President Trump said Sunday he may exclude Exxon Mobil from his drive for U.S. companies to invest in Venezuela, after the oil giant’s CEO described the South American country as “uninvestable.”
What he’s saying: “I didn’t like Exxon’s response,” said Trump Sunday evening of the CEO’s comments during his meeting with U.S. oil giants at the White House two days ago.
- “I’d probably be inclined to keep Exxon out. I didn’t like their response,” added the president aboard Air Force One en route to Washington, D.C., from Palm Beach, Florida. “They’re playing too cute.”
Context: Exxon CEO Darren Woods said in remarks delivered during Friday’s meeting at the White House with Trump that the company had had its assets seized twice in Venezuela as the country moved to nationalize in recent decades.
- “And so, you can imagine to re‑enter a third time would require some pretty significant changes from what we’ve historically seen here and what is currently the state,” he said, according to Exxon.
- “If we look at the legal and commercial constructs—frameworks—in place today in Venezuela, today it’s uninvestable. And so significant changes have to be made to those commercial frameworks, the legal system, there has to be durable investment protections, and there has to be a change to the hydrocarbon laws in the country.”
The big picture: The Trump administration wants American firms to play a key role in reviving oil production in Venezuela in the wake of the U.S. raid in Caracas that led to the capture of Venezuelan leader Nicolas Maduro.
- While Trump envisions companies from the U.S. and elsewhere spending $100 billion in Venezuela, but Exxon and other oil giants appear more cautious on investing in the country again.
Of note: When asked Sunday what are backstops or guarantees had Trump told the oil companies that his administration would be willing to provide, the president replied: “There’s going to be no problem.”
- Oil firms had experienced problems in the past “because they didn’t have Trump as a president, they had stupid people,” he added.
Go deeper: Trump declares national emergency to shield Venezuelan oil cash
Editor’s note: This is a breaking news story. Please check back for updates.
