Trump announces U.S.-Venezuela oil agreement covering 65 billion barrels

President Donald Trump announced on social media that his administration has reached an agreement with Venezuela to develop 17 oil fields that hold an estimated 65 billion barrels of crude. The deal, negotiated by Secretary of State Marco Rubio, Defense Secretary Pete Hegseth and Venezuela’s acting president Delcy Rodríguez, would create a new private company—partnered with an unnamed U.S. operator—to receive 100-year development rights and a 55 % effective output share, including the right to purchase oil at cost.

Rodríguez’s government said the arrangement could attract about $100 billion in investment and generate more than $209 billion in taxes for Caracas. A U.S. official familiar with the details, who requested anonymity, confirmed the long-term rights and the intended use of the oil for the U.S. strategic petroleum reserve and military purposes.

The announcement follows a U.S. operation earlier this year that removed former Venezuelan President Nicolás Maduro from power. It comes amid rising domestic gasoline prices, which averaged $4.09 per gallon, and ongoing disruptions to Gulf oil flows due to the conflict between Israel and Iran. Analysts note that significant increases in Venezuelan production are unlikely in the short term because of extensive infrastructure repairs and investment needs.

Industry leaders expressed cautious interest; ExxonMobil CEO Darren Woods described Venezuela as “un-investable” while Rubio posted that the deal would bring billions in private investment and benefit both nations. The agreement marks a shift in Venezuela’s oil policy, which recently opened the sector to privatization after decades of state control.