BP Wins New Venezuela License

The Venezuelan government awarded BP PLC an exploration and production license for phase 2 of the Loran gas field, the British company said Thursday.

BP estimates four trillion cubic feet of recoverable gas resources in the project, part of the Plataforma Deltana area, and expects to deliver it " in parallel with phase 1", it said in a press release.

The license builds on a memorandum of understanding (MoU) signed by BP and Caracas in April 2026, which established a framework for cooperation in exploration and development opportunities in the Plataforma Deltana area, BP said.

The South American country granted the license to BP, Abu Dhabi National Oil Co PJSC's international investment arm (XRG PJSC) and Qatar-based UCC Oil and Gas Holding LLC as equal partners. BP holds operatorship.

"BP has a long-standing presence in the region and deep experience developing major gas resources. Together, these agreements provide a strong foundation to progress Venezuela's offshore gas potential and unlock the next phase of development", BP chief executive Meg O'Neill said.

The license is among agreements executed during a country visit by O'Neill and BP senior vice president for Latin America and the Caribbean David Campbell to develop gas resources offshore Venezuela.

BP and Venezuela during the meeting also penned an MoU for the Carúpano East Block in the Caracolito sub-basin of the Mariscal Sucre maritime area. "This agreement establishes a framework for evaluating exploration opportunities and advancing discussions on potential future development of the offshore area", BP said.

For XRG, the license agreement, which involves a stake transfer from state-owned Petróleos de Venezuela SA, marks an entry into the country.

"Loran phase 2 builds on XRG's strategy to establish a gas and LNG platform across Latin America", it said in a separate statement.

"The investment also enhances XRG's position in the Atlantic Basin and complements its growing gas and LNG portfolio across the North America, South America, Africa, the Caspian and the Middle East", XRG added. "XRG's positions include Rio Grande LNG in the United States, Argentina LNG (subject to customary regulatory approvals), Egypt through Arcius Energy, Azerbaijan's Absheron field and Southern Gas Corridor, Turkmenistan's Offshore Block 1 and Mozambique's Area 4 concession".

XRG president for international gas Mohamed Al Aryani said, "Our entry through Loran reflects XRG's strategy to invest with partners in advantaged resources with access to established infrastructure and clear routes to market".

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