US Secures Control of 65 Billion Barrels in Venezuela Oil Deal
US President Donald Trump announced on Friday an unprecedented push to take control of Venezuela's oil reserves, betting that American companies can revive the OPEC nation's battered energy industry and deliver a new source of crude.
The agreement would give US companies long-term access to a group of Venezuelan oilfields and guarantee the resulting crude supply to the United States. Trump provided few details about the arrangement but said it would secure majority control of more than 65 billion barrels of Venezuela's proven oil reserves, at no cost to American taxpayers.
The deal follows weeks of US-Venezuelan negotiations over a lease model that would allow fields to be auctioned to US producers. However, analysts warn that the arrangement could face legal and constitutional challenges in Venezuela, where the state retains control over core oil industry activities.