The secret terms of Trump’s Venezuelan oil deal

Key Points:

• The Trump administration signed an 18-page strategic partnership agreement granting the U.S. significant access to Venezuela’s oil reserves through a 35% stake in Alejandro Betancourt’s firm, North American Blue Energy Partners (NABEP), a controversial Venezuelan oligarch facing multiple money-laundering investigations.
• The deal heavily favors U.S. interests by ensuring American control over a seven-member board, granting the U.S. discounted oil purchases, and providing long-term protections for Betancourt’s leadership, while offering limited benefits or involvement for the Venezuelan government or its people.
• Key terms include a 20-year U.S. purchasing right with a discounted oil price but exclude costs related to processing Venezuela’s heavy crude, and the agreement is subject to U.S. law with disputes settled in Texas courts, bypassing Venezuelan jurisdiction.
• The partnership has sparked criticism and skepticism from U.S. lawmakers and Venezuelan opposition figures, who question Betancourt’s suitability and the lack of transparency, with concerns about potential legal and ethical implications and the deal’s actual benefit to Venezuela.
• The deal emerged from behind-the-scenes negotiations involving Pentagon and State Department officials, with efforts to circumvent legal restrictions and leverage Betancourt’s existing production capacity, despite his ongoing legal challenges and limited public disclosure of ownership and financial details.