The U.S. government reportedly plans to acquire a 35% passive stake in North American Blue Energy Partners, a venture owned by Venezuelan businessman Alejandro Betancourt. According to the Wall Street Journal on Saturday, August 29, 2026, the deal would also grant the U.S. government preferential rights to buy 20% of the company's oil production at cost.
The report follows a statement made Friday by President Donald Trump, who said the U.S. had secured majority control of more than 65 billion barrels of Venezuela's proven oil reserves. While Trump did not provide specific details on the mechanism of this control, he described it as a partnership involving private business.
Negotiators cited by the Wall Street Journal said the Pentagon's Office of Strategic Capital (OSC) intends to use penny warrants to structure the investment. These warrants are financial instruments that would allow the U.S. to gain equity ownership in the business without a significant initial capital investment.
However, the Pentagon has disputed the characterization of the investment as an equity stake. Chief Pentagon spokesperson Sean Parnell stated that the OSC does not take equity stakes in private companies, noting that its statutory authority is strictly limited to providing capital assistance through loans, loan guarantees, or technical assistance in transaction structuring.
The White House and North American Blue Energy Partners did not immediately respond to requests for comment. No specific dates for the finalization of the deal or the commencement of oil deliveries have been reported. Additional details regarding the "partnership with private business" mentioned by the president are also pending.