On April 30 (local time), Venezuela signed oil and gas agreements with US businesses to boost production, amid signs of improvement in bilateral relations.
According to the signed content, Hunt Overseas Oil Company and Crossover Energy will participate in operations in the Orinoco Belt, the area that concentrates most of the oil reserves of the South American nation.
This move comes as Venezuela is under great pressure from the US to open up oil resources. Ms. Delcy Rodríguez - Venezuelan interim President is currently facing the challenge of managing a struggling economy despite owning the world's largest oil reserves.
Ms. Rodríguez said the agreements reflect the intersection of interests between the two countries. She also sent a message to US President Donald Trump, affirming her commitment to building a foundation for long-term relations between Venezuela and the US.
Venezuela's increase in oil production takes place in the context of global energy market pressure due to disruptions in supply from the Middle East related to the Iranian conflict, causing oil prices to rise.
Along with new agreements, Venezuela has signed cooperation agreements with many international energy corporations such as Chevron, Eni and Repsol, after carrying out reforms to liberalize the energy sector.
US Special Envoy Jarrod Agen attended the signing ceremony in Caracas, during a visit marking the resumption of direct flights between the two countries after 7 years of interruption. Flights between Caracas and Miami will be operated by Envoy Air, a subsidiary of American Airlines, and Laser Airlines of Venezuela.
These steps show efforts to restore economic cooperation between the two sides, and also reflect Venezuela's increasingly important role in the context of volatile global energy markets.
