The US will control 55% of output from the new oil company in Venezuela

U.S. President Donald Trump announced an agreement on Friday with Venezuela's interim government, granting Washington majority control over over 65 billion barrels of proven Venezuelan crude reserves, making up about 21% of the country's total. Acting President Delcy Rodríguez confirmed the deal, granting the company 100-year concessions over fields containing around 63 billion barrels.

Washington will control 55% of the effective output, split between an equity stake and the right to buy crude at cost. The new company, structured through a joint venture between the U.S. government and a private Venezuelan operator, is described as the world's second-largest corporate holder of proven reserves after Saudi Arabia's Aramco.

Trump tweeted that the transaction "more than doubles American oil reserves." The Venezuelan government stated the deal focuses on developing 17 strategic fields, with investments exceeding $100 billion and over $209 billion in taxes for the state. The aim is to consolidate Venezuela's position as an energy-producing power, putting immense reserves at the service of national development.

The deal comes as the U.S. midterm elections approach and gasoline prices average over $4 a gallon, while the country's strategic reserves are at their lowest since the early 1980s, following six months of war with Iran that disrupted a fifth of the world's crude supply.