President Trump Says Venezuela Oil Will Refill US Strategic Reserves Day After ‘Biggest Oil Deal In World History’

• Trump said Venezuelan oil would be used to help refill U.S. strategic reserves.
• He added that the “topping off” process would begin shortly without mentioning details on volumes or terms.
• Trump said the broader deal covers more than 65 billion barrels of Venezuelan oil and over $100 billion in investment.

U.S. President Donald Trump said on Sunday that his administration would use Venezuelan oil to replenish the United States' strategic petroleum reserves, which he claimed had been "virtually emptied" under former President Joe Biden.

"One of the things I am going to do with Venezuelan oil is fill up the Strategic National Reserves," Trump wrote in a Truth Social post. Trump stated that the "topping off" process would begin "very shortly" and referred to Venezuelan oil as a "gift from Venezuela to the people of the United States."

Venezuela To Become A Bigger Part Of US Oil Supply

Trump had previously said that the U.S. and Venezuela had reached what he called the "biggest oil deal in world history." He said that the deal would give the U.S. majority control over more than 65 billion barrels of Venezuela's proven oil reserves through a partnership with private business. This would bring in more than $100 billion in investments and bring in more than $209 billion in taxes for the Venezuelan government.

Trump said that the deal would swell the U.S. oil supply, more than double the country's oil reserves, and help bring down gas prices. Trump also added that Delcy Rodríguez, the interim president of Venezuela, said that the agreement would involve developing 17 oil fields.  

The agreement between the U.S. and Venezuela was praised by Rodríguez as a historic moment that could help Venezuela's economy recover and bring its oil industry back to life. 

Rodríguez thanked Trump and Secretary of State Marco Rubio, saying that the deal was a big step forward for relations between the U.S. and Venezuela. She said the deal would increase Venezuela's oil production by letting private companies work in the field.  Rodríguez said she saw the agreement as the start of a new era for Venezuela, one focused on improved security, economic recovery, and greater prosperity.

United States Oil Fund (USO) price closed below 0.2% on Friday. On Stocktwits, retail sentiment around it remained in the ‘extremely bearish’ zone, accompanied by ‘low’ chatter levels over the past day.

Read also: Eric Trump Says ‘The Tides Have Turned’ For Bitcoin As AI And Institutions Fuel Crypto Adoption

For updates and corrections, email newsroom[at]stocktwits[dot]com.