UNIVERSIDAD DE ORIENTE

NÚ CLEO DE MONAGAS

INGLES INSTRUMENTAL II

Venezuelan
Oil Industries

STUDENT: PROFESSOR:

LENNY TERAN BELSY RIVAS CORREA

ID: 28.080.147

MAY, 2021
 Introduction
Venezuela, one of the largest oil exporters and with the largest proven reserves in the
world, its beginnings in the oil industry date back to 1878 when a group of Venezuelans
came together to create and sign the contract for what would be the first oil company in
Venezuela "La Petrolia del Táchira", which undoubtedly marked one of the most original
and relevant facets of our history and of what would be the most important industry in
the country. From then on the road grew, between 1904-1940 the oil boom occurred
during the government of Juan Vicente Gómez and soon in our country various foreign oil
companies would be in charge of the exploration and exploitation of crude oil until it
reached to the point where all the assets of the oil companies were nationalized in 1976
with the birth of Petróleos de Venezuela, SA (PDVSA).
La Compañía Nacional Minera Petrolia del Táchira:

Known as “La Petrolia del Táchira” it is considered the first oil company in Venezuela, it
remained in the trade registry during the years 1878-1934, to exploit the oil discovered in
the La Alquitrana farm, through the EUREKA well, to this The first well, followed by others
that produced small volumes of production that barely fed a small refinery that processed
15 barrels of oil per day, whose main export product to the towns of Colombia was
kerosene.

Its production, although scarce, was the first step for the Venezuelan oil industry.

By the 1930s, the discoveries of the vast oil fields of the Zulia state were already
consolidated, much easier to exploit and with much higher production than those of La
Petrolia. Finally, on April 8, 1934, after more than 50 years of work, the company ceased
extraction.

Oil Boom:

Despite the knowledge of the existence of oil in Venezuela for centuries and the first step
taken by La Petrolia, this resource gained real significance with the arrival of the 20th
century and the first wells of real importance were not drilled until the 1910s. The then
president Cipriano Castro approved a new Mining Code for the Nation on January 23,
1904, thus establishing a principle that would dramatically mark the course of the oil
industry until its nationalization.

In 1908, Juan Vicente Gómez replaced Castro as president of Venezuela. In the following
years, Gómez continued the policy of granting concessions to foreign oil companies that
possessed the necessary technology.

In 1914, the first major Venezuelan oil field, Mene Grande, was discovered by the
Caribbean Petroleum Company after the completion of the Zumaque I well. This important
discovery is what encouraged a massive wave of foreign oil companies to invest in
Venezuela.

From 1914 to 1917, several oil fields were discovered throughout the country; however
the outbreak of the First World War significantly delayed the development of the industry.

The first refining operations were carried out on August 17, 1917 at the San Lorenzo
refinery (the first refinery in Venezuela), located in the Baralt municipality, Zulia State, and
the first significant exports of Venezuelan oil left through the terminal of Caribbean
Petroleum.
In late 1918, oil first appeared in Venezuela's export statistics with an annual production
of 21,194 metric tons. After some twenty years since the installation of the first well
drilling rig, Venezuela had become the world's largest oil exporter and the second largest
oil producer, after the USA. Oil exports shot up from 1.9% to 91.2% between 1920 and
1935. This is the First Oil Boom in Venezuelan history.

Path to nationalization:

In 1941, the president, Isaías Medina Angarita enacted one of his most important reforms
during his term in office, the Hydrocarbons Law of March 13, 1943. This new law was the
first major political step taken towards gaining more control over the oil industry. Under
the new law, any new concession will be for 40 years and obliges companies to refine part
of the oil production in the national territory (this is where the large refineries in the
country are born, under the protection of looking for new sources of work for the
Venezuelan).

In 1944, the Venezuelan government gave several new concessions to encourage the
discovery of more oil fields. This was mainly attributed to the increase in demand for oil
caused by World War II, and between 1943 and 1944 Venezuela increased its production
by 42 percent, considered the Second Venezuelan oil boom.

