“They will spend $100 billion in Venezuela.” Will Donald Trump reach an agreement with the giants?
Donald Trump announced that he will personally decide which oil companies will be allowed to enter the Venezuelan market as part of his administration's plans to rebuild the country's energy infrastructure. A meeting is underway at the White House.
The rest of the article below the video:
“We will decide which oil companies will enter this process,” he said at the beginning of a meeting at the White House with a dozen energy company executives. “We will reach an agreement with the companies – probably today or soon after.”
See also: This is Trump's plan for Venezuela. “They give us everything”
The president said on Friday that the plan assumes that American oil companies will spend “at least $100 billion of their own money, not the government's money,” in Venezuela.
He added that oil companies will deal directly with the United States, not with Venezuelan leaders, in negotiations over access to Venezuelan crude oil.
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Donald Trump: they will spend $100 billion in Venezuela.
The push for private sector investment comes days after Trump endorsed the ouster of former Venezuelan President Nicolas Maduro and declared the United States would “rule” the country indefinitely.
“It's a completely different Venezuela,” Trump said. “The people of the United States will benefit enormously.”
See also: Why isn't oil more expensive after the action in Venezuela?
Trump says US oil companies will spend billions of their own money to modernize Venezuela's oil sector.
President Donald Trump said Friday that the plan is to American oil companies will spend “at least $100 billion of their own money, not the government's money” to revitalize Venezuela's oil infrastructure and ultimately increase oil production.
Oil from Venezuela. US giants 'need government protection'
Trump said companies do not need federal funding from the U.S. but “need government protection and government security” to operate safely in the country. Industry sources say political stability and security are among the biggest concerns about entering the market.
Trump also said Venezuela has agreed that the United States “will immediately begin refining and selling up to 50 million barrels of Venezuelan crude oil, which will continue indefinitely.”
Investments in Venezuela. Exxon CEO: Too much risk
ExxonMobil CEO Darren Woods said during the meeting that the company would not jump into the deep end in Venezuela, arguing that the current situation on the ground poses unacceptable risks to it.
“If we look at the legal and trade rules currently in place in Venezuela, they are not suitable for investment and therefore significant changes to those trade rules and the legal system are necessary,” Woods said. “There must be lasting investment safeguards and there must be a change to the hydrocarbon regulations in this country.”
Exxon left Venezuela in 2007 when the Chávez regime nationalized the oil industry. Exxon did not accept the country's terms, and the government seized the company's assets there.
Source: CNN
