Abu Dhabi's XRG Expands Latin American Footprint with Venezuela Offshore Gas Licence

Abu Dhabi’s XRG, Adnoc's international energy investment unit, has officially entered Venezuela's energy sector by securing an offshore natural gas project alongside global oil major bp and Qatar’s UCC. Announced on Thursday, XRG has been awarded a licence for the Loran field in the South American nation, establishing the company as an equal interest partner alongside bp and UCC.

The licence for Loran phase 2 contains more than 4 trillion cubic feet (tcf) of proven gas resources, significantly bolstering XRG’s growing presence in Latin America despite regional volatility. Mohamed Al Aryani, president of international gas at XRG, highlighted that Venezuela holds major gas resources with the potential to meet both regional and international energy demands.

The Loran field is part of the larger Loran-Manatee offshore gas deposit, which spans the maritime boundary between Venezuela and Trinidad and Tobago. Mr Al Aryani noted that connecting this gas with established infrastructure aims to support responsible resource development, enhance regional energy integration, and generate long-term value.

This latest milestone builds upon XRG's broader strategy to establish a comprehensive gas and liquefied natural gas (LNG) platform across Latin America and the wider Atlantic Basin, complementing its existing portfolio in North America, Africa, the Caspian, and the Middle East.

Launched in 2024 as an international lower-carbon energy and chemicals investment company with an enterprise value exceeding $80 billion, XRG aims to double its asset value over the coming decade. Previous strategic moves include acquiring stakes in Argentina's upstream blocks alongside Italy's Eni and YPF in June, as well as increasing its stake in the Rio Grande LNG project in the US earlier in January. XRG's international investments also include the Absheron field in Azerbaijan, Offshore Block 1 in Turkmenistan, and the Area 4 concession in Mozambique’s Rovuma Basin. The company confirmed that its participation in Loran phase 2 remains subject to definitive licence agreements, development arrangements, and regulatory approvals.