Chevron Already Committed $7 Billion to Venezuela. Trump Says Exxon Is Next. Here's the Big Difference Between the 2.

ExxonMobil (NYSE: XOM) is one of the world's largest energy companies, but it tends to operate in a very conservative manner. Chevron (NYSE: CVX) is another industry giant, and while slightly smaller, it has been willing to take on some risks that Exxon has specifically avoided.

One big difference between the two is Venezuela. And, at least for now, it looks like Chevron's willingness to stay in the country despite political uncertainty has set it up for success. That leaves Exxon to play catch-up in what could be one of the world's most important energy-producing countries. Here's what you need to know.

ExxonMobil gets out, Chevron sticks around

The geopolitical conflict in the Middle East is getting all of the media's attention right now, which makes sense. However, shortly before that conflict broke out, the big story in the energy sector was the U.S. government going into Venezuela and arresting its leader, Nicolas Maduro. Replacing Maduro was his vice president, Delcy Rodríguez, who has so far been very willing to work with the United States.

That, however, is really the end of the story, not the beginning. After former president Hugo Chavez rose to power, he nationalized the oil industry. At that point, Exxon exited the country. That makes total sense given Exxon's conservative culture. Chevron, however, remained. To be fair, Exxon could be owed money over that nationalization, but it still isn't operating in the country. That's a potential setback today, now that Venezuela appears to be opening up to foreign investment again.

A big nation with huge needs

It is estimated that Venezuela has the world's largest oil reserves. Operating in a region that is generally politically and economically stable, it could be a very attractive source of oil for Western nations. If the political situation in the country remains stable, it is highly likely that Exxon will want back in. But not right away, with the company explaining that Venezuela isn't yet stable enough to justify investment.

Chevron has already pledged to invest $7 billion into the country's energy industry. That makes sense, given that Venezuela's energy sector is in a state of disrepair after years of neglect. Chevron is really just making sure that it can operate more efficiently in the country. But being there and committing to invest gives it a head start in what could be a very important country on the world's energy stage in the future. Notably, Chevron won't be able to invest $7 billion in a month or two; the cash it is putting into Venezuela is a testament to its long-term commitment. And, over the long term, it should allow the company to increase the amount of oil it produces in the country.

That said, there's no way to predict the future and Venezuela could again descent into political uncertainty. But Chevron's more aggressive approach appears to be paying dividends right now, even though this exposure had been a thorn in the company's side for many years.

Chevron is probably the more attractive energy giant

Although the day-to-day events in the geopolitical conflict in the Middle East are pushing oil prices higher and lower, don't overlook the long-term opportunity Chevron has in Venezuela. More conservative Exxon will likely return to the country someday, but Chevron has the lead right now. And then you can add that Chevron's 3.4% yield is nearly a percentage point above Exxon's 2.5%, despite both being among the world's largest energy companies and having decades of annual dividend increases behind them. When you add it up, given their similarities and differences, most dividend lovers will probably find Chevron a more appealing investment opportunity today.

Reuben Gregg Brewer has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Chevron. The Motley Fool has a disclosure policy.