US secures 100-year concessions in Venezuela oil deal: White House

The US Department of State has secured a 100-year concession in Venezuela's oil reserves, granting Washington majority control over 65 billion barrels of proven oil. North American Blue Energy Partners (NABEP) holds a 35 percent equity stake in the venture, with no cost to the American taxpayer, according to the White House. The Pentagon's Office of Strategic Capital also participates in the deal, with the US State Department having the right to purchase 20 percent of production at cost.

Initial reports indicated a 25-year agreement, but the White House disputes this, stating the deal spans 100 years for 17 specific oil fields.

The agreement fulfills the interim government's fiscal needs, with NABEP expected to pay $200 billion in royalties and taxes over the first 25 years to fund reconstruction and social development. The strategic agreement is subject to US law and governed by American courts, ensuring operational security through a majority of NABEP's board of directors being US citizens and the President's veto power over appointments.

The deal will inject up to $100 billion in new infrastructure to boost Venezuela's production, after years of "underinvestment and mismanagement" under previous regimes. The processed output will be handled by US refineries, expected to create thousands of domestic jobs.

The deal is positioned as a re-establishment of the Monroe Doctrine, aimed at opposing foreign influence in the Western Hemisphere. The pact specifically targets fields previously operated by Russian and Chinese firms, seeking to remove "malign influence" from the region. This energy pivot comes amid the ongoing US-Israeli war on Iran, which began on February 28, impacting the Strait of Hormuz, a critical oil transit point.