Oil and politics: What Trump’s ‘historic’ deal means for Venezuela

What the report says

Al Jazeera reports that Venezuela’s latest oil agreement with the United States could reshape both the country’s energy sector and its political transition. The article says the deal follows the removal of President Nicolás Maduro in January 2026 and the rise of interim President Delcy Rodriguez, who has moved toward privatizing parts of the oil industry and opening the sector to U.S. and other foreign companies. The report frames the pact as a major shift away from Venezuela’s long-standing resource nationalism and as a development closely tied to future elections.

According to the piece, the Trump administration describes the arrangement as a landmark oil deal that would give U.S.-linked interests access to 65 billion barrels of crude reserves over a century. The article says the reserves span 17 oil fields and would be operated through North American Blue Energy Partners, with the U.S. Department of Defense’s Office of Strategic Capital taking a stake and holding substantial influence over production decisions. It also notes reported clauses on buying output at production cost and possible veto rights tied to U.S. energy-security goals.

Al Jazeera says the Venezuelan side expects the fields to generate major tax payments and investment, but the exact terms remain disputed, with different claims about the contract’s duration and revenue structure. The report adds that legal uncertainty, weak institutions, and doubts among major oil companies could complicate implementation. It also warns that a future elected government or Venezuela’s current political forces could challenge the deal’s legitimacy, making it a central issue in the country’s broader struggle over oil control and democratic reform.