Even after the end of the war, the demand for oil continued to increase and by 1946
Venezuela was producing 1 million 64 thousand barrels a day, considered the second
largest oil producer in the world.

In 1948, Minister Juan Pablo Pérez Alfonzo and President Rómulo Betancourt formulated
the new concept of a 50/50 (fifty-fifty) division of profits between the government and the
oil companies. Once passed, this law basically remained unchanged until 1976, the year of
nationalization.

In 1960 La Corporacion Venezolana de Petróleo1 was created, by 1962 Venezuela

exceeded the production of 3 million barrels per day.
1
Corporacion Venezolana de Petróleo (CPV): Venezuelan oil company, state-owned, which
has existed in two historical periods. In a first stage, its objective was the exploration,
exploitation, refining and transportation of hydrocarbons, as well as the purchase, sale
and exchange of the same in any form, inside or outside Venezuela, from its creation in
1960 to 1978, when it was liquidated and its assets transferred to the operator Corpoven,
also a state company.
Nationalization:

Long before 1976, Venezuela had taken various steps in the direction of nationalizing its
oil industry. The reversion law enacted in 1971 stated that all property, facilities and
equipment belonging to the concessionaires, inside or outside the concession areas,
would revert to the nation without compensation upon expiration of the concession.
Decree 832 also established that all the exploration, production, refining and sales
programs of the oil companies had to be previously approved by the Ministry of Mines
and Hydrocarbons. So, for all practical purposes, Venezuela was already on its way to
nationalization in 1972.

The nationalization became official in the first presidency of Carlos Andrés Pérez, whose
economic plan, "La Gran Venezuela", contemplated the nationalization of the oil industry
and the diversification of the economy through import substitution. The country officially
nationalized the oil industry on January 1, 1976, and along with it came the birth of
Petróleos de Venezuela, S.A. (PDVSA). All foreign oil companies that once did business in
Venezuela were replaced by Venezuelan subsidiaries of PDVSA.

Then PDVSA mainly carried out the activities of the parent company of the nationalized
operating companies, successors of the 13 former private concessionaires existing up to
that date:

 Amoven (successor to Amoco)

 Bariven (successor to Sinclair/ARCO)
 Boscanven (successor to Chevron)
 Deltaven (successor to Texaco)
 Guariven (successor to Petrolera Las Mercedes2, a Venezuelan private equity
company)
 Lagoven (successor to Creole Petroleum, a subsidiary of Exxon)
 Llanoven (successor to Mobil)
 Maraven (successor to Shell)
 Meneven (successor to Mene Grande Oil, a subsidiary of Gulf Oil)
 Palmaven (successor to Sun Oil)
 Roqueven (successor to Phillips)
 Taloven (successor to Talon Petroleum3, a Venezuelan private equity company)
 Vistaven (successor to Petrolera Mito Juan4, a Venezuelan private equity
company)
With the exception of Bariven, Palmaven and Deltaven, all these state operators were
gradually integrated and were finally reduced to 3 in 1986 (Lagoven 5, Corpoven6 and
Maraven7).

With the creation of the subsidiary Pequiven8 in March 1978, PDVSA assumed the
leadership of the petrochemical industry.

Bariven was converted in 1980 into the company in charge of purchasing equipment and
materials abroad; Palmaven assumed in 1987 the distribution of fertilizers in the national
market and assistance to agricultural activities, while Deltaven was reactivated in 1997 to
absorb the activities of commercialization of fuels and lubricants in the Venezuelan
domestic market under the brand name "PDV" control of some of the service stations in
the Maraven network.

In 1988 PDVSA, together with the subsidiaries INTEVEP, Lagoven and Corpoven,
established the company Bitumen del Orinoco, S.A to produce, transport and
commercialize Orimulsion fuel.

