US Secures Majority Control of Venezuela's Vast Oil Reserves

US President Donald Trump has announced a major agreement with Venezuela that will give the US majority control of over 65 billion barrels of proven crude reserves, more than doubling American oil reserves. The deal is seen as a significant expansion of Washington's access to Venezuela's vast oil wealth, which had been severely impacted by years of economic mismanagement and sanctions. Trump described the agreement as 'the biggest oil deal in world history,' saying it will greatly increase US oil supplies and substantially lower gas prices for Americans.

The agreement follows months of diplomatic pressure, sanctions enforcement, and direct oversight of Venezuelan oil exports. According to Trump, the arrangement was secured by Secretary of State Marco Rubio and Secretary of War Pete Hegseth working with Venezuelan interim President Delcy Rodriguez and private businesses. The US had been seeking to increase its influence in Venezuela's energy sector after the ouster of former President Nicolas Maduro.

Venezuela sits on an estimated 303 billion barrels of crude oil reserves, accounting for about 17 per cent of the world's total. However, the country produces only around 1 per cent of global oil output due to its deteriorated energy infrastructure. The Trump administration has argued that US assets were taken when former Venezuelan President Hugo Chavez nationalised foreign-owned properties.

The agreement is seen as a key step in putting Venezuela on a path towards economic recovery and strengthening relations between Washington and Caracas. However, the deal's impact on gas prices remains to be seen, and critics have raised concerns about the implications of US involvement in Venezuela's energy sector.