President Donald Trump announced Friday that the United States had reached an agreement with Venezuela securing majority U.S. control of more than 65 billion barrels of oil reserves, touting the deal as a major boost to U.S. energy security and a potential long-term answer to rising gas prices.

Trump announced the agreement in a Truth Social post, calling it “THE BIGGEST OIL DEAL IN WORLD HISTORY.”

The president said Secretary of State Marco Rubio and Secretary of War Pete Hegseth negotiated the deal with Venezuela’s interim President Delcy Rodriguez and private businesses.

“This Historic Transaction MORE THAN DOUBLES American Oil Reserves, greatly increases our Oil Supply, and will substantially lower Gas Prices for all Americans, long into the future,” Trump wrote.

Trump said the agreement comes “at no cost to the American Taxpayer” and argued that it will strengthen the increasingly close relationship between Washington and Caracas.

Trump did not identify the private businesses participating in the deal or provide details about the agreement’s structure or how the United States would exercise majority control over the reserves.

The announcement follows the Trump administration’s dramatic intervention in Venezuela earlier this year, when U.S. forces captured then-President Nicolás Maduro and brought him to the United States to face federal narcoterrorism and drug-trafficking charges.

In the months since Maduro’s removal, Trump has repeatedly emphasized Venezuela’s enormous petroleum reserves and the possibility of bringing American energy companies back into the country.

Venezuela possesses the largest proven oil reserves in the world, with roughly 303 billion barrels of crude oil beneath its territory, according to the U.S. Energy Information Administration. The 65 billion barrels cited by Trump represent a substantial portion of the country’s known reserves.

Venezuela has historically produced only a fraction of the oil its reserves would suggest. Years of economic collapse, sanctions, government mismanagement and deteriorating infrastructure have crippled the country’s oil industry, leaving Venezuela responsible for only about 1% of global oil production despite possessing roughly 17% of the world’s oil reserves.

Developing the reserves covered by the agreement could give the United States a significant new source of oil, but any effect on supply would depend on how quickly production could be expanded. 

The timing is particularly significant as Americans face elevated energy prices and the Trump administration attempts to manage the economic fallout from the war with Iran. The conflict has disrupted global oil markets, particularly through the Strait of Hormuz, a critical shipping corridor for crude.

Oil prices have risen sharply since the conflict began, while the United States has drawn down its Strategic Petroleum Reserve (SPR) to levels not seen in decades, per CNBC.

The reserve fell below 300 million barrels earlier this month, more than 100 million barrels below its level at the beginning of 2026.

The average price of gasoline in the United States was roughly $4.09 per gallon on Thursday, according to AAA. Trump has repeatedly argued that increasing American energy production and securing reliable supplies from friendly nations can help bring those prices back down.

“This Transaction will greatly strengthen the already growing relationship between Venezuela and the United States,” Trump wrote. 

The agreement could mark a significant new phase in that relationship if American companies invest in Venezuela’s long-neglected oil infrastructure and substantially increase production. Its ultimate effect on American supply and gasoline prices will depend on how quickly the oil can be developed and brought to market.