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Chevron Highlights Stocks to Consider if Venezuela's Oil Industry is Revived
The energy sector is catching investors' attention as we begin 2026, with crude oil prices spiking following the capture and extradition of Venezuelan President Nicolas Maduro to the United States.
Venezuela produces a million barrels of oil a day, which is rather modest in terms of global output, but the South American nation has the largest oil reserves in the world. In fact, Venezuela’s oil reserves represent nearly 20% of the global oil supply at an estimated $300 billion barrels.
Furthermore, with the Trump administration vowing to “run Venezuela” for the time being and turn around its ailing energy infrastructure, this has made Chevron (CVX - Free Report) a very appealing option to consider among big oil stocks.
The only major U.S. Company With Operations in VZ
Having a presence in Venezuela for nearly 100 years, Chevron is the only major U.S. oil company that currently has authorized operations in Venezuela.
While other major U.S. firms left due to nationalization that led to disputes with the Venezuelan government, far before geopolitical tensions and sanctions came to a head, Chevron maintained its joint ventures within Venezuela, including a strong relationship with PDVSA, Venezuela’s state-owned oil company.
Chevron’s status within Venezuela has helped the company obtain special U.S. government licenses to allow limited operations and exports of Venezuelan oil. Notably, President Trump has stated that Chevron could potentially spearhead the goal of rebuilding Venezuela’s oil industry, which has been in decline despite its massive oil reserves.
Increased production and exports could also help in the faster recovery of billions in outstanding debt that PDVSA owes Chevron. This would also increase Chevron’s supply to U.S. refineries that are optimized for heavy crude oil, the type that Venezuela produces, as opposed to light crude.
The heavy crude would fill a critical supply gap and potentially lead to higher margins, a promising development considering Chevron’s annual earnings are now expected to contract to $7.34 per share compared to EPS of $10.05 in fiscal 2024. Chevron stock spiked 5% in Monday’s trading session and currently has a Zacks Rank #3 (Hold), with the oil giant scheduled to report its Q4 2025 results on January 30.
Halliburton & Valero
A surge in demand for oil-field services is also expected if the U.S. gains control of Venezuela’s massive oil industry, with Halliburton (HAL - Free Report) being of interest for its jointly developed “intelligent hydraulic fracturing” process used in shale operations with Chevron.
Additionally, Valero Energy (VLO - Free Report) is an oil refiner and marketer that is reportedly in talks with Chevron in regard to resuming shipments of Venezuelan crude to its U.S. refineries. Operating one of the most complex refinery systems on the U.S. Gulf Coast, Valero has a niche in turning “cheap” heavy crude oil into high-value products like gasoline, diesel, and jet fuel.
Halliburton and Valero stock both land a Zacks Rank #3 (Hold) and are standing out in terms of valuation, at 13X forward earnings, respectively. Halliburton and Valero stock soared over 7% on Monday.
Image Source: Zacks Investment Research
Honorable Mentions
Another oilfield service provider to pay attention to is SLB Limited (SLB - Free Report) , formerly known as Schlumberger. SLB Limited also has partnerships with Chevron and is actively preparing a quick return to Venezuela’s oilfields. That said, SLB Limited stock has a Zacks Rank #4 (Sell) based on a stagnant trend of EPS revisions for FY25 and a decline in FY26 EPS revisions in the last 60 days.
Meanwhile, ConocoPhillips (COP - Free Report) is an integrated oil and gas company that previously had operations in Venezuela, and like Chevron, is owed billions in compensation. ConocoPhillips' stock lands a Zacks Rank #3 (Hold), and its long-term prospects could certainly be boosted if the company re-enters Venezuela’s rich oil region after halting these operations in 2007.
SLB Limited stock spiked nearly +9% in Monday’s trading session, with ConocoPhillips shares up more than 2%.
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Chevron Highlights Stocks to Consider if Venezuela's Oil Industry is Revived
The energy sector is catching investors' attention as we begin 2026, with crude oil prices spiking following the capture and extradition of Venezuelan President Nicolas Maduro to the United States.
Venezuela produces a million barrels of oil a day, which is rather modest in terms of global output, but the South American nation has the largest oil reserves in the world. In fact, Venezuela’s oil reserves represent nearly 20% of the global oil supply at an estimated $300 billion barrels.
Furthermore, with the Trump administration vowing to “run Venezuela” for the time being and turn around its ailing energy infrastructure, this has made Chevron (CVX - Free Report) a very appealing option to consider among big oil stocks.
The only major U.S. Company With Operations in VZ
Having a presence in Venezuela for nearly 100 years, Chevron is the only major U.S. oil company that currently has authorized operations in Venezuela.
While other major U.S. firms left due to nationalization that led to disputes with the Venezuelan government, far before geopolitical tensions and sanctions came to a head, Chevron maintained its joint ventures within Venezuela, including a strong relationship with PDVSA, Venezuela’s state-owned oil company.
Chevron’s status within Venezuela has helped the company obtain special U.S. government licenses to allow limited operations and exports of Venezuelan oil. Notably, President Trump has stated that Chevron could potentially spearhead the goal of rebuilding Venezuela’s oil industry, which has been in decline despite its massive oil reserves.
Increased production and exports could also help in the faster recovery of billions in outstanding debt that PDVSA owes Chevron. This would also increase Chevron’s supply to U.S. refineries that are optimized for heavy crude oil, the type that Venezuela produces, as opposed to light crude.
The heavy crude would fill a critical supply gap and potentially lead to higher margins, a promising development considering Chevron’s annual earnings are now expected to contract to $7.34 per share compared to EPS of $10.05 in fiscal 2024. Chevron stock spiked 5% in Monday’s trading session and currently has a Zacks Rank #3 (Hold), with the oil giant scheduled to report its Q4 2025 results on January 30.
Halliburton & Valero
A surge in demand for oil-field services is also expected if the U.S. gains control of Venezuela’s massive oil industry, with Halliburton (HAL - Free Report) being of interest for its jointly developed “intelligent hydraulic fracturing” process used in shale operations with Chevron.
Additionally, Valero Energy (VLO - Free Report) is an oil refiner and marketer that is reportedly in talks with Chevron in regard to resuming shipments of Venezuelan crude to its U.S. refineries. Operating one of the most complex refinery systems on the U.S. Gulf Coast, Valero has a niche in turning “cheap” heavy crude oil into high-value products like gasoline, diesel, and jet fuel.
Halliburton and Valero stock both land a Zacks Rank #3 (Hold) and are standing out in terms of valuation, at 13X forward earnings, respectively. Halliburton and Valero stock soared over 7% on Monday.
Image Source: Zacks Investment Research
Honorable Mentions
Another oilfield service provider to pay attention to is SLB Limited (SLB - Free Report) , formerly known as Schlumberger. SLB Limited also has partnerships with Chevron and is actively preparing a quick return to Venezuela’s oilfields. That said, SLB Limited stock has a Zacks Rank #4 (Sell) based on a stagnant trend of EPS revisions for FY25 and a decline in FY26 EPS revisions in the last 60 days.
Meanwhile, ConocoPhillips (COP - Free Report) is an integrated oil and gas company that previously had operations in Venezuela, and like Chevron, is owed billions in compensation. ConocoPhillips' stock lands a Zacks Rank #3 (Hold), and its long-term prospects could certainly be boosted if the company re-enters Venezuela’s rich oil region after halting these operations in 2007.
SLB Limited stock spiked nearly +9% in Monday’s trading session, with ConocoPhillips shares up more than 2%.