HCO Energy Provides Operational Update Amid Developments in Venezuela.

Toronto, Ontario, Canada / Caracas, Venezuela - January 3, 2026

Recent developments in Venezuela have introduced a period of increased attention and uncertainty across the country’s energy sector. In environments characterized by transition, the ability to maintain operational continuity, asset reliability, and effective coordination with in-country partners becomes a key differentiator for companies operating in complex jurisdictions.

HCO Energy maintains continuous communication with its operating partners in Venezuela, and field operations associated with its deployed systems continue to operate steadily. Engagement efforts remain centered on maintaining production activity and operational continuity.

The company’s Switched Reluctance Drive (SRD) artificial lift platform is underpinned by proprietary technology supported through an integrated engineering, technical services, and supply framework. This integrated model enables consistent system performance and lifecycle support while reducing reliance on frequent field intervention or extended external supply chains. As a result, SRD installations remain reliably supported across changing regulatory, logistical, and operating conditions.

“We are closely monitoring the situation in Venezuela.” said Jin Teng, President of HCO Energy. “Field operations associated with our deployed systems continue to remain stable, and our focus remains on supporting uninterrupted production activity and consistent equipment performance. Our teams is actively engaged to ensure operational continuity and long-term reliability as the situation continues to develop.”

The company’s Switched Reluctance Drive (SRD) artificial lift platform is underpinned by proprietary technology supported through an integrated engineering, technical services, and supply framework. As a result, SRD installations remain reliably supported across changing regulatory, logistical, and operating conditions.

Operational priorities remain centered on stability, on-the-ground partner support, and consistent equipment performance. The underlying technology strategy emphasizes durability, autonomy, and adaptability.

HCO Energy continues to monitor developments while maintaining its commitment to safe operations, production efficiency, and long-term equipment reliability. Engagement with partners remains aligned with established commercial and operational protocols.

About HCO Energy

HCO Energy is an energy technology company focused on developing and deploying advanced artificial lift solutions for onshore oilfield operations. The company specializes in improving lifting efficiency, reducing energy consumption, and lowering total operating costs through purpose-built motor and drive technologies.

Its patented Switched Reluctance Drive (SRD) artificial lift platform is a direct-drive system designed to replace traditional Sucker Rod Pump (SRP) and Progressing Cavity Pump (PCP) configurations. By eliminating belts, gear reducers, and other mechanical transmission components, SRD systems have demonstrated up to 60% lower power consumption compared to conventional beam pumping systems, while significantly reducing maintenance requirements and unplanned downtime, resulting in lower cost per barrel and improved long-term asset economics.

HCO Energy’s technology development is guided by a focus on operational resilience, energy efficiency, and long-term performance to meet the evolving needs of global oil producers.

Cautionary Statement

This communication may contain forward-looking statements, including statements regarding anticipated operational performance, deployment plans, market expansion, production support, commercial arrangements, and the expected benefits of HCO Energy’s technologies. Actual results may differ materially due to factors such as changes in market conditions affecting the oil and gas industry, commodity price fluctuations, political, regulatory, or legal developments, availability of capital, operational or logistical challenges, performance of deployed systems, supply chain constraints, and other technical or commercial risks. Forward-looking statements are based on current expectations and assumptions and speak only as of the date made, and HCO Energy undertakes no obligation to update or revise them except as required by applicable law. References to performance, efficiency, production support, or operational outcomes are estimates based on current data and field experience and may vary depending on operating conditions and deployment circumstances.

Media Contact:
Marianne Behrmann
Communications Officer
mbehrmann@hcompany.ca