Trump's Venezuelan Oil Deal May Take Years to Lower Gas Prices
President Trump recently announced that a U.S.-Venezuela oil deal could lower gas prices for Americans. However, experts are skeptical about how soon this will happen.
The agreement involves the development of 17 strategic oil fields in Venezuela with proven reserves of 65 billion barrels of oil. This could eventually lead to more oil flowing to the U.S., but it may take around 15 years after discovery for new fields to begin producing oil, according to Global Energy Monitor.
The deal also faces potential legal and operational obstacles, making it unlikely to boost oil production in the near term, analysts with investment bank UBS said. Even more bullish forecasts suggest it could take five to 15 years before enough Venezuelan oil flows to the U.S. to affect domestic gas prices.