BP and the Venezuelan government have signed agreements to advance offshore natural gas development, including the award of an exploration and production license covering Phase 2 of the Loran field, an area estimated to contain 4 trillion cubic feet of recoverable gas resources.
The license was granted to BP alongside XRG, the international energy investment company backed by ADNOC, and UCC Oil and Gas Holding LLC. Each company will hold an equal working interest in Loran Phase 2, while BP will serve as operator, according to information released by the British energy company.
The project is located in Venezuela’s Plataforma Deltana area and represents an expansion of cooperation between BP and the Venezuelan government over the development of offshore gas resources.
Loran Phase 2 Holds Estimated 4 Trillion Cubic Feet of Gas
The Loran Phase 2 license follows a memorandum of understanding signed between BP and the Venezuelan government in April 2026.
That agreement established a framework for cooperation on exploration and potential development opportunities across Plataforma Deltana, including the Loran offshore gas field.
The newly awarded license moves that cooperation into a more advanced stage by establishing the companies that will participate in exploration and production at Loran Phase 2.
BP will operate the project, with BP, XRG and UCC Oil and Gas each holding one-third interests.
“The award of the Loran Phase 2 licence is an important step forward,” BP Chief Executive Officer Meg O’Neill said in the company’s announcement.
O’Neill said the agreements build on cooperation with the Venezuelan government and provide a framework for advancing the country’s offshore gas resources.
BP Expands Exploration Framework to Carúpano East
BP and Venezuela also signed a separate memorandum of understanding covering the Carúpano East Block in the Caracolito sub-basin of the Mariscal Sucre maritime area.
Unlike the Loran Phase 2 license, the Carúpano East agreement establishes a framework to evaluate exploration opportunities and discuss potential future development rather than authorizing a production project.
The agreements were finalized during an official visit to Venezuela by O’Neill and BP Senior Vice President for Latin America and the Caribbean David Campbell.
The latest agreements broaden BP’s position in Venezuela’s offshore gas sector as the company and its partners evaluate the commercial development of resources across the country’s Caribbean maritime areas.
For XRG, participation in Loran also expands its international energy portfolio. The company was established by ADNOC to pursue investments across natural gas, chemicals and lower-carbon energy opportunities internationally.
The timing and capital requirements for developing Loran Phase 2 were not disclosed in the announcement.
