In a landmark shift for bilateral energy relations and global oil markets, the United States has secured majority control of more than 65 billion barrels of proven Venezuelan oil reserves through a new joint venture agreement announced by former U.S. President Donald Trump in August 2026.
The framework agreement designates the U.S.-backed joint venture as the majority stakeholder in 17 major Venezuelan oil fields, holding a 55% stake in all production generated from the sites. Once operational, the venture will rank as the world’s second-largest private oil entity measured by total proven reserves, and Trump emphasized that the deal will more than double the United States’ domestically accessible oil reserves while putting downward pressure on retail fuel prices for American consumers.
For Venezuela, which has grappled with a collapsing energy sector for years, the agreement is framed as a catalyst for broad economic recovery. Interim Venezuelan President Delcy Rodríguez noted that unlocking the country’s massive untapped oil reserves will drive sustained economic expansion, create new formal jobs, boost wages for energy sector workers, and accelerate national development priorities. U.S. Secretary of State Marco Rubio added that the partnership is projected to attract nearly $100 billion in private capital investment, generate thousands of high-wage positions in both countries, and underpin large-scale reconstruction of Venezuela’s struggling national economy.
The deal comes on the heels of a dramatic realignment of U.S.-Venezuela relations, which followed a January 2026 military operation that removed long-time Venezuelan leader Nicolás Maduro from power. In the months after the political transition, Venezuelan lawmakers passed sweeping regulatory reforms to open the country’s oil sector to greater foreign corporate participation, clearing the path for the joint venture agreement. According to reporting from CNN, the pact also grants the private partner 100-year exploitation concessions for the 17 oil fields. Analysts note the agreement strikes a dual balance: it delivers the critical capital injection Venezuela needs to rebuild its oil production infrastructure, while granting the United States unprecedented influence over the development of one of the largest proven oil reserve holdings on the planet.