President Donald Trump announced Friday that his administration reached what he called a historic oil agreement with Venezuela, opening the door to U.S. access to tens of billions of barrels of the country's untapped crude reserves.

A New Company, a Century of Rights

According to details shared by a U.S. official, the deal creates a private company jointly held by Washington and an undisclosed Venezuelan operator. Acting President Delcy Rodríguez granted the company 100-year rights to develop the fields. The arrangement gives the United States 55% of the new company's effective output, including an ownership stake and the right to purchase oil at cost, which would make it the world's second-largest corporate holder of proven reserves, trailing only Saudi Aramco.

Caracas said the agreement targets 17 oil fields holding a proven potential of 65 billion barrels, and could attract $100 billion in fresh investment while generating more than $200 billion in future tax revenue for the Venezuelan state.

Pressure From Gas Prices and the Iran War

The announcement lands as Trump faces growing political pressure over fuel costs. The war involving Iran has now stretched past six months, disrupting Gulf shipping routes and forcing the U.S. to draw down its strategic petroleum reserve to its lowest level in years. Average gas prices in the U.S. have climbed well above year-ago levels.

Secretary of State Marco Rubio, who helped negotiate the pact alongside Defense Secretary Pete Hegseth, said it would draw private investment into Venezuela and eventually help lower prices at the American pump.

A Long Road Back for Venezuelan Oil

Analysts caution that any real boost to U.S. gas supply is years away. Venezuela's oil infrastructure has suffered from decades of underinvestment, and major American producers have voiced skepticism about returning to the country despite the political shift since Nicolás Maduro's removal from power. Maduro remains in U.S. custody facing narcoterrorism charges and has pleaded not guilty.

Venezuela holds the world's largest proven crude reserves, though chronic infrastructure problems limit its current output to a fraction of its potential.