Venezuela eyes $1.4B investment in hydrocarbon sector under new legal framework

Venezuela's acting President Delcy Rodriguez announced Monday that the nation expects a $1.4 billion investment in the hydrocarbon sector this year, a significant increase from the nearly $900 million that was invested in 2025.

Rodriguez said oil investment could jump by 55% in 2026, fueled by a government-led push for private sector inclusion and sweeping legal reforms.

"Last year, investment came to nearly $900 million, and for this year, $1.4 billion in investments have been signed," she said while addressing an audience that was part of a public consultation plan to throw open the oil sector to private investment.

"We must go from the country with the planet's biggest (proven) reserves of oil to a giant in production terms," she added.

The investment surge is tied to a high-priority reform of the Organic Law on Hydrocarbons currently moving through Congress. The initiative aims to revitalize the energy industry and boost production following agreements reached with US President Donald Trump after the capture of President Nicolas Maduro by US military and special operations forces on Jan. 3. The bill introduces more flexible operating conditions to attract both domestic and foreign capital. It stipulates that private companies located in Venezuela would be able to extract oil without having to enter a joint venture with the state oil company PDVSA, which insisted on a majority stake.

It also talks about Productive Participation Contracts (CPP). Developed under the "Anti-Blockade Law," the CPP were designed to bypass US sanctions. While previously shrouded in secrecy, Rodriguez defended the model as a success, noting that 29 CPPs have been signed to date.

The bill has already passed its first reading in the National Assembly. To become law, it must undergo a second debate where the legislation will be reviewed article by article. During this phase, lawmakers may still propose specific amendments. According to the current legislative schedule, the reform could receive final approval as early as this week, potentially signaling a new relationship of Venezuela's oil industry with global markets.