Venezuela Is ‘uninvestible’ For Now, Exxon Ceo Tells Trump In White House Meeting

The head of U.S. oil giant Exxon Mobil on Friday told President Donald Trump that Venezuela is “uninvestible” under current conditions, saying major changes were needed before his company would return to the country that has seen its crude oil resources sink into disrepair.

The comments by Exxon CEO Darren Woods were a blow to Trump’s hopes that American oil majors would move quickly to make big investments in Venezuela — and cast doubt on the president’s insistence that U.S. companies are prepared to spend $100 billion or more.

“If we look at the legal and commercial constructs and frameworks in place today in Venezuela today, it’s uninvestable,” Woods told Trump in a White House meeting packed with fellow oil and gas executives. “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.”

Still, Woods said he was confident the U.S. can help make those changes, and said he expected Exxon could put a technical team on the ground in Venezuela soon to assess the state of its oil infrastructure.

Even Harold Hamm, a fracking executive and major Trump ally, expressed more enthusiasm, but still fell short of making any commitments.

“It excites me as an explorationist,” Hamm, whose experience has centered on oil production inside the U.S., said of the opportunity to invest in Venezuela. “It is a very exciting country and a lot of reserves — it’s got its challenges and the industry knows how to handle that.”

Trump said during the meeting that companies that invest in Venezuela would be assured “total safety, total security,” though he provided no indication of how the U.S. would guarantee that without spending taxpayer dollars or putting boots on the ground.

Before the executives spoke, Trump insisted that oil companies are lining up to take the administration up on the opportunity. “If you don’t want to go in, just let me know,” he said. “There are 25 people not here today willing to take your place.”