Trump Claims 65B-Barrel Venezuela Deal

Trump says the US has secured majority control of 65 billion barrels of Venezuelan oil reserves.

President Donald Trump announced Friday that the United States has entered an agreement with Venezuela to secure majority U.S. control of more than 65 billion barrels of proven oil reserves. In a Truth Social post, he called it "THE BIGGEST OIL DEAL IN WORLD HISTORY!" and said the transaction "MORE THAN DOUBLES American Oil Reserves" at no cost to American taxpayers. He credited Secretary of State Marco Rubio, Pete Hegseth, and Venezuela's interim President Delcy Rodríguez, negotiated through a partnership with private business.

The announcement lands nearly nine months after the U.S. military captured Venezuelan President Nicolás Maduro in January and brought him to the United States to face federal narcoterrorism and drug trafficking charges; he remains jailed and has pleaded not guilty. Since then, Rodríguez's government signed a law opening Venezuela's oil sector to privatization, reversing a bedrock tenet of the socialist movement that has ruled the country for more than two decades. The pivot is stark given industry skepticism: ExxonMobil CEO Darren Woods had called Venezuela "un-investable."

Venezuela's government said the agreement covers development of 17 fields with a proven potential of 65 billion barrels, and projected it could draw $100 billion in investment while yielding over $209 billion in taxes for Caracas. According to a U.S. official, the U.S. will partner with an unnamed private operator to create a new company holding 100-year rights to develop the fields, with the U.S. holding 55% effective output via an ownership stake and rights to buy oil at cost. The official said the company would become the second-largest corporate holder of proven reserves after Saudi Aramco, with oil bought from it refilling the U.S. strategic petroleum reserve and supplying military use.

The deal lands with drivers squeezed: AAA put the average U.S. gas price at about $4.09 a gallon Friday, up from $3.21 a year earlier, and Trump faces mounting pressure over prices with the midterms looming. The U.S.-Israel war with Iran hit a six-month milestone Friday, dramatically slowing Gulf oil through the Strait of Hormuz, which carried about 20% of the world's petroleum before the conflict. The strategic petroleum reserve fell below 300 million barrels in early August, down more than 100 million since the start of 2026. Trump vowed the deal would "substantially lower Gas Prices for all Americans," per NBC 15.

Rubio called the agreement "a huge win for both the American and Venezuelan people," and NBC News quotes him saying it will bring nearly $100 billion in private investment, support thousands of high-paying jobs, and drive the reconstruction of Venezuela's economy. Rodríguez predicted on Telegram that the deal "will have a significant impact on our nation's revival." The Washington Times reported Venezuela's press office did not immediately respond to a request for comment on the announcement.

Turning reserves into barrels will take time. Experts have repeatedly warned that a substantial boost in Venezuelan production will not happen quickly, as repairing and expanding dilapidated infrastructure takes years and requires billions of dollars. Venezuela holds an estimated 303 billion barrels — about 17% of world supply, according to the U.S. Energy Information Administration — yet produces only about 1% of the world's oil. Uncertainty also remains over partners: NBC 15 reported Trump did not identify the private companies involved, and The Washington Times reported the White House did not immediately explain how the arrangement would work.