Trump says Venezuela oil deal will refill US reserve, revive industry

US President Donald Trump has announced an agreement to use Venezuelan oil to replenish the American strategic petroleum reserve, a move he said would give Washington a stake in Venezuela's vast oil wealth and help revive the country's struggling energy sector.

The deal comes months after the capture of former Venezuelan President Nicolás Maduro in January. Maduro was taken to New York to face federal drug-trafficking charges, a development that has reshaped US-Venezuela relations.

While Trump did not provide specific terms, he indicated the arrangement would involve a US stake in Venezuela's oil reserves, suggesting a deeper economic entanglement between the two countries. The announcement signals a shift in how the US plans to secure its energy stockpiles, leveraging geopolitical leverage gained from Maduro's arrest.

Details of the agreement remain unclear, including the scale of oil transfers, pricing, or the legal framework governing the deal. Analysts note that reviving Venezuela's battered energy industry would require significant investment and infrastructure repair, which the deal may aim to address.

The move is likely to have implications for global oil markets and US foreign policy in Latin America, as Washington seeks to stabilise Venezuela's oil production while refilling its own reserves.