President Donald Trump announced on August 28 that the United States has reached an oil trade agreement with resource-rich Venezuela.
According to Yonhap News, Trump stated on social media platform Truth Social, "The United States has just reached an agreement on the largest oil deal in world history with Venezuela."
He added, "Secretary of State Marco Rubio and former Secretary of War Pete Hegseth have closely collaborated with Venezuela's respected interim President Delcy Rodriguez, securing majority control of over 65 billion barrels of confirmed oil reserves in Venezuela without burdening American taxpayers through partnerships with private companies."
However, he did not disclose specific details regarding the agreement.
AP News reported that the agreement would allow the U.S. to establish a new private company to manage the oil reserves in collaboration with Venezuelan private operators.
A Trump administration official explained, "Interim President Rodriguez has granted the newly established private company 100 years of oil development rights, and the U.S. will secure 55% of the company's actual production, including ownership stakes and rights to purchase crude oil at cost." The official noted that if the agreement is implemented, this company would have the second-largest confirmed reserves after Saudi Arabia's state-owned oil company, Aramco.
Venezuela, historically a staunch opponent of U.S. influence, holds the world's largest oil reserves and has cooperated with the Trump administration since a successful military operation in January to oust former President Nicolás Maduro, ordered by Trump.
This agreement raises questions about whether international oil prices, which have surged due to the Iran conflict, will decrease along with energy prices in the U.S.
Trump stated on Truth Social, "This historic deal will more than double America's oil reserves, significantly increase oil supply, and greatly reduce gas prices for all Americans for a long time to come, while helping Venezuela move toward tremendous success and great prosperity. This deal will greatly strengthen the already growing relationship between Venezuela and the United States."
* This article has been translated by AI.
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