EDITORS NOTE: Below is a 530 word summary of a 4207 word interview with Jesse Cole, who returned to Caracas July 23rd for a second run at the oil field service business via the formation of Sky Drop Capital.
The interview traces the career of a third-generation oil and gas executive whose professional experience spans Western Canada, the United States, Venezuela, the Middle East, and other international markets. He begins by describing his early exposure to the Canadian heavy oil industry and his first visit to Venezuela in 1998, before the Chávez era. After university, he joined a venture founded by former Weatherford executives that sought to build a Venezuelan-based oilfield services company capable of serving global markets.
The discussion explores how that business grew from a startup into a multinational enterprise employing approximately 250 people across five countries, with its primary manufacturing facility located in Maracaibo. The company specialized in heavy oil production equipment, particularly progressing cavity pumps and related oilfield services. The interviewee recounts how the company ultimately lost its Venezuelan operations as the country's political and economic environment deteriorated, forcing the owners to abandon significant manufacturing assets while preserving operations elsewhere.
Venezuela's recovery will require far more than restarting oil production—it will depend on rebuilding the country's industrial infrastructure and modernizing the systems that support economic growth.
From there, the interview shifts toward the future of Venezuela. Cole argues that the country's next oil boom will look fundamentally different from previous development cycles. Rather than relying solely on traditional oilfield practices, he believes future investment will emphasize modern technologies, reliable power generation, automation, digital monitoring, cleaner energy systems, and improved operational efficiency. He suggests that companies entering Venezuela will need bring their own electrical infrastructure rather than depending on the national grid.
A substantial portion of the interview focuses on gas flaring. Drawing comparisons with Western Canada and West Texas, the interviewee explains how associated gas that is currently flared could instead be captured and used to generate electricity or fuel oilfield operations. While acknowledging the technical complexity of flare gas utilization, he describes flared gas as one of Venezuela's largest untapped infrastructure opportunities and discusses both small-scale wellhead applications and larger field-wide gathering and compression systems.
The conversation also examines the practical realities of doing business in Venezuela. According to the Coles, success depends on experienced local partners, careful logistical planning, realistic expectations about operating conditions, and a willingness to supply virtually all required equipment and spare parts independently. He estimates that only a relatively small group of experienced international operators are currently positioned to participate meaningfully in Venezuela's reconstruction.
Investment themes dominate the latter portion of the interview with a discussion about Sky Drop Capital, a 250 million infrastructure fund formed by Cole. Rather than investing directly in oil production, Coles approach is a "picks and shovels" strategy—supplying the infrastructure, equipment, specialized services, power generation, cold storage, and industrial support systems needed before large-scale oil development can accelerate. He argues that distressed oilfield equipment available in North America represents an attractive sourcing opportunity for Venezuelan projects and discusses conversations with major international energy companies regarding these needs.
The interview concludes with a discussion of governance, corruption, international involvement, and investor sentiment. Cole expresses confidence that increased international oversight will improve transparency and operational stability, while describing Venezuela as one of the world's most compelling long-term infrastructure and energy investment opportunities. Throughout the interview, the central message is that Venezuela's recovery will require far more than restarting oil production—it will depend on rebuilding the country's industrial infrastructure and modernizing the systems that support economic growth.
To view the full 4207 interview, See below.
VZ Economics Premium Subscribers: Access to additional information and intelligence:
Article. The Gringo who lost everything in Venezuela — and is going back. »»»»
Article. Sky Drop Capital seeks to deploy $250 Million to fund the rebuild Venezuela. »»»»
Interview Summary. 530 word summary of Jesse Cole interview. »»»»
Long Form Interview. Full text of 4207 word Interview with Jesse Cole. »»»»
Research. Venezuela Market Analysis. 15 page deck. April ‘26. »»»»
Summary of Sky Drop Capital. Full investment deck. »»»»
