President Trump on Friday framed a sweeping new Venezuela oil deal as a once-in-a-generation opportunity for U.S. energy companies and the American economy, telling executives that the agreement would generate “tremendous wealth” for industry and “great wealth” for the American people.
Speaking to a group of oil majors and traders, Trump called the companies “treasured partners in bringing the nation of Venezuela back to life,” while making clear that participation was optional, but competitive. If companies were unwilling to invest, he said, there were “25 people that aren’t here today that are willing to take your place.”
The message was blunt: Venezuela’s oil sector is being reopened under U.S. leverage, and those willing to move quickly stand to benefit.
Energy Secretary Chris Wright, speaking earlier to Fox News, described the strategy as a fundamental break from decades of failed policy. “For 25 years we’ve seen the collapse of the Venezuelan regime—everything going the wrong direction,” Wright said, arguing that previous approaches had failed to halt corruption, criminal activity, and economic collapse. He said the current strategy relies on enforcing sanctions that already existed but were not meaningfully applied, using military presence as leverage rather than direct conflict.
“This is using military force without firing bullets, without soldiers on the ground, but getting the full impact of that force,” Wright said, adding that the result would be lower energy prices, reduced criminal flows, and a reversal of Venezuela’s economic decline.
The administration’s approach follows the capture of Nicolás Maduro and what Senator Dave McCormick described as “an incredible, magnificently orchestrated law enforcement, military, and intel operation” that created the conditions for what he called “Phase 2.” That phase, McCormick said, centers on leveraging control over oil resources to pursue four goals: cutting drug flows into the United States, ending Venezuela’s role as a haven for U.S. adversaries, reviving the oil sector with Western investment and expertise, and laying a long-term path toward democratic self-rule.
The scale of the opportunity is significant. Venezuela produced about 4 million barrels per day in 1975. Today, output sits near 800,000 barrels per day after decades of underinvestment and mismanagement. Restoring even part of that capacity would reshape regional energy flows.
Companies represented at the meeting included Chevron, ExxonMobil, ConocoPhillips, Halliburton, Valero, Marathon, Shell, Vitol, Trafigura, Repsol, Eni, and others spanning upstream, refining, and infrastructure.
Trump made clear the administration sees oil as the economic engine of Venezuela’s recovery — and a strategic tool for the United States. Whether companies step in quickly or hesitate, the White House signaled the door is now open, and the clock is ticking.
“One thing I think everyone has to know is that if we didn’t do this, China or Russia would have done it,” Trump told oil executives.
By Julianne Geiger for Oilprice.com
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