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Ulviyya Poladova

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The United States has reached a major oil agreement with Caracas that would give American interests control over part of Venezuela’s enormous crude reserves, President Donald Trump said, describing the deal as a step toward rebuilding the country’s struggling oil industry.

Trump announced the agreement in a post on Truth Social, calling it a "historic transaction." He said the deal would more than double US oil reserves and could help bring down fuel prices for American consumers.

According to Trump, Secretary of State Marco Rubio and Secretary of War Pete Hegseth worked with Venezuelan acting President Delcy Rodríguez and private companies to secure majority US control over more than 65 billion barrels of proven Venezuelan oil reserves. Trump stressed that the arrangement would come at no cost to US taxpayers.

Rodríguez, meanwhile, said the agreement would strengthen relations between Venezuela and the United States and create conditions for major new investment in Venezuela’s energy industry.

The deal calls for the development of 17 strategic oil fields and includes more than $100 billion in investment. The Venezuelan government expects the projects to generate more than $209 billion in tax revenues. Private operators are also expected to play a major role in expanding oil production.

For Washington, the agreement represents a significant increase in its involvement in Venezuela’s energy sector. The Trump administration is seeking to restore Venezuela’s oil production and secure additional supplies of crude for US refineries.

Venezuela has the largest proven oil reserves in the world, estimated at around 303 billion barrels. Yet its production remains far below the levels the country could potentially achieve. Output is currently around 1.25 million barrels per day, after years of underinvestment, poor management and the impact of sanctions.

Rubio described the agreement on social media X as a "huge victory" for both Americans and Venezuelans. He said the deal would give the United States more stable access to affordable oil, while Venezuela could receive nearly $100 billion in private investment. He also noted that the projects would create thousands of well-paid jobs and support the recovery of the Venezuelan economy.

The fields included in the agreement are said to contain around 90 billion barrels of proven reserves. They had previously been controlled by members of Venezuela’s former elite, including people who had faced criminal charges.

The deal comes at a particularly important moment for the global oil market. Against the backdrop of the ongoing wars in Ukraine and Middle East, gaining greater influence over Venezuela’s enormous oil resources could strengthen Washington’s position in the global energy market.

Venezuela’s importance is difficult to overlook. It holds more proven oil reserves than any other country in the world. An agreement that gives US companies a greater role in developing those resources could therefore give Washington influence over oil supplies beyond its own borders on a scale larger than its domestic reserves alone.

The deal could also give the United States another tool in dealing with OPEC and its pricing policy. One possible consequence could be Venezuela eventually leaving OPEC, while the country could also reduce the role of China and Russia in its oil market.

It should be noted that for years, China has been one of the most important destinations and financial partners for Venezuela’s oil industry, while Russia has maintained close political and energy ties with Caracas. If American companies become the dominant investors and operators, China and Russia could find themselves with significantly less room to influence one of the world's most resource-rich oil producers.

Venezuela is already considering the possibility of leaving OPEC as its relationship with Washington improves. The issue has reportedly been discussed with US officials, although Caracas has not made a final decision. Venezuela has been an OPEC member since 1960.

At the same time, some experts argue that OPEC+ is gradually losing part of its influence over the global oil market because of declining production and exports. The conflict in Iran has further weakened the group’s ability to manage global oil supplies effectively.

The fighting has disrupted the Strait of Hormuz, one of the most important routes for transporting Middle Eastern crude, while attacks and damage to energy infrastructure in several countries have added further pressure to global supplies.

As a result, OPEC+ now accounts for a smaller share of global hydrocarbon production, while its ability to influence prices has also weakened. Reuters has noted that decisions and statements from the group no longer have the same effect on traders and oil prices that they once did.

In this environment, the agreement with Venezuela gives the United States an important new position in the global oil market.