ExxonMobil CEO Sets Conditions Before Committing to a Venezuela Project

Before putting money into Venezuela, ExxonMobil wants the country’s fiscal rules substantially changed and investor safeguards strengthened, CEO Darren Woods said Oct. 30.

Woods said work on those rules and safeguards is underway, but “there’s a way to go.” Exxon wants confidence that a project can be sustained and meet its portfolio return requirements before committing capital.

He described the business hurdles as cost competitiveness, sufficient scale and access to technical and operational expertise, which few companies can provide. He urged listeners to “take what's reported in the press with respect to Venezuela and ourselves with a little pinch of salt.”

Exxon could eventually have a role in Venezuela, Woods said, but he made no investment commitment and gave no timetable.

Chevron's previously announced Venezuela plan offers a separate point of comparison. Under its Sept. 2 plan, Chevron’s Venezuelan ventures would invest more than $7 billion over five years and aim for roughly 600,000 barrels a day, over twice their 2026 output. The Sept. 2 agreements also added acreage in the Orinoco Belt and updated fiscal, commercial and legal terms.