Exxon Mobil Corp. is actively reviewing potential investment opportunities in Venezuela after Caracas modified its energy regulations and contract terms, CEO Darren Woods said on a conference call with analysts on Friday. Woods described the country as "a huge resource that's now opened up more freely to the world" and said he felt "positive about what's happening, the opportunity there."
The remarks represent a notable change from earlier this year when Woods told President Donald Trump in a White House meeting that Venezuela's oil sector was "uninvestable." At the time, Trump characterized Exxon as "too cute."
Venezuela altered its energy rules and contractual framework to attract foreign firms after, according to the statements cited, the Trump administration captured former leader Nicolas Maduro in January and took control of the country's crude exports. Exxon has historical ties to Venezuela but also a record of having its operations nationalized twice - first in the 1970s and again under President Hugo Chavez in the mid-2000s. In recent weeks, Exxon sent a team to Venezuela to evaluate the changed conditions.
Woods said the revised regulatory environment could yield "attractive investment opportunities," emphasizing Exxon's experience in producing heavy oil, which comprises the bulk of Venezuela's reserves. "More work to do but I think we'll be uniquely positioned and play an important role in bringing those barrels to market," he added.
The company’s interest comes amid broader industry developments in Venezuela. The country holds the world's largest oil reserves, and its crude is valued by US Gulf Coast refineries. Chevron Corp., the biggest foreign operator in Venezuela, currently produces about 250,000 barrels per day there. Chevron CEO Mike Wirth said Friday that Venezuela owed his company about $1.5 billion as of the end of 2025. Wirth added that with higher oil prices, that debt should be fully paid off by 2027, at which point Chevron would consider further investment in the country. "I think in any scenario, we remain the advantaged incumbent," Wirth said.
Exxon's outreach and on-the-ground assessment signal a methodical approach to determining whether the new contracts and regulations materially improve the investment case for heavy-oil development. Woods framed the opportunity in operational terms tied to Exxon's heavy-oil expertise and the potential to move Venezuelan barrels to market, while also noting that additional evaluation remains necessary.
The discussion around Venezuela also touches on commercial and logistical considerations for refiners along the US Gulf Coast that value Venezuelan crude. At the same time, the history of nationalization and recent political developments in Venezuela are part of the operating context companies are weighing as they decide whether to commit capital or expand operations in the country.
Who is affected:
- International oil companies assessing upstream investment opportunities.
- US Gulf Coast refiners that process heavy Venezuelan crude.
- Markets monitoring potential shifts in crude supply and contractual risk.