ONLINE EVENT: After the Vote—What’s Next for Mexico’s Judiciary?

LATIN AMERICA ADVISOR

Energy ADVISOR

A daily publication Of the dialogue

May 30, 2025

Why Are Oil Majors Divesting From Latin America?

Oil production at Argentina’s Vaca Muerta shale deposit has become increasingly dominated by domestic firms in recent years. A hydraulic fracking rig is pictured in 2016. // File Photo: SobrevolandPatagonia via Adobe Stock.

Q

A

Laura Gualdron, energy markets analyst at ESAI Energy: “Latin America’s oil and gas sector has experienced a renaissance in recent years. In 2025 and 2026 alone, Brazil and Guyana are slated to bring online eight new offshore projects—including FPSO deployments and deepwater field expansions—that will significantly increase crude oil and gas processing capacity. However, energy markets are driven not only by the ability to boost supply but also by the strength of demand. With rising trade barriers and a sluggish global economy, oil demand in Latin America—and globally—is weaker than anticipated for 2025 and 2026. Meanwhile, operational costs are rising. In this volatile environment, international companies are prioritizing secure, lower-risk investments. Unfortunately, several Latin American markets…”

Top News

Petrobras Achieves First Oil at Mero-4
Brazilian state-run oil firm Petrobras on May 24 began production at a new offshore oil platform, adding up to 180,000 barrels per day to Brazil’s crude oil output capacity.
Colombia to Speed Permitting for Renewable Energy
Colombia’s government plans to expedite social and environmental permitting processes for renewable energy projects amid a growing backlog of clean power, Energy Minister Edwin Palma Egea announced May 22.
Chevron’s Oil Export License in Venezuela Expires
Chevron’s authorization from the U.S. government to operate and profit from oil production assets in Venezuela expired on Tuesday. U.S. Secretary of State Marco Rubio had rebuked calls to extend the license, Axios reported.

Complete editions of the Energy Services Advisor are delivered on a biweekly basis to members of the Dialogue’s Corporate Program and other subscribers. Sign up below for a free complimentary preview subscription.

ABOUT THE Energy ADVISOR

A sister publication of the Inter-American Dialogue’s daily Latin America Advisor, the weekly Energy Advisor captures fresh analysis from business leaders and government officials on the most important developments in oil and gas, biofuels, the power sector, renewables, new technologies, and the policy debates shaping the future of energy in the Western Hemisphere and beyond. To subscribe or for more information, contact Gene Kuleta, editor of the Advisor, at gkuleta@thedialogue.org.

Subscribers

Staff

Gene Kuleta
Editor
202.463.2920
gkuleta@thedialogue.org

Jack Quinn
Reporter

jquinn@thedialogue.org

Lori Rampani
Reporter

lrampani@thedialogue.org

board of advisors

Nigel Blackaby
Global Head, International Arbitration Group,
Freshfields Bruckhaus Deringer

Jimena Blanco
Chief Analyst,
Verisk Maplecroft

María José Cortés
Head of ESG,
Atlas Renewable Energy

Jeffrey Davidow
Senior Counselor,
The Cohen Group

Analia Gonzalez
Leader, Arbitration & Litigation,
Laitn America, BakerHostetler

Jonathan C. Hamilton
Partner,
White & Case

Raul Herrera
Partner, Corporate &
Securities Practice,
Arnold & Porter

James R. Jones
Chairman,
Monarch Global Strategies

Jorge Kamine
Partner, Corporate &
Financial Services,
Willkie Farr & Gallagher

Craig A. Kelly
Senior Director,
Int’l Government Relations,
Exxon Mobil

Jeremy Martin
Director,
Energy Program,
Institute of the Americas

Larry Pascal
Chairman, Americas
Practice Group,
Haynes & Boone

R. Kirk Sherr
President,
Clearview Strategy Group

Daniela Stevens
Director,
Energy Transition and Climate Program,
Inter-American Dialogue

Doris Rodríguez
Partner,
Hunton Andrews Kurth

Alexandra Valderrama
Director,
International Government
Affairs, Chevron

Subscribe To
Latin America Advisors

* indicates required field

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

The Inter-American Dialogue MEXICO Program

SUBSCRIBE TO OUR NEWSLETTER / SUSCRÍBASE A NUESTRO BOLETÍN:

* indicates required

The Inter-American Dialogue BRAZIL Program

SUBSCRIBE TO OUR NEWSLETTER / SUSCRÍBASE A NUESTRO BOLETÍN:

* indicates required

The Inter-American Dialogue Education Program

SUBSCRIBE TO OUR NEWSLETTER / SUSCRÍBASE A NUESTRO BOLETÍN:

* indicates required