U.S. Secretary of State Marco Rubio told U.S. lawmakers that Guyana offers a more reliable investment environment than Venezuela, warning that energy companies will place their money where legal protections and contract enforcement are clear.
Rubio made the comments during testimony before the Senate Foreign Relations Committee on January 28, responding to questions from Republican Sen. David McCormick on the Trump administration’s policy toward Venezuela and prospects for foreign investment.
He said Venezuela’s oil reserves alone are not enough to attract capital if investors lack confidence in the rule of law. “Companies are only going to invest somewhere if they know we’re going to invest, we’re going to make our money back with a profit, and our land isn’t going to be taken from us,” he said.
Rubio contrasted that uncertainty with destinations like Guyana, Venezuela’s neighbor, where investors already see clearer rules and enforceable contracts. “If not, they’ll just invest the money in Guyana, or they’ll just invest the money in some other part of the world that has oil. They’re not going to risk it,” he said.
Rubio noted that access to courts and the ability to enforce contracts are essential to investor confidence. “That’s the level of certainty that we’re talking in terms of security,” he added.
The remarks come as the Donald Trump administration seeks to revive Venezuela’s oil sector. Rubio said the United States would be a stronger long-term partner for a future Venezuelan government. He acknowledged recent steps by Venezuelan authorities, including changes to hydrocarbon laws that rolled back some Chávez-era restrictions on private investment.
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Still, Rubio said progress will be judged by actions, not statements, and stressed that investors will continue to favor stable jurisdictions in the meantime. “It’s to their [Venezuela’s] benefit to have set up a normal, transparent process that encourages foreign investment,” he continued.
In Guyana, U.S. oil major ExxonMobil operates the Stabroek Block, where it has led oil development since its first discovery in 2015. Production began in December 2019 and has since expanded to multiple floating production, storage and offloading vessels, making Guyana one of the fastest-growing oil producers globally.
ExxonMobil operates the block with a 45% stake, alongside Hess and CNOOC, under production-sharing agreements governed by Guyana’s petroleum laws. Investors widely view the projects as benefiting from stable fiscal terms, contract enforcement, and a predictable regulatory framework in Guyana, factors that have underpinned continued investment and rapid project execution.
