Trump Announces Plan to Replenish US Strategic Petroleum Reserve with Venezuelan Oil Following Historic Deal

A pedestrian walks past a mural featuring oil wells in Caracas, Venezuela on August 29, 2026, a day after United States President Donald Trump announced a deal giving the United States a stake in Venezuela’s oil reserves.

United States President Donald Trump announced on social media that oil secured through a recently finalized agreement with Venezuela will be utilized to restock the US Strategic Petroleum Reserve. This emergency oil stockpile has experienced significant depletion in recent years due to efforts addressing global supply disruptions and elevated fuel prices.

Writing on Truth Social, the social media platform he owns, the US president asserted that the reserve had been left virtually empty, while placing blame on former US President Joe Biden. Trump stated that the replenishment process will commence shortly, characterizing the Venezuelan oil as a gift from Venezuela to the people of the United States.

Questions remain regarding how rapidly the Venezuela deal can supply oil to the reserve or offer near-term relief to US motorists. The agreement, announced on Friday by Trump, seeks to revitalize Venezuela’s struggling oil industry, though substantial investment and infrastructure improvements will be necessary before production levels can increase significantly.

As of August 21, the US reserve held approximately 290 million barrels, placing it near a 44-year low. This reduction occurred following drawdowns under both the Biden and Trump administrations in response to international supply crises, including Russia’s invasion of Ukraine and the ongoing US-Israel war on Iran.

According to a televised address delivered on Saturday by Venezuela’s interim President Delcy Rodriguez, the historic agreement with Washington involves 65 billion barrels of Venezuelan oil over a 25-year period. She noted that the pact enables Venezuela to develop its energy sector while maintaining ownership and sovereignty over its natural resources.

Rodriguez explained that the initiative focuses on developing 17 strategic oilfields with an initial production goal of 1.5 million barrels per day. The comprehensive plan also encompasses the development of eight greenfield oil blocks as part of a broader expansion of the nation's energy infrastructure.

Under the terms of the arrangement, $19 from each barrel of oil produced and sold to the US will be directed to Caracas, a mechanism Rodriguez stated could generate up to $209bn annually for Venezuela, depending on prevailing oil prices. She emphasized that Venezuela retains ownership of its natural resources while utilizing foreign capital, technology, and operational expertise to recover a strategic sector heavily impacted by sanctions.

Caracas has faced mounting pressure to comply with Washington’s demands following events in January, when US special forces abducted then-Venezuelan President Nicolas Maduro and Venezuela’s Supreme Court transferred leadership to his vice president, Rodriguez.