U.S. Energy Secretary Chris Wright expanded on President Donald Trump’s plan to control Venezuelan oil on Wednesday, saying the United States would soon begin selling Venezuelan crude “into the marketplace” and use the sales as “leverage” to push the Venezuelan government toward lasting “change.”
Wright addressed the situation in Venezuela at the annual Goldman Sachs energy conference in Miami, saying the Trump administration’s goal is to get Venezuelan crude “moving again and sell it.” The U.S.-controlled oil would be sold to buyers in the United States and around the world, with the revenue “deposited into accounts controlled by the U.S.,” according to Wright.
“If we control the flow of oil, the sales of that oil, and the flow of the cash that comes from those sales, we have large leverage,” he said. “But without large leverage … you don’t get change.”
“This should be a wealthy, prosperous, peaceful energy powerhouse,” Wright said of Venezuela. “That’s the plan.”
President Donald Trump said on Tuesday that Venezuela would turn over 30 to 50 million barrels of oil to the United States following the U.S. strikes on the country and the capture of Venezuelan dictator Nicolás Maduro.
“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!” Trump wrote on Truth Social. “I have asked Energy Secretary Chris Wright to execute this plan, immediately.”
Wright, a former oil and gas CEO, said Wednesday that Venezuela’s oil infrastructure is in poor condition, adding that he’s been speaking to the leaders of energy companies about how it could be improved.
“The history is bad, but what are the necessary conditions it would take you to kind of help nudge things along?” Wright said he asked of the energy companies. “What are the necessary conditions it would take you to put billions of dollars in to develop fields and build infrastructure?”
The United States continues enforcing a naval blockade around Venezuela, blocking sanctioned tankers from transporting oil to other countries. Earlier on Wednesday, U.S. forces seized a Russian-flagged oil tanker that had evaded the blockade after being linked to Venezuelan oil shipments, officials said.
LIVE UPDATES: U.S. Military Seizes Sanctioned Oil Tanker Sailing Under Russian Flag
Venezuela’s oil production dropped significantly after the country was taken over by socialist dictators. At its peak in the 1970s, Venezuela produced about 3.5 million barrels per day, but as of last year, it had plunged to roughly 1.1 million barrels per day, Reuters reported.
“We could get several hundred thousand barrels a day of additional production in short to medium term if the conditions are there for just small capital deployments,” Wright said. He added that it will “take tens of billions of dollars and significant time” for the United States to return Venezuela to its “historical numbers” of crude output, but said it would be worth the effort.
“Don’t we want a better world? A better world for Americans, a better world for Western Hemisphere, a better world for Venezuelans?” he asked.
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