ChevronTexaco's 2004 Venezuelan Investment at $400 Million

ChevronTexaco will invest $400 million in Venezuelan oil and natural gas projects this year, Ali Moshiri, president of the company's Latin American operations, said Tuesday.

The bulk of ChevronTexaco's Venezuela investment will go into the Hamaca heavy crude upgrading project, in which the company will invest $200 million, Moshiri said following a signing ceremony at the presidential palace. ChevronTexaco has a 30% stake in the Hamaca project, state oil giant Petroleos de Venezuela SA , or PdVSA, has a 30% stake and Conoco Phillips (COP) holds 40%.

ChevronTexaco will invest $100 million in the Boscan oil field it operates in eastern Venezuela. The Boscan field produces roughly 115,000 barrels a day of light crude.

ChevronTexaco also will invest $50 million in a natural gas drilling program on the Deltana platform, where the company operates two exploration blocks. The company plans to drill five exploration wells this year at the two natural gas blocks.

The remaining $50 million in investment will go into the company's smaller operations in the country, such as the LL-652 oil field in the Lake Maracaibo region, Moshiri said. LL-652 produces at around 17,000 b/d.