Venezuela signs new energy deals as TotalEnergies returns to PDVSA orbit

Venezuela’s state oil company has signed a new memorandum with TotalEnergies as September dealmaking accelerates across the country’s energy sector ahead of Venezuela Energy Week 2027 in Caracas. The agreements signal growing foreign confidence in Venezuela’s post-reform framework and could shape the next phase of upstream, gas and power investment.

Why it matters: - Venezuela is pulling in a wave of foreign energy commitments after reopening to international investment earlier this year. - The September agreements suggest the country’s legal and commercial reforms are starting to convert into real project pipelines. - The deal flow matters because it could influence capital spending, oil output and infrastructure repair across Venezuela’s energy system.

What happened: - PDVSA and TotalEnergies E&P New Ventures signed a memorandum of understanding on Sept. 19 at Miraflores Palace in Caracas. - PDVSA President Hector Obregon and TotalEnergies senior vice president for the Americas Francisco Javier Rielo signed the agreement. - Acting President Delcy Rodriguez oversaw the signing. - No project details or financial terms were disclosed. - The agreement adds to a burst of international signings heading into Venezuela Energy Week 2027, set for Feb. 22–25 in Caracas.

The details: - TotalEnergies had previously exited Venezuela’s oil industry before re-engaging commercially this year. - In April, TotalEnergies CFO Jean-Pierre Sbraire said the company was nearing trading contracts with PDVSA centered on Venezuelan heavy crude routed to the U.S. Gulf Coast. - Some of that crude was expected to be processed at TotalEnergies’ Port Arthur refinery in Texas, which has capacity of 238,000 barrels per day. - Continental Resources signed an agreement with PDVSA on Sept. 16 covering the Ayacucho 2 block in the Orinoco Belt. - Continental estimates the 126,000-acre block in Anzoategui state contains about 30 billion barrels of oil resource in place. - Continental would hold full operatorship with a 100% working interest once a long-term Contrato de Participacion Productiva is finalized. - Earlier in September, Eni, Chevron, GeoPark and GE Vernova also signed commitments in Caracas. - U.S. Energy Secretary Chris Wright traveled to Caracas for that broader signing ceremony. - Eni secured a 25-year production-sharing contract and exclusive operatorship of the Junin-5 heavy oil field. - Eni plans about $1.5 billion in investment and targets 400,000 barrels per day by the end of the decade. - GeoPark entered Venezuela through a 25-year production participation contract for the Bare block. - GeoPark holds a 65% net working interest and is targeting more than a twofold increase in company-wide output by decade’s end. - GE Vernova formed strategic alliances with PDVSA and state utility Corpoelec to restore and expand electrical infrastructure across the petroleum sector and the national grid. - Chevron committed more than $7 billion over five years across its Venezuelan joint ventures. - Chevron is targeting output of about 600,000 barrels per day. - The National Assembly overhauled the Organic Hydrocarbons Law in February, expanding private-sector participation and giving international operators more legal certainty. - VEW 2027 is officially supported by the Ministry of Hydrocarbons and PDVSA. - The event will bring together government leaders, international operators, investors and industry executives. - The agenda will cover upstream development, gas, refining and the wider energy value chain. - The event website lists delegate registration at More information. - Venezuela Energy Week also maintains a LinkedIn showcase at the event's LinkedIn page.

Between the lines: - The TotalEnergies memo is a notable signal because European majors tend to move only when governance and contract risk look manageable. - The mix of oil, power and infrastructure deals points to a broader reset, not just a series of isolated upstream agreements. - The concentration of signings in one month suggests companies are trying to secure positions before competition intensifies around VEW 2027.

What's next: - More agreement announcements are likely as operators position themselves ahead of VEW 2027. - Investors will watch whether the memorandums and contracts turn into final investments, production growth and infrastructure work. - The pace of follow-on deals will help determine how quickly Venezuela’s reformed energy framework translates into physical output and capital deployment.