Spanish energy company Repsol has signed an agreement with the Venezuelan Ministry of Hydrocarbons and state-owned Petróleos de Venezuela, S.A. (PDVSA) that could allow the company to increase oil production from its Venezuelan operations over the next three years.
The agreement covers the Petroquiriquire oil asset, where PDVSA holds 60% and Repsol holds 40%. Under the arrangement, Repsol would reassume operational control at the asset, strengthen the operating framework for its activities in the country and establish payment mechanisms linked to production.
Repsol said its current gross oil production in Venezuela is around 45,000 barrels per day, mainly from Petroquiriquire. The company said it is prepared to increase gross production by 50% within 12 months and to triple production over the next three years, provided the necessary conditions remain in place.
The agreement builds on a framework arrangement first signed in 2023 and later amended in 2024. That framework included mechanisms to extend the duration of Petroquiriquire field concessions and incorporate the Tomoporo and La Ceiba fields into the wider operating structure.
Repsol’s Executive Managing Director of Exploration and Production, Francisco Gea, said the agreement underscored the company’s commitment to Venezuela, where it has operated continuously since 1993. He said Repsol has the assets, technical capacity, operational capacity and personnel on the ground to increase production in the country.
The agreement comes as Venezuela continues efforts to rebuild oil and gas production after years of underinvestment, sanctions pressure and operational constraints. Reuters reported in March that Venezuela’s oil production, including condensates and gas liquids, had reached 1.1 million barrels per day, according to a government presentation based on PDVSA data.
Repsol said the new arrangement falls within the scope of General License 50A issued by the U.S. Treasury Department’s Office of Foreign Assets Control. OFAC’s General License 50A authorises certain transactions related to oil and gas sector operations in Venezuela for listed companies, including Repsol, subject to conditions and reporting requirements.
The company also noted that it recently signed a separate agreement with Italian energy company Eni and Venezuelan authorities to support the continuity of natural gas production throughout 2026 at the Cardón IV asset, which is owned equally by Repsol and Eni.
For Venezuela, the agreement represents another step in efforts to attract international operators back into its energy sector. For Repsol, it provides a route to expand production from existing assets, while maintaining a cautious approach tied to regulatory approvals, operating conditions and payment security.