On August 28 (local time), according to Xinhua news agency, US President Donald Trump announced that the US and Venezuela had just reached an oil agreement that he called "the largest oil deal in world history".
Mr. Trump made the above statement in a post on the social network Truth Social. According to the US President, through cooperation with private businesses, the US has gained control of most of the proven oil reserves in Venezuela, with a total scale of more than 65 billion barrels.
Mr. Trump said the agreement does not incur costs for US taxpayers. The US President also said that the agreement will help significantly increase oil supplies to the country.
According to Mr. Trump, access to Venezuela's large oil source will help double US oil reserves, while increasing supply and "significantly reducing" gasoline prices for Americans for a long time.
Venezuela currently possesses the world's largest proven oil reserves. This resource has long been one of the important factors in the Venezuelan economy.
Mr. Trump's statement was made in the context of the US oil market experiencing many fluctuations. According to Xinhua, oil prices in the US have increased sharply since the conflict with Iran broke out at the end of February, increasing concerns about inflation.
The US access to more oil from Venezuela, if implemented according to the contents announced by Mr. Trump, could help increase oil supply to the US market. This is also a factor emphasized by Mr. Trump when talking about the possibility of future fuel price reductions.
Full details of the US-Venezuela agreement have not been released.
