LONDON — Venezuela’s oil industry would “make a lot of money” with United States support, President Donald Trump said at a press conference on Saturday (3) to confirm the capture of the country’s president, Nicolás Maduro, who faces federal drug and weapons charges.
“We’re going to get our big oil companies in the United States, the biggest in the world, to come in, spend billions of dollars, fix the badly damaged infrastructure, the oil infrastructure, and start making money for the country,” Trump said.
He said the country’s oil industry was “a total failure” for a long time, adding: “They were pumping next to nothing compared to what they could have been pumping.”
Continues after advertising
Trump appears to be betting heavily on US intervention in the oil industry to help transform Venezuela, a proposal that could prove complicated and expensive.
How much oil does Venezuela produce?
Venezuela claims to have more than 300 billion barrels underground, the largest oil reserves of any country. But it struggles to produce about 1 million barrels a day, or about 1% of global production.
What is the state of the oil industry in Venezuela?
The industry has seen some recovery in recent years, but production is far below the more than 2 million barrels per day that Venezuela produced in the early 2010s.
The state oil company, known as PDVSA, lacks the capital and expertise to increase production. The country’s oil fields are degraded and suffer from “years of insufficient drilling, deteriorating infrastructure, frequent power outages and equipment theft,” according to a recent study by Energy Aspects, a research firm. The United States has imposed sanctions on Venezuelan oil, which is now mainly exported to China.
What is Chevron’s role in the country’s oil production?
Chevron is the main Western company still operating in the country and produces about a quarter of Venezuela’s oil. At the beginning of this century, when other companies were forced to leave, Chevron remained, believing that conditions could eventually improve.
About half of Chevron’s production is exported to the United States.
Continues after advertising
On Saturday, Chevron said it is trying to ensure the safety of its employees and operations in the country following the arrest and removal of Maduro and his wife, Cilia Flores, in the US military action.
The Houston-based oil giant has operated in Venezuela since 1923 and maintains five onshore and offshore production projects in the country. “With more than a century in Venezuela, we support a peaceful and legal transition that promotes stability and economic recovery,” said Kevin Slagle, a Chevron spokesman. “We stand ready to work constructively with the U.S. government during this period, leveraging our experience and presence to strengthen U.S. energy security.”
What would American control over the country’s oil production mean?
In theory, if US oil companies were given carte blanche in Venezuela, they could help gradually turn the industry around. “But it won’t be a simple proposal,” said Richard Bronze, head of geopolitics at Energy Aspects.
Continues after advertising
Analysts say increasing Venezuelan production will not be cheap. Energy Aspects estimated that adding another half-million barrels per day would cost $10 billion and take about two years.
Larger increases could require “tens of billions over several years,” the company said.
c.2026 The New York Times Company
