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Venezuela to export $2bn worth of oil to US in deal with Washington

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Venezuela to export bn worth of oil to US in deal with Washington


An oil pump jack is seen in an oil field near Lake Maracaibo, in Cabimas, Venezuela on October 14, 2022. — Reuters
An oil pump jack is seen in an oil field near Lake Maracaibo, in Cabimas, Venezuela on October 14, 2022. — Reuters
  • Trump says agreed volume to supply is 30-50 million barrels.
  • Exports expected to stem further cuts to Venezuelan output.
  • US interior secretary says US Gulf refiners would take advantage.

HOUSTON/WASHINGTON: Caracas and Washington have reached a deal to export up to $2 billion worth of Venezuelan crude to the United States, US President Donald Trump said on Tuesday, a flagship negotiation that would divert supplies from China while helping Venezuela avoid deeper oil production cuts.

The agreement is a strong sign that the Venezuelan government is responding to Trump’s demand that they open up to US oil companies or risk more military intervention. Trump has said he wants interim President Delcy Rodriguez to give the US and private companies “total access” to Venezuela’s oil industry.

Venezuela has millions of barrels of oil loaded on tankers and in storage tanks that it has been unable to ship due to a blockade on exports imposed by Trump since mid-December.

The blockade was part of rising US pressure on the government of Venezuelan President Nicolas Maduro that culminated in US forces capturing him this weekend. Top Venezuelan officials have called Maduro’s capture a kidnapping and accused the US of trying to steal the country’s vast oil reserves.

Venezuela will be “turning over” between 30 and 50 million barrels of “sanctioned oil” to the US, Trump said in a social media post.

“This Oil will be sold at its Market Price, and that money will be controlled by me, as President of the United States of America, to ensure it is used to benefit the people of Venezuela and the United States!,” he added.

US Energy Secretary Chris Wright is in charge of executing the deal, Trump said, adding that the oil will be taken from ships and sent directly to US ports.

Supplying the trapped crude to the US could initially require reallocating cargoes originally bound for China, two sources had told Reuters earlier on Tuesday. The Asian country has been Venezuela’s top buyer in the last decade, and especially since the United States imposed sanctions on companies involved in oil trade with Venezuela in 2020.

“Trump wants this to happen early so he can say it is a big win,” an oil industry source said.

Venezuelan government officials and PDVSA did not provide comment.

Chevron in control of Venezuelan oil flows to US

US crude prices fell more than 1.5% after Trump’s announcement, with the agreement expected to increase the volume of Venezuelan oil exported to the US.

That flow of oil is currently controlled entirely by Chevron, PDVSA’s main joint venture partner, under a US authorisation.

Chevron, which has been exporting between 100,000 and 150,000 barrels per day (bpd) of Venezuelan oil to the US, is the only company that has been loading and shipping crude without interruption from the South American country in recent weeks under the blockade.

Crude oil drips from a valve at an oil well operated by Venezuelas state oil company PDVSA, in the oil rich Orinoco belt, near Morichal at the state of Monagas on April 16, 2015. — Reuters
Crude oil drips from a valve at an oil well operated by Venezuela’s state oil company PDVSA, in the oil rich Orinoco belt, near Morichal at the state of Monagas on April 16, 2015. — Reuters

It was not immediately clear if Venezuela would have any access to proceeds from the supply. Sanctions mean PDVSA is excluded from the global financial system, its bank accounts are frozen, and it is blocked from executing transactions in US dollars.

Venezuela has been selling its flagship crude grade, Merey, at around $22 per barrel below Brent for delivery at Venezuelan ports, giving a value for the deal at up to $1.9 billion.

Rodriguez, sworn in as interim president on Monday, is herself under US sanctions imposed in 2018 for undermining democracy.

Talks involve possible auctions with US buyers

Venezuelan and US officials this week discussed possible sales mechanisms, including auctions to allow interested US buyers to bid for cargoes, and issuing US licenses to PDVSA’s business partners that could lead to supply contracts, two sources told Reuters.

Those licenses have in the past allowed PDVSA’s joint venture partners and customers, including Chevron, India’s Reliance, China National Petroleum Corporation (CNPC), and European Eni and Repsol, to have access to Venezuelan oil to refine or to resell to third parties.

