Oil prospecting and exploration activities in Venezuela, established in the Organic Hydrocarbons Law, advance today towards a system of joint ventures, as a part of the strategy to restore sovereignty in the sector.
According to a note by the Venezuelan Ministry of Energy and Oil, a total of 17 entities have documentation to develop these projects after concession of this right to eight companies has been inscribed in the Venezuelan Official Gazette.
The measure involves the firms Petrocabimas, Petronado, Petrokarina, Petroperija, Boqueron, Petrocuragua, Petrocumarebo and Petroguarico.
Since January 2006, Venezuelan state oil enterprise Petroleos de Venezuela S.A. (PDVSA) derogated operating agreements and started implementing joint ventures, a new legal step to "re-establish sovereignty and give majority shares to the government."
By means of the official decree, the Venezuelan Executive transfers the right to develop primary exploration activities to these enterprises, including oilfield exploration, extraction, recollection, transport, and initial storage.
