President Donald Trump said on Friday that the United States had secured majority control over 65 billion barrels of Venezuela’s proven oil reserves, and that ExxonMobil would return to operations in the country.
Trump described the arrangement as a large-scale energy deal, telling reporters that Exxon was “going in” to Venezuela as Washington pushes American companies to expand production there. He framed the reserves figure as a step toward greater US influence over global supply.
Venezuela holds some of the largest proven oil reserves on the planet, but its output has fallen sharply over the past decade due to underinvestment, sanctions and the deterioration of state producer PDVSA‘s infrastructure. Restoring meaningful production would require years of capital spending and repair work.
Analysts caution that the announcement will not translate into lower prices at the pump in the near term. Much of Venezuela’s crude is heavy and sour, requiring specialised refining capacity, and the volumes cited represent reserves in the ground rather than barrels ready for market.
The move follows Trump’s earlier statement granting the US control of the reserves, part of a broader effort to reshape energy ties with Caracas. The administration has repeatedly pressed producers to raise output as it seeks to bring down fuel costs for American consumers.
Any expanded role for Exxon would mark a return to a country the company exited years ago after a dispute over asset nationalisation. Restarting operations would depend on the legal and security terms governing foreign firms in Venezuela.
Critics have questioned the terms of Washington’s involvement, with opposition figures characterising the reserves arrangement as a resource grab. Details of how the majority control would be structured, and under what legal authority, remain unclear.
Gasoline prices in the United States respond to global crude benchmarks, refining capacity and seasonal demand rather than to reserve announcements. Even a rapid ramp-up in Venezuelan output would take time to reach refineries and affect retail costs.
The White House has not published a formal document outlining the scope of the deal or a timeline for Exxon’s re-entry. Terms governing the companies expected to operate in Venezuela have yet to be released.