In 1990, PDV Marina was created with the purpose of integrating the human resources,
fleet, equipment and maritime operations of PDVSA and its subsidiaries.
2
Petrolera Las Mercedes: It was a Venezuelan company with private capital, forming part
of the Oil and Gas Field Services Industry.
3
Talon Petroleum: It was a Venezuelan oil company with private capital, founded in 1952
by the Venezuelan businessman and engineer Rafael Tudela Reverter. It produced 4,000
barrels of crude per day.
4
Petrolera Mito Juan: It was a Venezuelan oil company with private capital, founded in
1965 by a handful of Venezuelan businessmen, led by the petroleum engineer Humberto
Peñaloza. Myth Juan was totally innovative in the oil business in Venezuela.
5
Lagoven: It was a Venezuelan oil company, a subsidiary of Petróleos de Venezuela, which
operated the business of exploration, production, refining and commercialization of oil
and derivatives in Venezuela for 22 years, from the beginning of its activities on January 1,
1976 until the cessation of the same on December 31, 1997. It had a wide network of
service stations distributed throughout the Venezuelan territory, it was also linked -during
its existence- to the social and cultural development of Venezuela, through activities of
various kinds, as a provider of health services and support for sports and cultural activities.
6
Corpoven: It was a Venezuelan oil company, a subsidiary of Petróleos de Venezuela,
which operated businesses of exploration, production, refining and commercialization of
oil and derivatives, as well as all gas operations in Venezuela for 19 years, since the
beginning of its activities in December 1978 until their termination on December 31, 1997.
It had a wide network of service stations distributed throughout Venezuelan territory.
Corpoven has its origin due to the merger of the activities that were separately carried out
by the Llanoven and CVP subsidiaries.
7
Maraven: It was a Venezuelan oil company, a subsidiary of Petróleos de Venezuela, which
operated the exploration, production, refining and commercialization of oil and
derivatives businesses in Venezuela for 22 years, from the beginning of its activities on
January 1, 1976 until their termination on December 31, 1997. The company had a wide
network of service stations distributed throughout the Venezuelan territory. In particular,
Maraven was created to take control of all the assets, equity and operations owned by
Shell de Venezuela (a subsidiary of Royal Dutch Shell in Venezuelan territory) by
December 1974.
8
Pequiven: It is a company belonging to the Venezuelan State, dedicated to the production
and commercialization of petrochemical products with export capacity, but giving priority
to the national market. Pequiven was created in 1977, assuming the operations of the
Venezuelan Petrochemical Institute (IVP), which was founded in 1955. In 1978 it was
affiliated with Petróleos de Venezuela. At that time, the Morón (Carabobo) and El Tablazo
(Zulia) Complexes were operating and 10 joint ventures were in production.

Venezuelan Oil Industry at present:

What is PDVSA: Petróleos de Venezuela S.A is the state oil company, created in 1976. It is
owned by the Republic of Venezuela and is responsible for the development of the oil,
petrochemical and coal industries, in addition to planning, coordinating, supervising and
controlling the operational activities of its divisions, both in Venezuela and abroad.

Characteristics:

 The Bolivarian Republic of Venezuela owns all the shares of the company, which is
attached to the Ministry of Popular Power for Energy and Petroleum.
 The oil company has the largest oil reserves in the world, reaching at the end of
2013, a total certified sum of 298,353 million barrels, which represent 20% of the
world reserves of this resource.
 Its activities also include the promotion or participation in those aimed at
promoting the integral, organic and sustainable development of the country.

Company division and structure:

PDVSA is divided into four work units, according to the functions that each one performs:

 Exploration and Production: Area in charge of the evaluation, exploration,

certification and drilling of oil fields. Being the first link in the chain, it also covers
the drilling and construction of oil wells.
 Refining: Area in charge of separating, improving and obtaining petroleum
products or derivatives through processing plants and refineries.
 Distribution and commercialization: Area in charge of placing the obtained
products (crude) in the different international markets, and (derivatives) in
national and international markets.
 Gas: With proven reserves of 147 trillion cubic feet, Venezuela is one of the world
powers in the gaseous hydrocarbon sector.

