In late August, President Donald Trump revealed a strategic partnership agreement with Venezuela, which he termed the “biggest oil deal in world history.” This agreement grants the United States substantial access to Venezuela’s oil reserves, though its specifics remained closely guarded until now.
ProPublica has obtained a copy of the 18-page agreement, which was signed by Secretary of State Marco Rubio and Defense Secretary Pete Hegseth. The document reportedly outlines terms that prioritize U.S. interests while largely excluding benefits for the Venezuelan government and its populace.
Critics have expressed concern over Trump’s choice of partner in the deal: Alejandro Betancourt, a Venezuelan businessman who has been under investigation for money laundering in multiple countries. The Trump administration is acquiring a 35% stake in Betancourt’s company, North American Blue Energy Partners (NABEP), through a share acquisition in a parent company registered in Barbados. Details about the ownership and investors of the parent company remain unclear.
The structure of the agreement preserves Betancourt’s position as CEO of NABEP and establishes a seven-member board that the U.S. will help appoint. This board will serve for an initial 15 years, suggesting efforts to protect the arrangement from future alterations by subsequent administrations.
Orlando Alvarado, who has a history with Betancourt’s businesses and has been associated with past scandals involving Venezuela’s national oil company, also signed the agreement. A spokesperson for NABEP stated that neither Betancourt nor Alvarado has faced any criminal charges.
While Trump has emphasized that the deal will bolster U.S. energy dominance, the agreement specifies that U.S. purchasing rights will expire in 15 years and that some of its terms may conflict with Venezuela’s laws, which limit oil concessions to 25 years.
The deal includes provisions for the U.S. to purchase 20% of NABEP’s oil at a rate of $30 per barrel, significantly below recent market prices. However, the arrangement does not address the costs associated with transporting Venezuela’s heavy crude oil, which often requires blending with lighter oils before it can flow through pipelines.
Bipartisan skepticism exists regarding the potential benefits of this partnership, particularly from Senate Democrats who have questioned Betancourt’s suitability and the feasibility of the deal given Venezuela’s complex market conditions. Democratic senators have demanded more transparency and details about the agreement, raising concerns about possible benefits to a foreign oligarch over the American public and the Venezuelan people.
As officials from the Trump administration maintain that the partnership will foster economic recovery for both nations, critics caution that the unconventional alliance with Betancourt could raise more questions than it answers, especially regarding accountability and future U.S. foreign policy in Venezuela. The detailed implications of this agreement will likely remain a point of scrutiny in the coming months.
The agreement’s closing conditions still need to be met before its full execution, with both parties expected to comply soon.
