- BIST10011,629+1.74%
- USD49.55+0.21%
- EUR55.57-0.09%
- GOLD4,140.00-0.48%
- INTEREST37.00%-1.00
- BITCOIN81,438-0.50%
- October 20, 20268°
- BIST10011,629+1.74%
- USD49.55+0.21%
- EUR55.57-0.09%
- GOLD4,140.00-0.48%
- INTEREST37.00%-1.00
- BITCOIN81,438-0.50%
- October 20, 20268°
Axios: US seeks ownership stakes in Venezuela’s oil fields
Axios reported that the US administration and Venezuela’s interim government discussed granting the US ownership stakes in more than a dozen oil fields. The timing for signing a final agreement remains unclear, while private companies are expected to develop production.
Venezuela’s interim government and the US administration have discussed a possible arrangement that would grant the US ownership stakes in the country’s oil fields. Axios reported that the plan covers more than a dozen production sites.
The fields are estimated to contain approximately 90 billion barrels of proven oil reserves, while Venezuela’s total proven reserves are estimated at around 300 billion barrels.
Private companies to play a role in production
Under the possible arrangement, private companies would take responsibility for developing the oil fields and increasing production, which is expected to generate additional oil revenue for the Venezuelan government. The talks could give Washington access to Venezuela’s oil reserves and potentially double US oil reserves.
US Secretary of State Marco Rubio and Venezuela’s interim President Delcy Rodríguez are leading the talks, with Stephen Miller, the White House deputy chief of staff, also taking part in the process.
Signing date remains unclear
The US administration is seeking to present the arrangement as a step that would benefit the Venezuelan people. Concerns that Rodríguez could be accused of handing the country’s natural resources over to the US have also been taken into consideration during the talks.
The date for signing a final agreement has not yet been determined. US Energy Secretary Chris Wright is expected to travel to Venezuela next week to discuss options for US companies to increase oil production in the country.
Global pressure on oil supplies
The oil talks come as the wars in Iran and Ukraine have contributed to disruptions in global supplies and rising prices. The US Strategic Petroleum Reserve has also fallen to its lowest level in 40 years.
Venezuela has the world’s largest proven oil reserves. The country’s oil industry has been affected by years of insufficient investment, mismanagement and declining production.
The Trump administration has made increasing access to Venezuelan oil one of the central elements of its energy and foreign policy approach toward the Western Hemisphere. In the long term, the administration aims to secure the Western Hemisphere’s energy future and ease price pressures caused by the war in Iran.
The latest talks are seen as part of Washington’s broader efforts to restructure Venezuela’s oil sector. The process began after Nicolas Maduro was captured by the US in January, after which the US administration supported the interim government led by Rodríguez and sought to take a greater role in Venezuela’s energy sector.
Stay Updated with Ally Daily
Subscribe to be informed about special news, developments and announcements. We will keep you informed.
By signing up, you agree to our Privacy Policy
