Woodside shares outperforming today amid US intervention in oil rich Venezuela

Woodside shares are grabbing ASX investor attention following the US military intervention in Venezuela.

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Key points

  • Woodside shares have increased by 0.9% as investors assess the impact of the US intervention in Venezuela on global oil supplies.
  • The unexpected detainment of Venezuelan President Maduro by US special forces has heightened tensions and resulted in a full oil embargo.
  • OPEC+ announced it would not increase oil supplies in early 2026, contributing to market stability efforts amidst uncertainties, including the situation in Venezuela.

Woodside Energy Group Ltd (ASX: WDS) shares are pushing higher today.

Shares in the S&P/ASX 200 Index (ASX: XJO) energy stock closed on Friday trading for $23.66. In late morning trade on Monday, shares are swapping hands for $23.86, up 0.9%.

For some context, the ASX 200 is up 0.1% at this same time.

Today's outperformance in Woodside shares comes as investors mull over the potential impact on global oil supplies following the United States' shock intervention in Venezuela.

Woodside shares in focus as Venezuelan oil embargoed

As you're likely aware, this weekend saw US special forces swoop into Venezuela to seize the nation's president, Nicolas Maduro, along with his wife, Cilia Flores. The couple is now in detention inside the US.

While the move looks to have shocked most of the world, tensions between the two countries have been building for many months. US President Donald Trump has been engaged in a lengthy and building feud with Maduro, who is accused of corruption and supporting narco-terrorism.

As for Woodside shares, they're in the green today despite the Brent crude oil price declining by 0.5% over the weekend to US$60.45 per barrel.

That may be because Venezuela's recent oil production only represents around 1% of total global output. However, analysts note that proven oil reserves in the South American country may be among the world's largest.

And Trump confirmed over the weekend that an oil embargo on Venezuela was being fully enforced.

Trump also indicated that the military action would open the door for US energy companies to return to the nation. Although Woodside shares are increasingly linked to US projects, analysts say Chevron Corp (NYSE: CVX) could be the biggest beneficiary here, with the US oil giant already active in Venezuela.

What else is impacting ASX energy shares on Monday?

The Organization of the Petroleum Exporting Countries and its partners (OPEC+) also looks to be offering some tailwinds for ASX energy stocks, including Woodside shares.

The cartel reported that it will again hold back on any further supply increases in the first quarter of 2026.

Atop new uncertainties unleashed by the US intervention in Venezuela, OPEC+ is eyeing a forecast supply surplus in the first months of the year.

Commenting on OPEC's decision to delay supply increases, Jorge Leon, an analyst at consultant Rystad Energy, said (quoted by Bloomberg):

In an environment this fragile, OPEC+ is choosing caution, preserving flexibility rather than introducing new uncertainty into an already volatile market. The political transition in Venezuela adds another major layer of uncertainty.

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Chevron. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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