Venezuela says oil deal with US could put US$19 per barrel into state coffers

Venezuela’s interim president Delcy Rodriguez (right) is expecting some US$209 billion (RM841.7 billion) for her country from the oil development agreement with the United States. — Venezuelan Presidency handout pic via AFP

First Published: Sunday, 30 Aug 2026 1:48 PM MYT

MEXICO CITY, Aug 30 — Venezuelan state revenues under the oil development agreement with the United States could reach approximately US$209 billion (RM841.7 billion), or approximately US$19 (RM76.51) per barrel produced and sold, the country’s interim president, Delcy Rodriguez, said.

“In specific terms, this means that for every barrel produced and sold, approximately US$19 (RM76.51) goes directly to our country,” Rodriguez said in her address to the nation, reported Sputnik/RIA Novosti.

She clarified that this calculation was based on a price of US$65 (RM261.76) per barrel, which could be higher or lower. The agreement provides for royalties and profit taxes to be paid to the state. Specifically, for eight new blocks to be developed in the Orinoco oil belt, the minimum royalty will be 16 per cent, and the profit tax will be 34 per cent.

According to Rodriguez, the bilateral agreement with the United States is for 25 years and provides for the development of 17 strategic fields with the goal of increasing production to over 1.5 million barrels per day. Under the agreement, Venezuela provides oil resources, an industrial base, and the industry’s experience accumulated over more than 100 years, while the United States provides the capital and technology necessary for the restoration and development of the assets.

“In return, Venezuela receives production, jobs, infrastructure investment, significant revenues for the state, and production chains for national industry,” the interim president said.

Rodriguez added that Caracas’ goal extended beyond this agreement and included other “important agreements” with major companies. Venezuela strives to become an energy power, a major oil producer, a significant gas exporter, and to develop its national petrochemical industry, she said.

Venezuela maintains ownership and sovereignty over its resources while simultaneously using capital, technology, and operational capabilities to rebuild a strategic industry severely damaged by sanctions, Rodriguez concluded. — Bernama-Sputnik/Ria Novosti