President of the United States Donald Trump (80) Announced the conclusion of a large oil agreement with the Venezuelan government. The United States will gain majority control under this agreement over 65 billion barrels of Venezuelan oil reserves, announced Trump early on Saturday (CET). This represents about a 5th of Venezuela's estimated oil reserves. This is “the largest oil deal in planet history,” said Trump on Friday (local time).
This agreement will more than double the reserves crude oil in the U.S., assured Trump on his website fact Social. The agreement with Venezuela will besides reduce gas prices “for all Americans” for years. As a result, Trump, whose ratings fell as a consequence of the war with Iran, hopes to gain voter support before the supplementary elections in November.
US Secretary of State Marco Rubio (55) and Secretary of Defence Pete Hegseth (46) intervened in the conclusion of an agreement "in direct cooperation" with the interim president of Venezuela, Delcy Rodríguez (57), explained Trump. The agreement provides for partnership with private companies. The American taxpayers will not bear any costs in connection with its conclusion.
Rubio: $100 billion investment in Venezuela
Rubio explained on the online news site X that the agreement would bring Venezuela nearly $100 billion (EUR 84.8 billion) of private investment. Moreover, it would mean "thousands of well-paid jobs" for this South American country after years of economical crisis and would contribute to "rebuilding the Venezuelan economy".
The U.S. Secretary of State besides pointed to unchangeable energy reserves and lower energy prices as benefits for the United States and their citizens. According to the U.S. Energy Information Agency (EIA), strategical oil reserves in the U.S. are presently at the lowest level since November 1982. This is simply a consequence of efforts by the US government to balance supply problems and price increases resulting from the Iraqi-Iran War. The Ormuz Strait, which is inactive at stake, threatens to become a permanent threat, especially to the current US administration, as any fresh conflict in the strait affects global oil and gas prices.
Venezuela: Over 300 billion barrels of oil reserves
With more than 303 billion barrels, Venezuela has the world's largest known oil reserves. The country besides has immense natural gas deposits. After years of economical crisis, however, Venezuela faces major challenges in exploiting and generating profits from these resources.
Former Deputy Maduro, Rodríguez, became the interim president of this South American country and has since actively advocated beginning Venezuela to abroad investment, especially in the energy sector.
Trump's administration exerted strong force on Caracas to grant the United States access to Venezuelan reserves of this climate-threatening energy source. At the same time, it called on US energy companies to invest in Venezuela. However, these companies have so far hesitated due to weak infrastructure and erstwhile expropriations of abroad investors.
This agreement raises many questions among experts
John Kilduff, an energy expert at Again Capital's consulting firm, said that if the United States had or controlled oil fields in Venezuela, they would gotta "establish any kind of state region there", in which American companies would not gotta fear the political hazard of investing.
