Trump announces ‘biggest oil deal’ with Venezuela
AgenciesPresident Donald Trump said that his administration has entered a sweeping agreement with Venezuela that, if realized, could give the U.S. access to vast amounts of the Sou...
President Donald Trump announced a groundbreaking oil deal with Venezuela on social media, claiming it to be the "biggest oil deal in world history." The agreement, negotiated by Secretary of State Marco Rubio, Defense Secretary Pete Hegseth, and Venezuela's acting President Delcy Rodríguez, aims to tap into Venezuela's vast untapped oil reserves.
According to Venezuela's government, the deal involves the development of 17 oil fields with a potential of 65 billion barrels. This could bring in $100 billion in investment and generate over $209 billion in taxes for Venezuela. The U.S. will partner with a private operator to establish a new company with 100-year rights to develop the oil fields, granting the U.S. a 55% effective output and ownership stake.
While this news comes after U.S. military action to capture then-President Nicolás Maduro, experts warn that a rapid increase in Venezuelan oil production is unlikely due to the need for infrastructure repairs and billions in investment. Despite this, Trump insists his administration has stabilized Venezuela, citing a law that allows for oil sector privatization, reversing a socialist rule in place for over two decades.
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