US not ‘stealing Venezuelan oil,’ energy secretary insists

CARACAS: US Energy Secretary Chris Wright on Wednesday dismissed claims that Washington was “stealing Venezuelan oil” after the South American nation granted its northern neighbor access to a huge chunk of its natural resources.

Wright, who traveled to Venezuela to oversee the signing of a series of energy deals worth billions of dollars, sought to dispel criticism in comments made to AFP and other outlets at Caracas airport.

The United States is due to take majority control of more than 65 billion barrels — almost 20 percent — of oil in Venezuela, which holds the largest proven reserves in the world.

Caracas has projected earnings of $209 billion over 25 years from the accord.

“I’ve seen those headlines. ‘We’re stealing Venezuelan oil.’ Of course, that’s not true at all,” Wright said, adding that “the oil in Venezuela is indeed owned by the people of Venezuela.”

“Private companies are bringing the money to produce the oil, but the benefits, the royalties and the taxes all go to the government of Venezuela and the people of Venezuela,” he said.

“All we’re doing is taking an idle, underground asset that isn’t doing anything for Venezuelan people and bringing the money, the technology to develop it.”

Wright also stressed the importance of fixing Venezuela’s electricity sector, with much of the country enduring hours-long power cuts on a daily basis.

The oil sector also needed electricity to function, he added.

“You need them both,” he said, voicing optimism given the “existing (electricity) infrastructure” in Venezuela that he believes can be put to use again under a five-year plan.