Oil sector Companies:

 Mixed companies: operating companies with mixed capital, created in 2005 with
majority capital from the state oil company (PDVSA) and the transnational and
national companies that were previously part of the oil opening, either through
operating agreements or strategic associations.
 Service companies: oil companies that are responsible for providing services to
operating companies, such as drilling, cementing, well maintenance, rehabilitation,
drilling fluids, among others.

PDVSA companies or subsidiaries currently:

Nationals:

 INTEVEP (Instituto de Tecnología Venezolana para el Petróleo): It is the

Research and Development subsidiary of PDVSA and is considered the
technological arm of the corporation. Its functions include: certifying drilling and
production equipment, as well as carrying out research and development projects
in the areas of oil exploration, production and refining.
 BARIVEN: It is the responsible company that acquires the materials and
equipment necessary for exploration and production, refining, gas activities and
the contracting of associated services. It also has the task of managing the
inventories, warehouses and the sale of unused assets of the Corporation.
 DELTAVEN: It is a subsidiary of PDVSA, whose activity is the commercialization of
fuels, lubricants, solvents, asphalts, greases and other hydrocarbon derivatives
under the PDV trademark.
 PDVSA GAS: It is the PDVSA subsidiary dedicated to the exploration, exploitation,
collection, storage, processing and industrialization of natural gas as an energy
 source, to meet the internal demand of the domestic, commercial and industrial
sectors, thus contributing to the development of the nation.
 PDV MARINA: It is the PDVSA subsidiary, which is in charge of the distribution and
maritime transport of hydrocarbons and their derivatives.
 PDVSA AMÉRICA (Discontinued): It is a subsidiary company of PDVSA that was
created in 2006 with the purpose of following up on the regional energy
cooperation initiatives described in Latin America, the Caribbean and on a
continental scale, together with the National Executive. Several affiliate companies
were attached to this company, in several countries of the region:
- Pdvsa Ecuador S.A
- Pdvsa Bolivia S.A
- Pdvsa Uruguay S.A.
- Pdvsa Paraguay S.A
- Pdvsa Argentina S.A
 PDVSA GAS COMMUNAL (Discontinued): It is the PDVSA Subsidiary in charge of
guaranteeing the supply of Liquefied Petroleum Gas (LPG) in an efficient, effective
and safe manner. His responsibilities include the transportation, storage,
packaging and distribution of LPG.
 PDVSA SERVICIOS PETROLEROS: Responsible for carrying out construction and
maintenance services for oil wells.
 PDVSA INGENIERÍA Y CONSTRUCCIÓN: Subsidiary of PDVSA whose purpose is to
provide advisory services, technical assistance and management, in the areas of
Engineering and Construction, required by the Major Projects of PDVSA, its
businesses, subsidiaries and joint ventures, as well as other entities of the
Venezuelan State.
 CVP: It was reactivated on July 14, 1995, as a PDVSA subsidiary with a new
objective: to manage and control the businesses and associations that PDVSA
maintains with other oil companies with national or foreign capital. In this sense, it
participates in the administration and control of these businesses, both in the
Orinoco Belt and in the rest of the country. It also participates in the definition of
the future business model that it carries out and in the development of everything
related to offshore gas exploration. Currently, 44 joint ventures are registered.
(See Annex 1, List of PDVSA joint ventures) Some of these companies, however,
are not active.

International subsidiaries and affiliates:

Europe:

Sweden and England:

Nynas: In 1986 PDVSA signed an association agreement with Nynäs AB Petroleum
through which it acquired 50% of the shares of this Swedish company that produces oils
and asphalt products, which operates refineries in Sweden, Belgium and the United
Kingdom.

