Ali Moshiri, a former Chevron executive, is seeking $2 billion to invest in Venezuelan oil projects following recent U.S. actions against Nicolás Maduro.
Ali Moshiri, a former executive at Chevron, is in the process of raising $2 billion for oil projects in Venezuela, spurred by recent developments involving the U.S. government’s actions against Nicolás Maduro. Following the capture of Maduro, former President Donald Trump indicated that the U.S. would tap into Venezuela’s vast oil reserves and manage the country until a stable transition could be established.
Moshiri’s investment fund, Amos Global Energy Management, has pinpointed several Venezuelan assets and is currently in discussions with institutional investors regarding a private placement aimed at jumpstarting investment in the region, as reported by the Financial Times.
“I’ve had a dozen calls over the past 24 hours from potential investors. Interest in Venezuela has gone from zero to 99 percent,” Moshiri stated in an interview with the Financial Times. Following Maduro’s capture, Trump announced that American oil companies were ready to invest billions to restore Venezuela’s crude production, a move that could potentially stimulate global economic growth by increasing supply and lowering energy prices.
While the U.S. military action has raised the prospect of a corporate influx into the oil-rich nation, major U.S. oil companies are approaching the situation with caution. Concerns about political instability, a history of asset expropriation in Venezuela, and the substantial investments required to boost production have made many executives wary.
An industry insider noted that the chief executives of ExxonMobil, Chevron, and ConocoPhillips were taken by surprise by the U.S. military intervention. “None of the industry players that have the capital and the expertise to invest in Venezuela were advised or consulted prior to either the removal of Maduro or the president making his statements yesterday,” the insider remarked.
Harold Hamm, a prominent U.S. shale tycoon and supporter of Trump, expressed that his company, Continental Resources, would consider investing in Venezuela under favorable conditions. “While we do not have any immediate plans with respect to Venezuela, we believe the country has significant resource potential, and with improved regulatory and governmental stability, we would definitely consider future investment,” Hamm stated.
Trump had explicitly encouraged U.S. companies to invest in Venezuela, while Secretary of State Marco Rubio indicated openness to investment from U.S. allies but not from adversaries. China, which is Venezuela’s largest oil customer, along with Russian companies, has previously invested in the country’s oil sector.
“What we’re not going to allow is for the oil industry in Venezuela to be controlled by adversaries of the United States,” Rubio told NBC News’ “Meet the Press.” He questioned the motivations of countries like China, Russia, and Iran in seeking Venezuelan oil, emphasizing the geopolitical implications of such investments.
Moshiri has previously attempted to acquire Venezuelan assets. In 2022, he entered a joint venture with Gramercy Funds Management to invest in the offshore Gulf of Paria. Amos Global Energy Management later agreed to purchase some oil and gas assets from China’s Sinopec. However, Moshiri claims these deals fell through due to a lack of support from the Biden administration. “Now, with the Trump administration, which is more commercially friendly and economically driven, we are starting a new fund and are very confident,” he said.
As Moshiri seeks to navigate this complex landscape, the future of Venezuelan oil investment remains uncertain, heavily influenced by both domestic political dynamics and international relations.
According to the Financial Times, Moshiri’s efforts reflect a significant shift in interest towards Venezuelan oil, highlighting the potential for renewed investment in a country rich in natural resources.