"As other oil executives lavished President Trump with praise at the White House, Exxon Mobil CEO Darren Woods bluntly said the Venezuelan oil industry is currently "univestable," and that major reforms are required before even considering committing the many billions of dollars required to revitalize the country's dilapidated crude business. Two days later, a miffed Trump told reporters Jan. 11 that he would "probably be inclined to keep Exxon out" of Venezuela. "I didn't like their response. They're playing too cute," Trump said."
""This is Trump's problem. There's no urgency by the industry at all to go back into Venezuela. And there's almost no inducement other than guaranteeing profitability, which they can't do," Wicklund said. "You can sweeten the terms, but the political risk outweighs that variable by a factor of 10. "We don't need Venezuelan oil. It's going to hurt everybody else (including U.S. producers) if we boost Venezuelan production because, right now, we're awash in oil.""
Exxon Mobil CEO Darren Woods characterized the Venezuelan oil industry as uninvestable and said major reforms are necessary before committing billions to revive its dilapidated crude operations. President Trump reacted by saying he would probably keep Exxon out of Venezuela after Woods' comments. Industry analysts note little urgency among oil companies to return because political risk and past expropriations outweigh inducements, and global oversupply reduces the need for Venezuelan crude. Analysts also say guaranteeing profitability is not feasible and that boosting Venezuelan output could harm other producers. Exxon and ConocoPhillips had Venezuelan assets expropriated in 2007.
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