Trump Announces Oil Deal with Venezuela, Ceding Large Part of its Reserves

U.S. President Donald Trump announced on August 28, 2026, a "historic" oil agreement with Venezuela that he asserts will more than double the North American nation's oil reserves. Trump declared on his social media platform, Truth Social, that the deal secures "U.S. majority control over more than 65,000 million barrels of proven oil reserves in Venezuela."

He further stated that this transaction "more than doubles the oil reserves of the United States, considerably increases our oil supply, and will substantially reduce gasoline prices for all Americans in the long term." Prior to the official announcement, U.S. media outlets, including The Wall Street Journal, had reported on an imminent agreement with Chevron, the sole major U.S. company operating in Venezuela, and other oil companies to invest billions in the South American country's fields.

Halliburton, an oilfield services company, is also reportedly involved in negotiations led by the Pentagon and the State Department. Executives from several companies are expected to sign a production agreement in Caracas the following week, with the Secretary of Energy, Chris Wright, also slated to visit Venezuela. ExxonMobil and ConocoPhillips are said to be staying on the sidelines for now.

Trump characterized the deal as an "alliance with the private sector" facilitated by Secretary of State Marco Rubio and Secretary of War Pete Hegseth, in "close collaboration with the highly respected interim president of Venezuela," Delcy Rodríguez. Rubio described the agreement as "a great victory for both the American and Venezuelan people," estimating it would attract approximately $100 billion in private investment, support thousands of well-paying jobs, and boost Venezuela's economic reconstruction. He highlighted the deal as an example of Trump's foreign policy principles, ensuring stable reserves and low-cost oil in the hemisphere while reducing domestic gasoline prices.

Trump praised Rodríguez as a valid negotiating partner, noting that since the capture of Nicolás Maduro by U.S. forces on January 3, 2026, relations between Venezuela and the United States have shifted from confrontation to a progressive rapprochement, including the lifting of sanctions and increasing normalization. Interim President Delcy Rodríguez has confirmed the "historic agreement."