Trump Announces U.S. Majority Stake in 65 Billion Barrels of Venezuelan Oil

President Trump said Friday the United States has reached an agreement with Venezuela’s interim government giving Washington majority control of more than 65 billion barrels of proven crude reserves “at no cost to the American taxpayer.” He called it “THE BIGGEST OIL DEAL IN WORLD HISTORY” in a Truth Social post and said the transaction “MORE THAN DOUBLES American Oil Reserves” and “will substantially lower Gas Prices for all Americans, long into the future.” Secretary of State Marco Rubio and Secretary of War Pete Hegseth negotiated the pact with interim President Delcy Rodríguez and private partners, Trump said.

Rodríguez confirmed the announcement later Friday. Her government said the arrangement covers development of 17 strategic fields with proven potential of 65 billion barrels, more than $100 billion in private investment, and more than $209 billion in tax revenue for the Venezuelan state. She thanked Trump and Rubio and called the pact a “historic” step toward recovering hydrocarbon infrastructure. Rubio said on social media it was “a huge win for both the American and Venezuelan people,” citing nearly $100 billion in private investment, jobs, and reconstruction in Venezuela, and “stable, low-cost oil” for the United States.

A White House official told CNN the United States would hold “55% effective output of a new private joint venture” that officials described as becoming the second-largest private oil company by reserves. Rodríguez, the official said, granted that company 100-year field concessions. The U.S. share would be split between equity in the venture and guaranteed offtake at cost. As production scales, officials said the at-cost crude is intended for the Strategic Petroleum Reserve and U.S. military supply. Axios, citing a government source, described the structure as equity rather than a cash purchase. The private operator was not named. Pentagon officials have said the Office of Strategic Capital can help finance critical supply-chain projects but cannot take ownership stakes in private companies; reporting before the announcement said OSC could oversee licenses. No signed contract was released Friday.

Venezuela holds the world’s largest proven reserves, about 303 billion barrels, or roughly one-fifth of global supply, according to the U.S. Energy Information Administration. The 65 billion barrels in the announced fields are about one-fifth of that total. EIA put U.S. proved crude and condensate reserves near 46 billion barrels at year-end 2024; Trump’s “more than doubles” claim treats the Venezuelan barrels under U.S. control as added to that figure. Production in Venezuela is about 1.25 million barrels a day, far below late-1990s peaks, after years of underinvestment, sanctions, and damaged infrastructure. Reuters noted legal questions and weak infrastructure could slow how fast new barrels reach export. Heavy Venezuelan crude typically requires specialized Gulf Coast refining. How quickly output would rise, and at what offtake price beyond “at cost,” was not specified.

The announcement follows the Jan. 3 U.S. operation that seized Nicolás Maduro, who faces federal charges in the United States. Rodríguez became interim president. Treasury licenses earlier this year allowed U.S. firms to operate in Venezuela; OFAC removed Rodríguez from the sanctions list in April; Rubio said in May that more than 10 million barrels had already moved to the United States under Treasury-supervised sales audited by KPMG. Opposition figures have disputed Rodríguez’s legitimacy. Those disputes were not resolved by Friday’s statements. The White House did not publish the joint-venture documents. Implementation depends on private capital, field rehabilitation, and any legislation or licenses still required.