A subsidiary of the Turkish company Odaş Enerji, operating in the field of energy and mining, will become a partner in a company called Multiservicios Tomlam CA to extract oil in Venezuela, according to a statement to the Public Disclosure Platform (KAP) on Saturday.

Thermal power plant operator and subsidiary of Odaş Enerji, Çan2 Thermal, announced that the company had obtained permission from Venezuelan authorities on Oct. 18, taking advantage of the opportunity created by the lifting of sanctions imposed by the U.S.

Furthermore, it was announced that an agreement had been reached on Friday for the complimentary transfer of these permits to Çan2 Thermal within the next 60 days.

An initial financing of $6 million (TL 173.5 million) would be provided by Çan2 Thermal to Multiservicios Tomlam, in which it will hold a 60.4% stake, by the end of May next year.

Additional investment will be created by taking into account the operating revenues that will be generated from production after the venture becomes operational, the statement said.

According to the statement, the company will carry out production activities on behalf of the Venezuelan State Oil and Natural Gas Company (PDVSA) in the production block consisting of four fields with a total of 171 wells in the area of light and medium crude oil production.

It is estimated that there are 593 million barrels of oil in the field.

The statement mentioned that 20% to 50% of the operating profit of Çan2 Thermal will be allocated to new activities in the energy sector to diversify income.