On Saturday, Delcy Rodríguez took to state television to address the people of Venezuela, seeking to justify a controversial oil agreement with the United States announced by Donald Trump the previous day. The deal grants Washington a majority stake in approximately 65 billion barrels of Venezuela's proven oil reserves.
The speech followed a storm of criticism sparked by a deal shrouded in secrecy and heralded by Trump on Truth Social as "the largest oil deal in history."
Venezuela's Sovereignty at Stake?
Rodríguez's central message was a robust defense of national sovereignty, countering perceptions that the agreement surrenders the country's energy resources. "Let it be absolutely clear: Venezuela retains ownership and control over its resources while leveraging capital, technology, and operational expertise to revitalize an industry severely impacted by sanctions," she asserted.
Positioning the deal as a strategic necessity, Rodríguez remarked, "Having our oil reserves underground is pointless if they only serve to inflate statistics or balance sheets, without translating into tangible development for Venezuela."
She also refuted claims of a 100-year concession, clarifying that the agreement is set for a 25-year term.
Details of the Oil Agreement
According to Rodríguez, the bilateral project, spanning 25 years, involves the development of 17 strategic fields with a production target exceeding 1.5 million barrels per day. The deal also includes eight green blocks in the Orinoco Belt, with minimum royalties of 16% and an income tax rate of 34%, conditions she deemed far more favorable than the oil opening three decades ago, when royalties were a mere 1%.
Addressing state revenue, she stated, "Every Venezuelan has the legitimate right to ask: How much does Venezuela receive? Our nation's income would total $209.335 billion. Concretely, this means that for each barrel produced and sold, around $19 flows directly to our country."
The Logic Behind the Pact
Rodríguez justified the agreement with a complementary approach: "The premise is simple: each side contributes what they do best. Venezuela brings the expertise of its workers, its industry know-how. The United States provides the capital and technology we need to regain growth. The benefits of this agreement are beyond measure."
She also announced ongoing negotiations with Chevron, Repsol, Eni, Shell, and BP, with a clear goal: "We aim to be an energy powerhouse, a major oil producer, a key gas exporter, and to significantly advance our national petrochemical development."
In a surprising twist under Nicolás Maduro's regime, she publicly thanked the U.S. administration: "I thank President Donald Trump, Secretary Marco Rubio, and their government members for their efforts in reaching this agreement."
Ongoing Controversies and Opposition
Despite Rodríguez's assurances, the deal remains mired in controversy. A U.S. official quoted by CBS suggested the agreement actually involves a 100-year concession to a private joint venture, with the U.S. holding a 55% share, directly contradicting Rodríguez's 25-year assertion.
Economist Ricardo Hausmann labeled it "asset expropriation" and unconstitutional, given that Venezuela's constitution deems hydrocarbons "inalienable and indefeasible."
In Caracas, dozens of Chavistas, organized by the Anti-Imperialist Popular Front, protested, demanding the release of Maduro and Cilia Flores. Conversely, the PSUV issued a statement of "full support" for Rodríguez, and Nicolás Maduro's son also backed the agreement, thanking Trump and Rubio, despite facing federal drug charges in the U.S.
As of July 2026, Venezuela's oil production stood at roughly 1.2 million barrels per day, far below the three million barrels extracted at the end of the last century. The agreement, with a projected investment of over $100 billion, aims to close this historical gap.
Understanding Venezuela's Oil Deal with the U.S.
What is the duration of the oil agreement between Venezuela and the U.S.?
The agreement is officially set for a 25-year term, according to Delcy Rodríguez.
How much revenue is Venezuela expected to receive from the oil deal?
Venezuela is projected to earn a total of $209.335 billion, with approximately $19 per barrel produced and sold going directly to the country.
Who are the key players involved in the ongoing negotiations besides the U.S. government?
Negotiations are underway with major companies such as Chevron, Repsol, Eni, Shell, and BP.