Venezuela Sees Only One Offer on Remaining Natural Gas Block

Only one foreign energy company made an offer for one of two remaining natural gas blocks offered by Venezuela during a bidding process, the local daily El Nacional said last week.

ChevronTexaco, one of the 13 pre-qualified companies for the bidding process, made an offer on Thursday for block 3 of the Deltana platform with US$5 million, El Nacional reported.

Last year, ChevronTexaco and ConocoPhillips were awarded one block of the Deltana platform, which is near the maritime border between Venezuela and Trinidad.

The platform contains an estimated 38 trillion cubic feet of gas and could bring US$4 billion in foreign investment to Venezuela in six years.

A second block was awarded to Statoil and a fifth block is expected to be operated by Venezuela's state-run oil company PDVSA.

The natural gas produced from the fields is to be processed into liquefied natural gas and exported to the United States.

Venezuela is aggressively moving to develop its natural gas industry. The natural gas sector and downstream activities in Venezuela's all-important oil sector are completely open to foreign investment.