Trump Announces U.S. Administration of Venezuelan Oil Reserves The former president declared that the United States will temporarily operate Venezuela’s oil sector and will enlist American energy firms to rebuild the field [3][1]. He framed the move as a way to unlock the country’s “vast but rundown” resources and to counteract Maduro’s regime [3]. The announcement follows reports of Maduro’s capture, adding immediate political uncertainty [1].

Venezuela Holds World’s Largest Proven Reserves Yet Produces Minimal Output The U.S. Energy Information Administration estimates about 303 billion barrels of proven crude, roughly 17 % of global reserves [3][2]. Current production hovers around 1 million barrels per day, far below the 3.5 million bpd peak of 1999 [1][2]. Restoring output to historic levels would require sustained investment and a stable government [2].

A Decade‑Long, $58‑$100 Billion Infrastructure Overhaul Is Required Analysts calculate that modernizing pipelines, refineries, and extraction equipment would cost between $58 billion and $100 billion [1][3]. They project a ten‑year timeline to lift production from roughly 1 million to higher levels [1][2]. Decades of sanctions and neglect have left the infrastructure in severe disrepair, complicating any rapid revival [2].

Chevron Remains the Sole Major U.S. Operator While Others Remain Cautious Chevron currently produces about 250,000 barrels per day through joint ventures with PDVSA, making it the only major U.S. firm with significant activity in Venezuela [1][2]. Exxon Mobil declined comment and ConocoPhillips said it is monitoring the situation without speculating on future investments [2]. Investors will demand clear contracts and political stability before committing capital [2].

Legal, Geopolitical and Market Impacts Appear Limited in the Near Term International‑law scholars warn that occupying forces could face disputes over oil ownership, raising significant legal challenges [1]. The global oil surplus means that even a modest production increase is unlikely to move prices dramatically [1][3]. Market observers expect only a modest price impact unless the political situation deteriorates further [3].