Venezuela, Parliament's first yes to private individuals in the oil sector
Until now, oil production was the sole responsibility of the state or of joint ventures in which the state held a majority share
The Venezuelan National Assembly approved today, in first reading, a law that completely opens up oil production to the private sector. Until now, oil production was the sole responsibility of the state or of joint ventures in which the state held a majority stake. The new law states that 'private companies domiciled in the Bolivarian Republic of Venezuela will be able to exploit oil after signing contracts'. The newspaper El Universal writes this.
The reform, which must be approved at second reading, comes three weeks after the US military intervention that led to the capture of then Venezuelan president Nicolas Maduro and the appointment of his deputy Delcy Rodríguez as interim president.
According to analysts, the reform of the oil law was one of the priorities required by US oil companies to trigger investments in Venezuela.
