US President Donald Trump has announced what he described as the “biggest oil deal in world history”, under which the United States will secure majority control of more than 65 billion barrels of Venezuela’s proven oil reserves. The agreement was negotiated by US Secretary of State Marco Rubio and Defence Secretary Pete Hegseth in cooperation with Venezuela’s interim President Delcy Rodriguez.
Trump said the historic transaction would more than double America’s oil reserves and significantly increase the country’s supply, potentially helping reduce gasoline prices for US consumers. He also claimed the arrangement would come at no cost to American taxpayers and would be implemented through partnerships with private businesses.
According to Venezuelan officials, the agreement involves the development of 17 strategic oil fields and could attract nearly $100 billion in private investment. Caracas expects the expanded oil operations to generate more than $209 billion in taxes and state revenue, helping revive Venezuela’s struggling economy. Rodriguez welcomed the agreement as an important step towards national economic recovery.
Venezuela possesses the world’s largest proven crude oil reserves, estimated at around 303 billion barrels, but years of underinvestment, sanctions, damaged infrastructure and political instability have sharply limited production.
The agreement nevertheless leaves several questions unanswered, including the precise structure of US control, the companies involved and its legal framework under Venezuelan law. Analysts also warn that rebuilding the country’s oil industry could take years.
