US Venezuela oil reserve access deal

The Trump administration is negotiating a deal to secure long-term U.S. access to a portion of Venezuela's crude reserves. The agreement, which could be signed soon, would allow the U.S. government to lock in a group of Venezuelan oilfields to be developed by American companies, with the resulting supply guaranteed for the U.S. A list of 17 fields includes green fields in the Venezuela — Orinoco Belt and mature areas in Venezuela — Lake Maracaibo. A 'lease' model is under consideration, with an auction or tender to allocate fields among U.S. producers. The deal could face constitutional and legal challenges. Venezuela is also considering leaving OPEC as it strengthens ties with the U.S. U.S. Energy Secretary Chris Wright is planning a trip to Caracas. The U.S. seeks to lower oil import costs, ease gasoline prices ahead of midterm elections, and replenish the United States — Strategic Petroleum Reserve, which holds about 290 million barrels (41% of capacity).