XRG, the international energy investment company of Abu Dhabi National Oil Company (Adnoc), has entered Venezuela through the award of the offshore Loran licence and the transfer of an interest from PDVSA Gas, expanding its gas and LNG footprint in Latin America.

Subject to regulatory approvals, XRG will hold an equal interest in the licence alongside bp and UCC.

The Loran licence contains more than 4 trillion cubic feet of proven gas resources and forms part of the wider Loran-Manatee offshore gas accumulation, which straddles the maritime boundary between Venezuela and Trinidad and Tobago.

The move marks the second phase of XRG’s strategy to build an integrated gas and LNG platform across Latin America and strengthens its position in the Atlantic Basin.

XRG said the investment could benefit from established infrastructure, providing a potential route to market for the gas.

The company said its participation was enabled by cooperation with the Venezuelan government, which helped establish the framework for its involvement in the project.

Loran adds to XRG’s growing international portfolio, which includes Rio Grande LNG in the US, Argentina LNG, subject to regulatory approvals, Egypt through Arcius Energy, Azerbaijan’s Absheron field and Southern Gas Corridor, Turkmenistan’s Offshore Block 1 and Mozambique’s Area 4 concession.

XRG said the investments are intended to create an international gas platform linking major resources with infrastructure and global customers across North America, South America, Africa, the Caspian region and the Middle East.

Its participation in Loran remains subject to definitive licence and development agreements, applicable government and regulatory approvals, and compliance with relevant international sanctions and other requirements.

Mohamed Al Aryani, President, International Gas, XRG, said: “Venezuela holds significant gas resources and has the potential to play a greater role in meeting regional and international energy demand. Our entry through Loran reflects XRG’s strategy to invest with partners in advantaged resources with access to established infrastructure and clear routes to market. By connecting Venezuelan gas with established infrastructure, we aim to support the responsible development of these resources, strengthen regional energy integration and create long-term value for Venezuela, our partners and local communities.” -OGN/TradeArabia News Service