Exxon: "Venezuela is currently not investable"… U.S. oil industry cautious on Trump’s plan to rebuild the country’s oil sector

Trump convenes 20 oil industry executives at the White House

"At least $100 billion investment to restart production"

ExxonMobil: "Venezuela is not investable"

"Investment decision possible only once profitability, legal protections, etc. are clarified"

As ExxonMobil assessed Venezuela as "not investable" for now, the U.S. oil industry is taking a cautious stance toward President Donald Trump’s large-scale plan to rebuild Venezuela’s oil sector.

President Trump summoned about 20 oil industry representatives to the White House East Room and argued that production could be restarted by investing at least $100 billion in Venezuela’s oil industry, adding that an agreement could be reached soon. He also pressed companies reluctant to invest, saying, "If you don’t want it, other people will take it instead."

However, some executives said additional persuasion and institutional groundwork are needed for a substantive investment decision. ExxonMobil CEO Darren Woods said, "Given Venezuela’s current legal and commercial framework, it’s not in a condition where we can invest," citing past experiences of asset expropriation. He said an investment decision would be possible only if profitability, legal protections and contract structures are clarified over the long term.

Still, Woods added that the company could dispatch a team to the country if invited by the Venezuelan government and provided with sufficient security guarantees. Continental Resources Chairman Harold Hamm also said the opportunity itself was interesting, but noted that large-scale investment would be required and that time is needed.

After the meeting, President Trump said they had reached "a kind of agreement" and that investments totaling tens of billions of dollars would follow. But on specific commitments, Energy Secretary Chris Wright singled out Chevron—the only remaining U.S. oil major in Venezuela—as "the only company to make a specific commitment." Chevron said it could increase Venezuela’s crude output by about 50% over the next 18–24 months.

President Trump said the United States would provide security assurances to companies entering Venezuela, but did not disclose details. Some in the industry are also raising concerns that increased supplies of Venezuelan crude could further weigh on global oil prices.

Venezuela holds the world’s largest proven oil reserves, but years of mismanagement and sanctions have reduced production to under 1 million barrels a day. Restoring output is expected to require years of repair work and massive capital injections.

New York=Correspondent Park Shin-young nyusos@hankyung.com