A U.S. oil company, North American Blue Energy Partners (NABEP), will assume control of several Venezuelan oilfields formerly operated by Chinese and Russian firms, according to two U.S. officials. The move, announced Monday, forms part of a broad oil production agreement between the United States and Venezuela, initially unveiled by President Donald Trump.
NABEP, once owned by American oil magnate Harry Sargeant and now led by Venezuelan businessman Alejandro Betancourt, received 14 new contracts from the Venezuelan government as part of the deal. Betancourt described Venezuela as rich in natural resources and potential, emphasizing that the agreement would benefit both Venezuelans and Americans.
Under the terms, NABEP will hold operational control of the assets, while the U.S. government will maintain a 35 percent stake in the company and receive preferential access to 20 percent of production at cost. Additionally, the U.S. Department of State has secured a right of first refusal to purchase the remaining 80 percent of NABEP’s output. The White House also detailed that the U.S. will have veto power over the company’s board decisions and mandated that a majority of board members be U.S. citizens.
The agreement grants NABEP oversight of a total of 17 Venezuelan oil projects, with 14 being newly awarded. Several of these oilfields were previously managed by Chinese companies including China Concord Resources, Sinopec, and China National Petroleum Corporation, as well as a Russian firm. China Concord Resources had been targeted by U.S. sanctions in 2019 for Iran-related activities. Among the fields transferred were assets associated with affiliates of Alex Saab, a former Maduro confidant currently detained in U.S. custody, and an oilfield linked to a relative of Venezuelan First Lady Cilia Flores.
Last week, President Trump announced that the U.S. secured access to approximately 64 billion barrels of Venezuela’s proven oil reserves through partnerships with private firms. This arrangement represents a significant shift in control over Venezuela’s oil sector, traditionally dominated by Chinese and Russian interests, and aligns production more closely with U.S. economic and geopolitical objectives.
An administration official highlighted that the deal not only opens new avenues for American operators and government benefit but also reorients Venezuelan oil exports toward U.S. refineries, which previously received shipments primarily destined for China. Trump on Monday confirmed that millions of barrels of Venezuelan oil are now being processed at refineries in Texas and Louisiana.
Ongoing discussions involving Venezuela’s interim authorities and members of the 2015 National Assembly aim to restore constitutional governance and resolve legal ambiguities connected to the country's transitional period, according to the officials. President Trump was scheduled to meet with representatives from oil and gas retail and refinery sectors on Tuesday to address further aspects of the energy collaboration.