President Donald Trump has said the US had entered into a major oil agreement with Venezuela.
"The United States of America has just entered into an Agreement with the Country of Venezuela on, THE BIGGEST OIL DEAL IN WORLD HISTORY!" Trump wrote on Truth Social on Friday.
"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 US control of more than 65 BILLION BARRELS of proven Oil Reserves in Venezuela, at no cost to the American Taxpayer," he said.
Trump said the agreement would more than double American oil reserves.
Caracas later confirmed the deal.
The "historic" agreement would "have a significant impact on the rebirth of our nation," interim leader Delcy Rodriguez wrote on social media, hailing a potential investment of "more than $100 billion and more than $209 billion in tax revenue for the State."
Since the US captured and removed former President Nicolas Maduro from power in January, Washington has been trying to secure a stable flow of Venezuelan crude for US refineries while promoting American investment into the OPEC country's deteriorated energy industry, which currently produces some 1.25 million barrels per day of crude.
The US has been looking for solutions to replenish its Strategic Petroleum Reserve, the oil stockpile, including the possibility of crude swaps with US producers.
US touts huge win
Rubio said the deal is a "huge win" for both nations, and that it will bring nearly $100 billion in private investment to Venezuela.
The Washington Post reported earlier that the administration is targeting a stake in 17 specific oil fields, several of which have suffered from years of neglect and lack necessary transport infrastructure.
Transferring control of natural resources to Washington could require changes to Venezuela’s Constitution due to strong domestic opposition, according to the report.
Despite the administration’s efforts to attract investment in the post-January status quo, Venezuelan oil production has increased by only about 200,000 barrels per day in the last year, according to The Post.
US Energy Secretary Chris Wright is expected to travel to Venezuela next week.
