Trump Announces Oil Deal With Venezuela; Experts Say It Won't Lower Gas Prices Soon
President Donald Trump announced a deal to secure majority control over more than 65 billion barrels of Venezuela's oil reserves, claiming it will lower gas prices for Americans. However, experts say the agreement won’t provide immediate relief due to years of infrastructure decay and mismanagement in Venezuela’s oil sector. Venezuela is currently producing around 1.2 million barrels per day—far below its peak output—and requires significant investment to restore production levels. Analysts estimate it could take up to $180 billion through 2040 just to return the country's output to historical highs, with no clear timeline for U.S. drivers seeing any benefit. Gas prices in the U.S. remain high due to global supply disruptions and geopolitical tensions, including attacks on Russian refineries and conflicts in the Middle East.
Topics: Energy Gas Prices Oil Reserves Politics