President Donald Trump used his Truth Social platform on Friday to announce a landmark energy agreement with Venezuela that he described as “the biggest oil deal in world history.” The deal, negotiated by Secretary of State Marco Rubio and Secretary of War Pete Hegseth alongside interim Venezuelan President Delcy Rodríguez and unnamed private firms, would give the United States majority control over more than 65 billion barrels of proven Venezuelan oil reserves.
Key terms of the partnership
Under the agreement, the United States would not bear any direct cost to the taxpayer. The partnership is slated to last 25 years, develop 17 strategic oil fields, and target production above 1.5 million barrels per day. While Venezuela will retain ownership and sovereignty over its natural resources, the United States expects to exercise majority control of the extracted oil.
President Trump said the arrangement will more than double the oil reserves under American control and, over time, help lower gasoline prices for American families. He also noted that oil produced through the deal will be used to refill the Strategic Petroleum Reserve, with the “topping out” process expected to begin “very shortly.” The reserve currently holds about 289.7 million barrels, with a total authorized capacity of 714 million barrels, according to the U.S. Energy Information Administration.
Economic impact for Venezuela
Rodríguez indicated the project could attract more than $100 billion in private investment and generate over $209 billion in tax revenue for Venezuela. Despite holding the world’s largest proven oil reserves, Venezuela presently produces roughly 1.25 million barrels per day, a figure limited by decades of infrastructure damage.
The 65‑billion‑barrel figure refers to reserves still in the ground, not crude already produced or ready for shipment to U.S. refineries. Significant capital will be required to repair and modernize Venezuela’s oil facilities before production can rise sharply, leaving the timeline for any impact on U.S. gasoline prices or the Strategic Petroleum Reserve uncertain.
Expert perspective
Amy Myers Jaffe, director of New York University’s Energy, Climate Justice and Sustainability Lab, told the Associated Press the agreement could be beneficial over the long term but would not affect pump prices for the upcoming Labor Day weekend.
Policy context
The announcement follows a policy direction Trump outlined after U.S. forces captured former Venezuelan President Nicolás Maduro in January. At that time, Trump said major American oil companies would invest billions to repair Venezuela’s damaged oil infrastructure, a promise echoed in today’s deal.
Details of the agreement—including the private operators involved, financing structure, and the exact mechanism for U.S. majority control—have not yet been released by either government.
What this means for Americans
If the partnership proceeds as described, it could strengthen U.S. energy security by expanding the Strategic Petroleum Reserve and potentially easing gasoline costs for families across the nation. The deal also signals a willingness by the Trump administration to engage directly with foreign governments to secure American energy interests while pursuing private‑sector investment abroad.
Original reporting: The Dallas Express — read the source article.
