US Firm to Operate Venezuelan Oilfields Formerly Held by Chinese and Russian Companies

A U.S. oil company, North American Blue Energy Partners (NABEP), is set to take control of several Venezuelan oilfields previously operated by Chinese and Russian entities, two U.S. officials told Reuters. The move is part of a sweeping production agreement that the Trump administration announced it had secured with Venezuela.

Details of the Takeover

Under the arrangement, NABEP will control a total of 17 projects in Venezuela. According to the officials, 14 of these are newly granted contracts from the Venezuelan government, displacing previous operators in a significant reshuffling of the nation's energy assets.

The fields being transferred include:

• Five fields previously operated by Chinese companies, including projects run by Sinopec, China National Petroleum Corp, and China Concord Resources.
• One field that was operated by an unnamed Russian firm.
• Other projects were reportedly linked to affiliates of Alex Saab, a former associate of ousted President Nicolas Maduro, and a nephew of Maduro's wife, Cilia Flores.

NABEP, previously owned by U.S. oil tycoon Harry Sargeant, is now controlled by Venezuelan businessman Alejandro Betancourt.

Strategic and Market Implications

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This agreement gives U.S.-backed interests a direct foothold in Venezuela's vast energy sector, which holds an estimated 64 billion barrels of proven oil reserves. The deal is designed to displace Chinese and Russian influence, which has been prominent in the country for years, and align Venezuela's oil industry more closely with U.S. geopolitical and economic interests.

An official stated that the objective is to open the United States as the primary market for this oil, which was previously destined for China. President Trump noted that millions of barrels of oil are already being shipped to U.S. refineries in locations such as Texas and Louisiana.

Political Context

The Trump administration is reportedly engaging with Venezuela’s interim authorities and representatives of the 2015 National Assembly to establish a legal framework for the transition. U.S. officials view the 2015 assembly as the last constitutionally legitimate legislative body in the country.

One official explained that securing an agreement with the assembly is intended to provide a constitutional basis for economic decisions, including the revitalization of Venezuela's critical oil industry.