US secures majority control of Venezuelan oil reserves
President Donald Trump announced an oil deal with Venezuela, granting the United States majority control over 65 billion barrels of proven petroleum reserves. Trump described it as "the biggest oil deal in world history," projecting nearly $100 billion in private investment for Venezuela. Interim leader Delcy Rodriguez confirmed the "historic agreement," anticipating over $100 billion in investment and more than $209 billion in tax revenue. Secretary of State Marco Rubio and Defense Secretary Pete Hegseth reportedly brokered the deal through a partnership with private business. Rubio stated the deal would bring nearly $100 billion in private investment, support high-paying jobs, and aid Venezuela's economic reconstruction. Jorge Pinon, a senior researcher at the Energy Institute at the University of Texas at Austin, noted the unconventional nature of the agreement and raised questions about the transfer mechanism of oil assets. Axios previously reported on discussions for a dozen oil fields with 90 billion barrels of proven reserves, suggesting private companies, including American firms, would develop the fields and increase oil revenue for Venezuela in exchange for US ownership. The deal is expected to more than double US oil reserves, which are currently at a 40-year low. John Kilduff, an energy expert, suggested that US control of oil fields could establish a secure zone for US companies, mitigating political risks associated with investing in Venezuela.
