The agreement between Washington and Caracas covers control of Venezuela’s proven oil reserves, which exceed 65 billion barrels. The White House announced that the agreement had been signed and said it aims to secure U.S. energy dominance while supporting Venezuela’s economic recovery.
100-year concession for 17 oil fields
According to the White House statement, the United States will gain significant management authority and an economic stake in a new Venezuelan company expected to become the world’s second-largest private oil company by reserves. Washington will also have the right to purchase oil at a low cost.
The agreement, signed by U.S. Secretary of State Marco Rubio and Secretary of Defense Pete Hegseth, provides for a 100-year concession covering 17 oil fields in Venezuela with more than 65 billion barrels of proven reserves.
Crude oil will be processed in the United States
Under the agreement, millions of barrels of Venezuelan crude oil are planned to be processed at refineries in the United States. The deal also calls for the use of American drilling equipment and infrastructure in production.
The White House said the arrangement would support billions of dollars in investment and thousands of jobs in the United States. It described the agreement as a key element of the stability, reconstruction and democratic transition plan for Venezuela prepared by the administration of U.S. President Donald Trump.