Julio A. López, Editor-in-Chief.— Venezuela’s offshore gas map is being redrawn. Chevron transferred its licenses in Blocks 2 and 3 of the Deltana Platform — home to the Loran and Macuira gas fields — to Pdvsa in exchange for strengthening its position in the Orinoco Belt’s heavy crude sector. Weeks later, BP moved into that same territory: the British oil major secured a license to develop the second phase of Loran and signed an additional memorandum of understanding to explore the Carúpano Este block, in the Caracolito sub-basin within the Mariscal Sucre offshore area.
Chevron’s swap: less gas, more heavy crude
The agreement between Chevron and Pdvsa, announced on April 13 and signed in Caracas in the presence of acting President Delcy Rodríguez, involved a “mutually beneficial” asset swap, according to the U.S. oil company. Chevron received an additional 13.21% stake in the Petroindependencia joint venture, bringing its total interest to 49%, as well as rights to develop the adjacent Ayacucho 8 area through its Petropiar joint venture, in the heart of the Orinoco Belt. In exchange, Venezuela regained the 60% operated interest in Block 2 of the Deltana Platform — which contains the Loran gas field, with estimated reserves of 7.3 trillion cubic feet — and 100% of Block 3, home to the Macuira gas discovery, along with a minority 25.2% stake in the Petroindependiente company in western Venezuela.
Javier La Rosa, Chevron’s president of Base Assets and Emerging Countries, said the agreement “expands Chevron’s heavy crude position through two key joint ventures in Venezuela” and reflects a disciplined approach to developing the country’s resources. Company executives had said in January that they expected to increase production in Venezuela by around 50% over the next two years within the company’s existing footprint. At the time, Chevron’s joint ventures with Pdvsa produced about 260,000 barrels per day, roughly a quarter of Venezuela’s total output.
BP enters the picture with Loran Phase 2
On August 12, just four months after the Chevron swap, BP announced that it had secured an exploration and production license for the second phase of Loran, which holds an estimated 4 trillion cubic feet of recoverable gas. BP will develop the project in partnership with XRG — the international investment arm of the UAE’s state-owned oil company ADNOC — and Qatar’s UCC Oil and Gas Holding. Each partner will hold a one-third stake, while BP will operate the development.
The license builds on a memorandum of understanding that BP signed with the Venezuelan government in April, establishing a framework for cooperation to explore and potentially develop opportunities across the Deltana Platform, including Loran.
During the same official visit to Venezuela — led by BP CEO Meg O’Neill and Senior Vice President for Latin America and the Caribbean David Campbell — the company also signed a separate memorandum of understanding for the Carúpano Este block in the Caracolito sub-basin of the Mariscal Sucre offshore area. BP said the agreement does not commit it to develop the block. Instead, it establishes a framework to assess exploration opportunities and advance discussions on its potential future development.
Loran-Manatee, a cross-border field
The Loran field forms part of the larger gas accumulation known as Loran-Manatee, which extends across the maritime border between Venezuela and Trinidad and Tobago. O’Neill described the award of Loran Phase 2 as “an important step” that builds on the collaboration BP has developed with the Venezuelan government and its partners.
For XRG, joining the project — through PDVSA’s transfer of an interest — marks its entry into Venezuela and forms part of what the company describes as its strategy to build a gas and LNG platform across Latin America, adding to projects such as Rio Grande LNG in the United States and Argentina LNG.
The reshuffling comes amid Venezuela’s reform of the Organic Hydrocarbons Law, approved in February, which gives foreign oil companies greater operational control and lowers royalties to as little as 30%. The changes come as Venezuela opens its energy sector following the partial easing of U.S. sanctions agreed earlier this year.
ExxonMobil and ConocoPhillips have also begun looking at Venezuela with renewed interest, according to industry reports.
