Chevron Bets $7 Billion on Venezuela Oil Expansion
Chevron will invest more than $7 billion in Venezuela over the next five years and more than double its oil production in the country to about 600,000 barrels per day, Reuters reported Wednesday. The investment follows new agreements with Venezuela that give Chevron improved fiscal, commercial and l
Source: OilPrice.com
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DW NOTE
Chevron is committing $7 billion to a country that has expropriated foreign oil assets three times in two decades and whose government currently owes the company over $2 billion in arbitration awards it has refused to pay. The investment assumes Venezuela will honor contracts this time despite oil prices that would make breaking them profitable, and a legal system that has never ruled against the state on a foreign claim.