The Venezuelan government said heavy crude projects in the nation’s Orinoco region will need a minimum investment of USD 120 billion in the next few years, Dow Jones Newswires reported.
Venezuela considers the development of the Orinoco Oil Belt to be a priority. The region is understood to hold one of the world’s largest (and mostly untapped) heavy crude reserves. Petróleos de Venezuela (PDVSA) is targeting a production of 4.3 million bbl at the Orinoco region in 2019.
Earlier this month in Caracas, Venezuela, representatives of 150 firms from Venezuela and Argentina attended the first Argentina-Venezuela Integration Meeting for Oil and Industrial Development. Discussions at the meeting involved oil, chemical, and metalworking infrastructure projects, as well as the machinery and equipment, electronics, and oilfield services that are needed to meet special conditions for the industrial development of the Orinoco play.
PDVSA said joint ventures such as Petrolera Sinovensa, which has increased production from 30,000 B/D to 125,000 B/D, and Petromonagas, which has increased production from 120,000 B/D to 140,000 B/D, reflect a new operating strategy within the state-run company. The company also said it soon expects first production from its joint ventures with Chevron (Petroindependencia) and Spain’s Repsol (Petrocarbobo).
The PDVSA said it plans to have more than 200 rigs in operation by the end of this year.