On May 12, 2020, PDVSA reduced its stake in Nynas to 15% and the other 35% became the
property of an independent Swedish foundation.

North America:

PDV Holding: Subsidiary in the United States of PDVSA is a parent company incorporated
in Delaware and headquartered in Texas. PDVH is the indirect shareholder of CITGO
Petroleum Corporation.

CITGO: It is a company that comprises a group of oil refiners. It refines and transports
gasoline, jet fuel, lubricants, petrochemicals, and other petroleum derivatives. PDVSA
owns 100% of the property. In February 1986, PDVSA bought 50% of the shares and
acquired the rest in 1990. It is currently one of the largest oil companies in the world and
the largest PDVSA subsidiary outside of Venezuelan territory.

Caribbean:

PDV Caribe: It is the company in charge of organizing and coordinating the “Petrocaribe”
hydrocarbon transport network, including ships, storage facilities and port terminals, as
well as the refining and distribution capacity necessary to execute the Energy Cooperation
Agreement signed by 14 countries of the Caribe, promoted by the Government of
Venezuela to guarantee the direct supply of oil among its members. This subsidiary was
created in 2005 by PDVSA and has stakes - between 25% and 60% - in various subsidiaries
established in each of the member countries.

Bonaire:

Bonaire Petroleum Company (BOPEC): It is a fuel oil storage terminal that was wholly
owned by the Venezuelan oil company PDVSA. It functioned primarily as a storage facility
for multiple grades of refined and unrefined oils from Venezuela and refineries in Curaçao
and Aruba.

In March 2021 the subsidiary BOPEC declared bankruptcy because it could not pay its
debts.

Jamaica:
Petrojam LTD: It is a joint venture that owns the Jamaica refinery; PDVSA owns 49% of
this plant. In 2006 PDV Caribe signed an agreement with the Petroleum Corporation of
Jamaica, where they agreed to repair the Petrojam refinery in order to increase its
processing capacity. A year later, in August 2007, PDV Caribe would share shares of the
Petrojam Mixed Company.

In February 2018, Jamaica reportedly informed Venezuela of its intention to buy PDVSA's
49% of Petrojam. On June 17, 2019 Jamaica in a confiscation action takes full control of
the Refinery.

Dominican Republic:

Refinería Dominicana de Petróleo PDV, S.A. (Refidomsa PDV): It is a company

dedicated to the refining of petroleum and the importation and commercialization of
petroleum products. The Dominican state is the majority shareholder with 51% of the
shares, and the rest belongs to PDV Caribe, the subsidiary of the Venezuelan state PDVSA.
PDVSA currently lost control due to economic and operational difficulties, which were
deepened by the sanctions at said refinery.

St. Vincent and the Grenadines:

PDV Caribe San Vicente y Las Granadinas Limited: It is a mixed company, the
company has a 55% stake in PDV Caribe, the PDVSA subsidiary created to make the
Petrocaribe initiative operational, and 45% of the shares are owned by the state-owned
Petrocaribe Saint Vincent and The Grenadines Limited.

Annexes
Annex 1, List of PDVSA joint ventures.

1. Empresa Mixta Baripetrol S.A.: Established in 2006. It operates in the Colón area on
the western shore of Lake Maracaibo.
2. Empresa Mixta Boquerón S.A: Located in Campo Boquerón, Monagas state. This joint
venture corresponds to an old operating agreement for the exploitation of mature fields.

3. Empresa Mixta Lagopetrol S.A.: B2X-70/80 area of 41.91 square kilometers, Zulia
state.

4. Empresa Mixta Petrocabimas, S.A: Joint venture between CVP and the national
company Suelopetrol, on the Eastern Coast of Lake Maracaibo, Zulia state.

5. Empresa Mixta Petroboscán S.A: Located in Campo Boscán, Zulia state. This joint
venture corresponds to an old operating agreement for the exploitation of mature fields.

