White House Releases Details on US–Venezuela Historic Oil Deal

The White House released details on Aug. 31 about an agreement that would give the United States access to 65 billion barrels of Venezuela’s oil reserves.

Under the deal, Venezuela’s interim government would grant North American Blue Energy Partners (NABEP) 100-year concessions for 17 oil fields holding roughly 65 billion barrels in proven reserves, according to a White House fact sheet.

NABEP is a privately held oil company and Venezuela’s second-largest private oil producer.

The deal was brokered by Secretary of State Marco Rubio, Secretary of War Pete Hegseth, and interim Venezuelan President Delcy Rodriguez through a partnership with private businesses, according to an Aug. 28 post by President Donald Trump.

As part of the agreement, NABEP would grant the Pentagon’s Office of Strategic Capital a 35 percent equity stake in its corporate parent, and the U.S. State Department will have the right to buy 20 percent of the output from all current and future fields operated by NABEP at production cost.

The company also granted the State Department the right of first refusal to purchase the remaining 80 percent of its production, the White House said.

“NABEP has developed an ambitious plan to rapidly scale production by investing up to $100 billion in new oil infrastructure in Venezuela, helping to drive economic growth, support thousands of high-paying jobs in Venezuela, and lead to tens of billions in broader economic activity,” it stated.

The White House said NABEP is expected to pay $200 billion in royalties and taxes over the first 25 years, while the deal would come “at zero cost” to the United States.

The U.S. government would hold veto power over the appointment of NABEP’s board of directors under the deal, with a majority of board members required to be U.S. citizens, it stated.

According to the White House, most of the oil fields that NABEP will operate were previously controlled by Russian and Chinese entities.

“These malign foreign actors looted Venezuela’s resources for the benefit of American adversaries like Cuba, Russia and China and failed to invest in Venezuela’s infrastructure or development,” it stated.

Rubio hailed the deal as “a huge win” for both nations, saying it would help generate nearly $100 million in private investment for Venezuela and create thousands of high-paying jobs.

“It demonstrates how President Trump’s bold foreign policy is driving America First wins: securing stable reserves and low-cost oil in our Hemisphere and lowering gas prices here at home,” Rubio said on Aug. 28.

U.S. forces carried out airstrikes on Venezuela’s capital, Caracas, on Jan. 3 and captured then-Venezuelan leader Nicolás Maduro and his wife, Cilia Flores, from their residence to face drug and arms-related charges in the United States.

Rodríguez, who served as Maduro’s vice president, was later named interim president by the country’s Supreme Court.