President Donald Trump said Friday that the United States has reached a sweeping oil agreement with Venezuela that could give the U.S. access to billions of barrels of the South American country’s proven reserves.
“The United States of America has just entered into an Agreement with the Country of Venezuela on, THE BIGGEST OIL DEAL IN WORLD HISTORY!” Trump wrote on Truth Social.
Trump said that, at his direction, Secretary of State Marco Rubio and Defense Secretary Pete Hegseth worked with interim Venezuelan President Delcy Rodríguez and private business interests to secure “majority US control of more than 65 BILLION BARRELS of proven Oil Reserves in Venezuela, at no cost to the American Taxpayer.”
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“This Historic Transaction MORE THAN DOUBLES American Oil Reserves, greatly increases our Oil Supply, and will substantially lower Gas Prices for all Americans, long into the future,” Trump wrote.
In a statement, Rodríguez said the agreement would have “a significant impact on our nation’s revival” and would bring “a significant flow of investment” for the recovery and reconstruction of strategic infrastructure tied to Venezuela’s hydrocarbons industry.
Rodríguez thanked Trump, Rubio and the U.S. government for supporting the agreement, calling it “a historic milestone in bilateral relations between Venezuela and the U.S.”
She said the agreement would allow “a significant increase in oil production with the participation of private operators” and called for the development of 17 strategic fields with “a proven potential of 65 billion barrels of oil,” more than $100 billion in investment and more than $209 billion in taxes for the state.
“These investments will contribute not only to the recovery and modernization of our industry, but also to our country’s economic growth, the energy security of our hemisphere, and greater balance in international markets,” Rodríguez said.
Rodríguez said Venezuela’s goal is to consolidate its position as an energy-producing power while using its reserves for national development, job creation, higher worker income and “the well-being of our people.” She said the country was entering “a new era of recovery, growth, production, security and prosperity.”
Deal’s structure remains unclear
The deal’s structure remained unclear. Trump did not identify the oil fields, the private companies involved or how the United States would exercise majority control over the reserves. A U.S. official familiar with the contours of the agreement told The Associated Press that the arrangement would give the United States 55% effective output of a new private company, including an ownership stake and rights to buy oil at cost.
The announcement comes as Trump faces pressure to show progress on energy prices. Global oil supplies have been strained by wars in Iran and Ukraine, while the U.S. Strategic Petroleum Reserve has fallen below 300 million barrels, its lowest level in more than four decades.
Venezuela holds the world’s largest proven oil reserves but produces far below its potential after years of underinvestment, mismanagement and sanctions. Any increase in output could take time because production would depend on investment, infrastructure repairs and legal approvals inside Venezuela.