Trump says Venezuela deal gives US control of 65 billion barrels of oil

Trump notes Venezuela agreement gives US control of 65 billion barrels of oil.

Key points

• Control of more than 65 BILLION BARRELS of proven Oil Reserves in Venezuela, at no cost to the American Taxpayer, Trump wrote on Truth Social.
• Reporting by Costas Pitas and Christian Martinez; Editing by Jasper Ward and Caitlin Webber.
• Trump's Iran war is becoming a political headache for Republicans as the midterms approach.
• Trump remarked the agreement would more than double American oil reserves and "substantially" lower gas costs for Americans.

Trump notes Venezuela agreement gives US control of 65 billion barrels of oil. Trump's Iran war becomes a growing liability for Republicans.

President Donald Trump confirmed an unprecedented U.S. Push to take control of a fifth of Venezuela's vast oil reserves, betting that American businesses can revive the OPEC nation's battered energy industry while delivering a new source of crude to support bring down U.S. Gas costs.

Trump provided few details regarding the agreement, saying only that the United States had secured majority control of more than 65 billion barrels of Venezuela's proven oil reserves through a partnership with private business.

"At my direction, Secretary of State Marco Rubio, and Secretary of War Pete Hegseth, working closely with Highly Respected Interim President of Venezuela, Delcy Rodriguez, and, through a partnership with private business, have secured majority U.S. Control of more than 65 BILLION BARRELS of proven Oil Reserves in Venezuela, at no cost to the American Taxpayer, " Trump wrote on Truth Social.

In practice, the announcement comes after weeks of U.S.-Venezuelan negotiations over a accord that would provide American firms long-term access to a group of Venezuelan oilfields and guarantee the resulting crude supply to the United States.

Sources previously informed Reuters that a lease model was under consideration, with fields potentially auctioned to U.S. Producers, but the arrangement could face legal and constitutional challenges in Venezuela, where the state retains control over core oil industry activities.

In practice, the accord would represent a dramatic expansion of the U.S. Role in Venezuela's oil industry as the Trump administration seeks to revive the country's deteriorated production and secure more crude for U.S. Refineries. Venezuela holds the world's largest proven oil reserves but produces only regarding 1.25 million barrels per day, far below its potential after years of underinvestment, mismanagement and sanctions.

Trump's announcement provided few details on the structure of the agreement, the fields or firms involved, or how the United States would exercise majority control over the reserves.

Since the United States captured and removed former President Nicolás Maduro from power in January, Washington has been trying to secure a stable flow of Venezuelan crude for U.S. Refineries while promoting American investment in the country's oil industry.

Notably, the Trump administration is under pressure ahead of midterm elections scheduled afterwards this year over rising gasoline costs. It could be eased through cheaper oil supplies and expanded output. The United States additionally has been looking for solutions to replenish its Strategic Petroleum Reserve, the oil stockpile, including the possibility of crude ⁠swaps with U.S. Producers. This is a developing story.

Reporting by Costas Pitas and Christian Martinez; Editing by Jasper Ward and Caitlin Webber. Share your feedback to support improve our site!

Taken together, the developments around trump says Venezuela deal gives US control of 65 billion barrels of point to a situation that is still moving, and the coming days should bring more clarity.