PDVSA and Repsol have signed a new agreement for their JV to increase oil and gas output in Venezuela.

The agreement is for Petroquiriquire, an entity with operations in the Quiriquire oilfield in the state of Monagas, as well as the Mene Grande and Barúa Motatán fields in the states of Zulia and Trujillos, respectively.

In a statement, Venezuela Oil Minister Pedro Tellechea, as reported by Reuters, said: "We are going to lift production. We have completed the planning of the agreements we are signing. They all have output forecasts and plans for operation expansions."

Government-backed oil company PDVSA has a 60% stake in Petroquiriquire and Spanish oil and gas producer Repsol owns the remaining 40%.

According to independent estimations, Petroquiriquire’s total production for this year has been approximately 20,000 barrels per day (bpd) of crude and 40 million cubic feet per day of gas.

The energy companies did not disclose the specifics of the agreement, reported the news agency.

Sources told the publication that the amended terms were expected to enable the Spanish company to export the oil that Petroquiriquire is producing to recover the debt owed by PDVSA.

Under the terms of the new contract, Repsol will have increased operational and governance authority over the three fields included in the JV, the report added.

In two years, Petroquiriquire’s oil production is expected to increase to 40,000bpd.

The agreement comes after the US temporarily eased oil sanctions against Venezuela, permitting investments, imports and exports of oil and gas.

According to one of the sources, Repsol and PDVSA are also negotiating the conditions of other projects, especially those that would enable gas exports.

The South American nation’s energy company has signed similar contracts with US major Chevron and France’s Maurel & Prom.