The United States loosened oil sanctions on Venezuela in October following an election guarantee agreement between the South American country's government and its political opposition.
Chevron has a separate authorization to operate oil fields in Venezuela, a member of the Organization of the Petroleum Exporting Countries (OPEC). The sanctions relief allows greater Venezuelan exports, paving the way for the company to boost output.
Chevron (CVX.N), opens new tab has proposed adding 65,000 barrels per day (bpd) to its Venezuela crude output by the end of this year, Reuters reported in September citing three sources familiar with the matter.
The new drilling program is part of that planned expansion.
"The CMI14 well, the first of 17 planned in the business plan this year, represents an important advance for the increase in production by this joint business," PDVSA said, adding the well was drilled in February.
While the sanctions are currently eased, the U.S. has said the relaxation will expire in mid-April if the country's ruling socialists do not allow the winner of the opposition primary to run.
