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Continental Resources, Led by Trump Ally Harold Hamm, Enters Venezuela Oil Market
Energy Minerals · Oil & Gas Production · yonhap_finance · 2026-09-17
Continental Resources has signed an MOU with Venezuela's state-owned PDVSA to develop the massive Ayacucho 2 block, marking a major shift in energy ties.
What Happened
Market Entry: Continental Resources, the U.S. shale firm led by billionaire Harold Hamm, has signed a memorandum of understanding with Venezuela's state-owned oil company, PDVSA. The agreement focuses on the operation and development of the Ayacucho 2 block, with plans to finalize a long-term production participation contract that would grant Continental full operational control.
Resource Potential: The Ayacucho 2 block spans approximately 126,000 acres and holds an estimated 30 billion barrels of oil. Continental stated that it conducted an independent assessment of the opportunity following encouragement from the Trump administration to support the reconstruction of Venezuela's energy sector.
Government Backing: This move follows a broader oil agreement between the U.S. and Venezuelan governments, which secured access to one-fifth of the country's oil reserves. The U.S. Department of Defense’s Office of Strategic Capital has also taken a 35% stake in a local private energy firm, North American Blue Energy Partners, to secure supply rights.
Industry Impact: The deal is part of a wider trend as global energy majors, including Chevron and ENI, have also initiated projects to ramp up crude production in Venezuela. These developments signal a significant shift in the geopolitical and commercial landscape of the regional oil industry.