6. Empresa Mixta Petrocedeño S.A (old SINCOR): Located in the Orinoco Oil Belt. It
operates an extra heavy crude improver in Jose, Anzoátegui state. The shareholding
composition of PetroCedeño is as follows: CVP, a subsidiary of PDVSA, (60%), TOTAL S.A of
France (30.3%) and the Norwegian Statoil, (9.7%).

7. Empresa Mixta Petrocumarebo S.A: PDVSA 60% and the national consortium
VINCCLER (40%), Falcon State.

8. Empresa Mixta Petrocuragua S.A: Constituted by CVP, a PDVSA subsidiary, and

Venezuelan companies Cartera de Inversiones Petroleras, C.A (CIP), Operaciones de
Producción y Exploración Nacionales S.A OPEN. It operates in the Casma field, Anaco, in
the southwest of the Monagas State.

9. Empresa Mixta Petrodelta S.A: Formed between CVP with 60% of the shares and
Harvest-Vinccler with 40%. It operates the fields: Temblador (162.98 km2), El Isleño
(117.82 km2), El Monagas Sur (244.23 km2) and El Salto (475 km2), in the Monagas state.

10. Empresa Mixta Petroguárico, S.A: mixed Company that operates in the Boyacá
division of the Orinoco Oil Belt, a field with an area of 290.25 km2 in the Guárico state.

11. Empresa Mixta Petroindependiente S.A: Constituted in 2010 by PDVSA (60%),

Chevron Carabobo Holdings ApS (34%), the Japan Carabobo UK Ltd consortium (5%) and
Suelopetrol International S.A. (1%). The company develops the Carabobo 3 project, in the
Orinoco Oil Belt, made up of three blocks: C2 South, C3 North and C5.

12. Empresa Mixta Petrokariña S.A: Founded in 2006, with PDVSA (60%), Petrobras
(29.2%) and Inversora Mata (10.80%). This is one of the joint ventures of the old operating
agreements.

13. Empresa Mixta Petrolera Bielovenezolana S.A: This joint venture between
Bielorusia and PDVSA will exploit the Soto, Mapire and La Ceiba fields in Anzoátegui state.
14. Empresa Mixta Petrolera Güiria S.A: Founded in 2007 by PDVSA, ENI and the
national company Ine Paria, which corresponded to the extinct Gulf of Paria Central
exploration risk agreement, for the development of offshore hydrocarbon deposits.

15. Empresa Mixta Petrolera Indovenezolana S.A: Incorporated in 2008 with a 60%
stake in PDVSA and the Indian company ONGC (40%), located in the Junin Field, Orinoco
Oil Belt.

16. Empresa Mixta Petrolera Kaki S.A: Founded in 2006, with the participation of CVP
with 60%, Inemaka Exploration & Production with 22.667% and Inversiones Polar, with
17.33%.

17. Empresa Mixta Petrolera Paria, S.A: Founded in 2007, between PDVSA, ENI and the
national Ine Paria, which corresponds to the extinct Gulf of Paria Central exploration risk
agreement, for the development of hydrocarbon deposits of the Costa Afuera project.

18. Empresa Mixta Petrolera Sino - Venezolana S.A: Created in 2006 with a 75% stake
by PDVSA and 25% by the Chinese company CNPC. It operates the Caracoles fields,
Ayacucho division of the Orinoco Oil Belt, and Intercampo (Lake Division).

19. Empresa Mixta Petrolera Vencupet S.A: Company founded in 2010. 60% of the
share capital of PDVSA, through the subsidiary CVP, and the Cuban oil company CUPET,
with 40%. It operates in the Ayacucho division of the Orinoco Oil Belt.

20. Empresa Mixta Petromonagas S.A (Antigua Cerro Negro): Located in the Orinoco
Oil Belt. It operates an extra heavy crude upgrader in Jose, Anzoátegui, made up of CVP
with a 60% stake, and the Russian company Rosneft Energy GMBH, with a 40% stake.

