CARACAS — In a strategic move to revitalize its energy sector, Venezuela has announced plans to increase oil output by 18% throughout 2026. This ambitious target follows proposed legislative reforms that would dramatically open the country’s petroleum industry to private investment, marking a significant departure from decades of state dominance.
Hector Obregon, Chief Executive of state-owned oil giant PDVSA, revealed the production goals during a Saturday address from the Puerto La Cruz refinery complex. He emphasized that existing hydrocarbon regulations require modernization to align with contemporary industry needs and provide legal assurances to potential private partners.
“Our current legislation falls short of what we require as a modern energy industry,” Obregon stated. “The fundamental objective for this year is to achieve minimum growth of 18 percent in production capacity.”
The proposed amendments to Venezuela’s Organic Hydrocarbons Law, which received preliminary parliamentary approval on Thursday, would enable privately-registered Venezuelan companies to engage in oil extraction through contractual agreements. This legislative shift represents the most substantial market liberalization since the industry’s nationalization under former president Hugo Chavez during the mid-2000s.
Political analysts note the reforms emerged following significant geopolitical developments, including the January 3rd military operation by United States forces that resulted in the detention of President Nicolas Maduro. Interim leader Delcy Rodriguez has championed the legislative changes under apparent international pressure.
Parallel developments indicate active negotiations between U.S. officials and major energy corporations regarding Venezuela’s production recovery. Bloomberg News reported ongoing discussions with Chevron and leading oilfield service providers—including SLB, Halliburton, and Baker Hughes—concerning equipment modernization and operational reactivation strategies. The mentioned companies haven’t publicly commented on these reports.
In related developments, former U.S. President Donald Trump asserted in a New York Post interview that American authorities had confiscated petroleum from Venezuelan tankers and would process the crude stateside. “The straightforward reality is they no longer possess that oil. We’ve taken control of it,” Trump declared.
National Assembly President Jorge Rodriguez framed the reforms as essential for national benefit: “The core purpose of amending hydrocarbon regulations is production expansion. We must adapt our framework to facilitate extraction of resources that rightfully belong to all Venezuelan citizens.”