This week, some of those companies have begun making preparations for receiving Venezuelan cargoes again, two separate sources said.

The US and Venezuela have also discussed whether Venezuelan oil can be used in the US Strategic Petroleum Reserve in the future, one of the sources said. Trump did not refer to this possibility.

Increased oil flows would be ‘great news’

US Interior Secretary Doug Burgum said on Tuesday that an increased flow of Venezuelan heavy oil to the US Gulf would be “great news” for job security, future gasoline prices in the US and for Venezuela.

“Venezuela has an opportunity now to actually have capital come in and rebuild their economy and take advantage,” he told Fox News, when asked about talks between the governments on oil exports. “With American technology, American partnership, Venezuela can be transformed.”

US refineries on the Gulf Coast can process Venezuela’s heavy crude grades and were importing some 500,000 barrels per day (bpd) before Washington first imposed energy sanctions on Venezuela.

PDVSA has already had to cut production due to the embargo, because it is running out of storage for the oil. Without a way to export oil soon, it would have to cut production more, one of the sources said.

Oil traders reacted to news of the deal talks on Tuesday. Differentials for some heavy oil grades in the US Gulf slipped around 50 cents per barrel on Tuesday on the prospect of more Venezuelan supplies.





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Saudi Arabia has told Iran not to attack it, warns of possible retaliation, say sources

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Saudi Arabia has told Iran not to attack it, warns of possible retaliation, say sources


Smoke rises above the city, amid the U.S.-Israeli conflict with Iran, in Riyadh, Saudi Arabia, March 5, 2026. — Reuters
Smoke rises above the city, amid the U.S.-Israeli conflict with Iran, in Riyadh, Saudi Arabia, March 5, 2026. — Reuters
  • Iran was warned of possible retaliation, sources say.
  • Saudi foreign minister spoke to Iranian counterpart.
  • Iran’s president apologises to Gulf states for ‘actions’.

Saudi Arabia has told Tehran that while it favours a diplomatic settlement to Iran’s conflict with the United States, continued attacks on the kingdom and its energy sector could push Riyadh to respond in kind, four sources familiar with the matter told Reuters.

The message was conveyed before a speech on Saturday in which Iranian President Masoud Pezeshkian apologised to neighbouring Gulf states for Tehran’s actions — an apparent attempt to defuse regional anger over Iranian strikes that hit civilian targets.

Two days earlier, Saudi Foreign Minister Prince Faisal bin Farhan spoke to Iranian Foreign Minister Abbas Araqchi and set out Riyadh’s position with clarity, the sources said.

Saudi Arabia is open to any form of mediation aimed at de‑escalation and a negotiated settlement, the sources quoted the minister as saying, underlining that neither Riyadh nor other Gulf states had let the US use their airspace or territory to launch airstrikes on Iran.

But Prince Faisal was also quoted by the sources as saying that if Iranian attacks persisted against Saudi territory or energy infrastructure, Saudi Arabia would be forced to permit US forces to use their bases there for military operations. Riyadh would retaliate if attacks on the kingdom’s critical energy facilities continued, he said.

The sources said the kingdom had remained in regular contact with Tehran through its ambassador since the US and Israeli military campaign against Iran began on February 28, following the collapse of talks on Iran’s nuclear programme.

The Saudi and Iranian foreign ministries did not respond to requests for comment.

Drone, missile attacks on Gulf States

The United Arab Emirates, Kuwait, Qatar, Bahrain and Saudi Arabia have all come under heavy drone and missile fire from Iran over the past week.

Iran’s Supreme Leader, Ayatollah Ali Khamenei, was killed on the first day of the war. Tehran responded by hitting Israel and ‌Gulf Arab states hosting US military installations, and Israel has attacked Lebanon’s Iran-backed Hezbollah armed group.

Araqchi said in an interview on Saturday that he remained in constant contact with his Saudi counterpart and other Saudi officials, adding that Riyadh had assured Tehran it was fully committed to not allowing its territory, waters or airspace to be used for attacks against Iran.

Pezeshkian said Iran’s temporary leadership council had approved suspending attacks on nearby countries – unless an attack on Iran came from those nations.

“I personally apologise to neighbouring countries that were affected by Iran’s actions,” he said.

