08.01.2026 11:03
Following Maduro's kidnapping, the Trump administration announced its intention to rapidly increase oil production in Venezuela and expand the mining sector. Venezuela, with 303 billion barrels of reserves, has the largest oil resources in the world, while the country's strategic position in terms of gold, natural gas, and critical minerals was also emphasized.
The Trump administration announced its goal to quickly increase oil production in Venezuela and expand the country's mining capacity.
U.S. Secretary of Commerce Howard Lutnick stated to reporters from Air Force One, "You have your steel, you have your minerals, all critical minerals... They have a great mining history but it's rusty. President Trump will fix this and bring it back."
"OIL AND MINING" MOVE
As political uncertainty increases in Venezuela with Maduro's abduction, the Washington administration has turned its attention to the country's underground resources. The U.S. side argues that Venezuela's potential in energy and critical minerals can be revitalized.
THE WORLD'S LARGEST OIL RESERVE
According to 2023 data, Venezuela ranks first in the world with proven oil reserves of 303 billion barrels. This amount is more than five times the 55.25 billion barrels reported by the U.S. The country is also one of the founding members of OPEC, established in Baghdad in 1960 along with Iran, Iraq, Kuwait, and Saudi Arabia. A large portion of Venezuela's oil reserves is concentrated in the eastern Orinoco Belt, which covers approximately 55,000 square kilometers. The region is controlled by the state oil company PDVSA.
PRODUCTION IS HARD IN THE ORINOCO BELT
The oil in the Orinoco Belt is known as "extra-heavy" crude oil. Due to its high viscosity and dense structure, extraction is much more difficult and expensive compared to conventional oil. Therefore, it is usually sold at a discounted price compared to lighter types of oil. Refining this type of oil requires advanced technologies. The report emphasizes that this capacity is particularly found in refineries in Texas and Louisiana in the U.S.
WHO BUYS VENEZUELAN OIL?
Venezuela was once one of the world's largest exporters. It is noted that in the late 1990s and early 2000s, it supplied 1.5–2 million barrels of oil per day to the U.S., making it one of the largest foreign oil sources for the U.S. However, political instability, mismanagement at PDVSA, lack of investment, and U.S. sanctions led to a decline in production. According to PDVSA results reported to OPEC, Venezuela's production was an average of 952,000 barrels/day in 2024. This figure was 783,000 barrels/day in 2023. According to information from Reuters, PDVSA's oil sales revenue for 2024 was $17.52 billion.
CHINA LEADS, U.S. IN SECOND PLACE
According to the report, China has been the largest buyer of Venezuelan crude oil for the past decade. In November 2025, Venezuela's total exports were recorded at 952,000 barrels/day, of which 778,000 barrels went to China. Thus, China's share reached 81.7%. The U.S. ranked second by importing 15.8% of Venezuelan oil. Cuba's share was reported to be approximately 2.5%.
NINTH IN THE WORLD FOR NATURAL GAS
Venezuela ranks ninth in the world for natural gas reserves. According to the International Energy Agency, as of 2023, Venezuela's natural gas fields are at 5.5 trillion cubic meters, which corresponds to 73% of the total natural gas reserves in South America. It is stated that approximately 80% of the produced natural gas is a byproduct of oil production.
AT THE TOP OF LATIN AMERICA IN GOLD
Venezuela is reported to have the largest official gold reserves in Latin America. According to data from the World Gold Council, the country's reserves are approximately 161.2 tons, worth over $23 billion at current market value. It is noted that Venezuela also has a significant amount of unprocessed gold resources, while it is emphasized that official data is not up to date. In 2011, then-President Hugo Chavez announced the "Orinoco Mining Arc" project, and in 2016, Maduro expanded the project to open 12% of the country to mining. The government has pointed to reserves of diamonds, nickel, coltan, and copper.
In 2018, Maduro announced the "Gold Plan" to increase gold investments and signed agreements worth a total of $5.5 billion with foreign companies, but these agreements did not materialize; most of the mines gradually came under the control of non-state armed groups. A ministry report prepared that year estimated that Venezuela holds at least 644 tons of gold, while the government stated that the actual figure could be higher.
IRON, COAL, NICKEL, BAUXITE, AND DIAMOND RECORDED
The 2018 mineral catalog included the following reserve estimates for Venezuela:
- Approximately 3 billion tons of certified coal reserves,
- 14.68 billion tons of iron ore (3.6 billion tons proven)
- 407,885 tons of nickel reserves
- 99.4 million tons of measured bauxite
- 1 billion 20 million carats of diamond reserves in the Orinoco Mining Arc
- 275 million carats of diamonds in the Guanaimo region.