The U.S. Department of Defense is holding talks on a major partnership with energy investor Alejandro Betancourt, aiming to secure a direct stake in Venezuela’s oil reserves, Bloomberg reports. The discussions focus on up to 17 oil fields in the country’s main oil-bearing basins, reflecting Washington’s drive to strengthen its influence over the republic’s energy infrastructure.
Under one of the scenarios under consideration, the United States could obtain a 100-year lease on assets including the Junin area within the Orinoco Belt and historical oil fields around Lake Maracaibo. To manage potential investments, the Pentagon’s Office of Strategic Capital, established in 2022 to attract private capital into strategically important industries, is being considered. The military initiative is being carried out in parallel with efforts by major corporate players to expand their presence in the region. Previously, The Wall Street Journal reported that Chevron Corp. and Halliburton Co. were close to concluding multi-billion-dollar deals to boost production in Venezuela, with Chevron aiming to add two heavy-oil fields to three existing joint ventures with the state company PdVSA.
Washington has effectively taken control of sales of Venezuelan oil and eased sanctions after the January detention of former President Nicolas Maduro and the rise to power of Delcy Rodriguez. Although President Donald Trump is actively calling for a revival of what was once Latin America’s largest oil power, the actual recovery of production remains slow—the major energy operators continue to operate amid political uncertainty.
Against this backdrop, the rise in global oil prices, driven by the conflict with Iran and disruptions in supplies from the Middle East, has increased the urgency of attracting Western capital. While major conservative players—ExxonMobil Corp. and ConocoPhillips—maintain a cautious stance, independent intermediaries and service companies appear to be ready to lead the first wave of reinvestment.