Donald Trump said on Friday that the United States would gain “majority” control of more than 65 billion barrels of proven oil reserves under a new US-Venezuela Oil deal with Venezuela’s interim president, Delcy Rodríguez.
Trump has not disclosed the full details of the agreement. However, he said Defence Secretary Pete Hegseth and Secretary of State Marco Rubio helped broker the deal through a partnership with private companies.
Trump also claimed that the US-Venezuela Oil Deal would give the US majority control of Venezuela’s proven oil reserves “at no cost to the American taxpayer.”
According to Trump, the deal would more than treble US oil reserves.
“This deal is a huge win for both the American and Venezuelan people,” Rubio wrote on social media.
Trump disclosed few details about the agreement’s structure, the companies or industries involved, or how the United States would maintain majority control over Venezuela’s oil reserves.
Venezuela holds the world’s largest proven oil reserves, estimated at about 303 billion barrels.
Backstory…
Since the US seized former Venezuelan President Nicolás Maduro in January, Washington has worked to secure a steady supply of Venezuelan crude for US refineries while encouraging American investment in Venezuela’s struggling energy sector.
The OPEC member currently produces about 1.25 million barrels of crude oil per day.
With the November midterm elections approaching, Trump faces pressure from rising petrol prices. Increased Venezuelan production and cheaper crude supplies could help ease that pressure.
The US has also explored ways to replenish its Strategic Petroleum Reserve, including possible crude-oil exchanges with American producers.
A Wall Street Journal report published earlier this week said the Trump administration was “in advanced talks with Venezuela” to acquire a direct stake in more than a dozen oilfields containing nearly one-third of the country’s vast oil reserves.
Axios also reported on the negotiations, citing a US official who described the potential agreement as “massive.”
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