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Trump says Venezuela oil will refill U.S. reserve, but process could take years
Donald Trump announced that the U.S. Strategic Petroleum Reserve will be refilled with oil supplied by Venezuela. The reserve fell to 286.6 million barrels as of August 28, its lowest level since 1982.
Donald Trump announced that the U.S. Strategic Petroleum Reserve will be refilled with Venezuelan oil. However, major investments and infrastructure projects to increase production in Venezuela are needed to restore the reserve to higher levels.
According to data from the U.S. Energy Information Administration, the amount held in the Strategic Petroleum Reserve fell to 286.6 million barrels as of August 28. This level, reached after releases carried out to limit the impact of rising global oil prices on domestic fuel costs, was the lowest amount recorded since 1982.
The reserve has shrunk by approximately 30 percent since the beginning of the year. Compared with its level when the Russia-Ukraine war began, the amount has nearly halved.
The reserve's trajectory over the years
The sharpest decline occurred in 2022. The reserve, which stood at approximately 580 million barrels at the beginning of the year, fell to 372 million barrels by year-end.
The reserve partially recovered after rising to 413.5 million barrels at the end of 2025. However, new oil supply disruptions linked to the war between the United States and Israel and Iran caused the amount to decline again.
The time provided by the reserve is limited
Julien Matonier, an economist specializing in oil markets at the London-based Energy Intelligence Group, said the Strategic Petroleum Reserve had fulfilled its core function by mitigating the impact of two major supply shocks. Matonier said the reserve had only bought time and that this period was limited.
Matonier said the stability provided by the United States had narrowed its room for maneuver in the future, emphasizing that gaining access to Venezuela's reserves and transferring that oil to the U.S. Strategic Petroleum Reserve within a short period were separate issues.
Investment needed for Venezuelan oil
Washington secured control over Venezuela's proven oil reserves of more than 65 billion barrels and reached an agreement to develop 17 oil fields.
Matonier said the significant refilling of the U.S. reserve could be delayed until the second or third quarter of 2027, depending on an improvement in the geopolitical situation in the Middle East. The economist said major investments and infrastructure projects were needed to increase production in Venezuela and that Venezuelan oil was not expected to provide a quick solution to the problem.
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