PDVSA and Rosneft boost oil and gas investment

Petróleos de Venezuela, SA (PDVSA) and Russian state oil company Rosneft signed an agreement to invest an additional US$500 million at the Hugo Chávez Orinoco Oil Belt (FPO), as the “hydrocarbon and petrochemical economic driver” was launched. “Economic drivers” are economic measures by President Nicolás Maduro to reactivate the Venezuelan economy.

With this agreement Rosneft increases its equity participation to 40% in the Petromonagas joint venture, located at FPO’s Carabobo Block. The president of PDVSA, Eulogio Del Pino, was accompanied by the general manager of the Offshore Division, Douglas Sosa and Vice President of Rosneft, Eric Maurice Liron.

They also agreed to include Rosneft as a partner and shareholder in gas projects in the Mejillones and Patao fields of the offshore Mariscal Sucre Project.

Minister Del Pino confirmed the interest of the Russian state company in this offshore project, and said that the monetization of gas held in this area will be possible as gas will be used in the domestic petrochemical industry.

Russia-Venezuela energy relationship dates from 2008 and strengthens and grows over time. It has been characterized by a strong cooperation bond, project development, investment promotion and training of personnel.

People’s Minister of Petroleum and Mining and president of PDVSA, Eulogio Del Pino, met during his recent tour with strategic partners of Venezuela in the hydrocarbon sector, such as Rosneft with whom they reviewed exploration and production projects, as well as investment strategy which is now strengthened by this agreement.