Fossil fuel is the key, it seems, however slippery, if US President Donald Trump’s statement on Tuesday has any significance. Trump has said that Venezuela “will be turning over” up to 50 million barrels of oil, which will be worth about US dollar 2.8 billion, to the US. On January 3, Trump had abducted Venezuela President Nicolás Maduro after launching an attack on the country.
“I am pleased to announce that the Interim Authorities in Venezuela will be turning over between 30 and 50 MILLION Barrels of High Quality, Sanctioned Oil, to the United States of America,” Trump posted on Truth Social, a social media platform owned by Trump Media & Technology Group.
The money will be used to benefit the people of Venezuela and the US, he added.
Earlier, he had said the US oil industry would be “up and running” in Venezuela within 18 months and expected huge investments in the US projects. However, there is scepticism about the volume of oil that can be extracted in a profitable way by any agency.
Venezuela: largest oil reserve
Venezuela is credited with having the world’s largest oil reserves, with more than 300 billion barrels of proven crude oil reserves, according to OPEC (Organization of the Petroleum Exporting Countries).
Before Trump imposed a blockade on ships in and out of Venezuela in mid-December, the country was producing around 1 million barrels of oil every day, which included refined products and petrochemicals, according to industry estimates. This accounted for about 0.9% of global supply.
The primary buyer was China.
The US requires heavy oil, produced by Venezuela and countries such as Canada, Colombia, Ecuador and Mexico, to blend with lighter domestic oil in refineries.
US attack
Early on Saturday morning, the US had launched an attack on Venezuela, killing 80 people and kidnapping Maduro and his wife Cilia Flores. The couple have been extradited to the US where they are facing trial for drug trafficking and on other counts.
After Maduro’s abduction, Trump had said that US companies would take control of Venezuela’s oil production: “We are going to rebuild the oil infrastructure, which will cost billions of dollars, it will be paid for by the oil companies directly…And we are going to get the oil flowing the way it should be.”
Condemnation by nations, green lobby
Trump’s actions have been condemned by several global leaders and also on environmental grounds. The UN Secretary-General António Guterres, as well as China, Russia and France have criticised Trump.
Environmentalists have issued the strongest statements.
“The direct declaration that the effective takeover of Venezuela is specifically targeting the world’s largest proven oil reserves is yet another warning sign of how politically explosive and toxic oil interests can be. Reducing dependency on fossil fuels by shifting to clean energy will reduce the dictatorial, corruption and military conflict risks around the world,” said Julian Popov, former minister of environment, Bulgaria, and Senior Fellow at Strategic Perspectives.
“The winner of the FIFA peace prize has just started a war that violates international law. Trump is not concerned with democracy in Venezuela, but with oil,” added Sascha Müller-Kraenner, Executive Director, Deutsche Umwelthilfe and Founder, Ecologic Institute.
Arc of history
An expert pointed at the historical trajectory of invasions for oil.
“The Trump administration justifies hostility toward Venezuela with accusations of drug running and authoritarianism — but this escalation follows a historic playbook: undermine leftist governments, create instability, and clear the path for extractive companies to profit. The most powerful multinational fossil fuel corporations stand to benefit from these aggressions, and U.S. oil and gas companies are poised to exploit the chaos and carve up one of the world’s most oil-rich territories (OCI),” observed Elizabeth Bast, Executive Director, Oil Change International.