Trump says US-Venezuela oil deal would give Washington majority control of reserves

Trump said the agreement was reached through a partnership with private business and would give the United States majority control of more than 65 billion barrels of proven Venezuelan oil reserves. He said the arrangement would substantially lower gas prices for Americans and described it as a historic transaction. Venezuelan interim president Delcy Rodriguez welcomed the deal, which is expected to bring about $209bn to the state treasury.

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The announcement follows weeks of negotiations and comes as Venezuelan officials prepare to sign agreements next week granting new oil exploration and production rights to several companies, particularly US firms. Trump said Secretary of State Marco Rubio and Defence Secretary Pete Hegseth worked with Rodriguez on the deal. The structure of the agreement has not been disclosed, and Trump did not identify the fields or companies involved.

The reported arrangement would mark a major expansion of Washington's role in Venezuela's oil industry. Venezuela holds the world's largest proven oil reserves, but output remains far below potential after years of underinvestment, mismanagement and sanctions. The country is currently producing about 1.25 million barrels per day, according to the supporting material, underscoring the gap between its resource base and actual production.

The deal also carries wider economic and legal significance because it could affect crude supply for US refineries and the future of Venezuela's state role in the sector. Reports cited in the supporting material say a lease model had been under consideration, with fields potentially auctioned to US producers, but that such an arrangement could face legal and constitutional challenges in Venezuela. The state retains control over core oil industry activities, which makes any transfer of majority control politically sensitive.

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The role of Delcy Rodriguez is central to the reported agreement. Trump identified her as Venezuela's interim president, and the announcement suggests she is the key Venezuelan figure in the talks. Marco Rubio later described the deal as a win for both countries, saying it would secure stable, low-cost supply, although the full statement was not included in the supplied material.

What remains unclear is the exact legal structure, the companies that would take part and how majority control would be exercised in practice. It is also not known whether the reported agreements will be signed on the timetable described or whether they will face domestic challenges in Venezuela. The next developments to watch are the publication of formal terms, the naming of participating firms and any response from Venezuelan institutions or courts.

President Donald Trump has said the United States has entered an agreement with Venezuela that would give it majority control of more than 65 billion barrels of proven oil reserves. He said the arrangement was reached through a partnership with private business and described it as the biggest oil deal in world history. The announcement was made on social media and came with few immediate details about how the deal would work in practice.

Trump said Secretary of State Marco Rubio and Defence Secretary Pete Hegseth had worked with Venezuela's interim president, Delcy Rodriguez, on the agreement. Rubio said the deal would bring about $100 billion in private investment into Venezuela and help lower gas prices in the United States. The White House did not immediately comment on the reported private sector partners, and the Venezuelan government's press office did not immediately respond to requests for comment.

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The reported arrangement would mark a major development in the long-running dispute over Venezuela's oil sector. Venezuela has one of the world's largest known oil reserves, but much of its production has been constrained by dilapidated infrastructure and years of underinvestment. Any deal involving majority US control of such a large reserve base would have implications for energy markets, foreign policy and the future of Venezuela's state role in the industry.

The announcement also follows a period of intense political change in Venezuela. The supporting material says the US captured Nicolás Maduro nearly nine months earlier and transferred him to the United States to face federal narcoterrorism and drug trafficking charges. Trump has also previously said Washington would control the sale of Venezuelan oil and oversee a transition, underlining that the latest claim is part of a broader and still-developing approach to the country.

Questions remain over the legal basis, the companies involved and the exact assets covered by the reported agreement. The public record so far does not explain whether the deal is a concession, a lease, a joint venture or another structure, and no implementation timetable has been disclosed. It is also unclear how any private partnership would interact with Venezuela's existing control over its oil industry or whether the arrangement could face legal or political challenges.

What happens next will depend on whether the reported agreement is formally documented and whether further details are released by either side. The scale of the claimed reserves and the reference to major private investment make the announcement significant, but the practical impact remains uncertain. The key issues to watch are the ownership structure, the role of private companies and whether the deal can translate into higher production and lower fuel prices.

President Donald Trump has said the United States has reached an agreement with Venezuela that would give it majority control of more than 65 billion barrels of proven oil reserves. He described the arrangement as a historic transaction reached through a partnership with private business, and said it would help lower fuel prices in the United States. The announcement was made on social media and followed weeks of reported negotiations between Washington and Caracas.

Trump said Secretary of State Marco Rubio and Defence Secretary Pete Hegseth had worked with Venezuela's interim president, Delcy Rodriguez, on the deal. Rubio called it a win for both countries and said it would bring nearly $100 billion in private investment to Venezuela, support jobs and help rebuild the economy. However, neither Trump nor other officials have released the structure of the agreement, the fields involved or how the US would exercise majority control.

The reported terms suggest a major shift in the relationship between the two countries and in the future of Venezuela's oil sector. Venezuela holds the world's largest proven oil reserves, estimated at about 303 billion barrels, but production has fallen sharply from its peak in the late 1990s. The country is still producing far below its potential after years of underinvestment, mismanagement and sanctions, making any large-scale foreign-backed deal significant for both energy markets and domestic politics.

The announcement also comes at a time when the Trump administration has been under pressure to reduce gasoline prices at home and secure more crude for US refineries. It has also been looking for ways to replenish the strategic petroleum reserve. In that context, access to Venezuelan oil would carry economic importance well beyond the bilateral relationship, especially if the deal leads to long-term supply commitments or new investment in fields that have been underdeveloped for years.

There are still major unanswered questions about the legal and constitutional basis of the arrangement inside Venezuela. Reports say Venezuelan officials are preparing to sign agreements next week granting new oil exploration and production rights to several companies, particularly US firms. Other reporting has suggested a lease model was under consideration, with fields potentially auctioned to US producers, but such a structure could face legal challenges because the Venezuelan state retains control over core oil industry activities.

The announcement follows a period of intense political change in Venezuela. Trump said earlier this year that the US had arrested Venezuela's then-president, Nicolás Maduro, and he has since said Washington would tap the country's reserves. In January, Trump also said his administration would run Venezuela until a "safe, proper and judicious transition" could take place, and that the US would control the sale of the country's oil.

Those earlier statements show that the latest deal is part of a broader and still-developing US approach to Venezuela. The role of Delcy Rodriguez is also central to the reported agreement. Trump identified her as Venezuela's interim president, while a US official told a media partner that she had granted a private joint venture a 100-year concession to operate oil fields containing 63 billion barrels of petroleum.

That official said the enterprise was a joint project of the US government and an experienced private operator in Venezuela, and that the US government would retain 55% control through equity and the right to obtain oil at cost. Even with those details, the public picture remains incomplete. Trump has not said which companies are involved, which oilfields are covered or how the partnership with private business will work in practice.

The lack of detail means the announcement is being treated as a major political and economic claim, but one whose practical impact will depend on the terms that are eventually published and whether they can withstand scrutiny in Venezuela. What happens next will depend on whether the reported agreements are formally signed and whether they survive legal, constitutional and political challenges. The key issues to watch are the structure of the ownership stake, the scale of any private investment, and whether the arrangement can actually increase production and lower fuel prices.

Until those questions are answered, the deal remains a significant announcement with far-reaching implications, but limited confirmed detail.

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