Venezuela-US Sign 25-Year Oil Deal to Boost Production Above 1.5 Million Barrels a Day

Venezuela’s interim President Delcy Rodriguez has announced a 25-year oil agreement with the United States that aims to significantly increase the country’s crude production and attract billions of dollars in investment to its energy sector.

Speaking on state broadcaster VTV on Saturday, Rodriguez described the agreement as “historic,” saying it would target daily oil production of more than 1.5 million barrels.

She said the agreement covers the development of eight crude oil fields in Venezuela’s Orinoco Oil Belt, one of the world’s largest hydrocarbon-producing regions, stretching across more than 55,000 square kilometers in eastern and east-central Venezuela.

Rodriguez said Venezuela would retain ownership and sovereignty over its natural resources, while US involvement would provide capital, technology and operational expertise to help revive an oil industry weakened by years of sanctions and economic difficulties.

“It must be absolutely clear that Venezuela retains ownership and sovereignty over its resources,” Rodriguez said.

Under the agreement, Venezuela would receive a royalty rate of at least 16% and impose an income tax rate of 34% on operations, according to Rodriguez.

She also said approximately $19 from every barrel produced and sold would go directly to Venezuela.

Based on an oil price of $65 per barrel, Rodriguez estimated that the agreement could generate about $209.3 billion in revenue for the country.

Venezuela Seeks Broader Investment

Rodriguez said Caracas wants to expand the partnership through additional agreements with major international energy companies, including Chevron, Repsol, Eni, Shell and BP.

“Our goal is to go even further with the signing of other major agreements involving giant companies,” she said. “We want to become an energy power.”

She added that the government would seek transparency over investment, production levels and state revenues, saying Venezuelans had the right to know how the oil sector was being managed.

Trump Hails Major Oil Agreement

US President Donald Trump said Friday that Washington had finalized what he described as the “biggest oil deal in world history” with Venezuela.

Trump said the agreement would give the United States majority control of more than 65 billion barrels of proven Venezuelan oil reserves.

He credited US Secretary of State Marco Rubio and Defense Secretary Pete Hegseth for working with Rodriguez to finalize the arrangement.

Trump also said the agreement was structured through private industry and would not require funding from American taxpayers. He argued that increased Venezuelan production could eventually help lower gasoline prices in the United States while supporting Venezuela’s economic recovery.

The agreement marks a major development in relations between Washington and Caracas, which have undergone a rapid transformation following the political upheaval in Venezuela.

Nearly $100 Billion in Investment

Rubio described the agreement as a “huge win” for both countries, saying it could bring nearly $100 billion in private investment into Venezuela.

For Caracas, the deal represents an opportunity to restore production in an oil sector that has suffered from years of sanctions, underinvestment and declining infrastructure.

For Washington, the agreement could provide greater access to Venezuela’s vast petroleum reserves while strengthening US influence over the country’s energy sector.