CARACAS -- Venezuelan state energy giant Petroleos de Venezuela SA said Tuesday that it signed a deal with Russia's Gazprombank to provide $1 billion to their Petrozamora joint oil venture in the South American country.

The funds will go toward development of oil extraction plans at the Lagunillas and Bachaquero fields in Venezuela's western state of Zulia. Petrozamora, which operates the fields, produced an average of 65,100 barrels of oil a day in the first three months of this year, PdVSA, as the Venezuelan state-run company is known, said in a statement.

PdVSA has a 60% stake in Petrozamora, while Gazprombank holds the rest.

The financing agreement is the latest in a string of deals struck by PdVSA with its partners in recent months -- securing nearly $10 billion -- as Venezuela looks to move forward with ambitious plans to raise oil output in the next few years.

The deal with Gazprombank is one of five accords signed between leaders of both countries during Venezuelan President Nicolas Maduro's trip to Russia this week to attend a summit of global natural gas producers.

Among them, PdVSA said it worked a deal with Russian oil company Rosneft (ROSN.RS) for gas exploration and production projects in Venezuela's Mariscal Sucre and Deltana shelf offshore fields.

Write to Kejal Vyas at

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