US Energy Secretary Chris Wright arrived in Venezuela on Tuesday for meetings with government officials following the announcement of an agreement that would allow Washington to control approximately one-fifth of the country's oil reserves.
Both the National Assembly and the military in Venezuela have expressed support for the agreement.
Wright landed at Maiquetía International Airport, which serves Caracas, at around 8:30pm local time.
"Many agreements" will be announced today that "will lead to more than a doubling of Venezuela's oil production in the coming years," he told reporters upon arrival.
He added:
"I believe very good years lie ahead with the arrival of major investments in this country that will create more jobs, increase upward pressure on wages and provide opportunities for Venezuelans."
Venezuela possesses the world's largest proven oil reserves, estimated at more than 300 billion barrels.
However, production remains limited at around 1.2 million barrels per day. At its historic peak, output exceeded 3 million barrels per day.
US President Donald Trump announced on 28 August that he had reached an agreement with Venezuela under which the United States would assume majority control over more than 65 billion barrels of the country's reserves.
According to Trump, it is:
"The largest oil deal in world history"
and would double US oil reserves.
Acting Venezuelan President Delcy Rodríguez insisted that Venezuela would retain sovereignty over the oil fields to be operated by the United States.
National Assembly and military back agreement
Venezuela's National Assembly announced its support for the agreement following a parliamentary vote.
"Venezuela has the world's largest oil reserves and is the twentieth-largest exporting country. The twentieth! And there are those who want this situation to continue," said Assembly President Jorge Rodríguez, brother of the country's acting president.
Opposition legislator Luis Emilio Rondón called for greater transparency.
"We need to know what the fine print says, the terms. We demand that the full text be provided to us."
Later in the evening, the military, which plays a decisive role in Venezuela, also endorsed the deal.
"We support, approve and agree with all the terms of the recent strategic agreement. In one phrase, I would say it concerns the prosperity and wellbeing of the country, as well as our own," Defence Minister General Gustavo González López said in a televised address.
US Secretary of State Marco Rubio, in an interview with a Venezuelan journalist broadcast on YouTube, said the agreement aims at the "normalisation" of Venezuela's economy.
Wright also stated on Tuesday that the agreement had been designed:
"Above all to strengthen US national sovereignty"
while also helping Venezuela:
"Achieve long-term success."
A "geopolitical opportunity"
The agreement also enables the United States to gain an advantage over strategic competitors, Wright acknowledged.
"This agreement represents a geopolitical opportunity to protect reserves that were largely under the influence of Chinese and Russian companies."
Under the terms of the deal, the US-backed company North American Blue Energy Partners (NABEP), Venezuela's second-largest private oil company and owned by businessman Alejandro Betancourt, will lease 17 oil fields for 100 years.
The fields are estimated to contain approximately 65 billion barrels of oil reserves.
In return, the company will give Washington the right to purchase 20% of its production at cost price.
The oil will subsequently be refined in facilities in the United States.
Following the military operation that led to the capture of Venezuelan President Nicolás Maduro in January, Trump has sought to restart the development of the country's oil and gas resources under American leadership.
The United States imposed an embargo on Venezuelan crude exports in 2019, and that embargo formally remains in place.
Since Maduro's removal from power, however, Washington has gradually eased sanctions.
Meanwhile, energy company Chevron is expected to make a "significant announcement" today, according to a source familiar with the negotiations who spoke to AFP on Tuesday.
