US to take 35% stake in Venezuelan mogul Betancourt's oil venture, WSJ reports

The U.S. government is reportedly planning to acquire a 35% passive stake in Venezuelan businessman Alejandro Betancourt's oil venture, according to the Wall Street Journal. This move, which would be structured through penny warrants, would grant the U.S. ownership in the company without a substantial capital investment. The Pentagon's Office of Strategic Capital (OSC) is set to manage this investment, which would yield control over 20% of the company's production at cost.

This news comes a day after President Donald Trump announced that the U.S. would take control of 35% of Venezuela's oil reserves, though Trump did not provide further details. When reached for comment, a Pentagon spokesperson clarified that OSC does not take equity stakes in private companies, instead focusing on providing capital assistance in the form of loans, loan guarantees, or technical support. The White House and North American Blue Energy Partners did not respond to requests for comment.