US Energy Secretary Wright, asked about Venezuela deal, says it is a partnership not a displacement. US government will not be operator or producer of returns of oil
US Energy Secretary Wright outlined a commercial oil deal with Venezuela to boost supply and lower prices, alongside record Hormuz transit and ongoing security measures against Iran.
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It is a deal between US government and a Venezuelan company, not the country. Structure will have US oversight and enforcement of law over contracts. Plan is part of US President Trump's plan to replace conflict with commerce. Think will be well over 1.5mln BPD by H1 next year in Venezuela, and over 2mln BPD by end of this decade. Started at 1mln BPD, now around 1.2mln BPD. This is not displacement of demand, the deal will help lower oil prices. Is confident we could exchange this oil for other types that could be used to refill SPR. Iran Monday was a record day of flow of oil through Hormuz. Over 17mln bbls of oil flowed through Hormuz on Monday. Is confident Navy will stay in Iran for as long as needed. Iran is a massive problem. Will stop Iran from acquiring nuclear weapons and wreaking havoc in the region.
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