Venezuela unveils new oil, mining deals under US blessing

In the wake of a Sept 2 agreement granting the US control over a fifth of Venezuela's vast oil reserves, Washington and Caracas unveiled fresh oil and gold extraction agreements on Wednesday at a G20 summit hosted by the United States. US oil giant Continental Resources, led by Howard Hamm, signed a memorandum of understanding with Venezuela's state-owned oil firm PDVSA to develop the prolific Orinoco heavy-oil basin's Ayacucho 2 Block.

Hamm, a close Trump ally and shale boom innovator who is worth an estimated $19 billion, joined Venezuelan officials and top Trump administration appointees at the Houston ceremony to mark the latest consequence of the US overthrowing former Venezuelan president Nicolas Maduro in January.

Energy Secretary Chris Wright hailed the oil project as a "milestone deal in the US-Venezuelan relationship" and a "milestone deal in making the Western Hemisphere the center of the global energy system." Additionally, Henney Capital, led by an unnamed partner, will develop gold reserves in Venezuela. The Ayacucho 2 Block, covering around 126,000 acres, is estimated to hold 30 billion barrels of oil, equivalent to approximately 10% of Venezuela's proven reserves.

Critics argue that the agreement, described by President Trump as the "biggest oil deal in world history," has led to concerns over Venezuela's interim president Delcy Rodriguez ceding control of the nation's resources.