BP has announced plans to develop the second phase of the Loran gasfield offshore Venezuela through a partnership with two oil companies with connections to the Trump administration. The London-listed energy firm will collaborate with a Qatari company owned by the Al-Khayyat brothers, who are working with Ivanka Trump and Jared Kushner on an Albanian resort development, as well as the overseas investment division of the United Arab Emirates’ national oil company.
The move represents one of the first large-scale international oil investments in Venezuela following political changes earlier this year. Shell previously secured a license to develop the first phase of the same Loran field during the summer, while Italian oil company Eni is also discussing potential projects in the country. BP’s chief executive, Meg O’Neill, characterized the arrangement as an important milestone in the company’s partnership with the Venezuelan government.
BP joins a select group of European oil firms returning to Venezuela after the Trump administration publicly called for foreign oil companies to invest at least $100 billion in rebuilding the nation’s fossil fuel sector. American firms ExxonMobil and ConocoPhillips have begun exploring opportunities, though they have moved more cautiously given Venezuela’s nationalization of its oil industry in 2007. Chevron retained operations as a minority partner to the state oil company throughout this period.
Venezuela possesses the world’s largest proven oil reserves but has experienced significant production declines over the past several decades due to underinvestment and operational challenges. Output has recently improved to approximately 1.2 million barrels daily, with exports to US refineries reaching their highest levels since 2019. The licensing agreement came roughly four months after BP initially agreed to explore gas development opportunities with the Venezuelan government.
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