21. Empresa Mixta Petronado S.A: In this company CVP owns 60% of the shares, the
Compañía General de Combustible (Argentina) 26.004%, Banco Popular de Ecuador SA
8.356% and Korea National Oil Corporation 5.64%. Petronado operates the Onado field,
Monagas state.

22. Empresa Mixta Petroperijá S.A: mixed company founded in 2006, Perijá, Zulia state.

23. Empresa Mixta Petropiar SA: Petropiar was born from the nationalization of the
Ameriven oil company in 2007, constituted by PDVSA 70% and Chevron 30%, dedicated to
the exploration, extraction, collection, transport and storage of hydrocarbons in the
Orinoco oil belt, Venezuela. It operates an extra heavy crude improver in Jose, Anzoátegui.
24. Empresa Mixta Petroquiriquire S.A: Company incorporated between CVP owns
60% and Repsol 40%, responsible for the Quiriquire and Menegrande fields, Monagas
State

25. Empresa Mixta Petroregional del Lago S.A: Was founded between PDVSA 60% and
Shell 40%. It operates in the Urdaneta Oeste field on Lake Maracaibo, Zulia state.

26. Empresa Mixta Petroritupano S.A: Company founded in 2006 by PDVSA (60%),
Petrobras (22%) and Venezuela US (18%). It operates in the Ayacucho division of the
Orinoco Oil Belt.

27. Empresa Mixta Petrosucre S.A: Company created in for the exploitation of
condensates in the Perla 3X gas field. It operates in the Corocoro Oeste field, in the Gulf of
Paria, Sucre state. The company is a pioneer in the extraction, production and dispatch of
hydrocarbons from the sea and is part of the Costa Afuera project.

28. Empresa Mixta Petrourdaneta, S.A: Created in 2011 for the exploitation of
condensates and gas, in charge of the exploitation of the La Paz, Mara Este, and Mara
Oeste fields, and the area of the city of La Concepción. It was made up of CVP 60%, and
the Brazilian company Odebrecht, which owned 40%. However, in March 2017, the 40%
that corresponded to the Brazilian construction company was assigned to the Compañía
Anónima Militar de Industrias Mineras, Petrolímeros y de Gas (Camimpeg).

29. Empresa Mixta Petroven-Bras S.A: Alliance between Petrobras and CVP. The Acema
Field, between Anzoátegui and Monagas, explodes.

30. Empresa Mixta Petrowarao S.A: mixed company created in 2006 for the
exploitation of light and medium crude oil in the west of the country. Petrowarao S.A is
made up of PDVSA through CVP, with 60%, and the French company, Perenco Petróleo y
Gas ETVE, S.L with 40%. It has operations in the production fields in Ambrosio, west of
Lake Maracaibo, and in the Pedernales area, north of the Orinoco Delta.

31. Empresa Mixta Petrowayu S.A: Company created between CVP, a subsidiary of
Petróleos de Venezuela S.A. (PDVSA), and Petrobras of Brazil. It works in the La
Concepción field, Zulia state.

32. Empresa Mixta Petrozamora: Company created between PDVSA 60% and the
Russian Gazprombank with 40%. It develops operations for the exploitation, extraction,
collection, transportation and storage of oil and associated gas in the Lagunillas and
Bachaquero Tierra fields, on the Eastern Coast of the Lake. In 2015, the incorporation of
the Bachaquero Lago Bloque III Centro, Block III Bachaquero, Block VII Ceuta fields was
approved. Subsequently, in August 2017, the operational area Block VII Area 8 (Moporto
Lago) was included. It is the first joint venture with lake and land operations in the West of
the country.

33. Empresa Mixta Petrozumano S.A: A company created in 2007 with a 60% stake in
CVP and the Chinese company CNPC 40%. It explores and extracts oil and gas in the
Zumano field (428.19 kilometers) of the Anzoátegui state.

