Trump to meet with oil executives at White House. What we know about U.S. plans for Venezuela

Core Insights - The U.S. government is engaging with oil executives to discuss investment plans in Venezuela following the ousting of President Nicolas Maduro, with significant interest from major oil companies like Exxon, ConocoPhillips, Shell, and Chevron [1][2] Oil Industry Context - Venezuela holds the largest proven crude oil reserves globally, totaling 303 billion barrels, which accounts for approximately 17% of the world's total [3] - The country's oil production has drastically declined from a peak of about 3.5 million barrels per day in the 1990s to around 800,000 barrels per day currently [3] Investment Requirements - Returning Venezuelan oil production to historic levels is estimated to cost tens of billions of dollars, with Rystad Energy projecting over $180 billion needed by 2040 to reach 3 million barrels per day [4] - The Trump administration has not provided detailed plans on how to incentivize oil companies to invest in Venezuela, a country with a history of nationalizing industry assets [5] Current Operations - Chevron is the only U.S. oil company currently operating in Venezuela through a joint venture with state oil company Petróleos de Venezuela (PDVSA) [5] - The U.S. government is working closely with Chevron to explore ways to enhance their operations in Venezuela [6] Challenges for Major Companies - Exxon and ConocoPhillips are hesitant to return to Venezuela without reassurances, as they exited the country after asset seizures in 2007 and have outstanding claims against the government [7][8] - The Trump administration is focused on stabilizing Venezuela's economy through oil sales rather than prioritizing the repayment of debts owed to Exxon and Conoco [8] Market Dynamics - There is skepticism about whether major oil companies will return to Venezuela without significant changes in the government [9] - Independent oil companies and individuals are showing strong interest in entering the Venezuelan market [10] U.S. Control of Oil Exports - The U.S. has taken control of Venezuela's oil exports to exert pressure on the Caracas government, with plans to sell tens of millions of barrels and hold proceeds in U.S.-controlled accounts [10][11] - The revenue from these oil sales is intended to benefit Venezuela and will be used to purchase U.S.-made products, including agricultural goods and medical supplies [12]