United States President Donald Trump has announced an agreement granting the country majority control of Venezuela’s proven oil reserves, describing the arrangement as the “biggest oil deal in world history.”
Trump said the agreement covers about 65 billion barrels of proven petroleum reserves and could attract nearly $100 billion in private investment into Venezuela.
The US president disclosed the development on Friday in a post on his Truth Social platform, claiming that the deal would more than double the country’s oil reserves.
“This Transaction will greatly strengthen the already growing relationship between Venezuela and the United States!” Trump said.
According to Trump, United States Secretary of State, Marco Rubio and Defence Secretary Pete Hegseth negotiated the agreement with Venezuela’s interim leader, Delcy Rodriguez, in collaboration with private-sector companies.
Rodriguez also confirmed the agreement, describing it as a “historic agreement” that would play a major role in rebuilding Venezuela’s economy.
She said the arrangement could attract more than $100 billion in investment and generate over $209 billion in tax revenue for the Venezuelan government.
Rubio defended the deal, presenting it as evidence that the Trump administration’s foreign policy was delivering what he described as “America First” benefits.
“For the Venezuelan people, this deal will bring nearly $100 billion in private investment, support thousands of high-paying jobs, and drive the reconstruction of Venezuela’s economy,” Rubio said.
Despite the announcements, questions remain about the precise mechanism through which the United States would obtain control of the Venezuelan oil assets.
Jorge Pinon, a senior researcher at the Energy Institute at the University of Texas at Austin, described the reported arrangement as unusual, particularly because control of the assets would effectively move to another country rather than simply being transferred to a private company.
“We don’t know how the transfer would take place,” he said. “Is it a sale? Is it a title transfer? Is it only transferred once the reserves are actually produced?”
Venezuela possesses the world’s largest proven crude oil reserves, estimated at roughly 300 billion barrels.
The reported agreement comes as the Trump administration steps up efforts to attract United States investment into Venezuela’s oil industry and expand American influence over the sector following the ousting and capture of long-time Venezuelan leader Nicolas Maduro in January.
United States oil companies have historically been cautious about committing significant investment to Venezuela, citing deteriorating infrastructure and concerns about the security of foreign investments.
Chevron, the only United States oil producer still operating in Venezuela when Maduro was ousted, reported in July that its crude production had risen to 280,000 barrels per day.
The company also said it planned to increase production by another 50 per cent by the end of 2028.