From Crisis to Strategic Opportunity: Venezuela’s Turning Point for Infrastructure & Engineering Projects

6 January 2026

From Crisis to Strategic Opportunity:

Venezuela’s Turning Point for Infrastructure & Engineering Projects

INTRODUCTION

Venezuela stands at a critical inflection point after more than a decade of economic contraction, institutional erosion, and infrastructure decline. While the country continues to face profound political, social, and financial challenges, recent geopolitical and energy-market developments have renewed international attention on Venezuela’s future.

This paper builds on recent public commentary by Carlos Bellorin (LinkedIn, January 2026) highlighting how geopolitical shifts and global energy security concerns may gradually reopen space for structured international engagement with Venezuela. The discussion below explores both the reality of the crisis and the emerging technical and project-based opportunities where experienced international firms can add value.

THE CURRENT CRISIS CONTEXT

Venezuela has experienced one of the deepest peacetime economic collapses in modern history. According to the Council on Foreign Relations, the country’s GDP has contracted by more than 70% since 2013, driven by oil-sector collapse, sanctions, and chronic underinvestment.

Key challenges include:

- Severe deterioration of oil, gas, power, and transport infrastructure.

- Complex sovereign debt restructuring challenges and constrained access to international finance.

- Persistent humanitarian pressures and large-scale emigration.

Despite these constraints, Venezuela retains the world’s largest proven oil reserves and

substantial gas, hydroelectric, and mineral resources, making long-term recovery

structurally possible under improved governance and investment frameworks.

EMERGING OPPORTUNITIES FOR PROJECT DEVELOPMENT

1. ENERGY AND INDUSTRIAL INFRASTRUCTURE REHABILITATION

Reuters and other international energy analysts note growing interest by international energy companies in Venezuela as global supply diversification becomes increasingly important. Decades of deferred maintenance mean that upstream, midstream, and downstream assets require extensive technical audits, rehabilitation, and phased reinvestment.

Opportunities include:

- Technical due diligence of oil and gas assets.

- Rehabilitation of processing plants, pipelines, terminals, and power infrastructure.

- Independent engineering review to support financing and joint-venture decisions.

2. COMPLEX PROJECT DELIVERY AND RISK MANAGEMENT

Future Venezuelan projects are likely to involve:

- Multinational contractors and financiers.

- Hybrid public–private structures.

- Heightened political, contractual, and execution risk.

In such environments, delay analysis, forensic engineering, and structured project controls are critical to ensuring bankability and dispute resilience.

3. DISPUTES, CLAIMS, AND INTERNATIONAL ARBITRATION

Given Venezuela’s history of expropriation, contract termination, and delayed payments, disputes are inevitable in any new investment cycle. Independent technical experts play a key role in:

- Supporting arbitration and litigation under ICSID, ICC, UNCITRAL, and ad hoc regimes.

- Assessing causation, delay, and quantum in infrastructure disputes.

- Providing independent expert evidence to tribunals, lenders, and insurers.

DAC’S ROLE AND CAPABILITY

DAC Consulting Services combines local Latin American understanding with deep international experience in forensic engineering, delay analysis, and expert witness services. DAC’s multidisciplinary teams have supported major energy and infrastructure disputes across:

- Latin America

- The Middle East

- Europe

- North America, and

- Asia

In a Venezuelan context, DAC’s value lies in:

- Independent, technically robust analysis aligned with international standards.

- Experience operating in politically sensitive and high-risk jurisdictions.

- Ability to bridge local realities with international legal, financial, and technical expectations.

STRATEGIC APPROACH TO ENGAGEMENT

For international stakeholders, re-engagement with Venezuela must be:

- Phased and risk-aware.

- Supported by independent technical due diligence.

- Structured with robust contractual, governance, and dispute-resolution mechanisms.

Firms with proven experience in complex, disputed, and emerging-market projects will be

best positioned to support sustainable recovery.

CONCLUSION

Venezuela remains a high-risk environment, but it also represents one of the largest latent infrastructure and energy redevelopment opportunities globally. As geopolitical conditions evolve, disciplined, expert-led engagement will be essential.

DAC Consulting Services is well positioned to support investors, contractors, and institutions navigating Venezuela’s transition from crisis toward reconstruction.

Written by:

Daniel A. Correa

Managing Director

London, United Kingdom

Sources and References:

Council on Foreign Relations (2024). Venezuela’s Crisis.

https://www.cfr.org/backgrounder/venezuela-crisis

Reuters (2025–2026). Coverage on Venezuela oil sector and international energy

engagement. https://www.reuters.com

Human Rights Watch (2025). World Report: Venezuela. https://www.hrw.org/world-

report/2025/country-chapters/venezuela

Bloomberg Línea (2024). Venezuela sovereign debt restructuring analysis.