Sep. 12 at 2:04 AM
Chevron plans to finance its
$7 billion expansion in Venezuela entirely through cash generated by its existing operations in the country, rather than using external capital. CEO Mike Wirth said the company’s three Venezuelan joint ventures will fund plans to more than double production to over 600,000 barrels per day within five years, with growth limited to the cash those operations can generate.
The decision reflects Chevron’s cautious approach to investing in Venezuela, where the oil industry was nationalized and political and regulatory risks remain significant. Chevron was the only major U.S. oil company to remain in the country after Hugo Chávez came to power, while ExxonMobil and ConocoPhillips exited.
Wirth said Chevron could consider committing corporate capital if conditions improve, but emphasized that elections and broader political stability will be critical. He said the company needs evidence that Venezuela has become a more attractive investment environment.
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