(Oil Price) – President Donald Trump on Thursday rejected any suggestion that a private U.S. oil executive is shaping Washington’s approach to Venezuela, stepping into a sensitive debate over who gets influence in the future of the world’s largest stranded crude reserves.
In a post on Truth Social, Trump said Florida fuel trader Harry Sargeant III has no authority to act on behalf of the United States and that only State Department-approved officials conduct diplomacy with Caracas. He described current relations with Venezuela as strong and credited Secretary of State Marco Rubio and other officials managing those contacts.
The statement follows reports that Sargeant had shared ideas with administration figures about how American companies might re-enter Venezuela’s oil sector, which has been crippled by years of sanctions, underinvestment, and economic collapse. Any easing of restrictions could determine whether U.S. operators regain a foothold in a country that holds roughly 300 billion barrels of proven crude reserves.
Sargeant has worked in Venezuela’s oil business since the 1980s through companies tied to heavy crude and asphalt markets, including investments in local oil fields. He built much of his career trading fuel in sanctioned or politically restricted jurisdictions, an experience that placed him close to the intersection of energy commerce and U.S. foreign policy.
People familiar with recent discussions said Sargeant spoke with U.S. officials about rebuilding Venezuela’s oil infrastructure and the conditions required for renewed American investment. He has said he holds no formal advisory position.
In early 2025, Sargeant helped arrange talks between a U.S. envoy and Venezuelan officials covering migration, detained Americans, and the status of licenses allowing limited U.S. oil operations. For oil markets, the message signals that any expansion of U.S. activity in Venezuela will remain tightly controlled and politically managed, which could temper expectations for a rapid reopening of the country’s constrained crude sector.
By Julianne Geiger for Oilprice.com
