The United States will maintain indefinite oversight of Venezuelan oil sales revenue as it selectively lifts decades-long sanctions restricting the country’s crude exports.
Oil handover agreement details
President Donald Trump announced Tuesday that Venezuela “turns over” 30-50 million barrels for market-rate sale, proceeds deposited into US-controlled accounts he personally oversees.
Energy Secretary Chris Wright emphasized retaining “leverage and control” to force Venezuelan government changes. White House projects $2.8bn revenue; unclear Venezuela share.
PDVSA confirms ongoing negotiations under existing bilateral frameworks mirroring international company terms.
Sanctions rollback strategy
US prepares “selective” sanction relief enabling oil flow while channeling funds to stabilize Venezuela’s economy, prioritizing people over regime/corruption per Secretary of State Marco Rubio.
Wright assured Miami energy executives: “We’re not stealing anyone’s oil… money flows back into Venezuela.”
Marketing already underway with banks/commodity firms; Chevron, lone major US operator there, well-positioned for heavy crude its refineries process.
Economic context and impacts
Venezuela holds world’s largest proven reserves but produces ~1M bpd (<1% global) crippled by disinvestment, mismanagement, US sanctions.
China dominated recent off-take; disrupted by intensified US tanker strikes/blockade pressuring Maduro. Resumed flow pressures Mexico/Canada heavy crude suppliers to US Gulf refineries.
Oil prices dipped last week anticipating increased Venezuelan market access despite expansion needing years/billions investment amid US/Guyana alternatives.
Political backlash
Connecticut Senator Chris Murphy blasted “insane” plan as “stealing Venezuelan oil at gunpoint… to micromanage the country.” Beijing condemned Maduro seizure and oil control. Trump meets oil executives Friday at White House.
Source: BBC
Also read: Venezuela shifts from China to US, Chevron gains oil control
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