34. Empresa Mixta VENANGOCUPET S.A: mixed company, constituted by CVP, with 60%
and Comercial Cupet S.A. de Cuba and Sonangol Pesquisa & Producao, S.A. from Angola,
with a 20% stake each. It operates in the south of Anzoátegui state, in the Ayacucho
Division of the Orinoco Oil Belt.

35. Perforosven S.A: Joint venture between PDVSA and Russia's Rosneft with an
investment of eight million dollars. It operates in the El Tigrito sector, Anzoátegui state, of
the Orinoco Oil Belt.

36. Petrobicentenario S.A: Incorporated between PDVSA with 60% and the Italian ENI
with 40%. This company was established to build a refinery in Jose, Anzoátegui state, to
produce 350 thousand barrels per day. The refinery will process extra heavy crude,
bypassing an upgrader. This project is on hold.

37. PetroCarabobo S.A: Joint venture between Repsol and CVP. Campo Carabobo,
Anzoátegui. Orinoco heavy crude belt

38. Petrojunín S.A: Of the previous Strategic Associations of the Orinoco Oil Belt, this
company was formed in which PDVSA participates with 60% and 40% of ENI.

39. Petromacareo S.A: Company constituted 60% by PDVSA and 40% by the Vietnamese
state company. It operates in located in the Junín 2 Block of the Orinoco Oil Belt.

40. PetroMiranda S.A: PDVSA and Rosnef formed a joint venture for the construction
and operation of the natural gas production infrastructure in the Mejillones, Patao and Rio
Caribe offshore fields, located in the Paria Peninsula, Sucre state.

41. Petrourica S.A: Company established in 2010 between PDVSA with 60% and the
Chinese company CNPC with 40%.

42. Petrovictoria SA: Founded in 2013, it is a joint venture between PDVSA (60%) and
the Russian company Rosneft (40%) to develop oil reserves in the Carabobo-2/4 project, in
the Orinoco Belt, Venezuela, in a total area of 342 km2
43. Sinovensa, S.A: Created in 2008 by PDVSA (60%) and CNPC (40%). It operates in the
Carabobo Division of the Orinoco Oil Belt. This company has in Jose, Anzoátegui, a mixing
plant for extra-heavy crude from the Orínoco Oil Belt with diluents and light crude oils.

44. Venezirán Oil Company S.A: company founded in 2010, between PDVSA with 61%
and the Iranian company SADRA with 39%. It operates in the Orinoco Oil Belt.

Annex 2, images.

Company Petrolia del Táchira

PDVSA main building

PDVSA logo

PDV Gas Station (PDVSA subsidiary)

PDVSA gas logo

 PDV holding logo

El Palito Refinery
PetroCaribe logo

CITGO logo

Zumaque I
 Corpoven logo Lagoven logo
Maraven logo

Conclusion
Throughout Venezuelan history, oil has been an instrument to promote the internal
development of the country, and has also promoted Venezuelan participation in
international organizations and the international market. PDVSA at the time was one of
the largest oil industries in Latin America and the world, in the past, Venezuela was able to
succeed and achieve its industrialization objectives when the price of oil was very high,
however, the policies exercised throughout the oil history of our country have significantly
affected its development.

Currently, the debate on the oil industry is an issue with great importance in Venezuelan
policies, the industry is nationalized and has increased the economic dependence on this
resource, making it the main source of income for the country. But as we have already
seen, it is not a feasible way for our economy to depend on these revenues, since it makes
it vulnerable and susceptible to changes in the oil market, so it is important that
Venezuela develop new industries that allow the independence of that sector. and it
allows PDVSA to take a break and seek new paths that will lead the Venezuelan oil
industry towards true growth and expansion, since we still have a lot of potential in terms
of oil exploration, exploitation and production.