LatAmOil: PdVSA signs oil-for-debt agreement with France’s M&P

Venezuela’s national oil company (NOC) PdVSA has entered into an agreement with Etablissements Maurel & Prom SA (M&P) of France, in a move that should enable the latter company to triple its production after the relaxation of US oil sanctions, sources familiar with the matter told Bloomberg.

The contract was reportedly signed recently between the Paris-based company and PdVSA, providing increased operational and financing controls for joint ventures between the parties.

According to a statement that Venezuela’s Oil Minister Pedro Rafael Tellechea, who also serves as head of PdVSA, posted on X (formerly Twitter), “The project will increase oil and gas production in Lake Maracaibo, contributing to enhancing the capabilities of our industry.”

The agreement also outlines conditions for the repayment of $914mn in outstanding debt owed to M&P’s local subsidiary.