Exxon Signs Non-Binding MoU With PDVSA to Explore Return to Venezuela

XOM has signed a non-binding memorandum of understanding with Petroleos de Venezuela (PDVSA) to explore potential upstream oil opportunities in Venezuela, Reuters reported on Monday, November 9. Exxon called the memorandum "a meaningful first step" but did not say which projects or areas it is evaluating.

The agreement stops well short of an investment. A final contract, such as a joint venture or production-sharing agreement, would still be required before Exxon participates in exploration or production, and the company said any future investment would depend on stable policies, clear regulations, strong investment protections and competitive returns. Venezuela's interim president, Delcy Rodriguez, welcomed the move and said she hopes it leads to concrete agreements.

The history explains the caution. Exxon left Venezuela nearly two decades ago when its assets were expropriated under Hugo Chavez; it had held 41.67% of the Cerro Negro heavy-crude project and 50% of La Ceiba. In 2014 the World Bank's ICSID tribunal awarded Exxon $1.6 billion plus interest, an award Venezuela has challenged. Reuters described the memorandum as a win for President Donald Trump, who has pushed US companies to reshape Venezuela's energy sector. Earlier in 2026, CEO Darren Woods had called Venezuela "uninvestable".

What to watch: whether the memorandum turns into a joint venture or production-sharing contract, and how US sanctions policy toward PDVSA evolves. Until a binding contract exists, the agreement is an option on future access rather than a source of production.