— The U.S. government is set to take a 35% passive stake in North American Blue Energy Partners, a private company that would receive long-term rights to develop major Venezuelan oil fields, WSJ reports.The Pentagon’s Office of Strategic Capital plans to structure the investment through low-cost warrants, giving Washington equity without requiring a major upfront investment. The U.S. would also receive preferential rights to purchase 20% of the company’s oil production at cost.
The company, led by Venezuelan businessman Alejandro Betancourt, could develop 17 fields containing an estimated 65 billion barrels of oil.
The arrangement was negotiated over several months, with President Trump and interim Venezuelan President Delcy Rodríguez agreeing to its broad outlines shortly before the announcement.
The unusual deal has faced criticism from Venezuelans and raised concerns within the oil industry over its legality, competition with U.S. energy companies, and whether a future Venezuelan government could challenge the rights granted under the agreement.
