The United States has finalized a significant gold deal with Venezuela’s state mining company, Minerven. The agreement, reported by Axios, involves the sale of between 650 and 1,000 kilograms of gold doré bars, which contain approximately 98% gold. This transaction marks a crucial shift in Venezuela’s resource exports, as the gold will be sent to U.S. refineries, reflecting a growing economic relationship.
Valued at around $163,000 per kilogram based on current gold prices, the deal represents the third extraction contract facilitated by the Trump administration since the U.S. forces captured Venezuelan President Nicolás Maduro on January 3, 2023. The agreement is part of a broader strategy to stabilize and revitalize Venezuela’s economy under U.S. influence, especially regarding the country’s extensive oil reserves, which are the largest known globally.
Key Figures and Framework of the Deal
U.S. Interior Secretary Doug Burgum played an instrumental role in negotiating the contract, visiting Venezuela to explore opportunities in oil and minerals. His efforts helped to connect Minerven and the global commodities trader Trafigura. Under a separate arrangement with the U.S. government, Trafigura will oversee the delivery of the gold to American refineries, ensuring compliance with U.S. regulations.
This gold transaction is linked with larger oil agreements, including contracts exceeding $1 billion, also involving Trafigura. President Donald Trump emphasized the significance of this progress on social media, stating, “The oil is beginning to flow, and the professionalism and dedication between both countries is a very nice thing to see!” He also acknowledged Venezuelan acting president Delcy Rodríguez for her cooperation in these negotiations.
Rodríguez has indicated plans to reform Venezuela’s mining laws following her discussions with Burgum, aiming to attract foreign investment and modernize the sector. This initiative unfolds against a backdrop of heightened tensions between the U.S. and Venezuela, which culminated in Maduro’s capture, framed by the Trump administration as a strike against “narco-terrorism.”
Economic Implications and Criticism
Prior to these developments, U.S. sanctions had severely limited Venezuela’s access to international markets, pushing the Maduro regime to rely on black-market operations and partnerships with countries like Turkey, Iran, Russia, and China to export resources. A source familiar with the deals highlighted the advantages for Venezuela, stating, “There was so much corruption before in Venezuela involving black-market smugglers who skimmed money off the top. Now the money for Venezuela’s resources will go to Venezuela’s government and people.”
This shift redirects revenues back to Venezuela, providing access to stable U.S. markets and financial systems. It aligns with Trump’s broader strategy of using Venezuelan oil proceeds—estimated at billions from sales of 30 to 50 million barrels—to fund purchases of American products, including agricultural goods, medicine, and energy infrastructure equipment.
Economically, the deal has the potential to bring much-needed stability to Venezuela’s struggling mining industry, which has faced years of mismanagement and illegal operations. For the U.S., it secures access to high-quality gold in a market characterized by rising global prices driven by geopolitical uncertainties.
Despite the potential benefits, the arrangement has faced criticism from congressional Democrats and various advocacy groups. They accuse the Trump administration of pursuing imperialistic policies that favor American interests over genuine assistance for the Venezuelan populace, risking further exacerbation of inequalities in the region.
The gold deal is part of Trump’s vision to “reimburse” the U.S. for its interventions, particularly concerning oil investments. Major U.S. oil companies are reportedly eager to invest billions into repairing Venezuela’s infrastructure, though experts caution that ongoing political instability could impede long-term progress.
