President Donald Trump revealed on Tuesday that Venezuela's interim authorities will hand over between 30 and 50 million barrels of high-quality, previously sanctioned oil to the United States.
In a post on Truth Social, Trump described the move as a significant development following the recent U.S.-led operation that removed longtime leader Nicolás Maduro from power.
The oil, valued at roughly $2 to $2.8 billion based on current market prices around $55 to $56 per barrel, will be sold at fair market value. Trump emphasized that he would personally oversee the proceeds to ensure they "benefit the people of Venezuela and the United States."
He tasked Energy Secretary Chris Wright with executing the plan immediately, noting that the crude would be transported via storage ships directly to U.S. unloading docks.
This announcement comes just days after U.S. forces captured Maduro and his wife, Cilia Flores, in a dramatic overnight operation, bringing them to New York to face long-standing drug trafficking charges. Maduro has pleaded not guilty, calling the action a "kidnapping" while insisting he remains Venezuela's legitimate president.
The transferred oil largely consists of stockpiles that built up during U.S. sanctions and a recent blockade, including barrels in onshore storage and on tankers. Analysts say this volume represents much of Venezuela's unsold inventory, which had strained the country's production capacity.
While the influx could slightly pressure global oil prices—U.S. crude dipped about 1-2% following the news—experts note it amounts to only a few days' worth of American consumption.Trump has also signaled broader ambitions for Venezuela's vast reserves, the largest in the world at over 300 billion barrels. He plans to invite major U.S. oil companies, including Chevron, Exxon Mobil, and ConocoPhillips, to invest billions in rebuilding the nation's dilapidated infrastructure.
Chevron, the only major Western firm still operating there under a special license, is seen as best positioned to expand quickly.Internationally, the deal has drawn sharp criticism. China's foreign ministry called it "bullying" and a violation of Venezuela's sovereignty.
Meanwhile, Maduro's supporters in Caracas have protested, demanding his return.As the U.S. navigates this new chapter in Venezuelan energy, the focus remains on how the revenue will be allocated and whether it signals a long-term American role in reviving the once-thriving oil sector.
Post a Comment