Shafaqna English– An unprecedented US deal to secure access to roughly 20% of Venezuela’s oil reserves—amounting to some 65 billion barrels—has raised concerns and sparked hesitation among major oil producers considering investments in the country, according to sources familiar with the matter.
The agreement, outlined in a White House fact sheet on Monday, involves private firm North American Blue Energy Partners (NABEP) receiving a century-long lease for 17 Venezuelan oilfields, while the US government would acquire a 35% equity stake in the parent company, receive a guaranteed 20% of production, and hold a right of first refusal on all remaining output.
The prominent role of a Venezuelan businessman in the deal has added to the unease, as companies weigh the risks and implications of engaging with the US-backed arrangement in a nation long subject to international sanctions.
Source: Reuters