US Nears Landmark Agreement to Secure Venezuelan Oil Fields and Boost Energy Supplies

The administration of US President Donald Trump is actively negotiating a strategic agreement to secure long-term access to vital crude reserves in Venezuela, according to insiders speaking to Reuters.

Sources indicate that the pact could soon be finalized and publicly announced, allowing the US government to acquire specific Venezuelan oilfields for development by American firms, ensuring a direct and guaranteed supply for the United States.

"This is real and being discussed at the highest levels of the US and Venezuelan governments," an insider revealed. Another source noted that a "lease" arrangement is currently under evaluation as the primary legal framework, which would be followed by auctions or tenders to distribute the fields among various US producers.

A review by Reuters of 17 fields under discussion reveals a combination of green fields situated within the expansive Orinoco Belt and mature extraction zones in Lake Maracaibo. Some of these mature areas are presently managed by a minor Chinese firm operating under a contract established during the tenure of former President Nicolas Maduro.

While the White House directed inquiries to the US Department of Energy, officials from Venezuela’s oil ministry, the state-run oil company PDVSA, the Energy Department, and Venezuelan oil minister Paula Henao did not immediately respond to requests for comment.

Concurrently, Bloomberg reported that Caracas is weighing a withdrawal from the OPEC production group as diplomatic and economic alignment with the US strengthens. Venezuela, a founding member since 1960, has struggled for years to meet OPEC output quotas due to chronic neglect and corruption within its state-directed petroleum sector.

Current hydrocarbons regulations in Venezuela—possessing the world's largest crude reserves—do not explicitly provide for acreage leases, and the national constitution reserves core industry operations for the state. However, recently reformed petroleum laws do permit joint ventures and production-sharing agreements for oilfield development.

Legal experts warn that despite ongoing negotiations between Washington and Caracas, the prospective pact could encounter significant constitutional questions and potential legal obstacles.

Since US forces captured and removed former President Nicolas Maduro from power in January, Washington has pursued a dual strategy: securing a reliable flow of Venezuelan crude for domestic refineries and encouraging American capital investment to revitalize Venezuela's struggling energy infrastructure, which currently yields approximately 1.25 million barrels per day.

The Trump administration faces mounting political pressure ahead of the November midterm elections regarding elevated petrol prices, a challenge that expanded output and cheaper oil imports could mitigate. Additionally, Washington aims to replenish the depleted Strategic Petroleum Reserve following multiple withdrawals prompted by Russia's invasion of Ukraine in 2022 and the subsequent conflict with Iran initiated in February, though funding shortages and maintenance backlogs have hampered these replenishment efforts.