US Oil Firm Says It Can Rapidly Expand Venezuela Operations If Conditions Permit

Deep News01-24 05:10

An oil refinery in Venezuela (file photo). U.S. oilfield services company SLB (formerly Schlumberger) stated on January 23 local time that it could rapidly expand its business activities in Venezuela, provided it obtains the necessary permits and meets safety and compliance requirements. It is reported that SLB recently met with White House officials to discuss potential investment opportunities in Venezuela. SLB is currently the only major international oil services company still conducting physical operations in the country, providing services to Chevron within its licensing framework. Chevron is also currently the only major U.S. oil company producing crude oil in Venezuela. Concurrently, competitor Halliburton Company also indicated that it would seek to re-enter the Venezuelan market once commercial and legal conditions become clear and payment certainty is resolved. The company stated that the relevant licensing mechanisms are expected to be gradually established and that it has already begun recruiting engineers and technical personnel for positions in Venezuela. SLB noted that over a decade ago, its peak annual revenue in Venezuela exceeded $1 billion, with local staff once numbering over 3,000 people, and it still maintains a base of facilities, equipment, and personnel. Analysts believe that if Venezuela's energy sector reopens to foreign investment, SLB and Halliburton would be the oil service companies most likely to benefit.

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