US and Venezuela Signed Major Oil Agreement
The deal targets production of 1.5 million barrels of oil per day across 17 fields.
Updated on Sept. 22, 2026 in Oil and Gas
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The United States has entered an agreement with Venezuela to extract oil from 17 fields containing 65 billion barrels. The deal aims to revive the industry and increase output to 1.5 million barrels per day.
Why it matters
The pact intends to revitalize Venezuela’s oil sector and influence global energy costs by securing a significant portion of future production for the United States. It also represents a substantial economic shift for Caracas, with potential tax revenue reaching $209 billion.
The agreement includes a 100-year contract for untapped oil fields and provides the US with a 55% share of the new company's total output. Total investment potential for the industry is estimated at $100 billion.
The players
Donald Trump
Donald Trump serves as the current President of the United States.
Nicolás Maduro
Nicolás Maduro is the former leader of Venezuela who was arrested by US military forces in January.
The details
The United States formed a new company with a private operator to manage rights to 17 oil fields in Venezuela. Through this ownership, the US secures the right to purchase oil at cost and is entitled to more than half of the company's output.
Timeline
January: US military forces arrested Nicolás Maduro.
September 22, 2026: President Trump announced the oil agreement at the UNGA.
November 3, 2026: The United States holds midterm elections.
Market Landscape
This agreement signals a major shift in Western Hemisphere energy geopolitics by consolidating control over vast reserves. It mirrors the strategic state-led energy interventions seen in historical global energy crisis response protocols to ensure supply stability.
Consumers could see downward pressure on global energy costs as production targets are met. The long-term nature of this deal may stabilize fuel market expectations for the coming century.
The takeaway
This agreement highlights a significant shift toward long-term state-backed energy partnerships designed to secure supply chains. Readers should monitor how such large-scale production goals impact global market pricing over the coming years.
What happens next
The United States plans to initiate negotiations for a similar oil agreement with Iran following the November 3, 2026, midterm elections.
Further reading
For broader context on international energy trends, explore our Oil and Gas section.
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