US Seizes Control of Venezuelan Oil Reserves in Trump's Biggest Deal
US President Donald Trump announced on Friday what he called 'THE BIGGEST OIL DEAL IN WORLD HISTORY' in Venezuela, giving the US a stake in Venezuela's vast oil reserves. The deal would allow the US to extract energy from Venezuela after American forces captured former President Nicolás Maduro and brought him to New York to face federal drug trafficking charges.
The agreement involves the development of 17 fields with a proven potential of 65 billion barrels, which could draw $100 billion in investment into Venezuela's oil industry and yield over $209 billion in taxes for Caracas. The US would get 55% effective output of the new private company, including an ownership stake and rights to buy oil at cost.
Trump said the deal would help lower gas prices for Americans, but experts have warned that Venezuela's dilapidated oil infrastructure will take years and billions of dollars to repair. The average price of gas in the US stood at about $US4.08 a gallon on Saturday, according to AAA.