NEW DETAILS: Chevron expands operations in Venezuela

TALARICO, BOTH SEEN AS. COMPETITIVE RACES IN NOVEMBER. AND CHEVRON ANNOUNCING IT IS. EXPANDING IN AN OIL DEAL WITH. U.S., MIKE WORTH CONFIRMING, CHEVRON HISTORY IN VENEZUELA. SPANS A CENTURY AND EXPANDED. POSITION REFLECT OUR CONFIDENCE. IN THE COUNTRY'S DEEP RESOURCE. POTENTIAL. FOX BUSINESS HOST CHERYL CASONE. IS HERE WITH THE LATEST. HI, CHERYL. >> Cheryl: CHEVRON HAS BEEN. OPERATING SINCE 1923 IN.

VENEZUELA. OVER NEXT FIVE YEARS, WILL. INVEST 7 BILLION IN THE COUNTRY, GOAL IS TO DOUBLE CURRENT. PRODUCTION TO 600,000 BARRELS. PER DAY. PRESIDENT TRUMP ANNOUNCED THIS. DEAL WITH VENEZUELA, WOULD TAKE. CONTROL OF THE COUNTRY'S OIL. RESERVES. YESTERDAY ENERGY SECRETARY CHRIS. WRIGHT MET WITH DELCY RODRIGUEZ. AND TOUTED MULTIPLE DEALS AND.

INVESTMENT BY SEVERAL COMPANIES. THAT ACCOMPANIED HIM TO. VENEZUELA YESTERDAY. HERE HE IS. >> THE DEALS THAT WERE SIGNED. EARLIER TODAY, PARTICULARLY. THREE WITH VERY LARGE MULTI. NATIONAL CORPORATIONS OF. CHEVRON, ENI AND GENERAL. ELECTRIC, WILL REPRESENT TENS OF. BILLIONS OF DOLLARS OF. INVESTMENT INTO THE VENEZUELAN. ECONOMY, THAT IS DIRECT. INVESTMENT. THE SPILLOVER IMPACT WILL BE.

ENORMOUS IN ELECTRICITY GRID, IN. OIL AND GAS PRODUCTION AND. ECONOMY AS A WHOLE. >> Cheryl: SO THERE IS 303. BILLION BARRELS OF OIL THAT IS. UNDER THE GROUND IN VENEZUELA. THEY HAVE THE WORLD'S LARGEST. RESERVES. SAME TIME THE INFRASTRUCTURE IS. DECAYED, NEEDS A LOT OF WORK AND. CRITICS ARE SAYING IT WILL TAKE. SEVERAL YEARS TO GET. INFRASTRUCTURE UP AND RUNNING SO. YOU CAN UP PRODUCTION. THERE IS ALSO POLITICAL ISSUES,

UNDER DICTATORSHIP OF MADURO, MANY COMPANIES LIKING EXXON DID. NOT WANT TO DO BUSINESS IN. VENEZUELA. CHEVRON IS MAKING THIS. COMMITMENT, EXXON-MOBIL AT THIS. POINT IS NOT, I'M SURE. CONVERSATIONS ARE BEING HAD HERE. IN THE UNITED STATES. WE'LL WATCH THIS. THE GOAL, MORE OIL PRODUCTION. AND GET GASOLINE AND ENERGY. PRICES DOWN ACROSS THE UNITED. STATES AND AROUND THE WORLD.

>> Ashley: DO YOU THINK GAS WILL. COME DOWN ANY TIME SOON? YOU ARE GOOD AT PREDICTING THIS. KIND OF THING. >> Cheryl: I TRY NOT TO PREDICT, I'M USUALLY NOT ON TARGET. I THINK IT WILL TAKE SOME TIME. IT IS MORE ABOUT SUPPLY AND. TIMING IN GENERAL. YOU HAVE OIL PRODUCTION, YOU. HAVE THE STRAIT ISSUE, THE. STRAIT OF HORMUZ, AND YOU. REFINING CAPACITY AND A LOT OF. TIMES, THE BOTTLENECK IS THE. REFINERS, IT WAS INTERESTING. PRESIDENT TRUMP MET WITH.

REFINERS, IF YOU CAN GET. CAPACITY QUICKER AND GET TO THE. PUMP, IF YOU HAVE MORE SUPPLY. THEN OF COURSE PRICES WOULD COME. DOWN. IT IS ALL ABOUT SUPPLY. AND DEMAND IS THE OTHER SIDE, WE. ARE ROUNDING OUT SUMMER AND WE. HAVE HIGHER GASOLINE DEMAND AND. YOU NORMALLY SEE PRICES GO. HIGHER. I THINK YOU WILL SEE PRICES COME. DOWN THIS FALL EXCEPT ONLY. PROBLEM I SEE IS CALIFORNIA. BECAUSE OF THEIR REGULATIONS, THEIR TAXES, THE WAY THEY PUSH.

TO MAKE SURE THERE IS A. DIFFERENT KIND OF BLEND FOR. THEIR STATE, THAT HURTS. CALIFORNIA CONSUMER. >> Ashley: NO MATTER POLITICAL. PROBLEMS OR NOT, CALIFORNIA IS. OFF ON THEIR OWN WITH GAS. ISSUES. CHERYL, THAN.