Venezuela to Give US 30-50 Million Barrels of Oil, US to Control VZ Oil Sales 'Indefinitely'

President Donald Trump has announced an agreement with Venezuela to transfer millions of barrels of oil to the US, which would control future oil sales.

The Details: The interim government of Venezuela will transfer 30 to 50 million barrels of oil from existing stockpiles to the US, which will sell the oil at market price. The revenue, perhaps as much as $2.8 billion, would then be sent back to Venezuela and potentially lower oil prices down from $56 to $50 a barrel in the US The agreement comes after the Trump administration captured Nicolas Maduro, the country's president, and began to put pressure on the new leadership. In addition, Trump will meet with US oil executives on Friday to urge them to invest in reviving Venezuela's oil production in order to help rebuild the country's energy infrastructure.

Key Quote: "I am pleased to announce that the Interim Authorities in Venezuela will be turning over between 30 and 50 MILLION Barrels of High Quality, Sanctioned Oil, to the United States of America. This Oil will be sold at its Market Price, and that money will be controlled by me, as President of the United States of America, to ensure it is used to benefit the people of Venezuela and the United States," Trump posted on Truth Social.

For Context: Venezuela has the largest oil reserves in the world, and though it used to be a leading oil producer, the country now contributes less than 1% of global oil output. Chevron is the only major US oil company still there after former leader Hugo Chavez pushed to nationalize the country's oil industry in 1976.

How The Media Covered It: Sources on the right noted that Venezuela has agreed to use the new oil money to purchase US goods such as medicines, medical devices, and agricultural products to help upgrade the country's energy infrastructure. Sources on the left noted that Trump has claimed that Venezuela stole American oil after the US built up the old industry there and that rebuilding the broken-down oilfields and energy infrastructure investments will be a massive undertaking. Bringing Venezuelan oil back into circulation could give the US more leverage over Canada, which relies on the US oil market for most of its exports, and force Mexico to diversify its oil supplies or speed up costly refinery upgrades. The deal could also strip Cuba, China, Iran, and Russia of their lucrative oil deals with Venezuela since the US would be deciding the price of oil and who to sell it to.

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