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Shell CEO sees competitive advantage in Venezuela gas versus heavy oil - Finance news and analysis from Global Banking & Finance Review
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Shell CEO sees competitive advantage in Venezuela gas versus heavy oil

Published by Global Banking & Finance Review

Posted on October 6, 2026

1 min read

· Last updated: October 6, 2026

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Shell CEO Says Venezuela Gas Offers Competitive Edge Over Heavy Oil Sector

Shell's Strategic Focus in Venezuela

LONDON, Oct 6 (Reuters) - Shell CEO Wael Sawan said on Tuesday he sees the British oil major's competitive advantage in Venezuela in gas rather than in heavy oil, and the company will continue to look at other opportunities in the country. 

Recent Agreements and Projects

Venezuela in June signed five agreements with ‌Shell to advance oil and gas projects, including the company's participation in the coveted 7-trillion-cubic-feet Loran offshore gas field. 

Shell's Participation in the Loran Offshore Gas Field

Significance of the Loran Gas Field

(Reporting by Stephanie Kelly, Shadia Nasralla and Robert Harvey, Editing by Louise Heavens)

Key Takeaways

  • Shell is prioritizing offshore gas in Venezuela, citing stronger competitive positioning compared to heavy oil due to stranded resources and infrastructure advantages. (earningscalls.dev)
  • The company has signed five agreements with Venezuela, notably engaging the Loran offshore gas field (~7 Tcf) and aiming to monetize through export via Atlantic LNG in Trinidad & Tobago. (jpt.spe.org)
  • Shell is in advanced talks to develop additional large offshore gas areas (including Mariscal Sucre and cross‑border Loran), with combined reserves of ~20 Tcf, as Chevron ceded Loran interests, and hopes to make final investment decision by end 2026. (ground.news)

References

Frequently Asked Questions

What competitive advantage does Shell's CEO see in Venezuela?
Shell CEO Wael Sawan believes the company's competitive advantage in Venezuela lies in the gas sector over heavy oil.
Which recent agreements did Venezuela sign with Shell?
In June, Venezuela signed five agreements with Shell to advance oil and gas projects, including participation in the Loran offshore gas field.
What is the significance of the Loran offshore gas field?
The Loran offshore gas field is noteworthy for its estimated 7 trillion cubic feet of gas reserves, attracting Shell's investment.
Will Shell continue to explore opportunities in Venezuela?
Yes, Shell will continue to look at other opportunities in Venezuela's oil and gas sector.

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