Venezuelan lawmakers on Thursday gave their initial backing to plans to throw open the oil sector to private investors, paving the way for the return of US energy majors – a key demand of President Donald Trump.
Less than three weeks after the US seized President Nicolas Maduro in an armed raid, MPs endorsed on first reading a bill allowing private companies to independently engage in oil exploration and extraction.
If adopted on a second reading, the bill would roll back decades of state controls over Venezuela’s oil sector, which were tightened by Maduro’s late mentor, socialist firebrand Hugo Chavez, in the mid-2000s.
https://www.asambleanacional.gob.ve/noticias/an-aprueba-en-primera-discusion-reforma-de-ley-organica-de-hidrocarburos
The law name, because gringo outlets are allergic to naming things. Seems to be legalising and making it easier for subcontractors to operate and develop Venezuelan oil fields. However the oil is still “property” of the state company, to be subcontracted.
I wouldn’t say it “throws open” the oil sector, but it looks just like the general trend in Latin America to slowly gut nationalised companies through ever growing subcontracting, which was already a thing anyway. Sucks, but actually not surprising at all. That’s been the trend in Venezuela for a while, and in fact this bill has been in the works since 2021.
Also small nitpick but the framing on this article makes it seem like PSUV wanted to not export the oil, for some reason reason. They actually want to do it, and it was a ridiculously large portion of their economy and foreign policy, but sanctions and embargo made it more difficult both to export their oil (crude or refined) and develop new oil fields. Idk, just sounds weird when people like Trump talk about “making the oil flow” when they’re personally responsible for it not flowing.