Venezuelans React to U.S. Control of Oil Reserves Amid Economic Challenges

CARACAS, Venezuela (AP) — Oil has significantly influenced Venezuelan identity for over a century, with many citizens believing that the country's oil resources belong to the people rather than the government or corporations. Recently, acting President Delcy Rodríguez agreed to allow the United States to control approximately one-fifth of Venezuela's oil reserves, which are the largest in the world. This agreement has led to mixed reactions among Venezuelans, with some viewing it as a surrender. Some citizens believe that the U.S. aimed to gain control of Venezuelan oil when President Donald Trump ordered U.S. forces to capture then-President Nicolás Maduro earlier this year, leaving Rodríguez in charge. "It's not just worrying, it's outrageous, because we, like a drop in the ocean, have no power to intervene," said Lisandro Castro, an architect in Caracas. The discovery of oil in the 1920s transformed Venezuela from a poor agrarian society into a regional power. U.S. energy companies contributed to the popularity of baseball in the country and helped create economic opportunities for many immigrants. Venezuela's government historically relied on oil revenues, leading to the nationalization of the industry with the establishment of Petróleos de Venezuela S.A. (PDVSA). However, falling oil prices in the 1980s led to an economic crisis, necessitating an International Monetary Fund bailout. The situation worsened under the leadership of Hugo Chávez and Nicolás Maduro, with sanctions imposed by the U.S. further crippling the economy. Despite some improvements in market conditions, many Venezuelans still struggle with high inflation and low wages. Currently, Venezuela produces about 1 million barrels of oil per day. The recent agreement allows the U.S. to enter a joint venture with North American Blue Energy Partners, which operates in Venezuela. Rodríguez has granted the joint venture 100-year rights over 17 oil fields with proven reserves of 65 billion barrels. Experts indicate that it will take years for new investments to significantly increase oil production due to the degraded energy infrastructure. U.S. Energy Secretary Chris Wright stated that the mission in Venezuela aims to bring peace and prosperity to the people. Rodríguez defended the agreement, expressing her desire for Venezuela to become an energy powerhouse. Some citizens, like oil worker Erwin Ayala, expressed mixed feelings, acknowledging the potential benefits for the country while also feeling that significant resources have been handed over.