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Trump: US and Venezuela Sign Historic 65 Billion Barrel Oil Deal
US President Donald Trump has announced a major oil deal with Venezuela, giving the US access to 65 billion barrels of proven oil reserves.
US President Donald Trump has announced what he called the “biggest oil deal in world history” with Venezuela. The agreement gives the US majority control over the development of more than 65 billion barrels of proven Venezuelan oil reserves.
Venezuela has the world’s largest proven oil reserves, estimated at around 303 billion barrels. The 65 billion barrels covered by the deal are spread across 17 oil fields, mainly in the Orinoco Oil Belt and Lake Maracaibo regions. Venezuela has granted rights to develop these fields for 100 years.
The deal will involve private oil company North American Blue Energy Partners (NABEP), led by Venezuelan businessman Alejandro Betancourt. The US government will have rights to a 35% stake in the company and preferential access to some of its oil production.
Venezuelan interim President Delcy Rodríguez said the deal could bring around $100 billion in investment and more than $209 billion in tax revenue to Venezuela. However, the oil cannot be used immediately. It will take years to extract it because Venezuela needs major investment, technology and infrastructure to develop these oil fields.
The deal is also important for the US because it could provide another major source of oil outside the Middle East and reduce the influence of China and Russia in Venezuela’s oil industry. However, experts say increasing Venezuela’s oil production will take time.