Caracas, Venezuela – British oil company Shell is seeking to invest in Venezuela’s vast natural gas resources following a series of recent political and economic developments in the country. Such a move could generate billions of dollars for the company in the long term.
Shell’s focus is on the Dragon gas field project in the Caribbean Sea. The project is estimated to contain approximately 120 billion cubic meters of natural gas, equivalent to three times the UK’s annual consumption. It is estimated that the project could generate revenues of up to $500 million annually if successfully developed.
Shell’s move comes after a period of project freezes due to US sanctions and international tensions. Sources indicate the company may seek partnerships with local or US firms to share risks and costs, particularly given rising global energy prices.
Analysts believe Shell’s entry into the Venezuelan market could impact the global supply and price balance, posing a challenge for OPEC in managing production. This comes at a time when Venezuela is facing economic and political crises, despite its abundant oil and gas resources.
Shell’s move reflects the interest of international companies in capitalizing on Venezuela’s energy opportunities, but it requires a careful assessment of the political and economic risks. The goal is to ensure the viability of such large investments in an unstable environment.
