Venezuela Weighs OPEC Exit as US Firms Secure Oil Deals

The Government of Venezuela is considering withdrawing from the Organization of the Petroleum Exporting Countries (OPEC), a group it helped found in 1960. This potential exit follows a political realignment in Caracas after U.S. President Donald Trump ousted Nicolás Maduro on January 3, leading to the installation of acting President Delcy Rodríguez.

The move coincides with a surge of American investment in the Venezuelan energy sector. Chevron and other U.S. energy firms are nearing deals to invest billions of dollars in oil fields, with production agreements expected to be signed in Caracas next week. Chevron is in advanced talks to expand its operations, while Hunt Oil recently became the first U.S. firm to sign a pumping agreement this year. These developments were enabled by a legislative overhaul by the National Assembly of Venezuela that granted foreign companies greater operational control.

President Donald Trump has pushed for these investments to secure heavy oil for American refineries and assert U.S. energy dominance. A Venezuelan exit from OPEC would remove production quotas, allowing international companies to help rebuild a sector that produced approximately 1.16 million barrels a day in July. This shift follows the withdrawal of the United Arab Emirates from OPEC in April and expressed frustrations from Iraq regarding output limits, further threatening the influence of the cartel and its leader, Saudi Arabia.