To what extent Pezeshkian’s remarks signal a change is unclear. There were further reports of strikes directed at Gulf states on Saturday.

Also, in a sign of possible divisions within Iran’s leadership, Khatam al-Anbiya Central Headquarters – the unified combatant command of the Iranian armed forces – said in a statement afterwards that US and Israeli bases and interests across the region would remain targets.

The command said Iran’s armed forces respected the sovereignty and interests of neighbouring states and had not taken action against them so far. But it said US and Israeli military bases and assets on land, at sea and in the air across the region would be treated as primary targets and face “powerful and heavy” strikes by Iran’s forces.

US President Donald Trump said in a social media post that Iran had “apologised and surrendered to its Middle East neighbours, and promised that it will not shoot at them anymore. This promise was only made because of the relentless US and Israeli attack.”

Two Iranian sources confirmed that a call had taken place in which Riyadh warned Tehran to halt attacks on Saudi Arabia and neighbouring Gulf states. Iran, they said, reiterated its position that the strikes were not aimed at Gulf countries themselves but at US interests and military bases hosted on their territory.

One Iranian source said that Tehran had, in response, demanded that US bases in the region be closed and that some Gulf states stop sharing intelligence with Washington that Iran believes is being used to carry out attacks against it.

Another Iranian source said some military commanders were pressing to continue the strikes, accusing the US of using bases in Gulf states and these countries’ airspace to conduct operations against Iran.

Iran had in recent years mended fences with its Gulf neighbours, including former regional arch-rival Saudi Arabia. The diplomatic campaign imploded in the blitz of drones and missiles launched by Iran’s Revolutionary Guards in the past week.





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Iran Assures Neighbours of Non-Aggression Amid Regional Tensions

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Iran Assures Neighbours of Non-Aggression Amid Regional Tensions



Iranian President Masoud Pezeshkian has issued a significant statement aimed at easing regional tensions, assuring that Iran will not launch missile strikes or take aggressive action against neighbouring countries.

The president said the decision was taken with the approval of the Interim Leadership Council, stressing that Iran’s policy of non-aggression will remain in place as long as no attacks are carried out on Iranian territory.

Commitment to Peace

In a message shared on social media, Pezeshkian said Iran harbours no hostility toward regional countries and expressed regret over the recent tensions affecting neighbouring states.

“We harbor no hostility toward regional countries and apologize for the recent situation with our neighbors,” the president said.

Sovereignty Will Be Protected

While calling for peace, Pezeshkian also emphasized that Iran’s sovereignty and national security would not be compromised.

He added that diplomatic efforts and mediation aimed at ending the ongoing conflict should be led by the countries that initiated the confrontation.

Regional De-escalation Efforts

The statement comes amid rising tensions in the Middle East following military exchanges involving Iran, Israel, and the United States, prompting calls from several countries for de-escalation and dialogue to restore regional stability.



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Dubai introduces new public safety laws, fines up to AED2m

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Dubai introduces new public safety laws, fines up to AED2m


People walk on a promenade overlooking the skyline in Abu Dhabi, United Arab Emirates. — Reuters/File
People walk on a promenade overlooking the skyline in Abu Dhabi, United Arab Emirates. — Reuters/File 

DUBAI: Dubai has announced the implementation of a new public safety law introducing stricter regulations for public spaces and events, with fines ranging from AED500 ($136) to AED1 million ($272,000), authorities said.

Under the legislation, repeat violations within one year could result in fines of up to AED2 million, officials added.

The new law, which takes effect across the emirate on June 1, sets out enhanced safety requirements for public venues and gatherings.

The rules were issued by Dubai’s Ruler, Vice President and Prime Minister of the UAE, Sheikh Mohammed bin Rashid Al Maktoum.

Dubai introduces new public safety laws, fines up to AED2m

According to the regulations, public venues and events must ensure safe entry and exit routes, adequate lighting, and capacity limits to prevent overcrowding.

Event organisers will be required to provide firefighting equipment, emergency evacuation plans, first aid facilities, and trained security personnel.

Compliance with safety instructions at public venues has been made mandatory.

The law also requires adherence to designated swimming times at beaches and prohibits access to restricted areas.

Possession of explosives or fireworks without a permit is banned, as is the use and transport of hazardous or flammable materials.





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