Trump claims US gains control of Venezuela’s $65bn oil reserves

WASHINGTON: US President Donald Trump has announced what he described as the “biggest oil deal in world history”, claiming that the United States has secured majority control of more than 65 billion barrels of Venezuela’s proven oil reserves.

Trump said the agreement was reached through a partnership involving private businesses and was negotiated with the participation of US Secretary of State Marco Rubio, Secretary of War Pete Hegseth and Venezuela’s interim President Delcy Rodríguez. The announcement was made on Friday and has since drawn widespread international attention.

According to Trump, the arrangement will significantly expand America’s oil resources and increase supplies to the US market without imposing additional costs on American taxpayers. He also predicted that the deal would eventually help bring down petrol prices for American consumers.

“The biggest oil deal in world history,” Trump said while announcing the agreement, portraying it as a major step towards strengthening US energy security and transforming relations with Venezuela.

The deal, however, remains short on publicly available details. US officials have indicated that the arrangement involves a public-private partnership, while reports say the United States would become the majority owner of a new joint venture involved in developing Venezuelan oil fields.

The agreement is expected to attract substantial private investment into Venezuela’s battered oil industry. US Secretary of State Marco Rubio has said the initiative could bring nearly $100 billion in private investment, support thousands of jobs and contribute to the reconstruction of Venezuela’s economy.

Venezuela possesses some of the world’s largest proven oil reserves, but years of underinvestment, sanctions and deteriorating infrastructure have severely restricted production. The new arrangement is intended to bring foreign capital, technology and expertise into the sector.

Trump has presented the agreement as a major economic opportunity for both countries. He said increased Venezuelan production would strengthen US oil supplies while helping Venezuela move towards economic recovery and prosperity.

Rodríguez has also defended the agreement, saying Venezuela would retain sovereignty over its natural resources while benefiting from investment and improved production. Reports indicate that the agreement could involve major oil fields and long-term development arrangements.

Despite the ambitious promises, analysts caution that the immediate impact on US fuel prices may be limited. Venezuela’s oil infrastructure requires major investment, meaning any significant increase in production is likely to take time. The precise legal and financial structure of the agreement has also yet to be fully disclosed.

The deal nevertheless marks a dramatic shift in US-Venezuela energy relations and could reshape the South American country’s oil industry while giving Washington a much greater stake in one of the world’s largest petroleum reserves.