Eni and GeoPark Secure Major Venezuelan Oil Contracts
Eni and GeoPark signed long-term production agreements to operate heavy oil fields in Venezuela's Orinoco Belt under U.S. government oversight.
Two international energy firms have secured long-term agreements to develop heavy oil assets in Venezuela's Orinoco Belt as the country seeks to revive its energy sector. On September 2, 2026, Eni signed a 25-year production participation contract in Caracas to become the exclusive operator of the Junin 5 field. CEO Claudio Descalzi and leadership from the state-owned Petróleos de Venezuela, S.A. (PDVSA) finalized the deal, which grants Eni full technical, financial, and commercial responsibility for the field.
Following this, GeoPark Limited announced on September 3 that it will operate the Bare block under a similar 25-year contract with PDVSA. GeoPark will fund all capital expenditures and hold a 65% working interest in the asset, which contains roughly 15.7 billion barrels of oil. To facilitate the acquisition, GeoPark will issue 42.1 million new shares to Colombia's Grupo Gilinski, a move that will give the conglomerate a controlling stake of approximately 56.3% in GeoPark.
Both agreements occur amid a broader trend of foreign investment in the region, including a $7 billion plan by Chevron. Because of ongoing sanctions, these deals remain subject to U.S. government oversight. Specifically, the GeoPark transaction requires a mandatory license from the US Office of Foreign Assets Control to proceed.
