US Strikes Major Oil Deal With Venezuela

UPDATE Aug 29, 2026 6:10 AM CDT

A deal with Venezuela over its oil has been struck. CNBC reports that on Friday evening, President Trump posted on social media that the "BIGGEST OIL DEAL IN WORLD HISTORY" had "secured majority U.S. control of more than 65 BILLION BARRELS of proven Oil Reserves" in the South American nation. That amount would more than double US oil reserves, according to the president, who also vowed the arrangement would "substantially lower Gas Prices for all Americans, long into the future." Trump said the deal was made "working closely with Highly Respected Interim President of Venezuela, Delcy Rodriguez" and via a collaboration with unnamed private businesses. In a Telegram post, Rodriguez said that the deal "will have a significant impact on our nation's revival," per the AP.

Aug 28, 2026 4:45 PM CDT

The Trump administration has its eye on a chunk of Venezuela's oil patch that would dwarf most energy deals on the planet. Talks are in progress over long-term rights to about a third of Venezuela's reserves—roughly 90 billion barrels—aimed at giving US companies more incentive to drill in a country many see as too risky to touch, the Washington Post reports. The plan, still fluid and far from certain, would rely on joint ventures that leave Venezuela with a large share of revenue but hand Washington significant control over 17 oil fields, many lacking basic infrastructure and security.

The deal would reassure US companies hesitant to invest in Venezuela's oil industry, per the Wall Street Journal, which has been chaotic since the Chavez and Maduro reigns. Secretary of State Marco Rubio and Energy Secretary Chris Wright want to travel to Venezuela next month, though it's not clear anything could be in place by then. Such a deal would face questions about the legality of reaching an agreement with interim President Delcy Rodriguez, per the Post, and doubts that Congress would sign off on the massive spending required.