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Equinor Won't Return To Venezuela, Undercutting Fast Plans To Revive Oil Output
(MENAFN- The Rio Times) Key Points
Equinor's CEO says a Venezuela comeback is not on the table, despite Washington's push to raise output.
Venezuela's heavy crude and damaged infrastructure make quick production gains unlikely without massive, sustained investment.
The debate matters for U.S. refiners and global supply expectations, but timelines look longer than politics suggests.
Equinor, Norway's state-backed energy major, says it does not plan to return to Venezuela, a clear warning that restoring the country's oil industry will be a long, capital-intensive grind rather than a quick political win.
Speaking on January 7, 2026, CEO Anders Opedal said a comeback is“not on the table” and that the company exited to reallocate capital.
The statement lands as the White House prepares talks with oil executives later this week on ways to revive Venezuela's battered petroleum sector, part of President Donald Trump's broader effort to lift crude production after the removal of Nicolás Maduro.
Equinor is not a stranger to Venezuelan oil. It entered the country in the mid-1990s and operated for roughly 25 years, investing billions onshore and offshore before pulling back.
The clearest line under that chapter came in July 2021, when Equinor completed the sale of its 9.67% stake in Petrocedeño, a key Orinoco Belt heavy-oil upgrader project, to PDVSA's affiliate.
Venezuela oil constrained by execution
TotalEnergies transferred its own minority interest at the same time, leaving PDVSA in full control. The message from Equinor is that the core obstacle is not geology but execution.
Venezuela holds the world's largest proven oil reserves, often cited near 300 billion barrels, yet production has collapsed from above 3 million barrels per day decades ago to roughly around or under 1 million barrels per day in recent years, depending on the month and estimate.
Heavy crude requires specialized infrastructure, steady power, functioning pipelines, storage, and constant maintenance. Reporting on the sector describes degraded facilities and operational bottlenecks that cannot be reversed quickly.
Independent estimates put the price tag in stark terms: about $53 billion over 15 years just to sustain near current output, and potentially $100 billion or more for a meaningful expansion.
That is why analyst skepticism has grown around claims that Venezuela can deliver major gains in under 18 months. For the United States, the stakes are practical.
Some Gulf Coast refineries are built to process heavy crude, and Venezuela once fed that system. For markets, the bigger takeaway is timing: even with political momentum, barrels only arrive when investment, equipment, and competent operations follow.
Equinor's CEO says a Venezuela comeback is not on the table, despite Washington's push to raise output.
Venezuela's heavy crude and damaged infrastructure make quick production gains unlikely without massive, sustained investment.
The debate matters for U.S. refiners and global supply expectations, but timelines look longer than politics suggests.
Equinor, Norway's state-backed energy major, says it does not plan to return to Venezuela, a clear warning that restoring the country's oil industry will be a long, capital-intensive grind rather than a quick political win.
Speaking on January 7, 2026, CEO Anders Opedal said a comeback is“not on the table” and that the company exited to reallocate capital.
The statement lands as the White House prepares talks with oil executives later this week on ways to revive Venezuela's battered petroleum sector, part of President Donald Trump's broader effort to lift crude production after the removal of Nicolás Maduro.
Equinor is not a stranger to Venezuelan oil. It entered the country in the mid-1990s and operated for roughly 25 years, investing billions onshore and offshore before pulling back.
The clearest line under that chapter came in July 2021, when Equinor completed the sale of its 9.67% stake in Petrocedeño, a key Orinoco Belt heavy-oil upgrader project, to PDVSA's affiliate.
Venezuela oil constrained by execution
TotalEnergies transferred its own minority interest at the same time, leaving PDVSA in full control. The message from Equinor is that the core obstacle is not geology but execution.
Venezuela holds the world's largest proven oil reserves, often cited near 300 billion barrels, yet production has collapsed from above 3 million barrels per day decades ago to roughly around or under 1 million barrels per day in recent years, depending on the month and estimate.
Heavy crude requires specialized infrastructure, steady power, functioning pipelines, storage, and constant maintenance. Reporting on the sector describes degraded facilities and operational bottlenecks that cannot be reversed quickly.
Independent estimates put the price tag in stark terms: about $53 billion over 15 years just to sustain near current output, and potentially $100 billion or more for a meaningful expansion.
That is why analyst skepticism has grown around claims that Venezuela can deliver major gains in under 18 months. For the United States, the stakes are practical.
Some Gulf Coast refineries are built to process heavy crude, and Venezuela once fed that system. For markets, the bigger takeaway is timing: even with political momentum, barrels only arrive when investment, equipment, and competent operations follow.
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