’s vast oil reserves present long-term potential.

However, they stressed that major political, legal, and security reforms would be required before any large-scale investment could take place. No immediate financial commitments were announced.

Trump has argued that unlocking Venezuela’s oil resources would help drive down global energy prices, following a January 3 US military operation that resulted in the capture of Venezuelan leader Nicolás Maduro.

“One of the things the United States gets out of this will be even lower energy prices,” Trump said during the meeting.

Oil executives, however, urged caution. ExxonMobil CEO Darren Woods noted that his company had twice had its assets seized in Venezuela, making any return highly risky without substantial guarantees.

“Today it’s uninvestable,” Woods said.

Venezuela’s relationship with foreign oil companies has long been strained, marked by nationalisations, mismanagement, and years of underinvestment. Chevron remains the only major US oil firm still operating in the country, while companies such as Spain’s Repsol and Italy’s Eni continue limited operations.

Venezuela Oil

Trump said his administration would control which companies are allowed to operate, insisting firms deal directly with the US rather than Venezuelan authorities. The White House has indicated it may selectively ease sanctions on Venezuelan oil sales while maintaining leverage over the country’s interim leadership, now headed by Vice-President Delcy Rodríguez.

US officials have also seized several oil tankers carrying sanctioned crude and plan to channel future oil revenues into US-controlled accounts.

Venezuela’s oil production has fallen sharply in recent decades and currently stands at about one million barrels per day, accounting for less than 1% of global supply. Chevron, which produces roughly one-fifth of that output, says it plans to expand production, while Exxon intends to send a technical assessment team in the coming weeks.

Repsol said it could potentially triple its output under the right conditions, while smaller firms expressed readiness to enter the market. However, analysts warn that meaningful production growth would require sustained investment, legal certainty, and political stability.

Energy analyst David Goldwyn said major firms were being supportive in words but unwilling to commit large sums.

“The conditions are just not right,” he said, adding that smaller investments of around $50 million were more realistic in the short term.

Expert’s Opinion

According to Rystad Energy, Venezuela would need $8–9 billion annually in new investment to triple production by 2040. While Trump’s proposed $100bn could transform output if realised, analysts say such commitments are unlikely without subsidies and long-term stability.

For now, experts caution that Venezuela’s oil revival and any impact on global energy prices remain uncertain.

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