US Petroleum Grab in Venezuela: An Act of Desperation Rather Than Strength

The US administration has made a move that many see as an act of desperation rather than strength. In a bid to expand production and commercialize Venezuela's petroleum reserves, Washington has partnered with North American Blue Energy Partners (NABEP), which operates fields owned by Chinese companies.

This 'agreement' includes fields operated by Chinese enterprises, but the US administration has unilaterally asserted that China won't have any debt claims to the revenue from new oil production by NABEP. This is a troubling declaration of a dangerous principle, as Washington believes it can decide which contracts remain valid and which creditors get paid.

China provided tens of billions of dollars to Venezuela through loan contracts that were to be repaid with oil shipments. The debt remains the obligation of the Venezuelan state regardless of who operates its oil fields.

US Energy Secretary Chris Wright's announcement has been met with criticism from China, which views the cooperation between itself and Venezuela as protected by international law and the laws of both countries.