Trump Announces ‘World’s Biggest Oil Deal’ With Venezuela

Washington: US President Donald Trump has unveiled what he calls the “biggest oil deal in world history”, announcing an agreement with Venezuela that would give a new US-linked private venture majority control over the development and output of more than 65 billion barrels of proven Venezuelan oil reserves.

The sweeping arrangement, announced by Trump on Truth Social on Friday, could dramatically expand Washington’s influence over Venezuela’s oil industry while giving American companies long-term access to one of the world’s largest petroleum reserves.

According to the Associated Press, a US official familiar with the agreement said Venezuela’s interim President Delcy Rodríguez has granted the new private company 100-year rights to develop the oil fields. The venture would have about 55% effective control of output, including an ownership stake and rights to purchase oil at cost.

Trump drops ‘BIGGEST OIL DEAL IN WORLD HISTORY’ — ‘BREAKING NEWS’

‘Secured majority U.S. control of more than 65 BILLION BARRELS of proven Oil Reserves in Venezuela’ pic.twitter.com/3Atq9aqekj

— RT (@RT_com) August 28, 2026

Trump said the agreement was negotiated by Secretary of State Marco Rubio and Defense Secretary Pete Hegseth in coordination with Rodríguez and private business.

“The United States of America has just entered into an Agreement with the Country of Venezuela on, THE BIGGEST OIL DEAL IN WORLD HISTORY!”

Trump claimed the arrangement would more than double US oil reserves, increase domestic supplies and substantially lower gasoline prices for American consumers over the long term.

$100 billion investment, $209 billion in Venezuelan taxes

Venezuela’s interim government said the agreement covers the development of 17 strategic oil fields with a proven potential of about 65 billion barrels.

Rodríguez said the project could attract more than $100 billion in investment and generate over $209 billion in tax revenue for the Venezuelan state. She described the agreement as a major step toward reviving the country’s battered oil industry and wider economy.

Rubio called the agreement a major victory for both countries, arguing that it would secure stable, lower-cost oil supplies for the United States while bringing investment, employment and economic reconstruction to Venezuela.

This deal is a huge win for both the American and Venezuelan people.

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.

For the Venezuelan… https://t.co/SMSRYGWmVb

— Secretary Marco Rubio (@SecRubio) August 28, 2026

Why Venezuela’s oil matters

Venezuela possesses the world’s largest proven crude-oil reserves, estimated at roughly 303 billion barrels, according to the US Energy Information Administration cited by AP. Yet years of underinvestment, deteriorating infrastructure, mismanagement and sanctions have left its production far below its potential.

The new arrangement therefore represents far more than a conventional oil investment. It could give Washington an unprecedented role in managing and expanding Venezuela’s energy production while potentially securing additional crude for US refineries.

The timing is also significant. Trump is facing pressure over elevated US gasoline prices amid the prolonged Iran conflict and disruption to global oil flows. The United States has also drawn heavily on its Strategic Petroleum Reserve this year.

From Maduro’s capture to a new oil order

The agreement comes nearly nine months after US forces, acting on Trump’s orders, captured then-President Nicolás Maduro and brought him to the United States to face federal narcoterrorism and drug-trafficking charges, according to AP.

Since Maduro’s removal, Washington and Caracas have moved toward a radically different relationship, with Venezuela opening its oil sector to greater private participation.

But the ambitious oil pact is not without hurdles. Analysts and experts have raised questions over its legal and constitutional basis, while Venezuela’s dilapidated infrastructure and the enormous investment required to raise production could make the promised transformation a years-long undertaking.

The full structure of the agreement, including the identities of all participating companies and precisely how US majority control will operate, has not yet been publicly disclosed.

For Trump, however, the message is clear: Washington is seeking to turn Venezuela’s vast untapped oil wealth into a strategic American energy asset—and potentially a powerful tool to bring down fuel prices at home.