Abu Dhabi’s ADNOC reportedly mulling Venezuela gas investment

ADNOC, Abu Dhabi’s state oil firm, is weighing entering Venezuela’s energy industry and could seek a partnership with another international producer to participate in the nation’s gas projects, Bloomberg News reported citing people familiar with the matter.

Reuters could not immediately verify the report. XRG, ADNOC’s international investments arm set up in late 2024, declined to comment.

Bloomberg said ADNOC’s interest was preliminary and would depend on clear legal and financial structures for investment, adding any approach in Venezuela would require coordination with the US and be made through XRG.

US President Donald Trump urged US oil executives to spend US$100 billion to revitalise Venezuela’s oil industry after US forces seized its leader Nicolas Maduro in an overnight raid on its capital on January 3.

ADNOC has been pursuing an ambitious overseas growth strategy, mainly through XRG, which now owns German chemicals maker Covestro as well as stakes in a liquefied natural gas plant in Texas and several ADNOC subsidiaries listed on the Abu Dhabi Securities Exchange.

XRG aims to be among the top three players in chemicals globally and one of the top five in natural gas, both by 2050. Its assets have swelled to over $150 billion from more than US$80 billion when it was announced just over a year ago.

Venezuela has the largest proven oil reserves in the world as well as vast natural gas reserves.