Trump: US to Pump Venezuelan Oil into Strategic Reserve
Al Jazeera Staff
President Trump says oil from the new deal with Venezuela will be used to refill the US Strategic Petroleum Reserve, which is near its lowest level in 44 years. The "fill-up" process is expected to begin immediately.
US President Donald Trump said on social media that oil from the newly struck deal with Venezuela will be used to replenish the country's Strategic Petroleum Reserve (SPR) — the emergency oil stockpile that has been heavily drawn down in recent years to respond to global supply disruptions and rising fuel prices.
On Truth Social, the social media platform he owns, Trump wrote that the reserve was nearly empty and blamed former President Joe Biden. He said the "fill-up" process would begin immediately, calling Venezuelan oil "a gift from Venezuela to the American people."
It remains unclear how quickly the Venezuela deal could supply oil to the reserve or provide immediate relief to US motorists. The agreement, announced by Trump on Friday, aims to revive Venezuela's struggling oil industry but will require significant investment and infrastructure improvements before production can rise markedly.
The US reserve holds about 290 million barrels as of August 21, near its lowest level in 44 years, after both the Biden and Trump administrations drew down the stockpile to cope with supply disruptions, including Russia's invasion of Ukraine and the ongoing US–Israel conflict with Iran.
In a televised address on Saturday, Venezuela's interim President Delcy Rodriguez said the "historic" deal with Washington to transfer 65 billion barrels of oil would span 25 years, allowing Venezuela to develop its oil industry while preserving "ownership and sovereignty" over its resources.
Rodriguez said the project is expected to develop 17 strategic oil fields with an initial production target of 1.5 million barrels per day. The broader plan also includes developing 8 new oil blocks as part of expanding the country's energy sector.
Under the deal, $19 from each barrel produced and sold to the US would flow to Caracas. Depending on oil prices, this revenue could amount to as much as $209 billion per year for Venezuela, Rodriguez said.
She stressed that Venezuela would retain ownership of its natural resources "while leveraging capital, technology, and operational expertise to support the recovery of a strategic industry that has been heavily impacted by sanctions."
Caracas has been under pressure to act on Washington's demands since January, after US special forces abducted former Venezuelan President Nicolas Maduro and Venezuela's Supreme Court handed leadership to then-Vice President Rodriguez.
