Trump and Venezuela's Interim Leader Sign Secret Oil Pact, Adviser Calls It Illegitimate
A confidential oil agreement between President Trump and Interim President Delcy Rodríguez was announced, which a Venezuelan adviser describes as unlawful and harmful.
President Trump and Interim President Delcy Rodríguez have revealed a secretive oil arrangement that was concluded without public debate, a move the adviser to Congressman Antonio Ecarri calls both illegitimate and potentially illegal. The adviser, who works on economic and energy matters, says the deal surprised officials in Caracas and was signed under pressure. He outlines PDVFA's chronic decline, citing poor management, politicized staffing, and a depletion rate of 0.124% per year that makes the country's oil reserves effectively worthless today.
By contrast, he notes Exxon’s 9% depletion rate, highlighting the economic disparity. Drawing on his experience in petroleum economics, the adviser recommends Venezuela abandon the bolivar, adopt the U.S. dollar, and privatize its oil sector to boost production and curb inflation.
Why it matters
The secret oil deal could reshape Venezuela's economy and raise legal and diplomatic concerns.
How this story developed
- Aug 28 U.S. Negotiates Long-Term Lease of Venezuelan Oil Fields to Cut Import Costs
- Aug 28 The White House has referred inquiries about the proposed deal to the Energy Department.
- Aug 29 Trump announced a partnership granting the United States a 55% effective output share in Venezuelan oil fields.
- Aug 30 The first publicly shared photographs of Nicolas Maduro since his January abduction were uploaded to his X account. The pictures show the former president detained by U.S. officials as he prepares for a trial on narco-terrorism and drug-trafficking accusations. The post was framed as a tribute to his grandchildren and supporters.
- Aug 31 Acting President Delcy Rodríguez announced a 25‑year bilateral energy project granting the United States majority control of more than 65 billion barrels of Venezuelan reserves.
- Aug 31 Trump said the deal will allow the United States to top up its Strategic Petroleum Reserve.
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