China’s Concord Resources to Invest $1 Billion in Venezuela’s Oil Fields

China’s Concord Resources to Invest $1 Billion in Venezuela’s Maracaibo Oil Fields Under 20-Year Pact

Caracas/Beijing — August 25, 2025.

A new agreement between the government of Nicolás Maduro and the Chinese private firm Concord Resources Ltd. marks a major turning point in Venezuela’s oil sector, as Beijing deepens its footprint in the crisis-stricken South American country despite heavy international sanctions.

According to officials close to the negotiation, Concord Resources has committed to investing over $1 billion in revitalizing production in the Lake Maracaibo oil fields, one of Venezuela’s most historic but decaying energy hubs. The 20-year pact grants the Chinese company long-term operational and commercial rights in exchange for infrastructure development, maintenance, and guaranteed supply channels to China.

A Lifeline for Venezuela’s Oil Industry

Once Latin America’s largest crude exporter, Venezuela’s oil industry has been in freefall for more than a decade due to underinvestment, corruption, and the weight of U.S. and European sanctions targeting the state-run company Petróleos de Venezuela (PDVSA). Output at Lake Maracaibo—once the beating heart of Venezuela’s energy sector—has dropped dramatically, with many wells abandoned and facilities in severe disrepair.

The partnership with Concord Resources is expected to inject fresh capital and technology into operations. Analysts say the deal could boost production by 200,000 barrels per day within the next five years, although much will depend on infrastructure rehabilitation and political stability.

“This is a survival pact for Maduro,” said Francisco Monaldi, an energy policy expert at Rice University’s Baker Institute. “Without foreign partners willing to take on the risks, Venezuela cannot meaningfully recover oil output. China is signaling that it is willing to play the long game.”