Trump Venezuela Oil Deal: Trump Announces Major Agreement to Develop 65 Billion Barrels

President Donald Trump has announced a Trump Venezuela oil deal, which could provide the US access to a significant portion of Venezuela’s proven oil reserves. The “biggest oil deal in world history” was arranged by Secretary of State Marco Rubio, Defense Secretary Pete Hegseth, and Venezuela’s acting President Delcy Rodriguez, according to Trump.

According to the Venezuelan government, the agreement includes the development of 17 oil fields with a proven capacity of 65 billion barrels. The idea might attract $100 billion in investment to Venezuela’s oil sector and create more than $209 billion in taxes for the Venezuelan government.

According to Rodriguez, the accord might help Venezuela rebuild its economy. Her government has also taken steps to allow private participation in the country’s oil industry.

Trump Venezuela Oil Deal Gives US Major Share of Oil Output

A US official familiar with the accord stated that the US will collaborate with a private operator to build a new corporation in Venezuela. The business will develop the oil fields with rights given by Rodriguez’s government.

According to the source, the corporation has been granted 100-year development rights for the lands. The United States will own the corporation and have the right to acquire oil at cost, giving it an effective 55% stake in its output.

If the plan is carried out to its full potential, the company will become the world’s second-largest corporate holder of proven oil reserves, trailing only Saudi Aramco, the official added.

The company’s oil would be utilized to rebuild the United States’ strategic petroleum reserves as well as for military purposes.

Why the Trump Venezuela Oil Deal Matters for US Gas Prices

Trump’s proposal comes as Americans continue to pay high petrol costs. According to AAA, the average U.S. petrol price was roughly $4.09 per gallon on Friday, up from $3.21 the previous year.

The ongoing conflict between Israel and Iran has also had an impact. Oil supplies via the Strait of Hormuz have significantly reduced, while the United States has depleted its strategic petroleum stocks. In early August, the reserve dipped below 300 million barrels, more over 100 million barrels lower than at the start of 2026.

However, the new accord is unlikely to result in a significant cut in gasoline costs. Experts believe Venezuela requires extensive repairs and additional investment before it can dramatically expand oil production.

Venezuela has around 303 billion barrels of crude oil reserves, making it one of the world’s largest. Much of the country’s oil resources had previously been identified, but destroyed infrastructure has reduced production to roughly 1% of global output.

American oil corporations may also be wary of returning to Venezuela due to political unrest and the country’s long history of infrastructure destruction. ExxonMobil CEO Darren Woods earlier referred to Venezuela as “un-investable.”

Trump claims that his government has increased the country’s stability. He has also accused Venezuela of stealing US oil after former President Hugo Chavez nationalized hundreds of foreign-owned properties.

Rubio stated that the agreement will bring billions of dollars in private investment to Venezuela and help cut fuel prices in the US.

Meanwhile, former Venezuelan President Nicolas Maduro remains imprisoned in the United States. He has entered a not guilty plea to federal narcoterrorism and drug trafficking accusations.