US Eyes Stake in Venezuelan Oilfields Amid Falling Crude Prices
Crude oil prices fell on Friday morning as reports emerged that the US is discussing ways to acquire an ownership stake in Venezuelan oilfields.
The talks, which were described by one official as 'huge' and 'massive', could potentially secure America's energy future for generations to come, not just in the US but in the hemisphere, according to another source.
US President Donald Trump is reportedly close to securing this deal, with top officials meeting their Venezuelan counterparts last month to discuss the specifics. Venezuela is considering leaving OPEC as relations between the two countries improve following the ousting of Nicolas Maduro at the start of the year.
The US has taken control of Venezuelan oil sales in recent months, which could further reduce OPEC's influence over the oil market, according to Warren Patterson and Ewa Manthey from ING Think. Oil prices ended higher on Thursday, but this optimism appears to have waned following reports that Trump is no longer seeking a return to the terms of the June Memorandum of Understanding.