US Secures Majority Control of Venezuelan Oil Reserves in Historic Deal

The United States and Venezuela have reached a deal that gives the U.S. majority control of over 65 billion barrels of Venezuela's proven oil reserves through a partnership with private business. This is more than double the U.S.'s current proven reserves, which stand at around 30 billion barrels. The agreement will remain in force for 25 years and aims to increase oil output to 1.5 million barrels per day within that timeframe.

The deal would give the U.S. a direct stake in 17 of Venezuela's oil-and-gas fields, including greenfields in the Orinoco Belt and mature areas in Lake Maracaibo. Venezuelan officials are preparing to sign agreements granting new oil exploration and production rights to several companies, including U.S. firms such as Chevron.

Venezuela would benefit from private investment in its oil industry, which has been plagued by mismanagement under the regimes of Hugo Chávez and Maduro. The agreement is expected to generate around $209 billion in revenue for Venezuela based on an oil price of $65 per barrel. This would be a significant increase in government revenue, with around $19 from each barrel produced and sold going directly to the Venezuelan government.