President Donald Trump said Venezuela would hand over 30 to 50 million barrels of oil to the United States. At today’s market price, that is worth roughly $2.8 billion. He said the oil would be sold and the money used to benefit both countries.
Trump shared the news on social media. He called it high-quality, sanctioned oil. He added that the oil would go straight to the US, stored on ships, and then unloaded at American docks. Energy Secretary Chris Wright is in charge of making it happen.
The announcement comes after the recent capture of Venezuelan leader Nicolas Maduro. Trump’s move also challenges China, which has been the main buyer of Venezuelan oil. Analysts say it could force China to look for oil from other countries.
Venezuela has the largest proven oil reserves in the world. But production has dropped a lot over the years. Many foreign companies left the country, and decades of mismanagement have caused the decline. The country now produces less than 1% of the world’s oil. Experts say it will take billions of dollars and years to revive production significantly.
Chevron is the last US company still producing oil in Venezuela under a special exemption. It ships barrels from ports controlled by the Venezuelan government. Some of the oil sent to the US may go to refineries on the Gulf Coast. These refineries are designed to process heavy Venezuelan crude. Companies like Phillips 66 and Valero may benefit, and their stock prices rose after Maduro’s capture.
Trump also wants Venezuela to reduce economic ties with China, Russia, Iran, and Cuba. Reports say the US is telling Venezuela to work exclusively with the US on oil production and sales. This would be a major shift for the South American country, which has relied on these nations for trade and support.
The announcement caused oil prices to dip slightly. Market experts called the volume politically significant but economically limited. They said it is a one-time shipment and does not represent a long-term change in supply.
US forces have already been targeting Venezuelan tankers as part of the effort to enforce sanctions. Some ships, like the Bella 1, tried to evade capture. Russia has now sent a submarine and naval assets to escort certain vessels.
This is part of the Trump administration’s broader strategy to control Venezuelan oil and limit China’s influence in the region.