Venezuela signs first-ever gas export contract

• Acting President Delcy Rodríguez announced Venezuela’s first-ever contract to export liquefied petroleum gas (LPG), a strategic move to monetize oil byproducts and signal the nation's openness to international energy investment.
• The agreement comes as state-owned PDVSA reports oil production has reached 1.2 million barrels per day—its highest level since 2015—bolstering the administration’s efforts to stabilize the economy following the removal of Nicolás Maduro.

Venezuela signed its first-ever contract for the export of liquefied petroleum gas (LPG), as announced by Acting President Delcy Rodríguez on Friday.

This development marks a step toward revitalizing the nation's hydrocarbon industry, which has faced prolonged challenges due to underinvestment and operational disruptions.

The contract, facilitated by the state-owned oil company PDVSA, underscores efforts to commercialize LPG, a byproduct of oil refining, for international markets.

During an event broadcast on state television, Rodríguez emphasized the historic nature of the agreement, stating, “Today, for the first time in our history, a contract for the marketing of LPG, of gas, has been signed. We are delivering on our promise to President Maduro and to our people.”

She highlighted that the deal stems from PDVSA's self-reliant initiatives, aligning with Venezuela's chosen economic trajectory. The LPG is primarily produced at the José refining complex in eastern Venezuela, where production has historically declined amid accidents and shortages affecting domestic supply.

This export initiative comes in the context of Venezuela's associated gas production, much of which is currently flared rather than utilized.

Expanding gas exports could require enhanced infrastructure and international coordination, particularly with the United States, following the recent military operation there.

Rodríguez's administration is positioning the country as more open to foreign investment, easing longstanding restrictions in the energy sector to attract capital and reverse years of disinvestment.

The announcement follows the abduction of former President Nicolás Maduro by the US administration under President Donald Trump.

Interim leadership under Rodríguez is leveraging energy reforms to legitimize its rule and stabilize the economy, amid what observers describe as a frontline in US energy dominance strategies.

Economically, the deal is poised to generate foreign currency revenues, which Rodríguez noted will be directed toward social and economic development, including the establishment of sovereign funds.

These funds will not be used for fuel imports, as Venezuela has achieved domestic self-sufficiency in production.

Oil output has risen to 1.2 million barrels per day, the highest level since 2015, bolstering the foundation for such exports.