Trump Touts Historic Oil Deal with Venezuela
US President Donald Trump has announced what he calls a 'historic' oil deal with Venezuela, promising to substantially lower gas prices for Americans. The agreement gives the US majority control of over 65 billion barrels of proven oil reserves in Venezuela at no cost to taxpayers.
The White House did not immediately release the full text of the agreement, but details are emerging. Trump said Secretary of State Marco Rubio and Defense Secretary Pete Hegseth worked closely with acting Venezuelan President Delcy Rodriguez on the deal, which is a partnership between the US and an unnamed private business.
According to one US official familiar with the deal, it gives America 55% effective output of the new joint venture, including an ownership stake and guarantees to buy oil at cost. This will make it the second-largest private oil company by reserves in the world.
The additional supply from Venezuela's oil fields will go toward meeting US military needs and refilling the US Strategic Petroleum Reserve, which has hit its lowest level in over four decades amid the war with Iran.