Buried within President Donald Trump’s unprecedented oil deal with Venezuela is a provision designed to exert a level of control over the South American company for 100 years, the Wall Street Journal exclusively reported Saturday night.
Announced on Friday, the deal will see the United States be granted rights to Venezuela’s untapped oil fields for a century. Furthermore, the U.S. government would take a direct stake in Venezuela's oil reserves, the single-largest proven oil reserves on earth.
According to “people involved in negotiating the agreement” who spoke with the Journal on the condition of anonymity, the U.S. government “plans to take a 35% passive stake” in North American Blue Energy Partners, a private oil-and-gas company led by controversial Venezuelan businessman Alejandro Betancourt. The company’s structure was also set up in such a way as to tie the hands of future Venezuelan governments.
“The private company structure was deliberately intended to bind future Venezuelan governments to the agreement and make it difficult to unwind, one of the people involved said,” the Journal’s report reads. “They consider it unlikely that a new government would expropriate a private company, the people said.”
Trump has faced bi-partisan scrutiny over the deal since announcing it on Friday, including from one of the chief supporters of his operation to kidnap Venezuelan President Nicolás Maduro, Rep. Maria Elvira Salazar (R-FL), who slammed the deal in a social media post before quickly deleting it.
Venezuelans have been critical of the deal as well.
“It’s an operation that’s absolutely unconstitutional because it’s an illegitimate government,” said Diego Arria, a former Venezuelan cabinet minister, speaking with the Journal. “They are seizing [the oil] — there’s no other word for it.”