US nears deal for long-term access to Venezuela’s oil reserves

The Trump administration is closing in on what would be one of the most consequential energy agreements in decades: long-term access to a massive chunk of Venezuela’s oil reserves. The deal under negotiation covers approximately 17 oil fields, primarily in the Orinoco Belt and Lake Maracaibo region, holding an estimated 90 billion barrels of proven reserves.

To put that number in perspective, Venezuela sits atop roughly 300 billion barrels of total proven reserves, the largest in the world. The US would be locking down nearly a third of them.

The terms taking shape

The proposed agreement reportedly follows a lease model that could extend up to 100 years, with American companies guaranteed the output from the fields. Secretary of State Marco Rubio has been leading the US side of negotiations, with Venezuelan acting President Delcy Rodríguez serving as his counterpart.

The groundwork for this deal traces back to the ouster of Nicolás Maduro in January 2026, which opened a window for diplomatic and commercial re-engagement between Washington and Caracas. Under the interim government, Venezuela’s oil production has climbed by roughly 300,000 barrels per day, bringing total output to around 1.25 million bpd. About half of that is now flowing to the US market.

Early moves signaled where things were headed. The US began directing initial Venezuelan oil sales of 30 to 50 million barrels earlier in 2026, with revenues routed through American channels. SLB and Hunt Oil both signed contracts with PDVSA in August 2026, effectively planting the first American corporate flags in Venezuelan oil territory after years of absence.

The obstacles ahead

The deal faces substantial legal and constitutional hurdles on both sides of the border. In Venezuela, granting century-long leases on sovereign natural resources to a foreign government is politically explosive, even under a friendlier administration. The country’s constitution contains provisions about state control of hydrocarbons that could complicate any formal agreement.

On the US side, the arrangement raises questions about the scope of executive authority in negotiating long-term resource commitments with foreign governments. Congressional scrutiny is likely, though the current political appetite for energy security measures may smooth the path.

For energy investors, the immediate signal is that US re-entry into Venezuelan oil is no longer hypothetical. SLB and Hunt Oil are already in, and a formal government-to-government framework would likely trigger a broader wave of private-sector investment. Companies with Gulf Coast refining exposure and heavy crude processing capacity stand to benefit most directly.

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