Imaz (Repsol): “We are ready to invest more in Venezuela and triple production there” | Economy | EUROtoday

The CEO of Repsol, Josu Jon Imaz, has conveyed to the White House the corporate’s dedication to investing within the oil sector in Venezuela. “We are ready to invest more in Venezuela and triple production there in the next two or three years,” stated the Spanish government, on the assembly organized by the president of the United States, Donald Trump, and the highest leaders of the world’s primary oil firms to debate the function of the sector within the reconstruction of the vitality business in Venezuela after the arrest of Nicolás Maduro by the United States.

In his temporary intervention, Imaz highlighted Repsol’s double strategic dedication: on the one hand, its presence within the US market and, on the opposite, its willingness to considerably broaden its function in Venezuela. “We are a Spanish company, but we are totally committed to investing in the United States. Over the last 15 years, we have invested $21 billion in the American oil and gas industry,” Imaz started.

“We are in Venezuela, with our partners at Eni, and we produce the gas that guarantees the stability of half of the Venezuelan electrical grid. So we are committed to this stability. We have personnel, facilities and technical capabilities. We are ready to invest more in Venezuela today. We are producing 45,000 gross barrels per day, and we are ready to triple this figure in the next two or three years, investing heavily in the country,” the manager added, addressing Trump.

The Venezuelan market, with the most important crude oil reserves on the earth, presents an intriguing alternative for main oil firms, though it additionally poses monumental challenges. The vitality infrastructure of the Caribbean nation has been deteriorating for years as a result of lack of funding and administration, and the revocation of licenses and permits by the US Administration has sophisticated the operations of worldwide firms current there.

Giants within the sector reminiscent of Chevron, ExxonMobil, Shell and different key gamers additionally participated in at the moment’s assembly, and the circumstances for a return or enhance in non-public exercise in Venezuela have been explored, whose potential is gigantic, however is loaded with uncertainties. Some managers publicly expressed concern concerning the political and authorized dangers concerned in committing such massive capital with out structured ensures, in a rustic that has expropriated property previously.

Trump’s plans after Maduro’s arrest contain a revitalization of the Venezuelan oil business supported virtually solely by non-public capital. The US president has urged main oil firms to mobilize as much as $100 billion in investments, with out direct contributions of public funds, however with Washington’s dedication to supply authorized safety, political safety and help to firms coming into the nation. The goal is to get well the manufacturing of one of many largest crude oil reserves on the earth. But additionally reinforce US management over the stream and advertising and marketing of Venezuelan oil, with a direct influence on vitality costs and the stability of the worldwide market.