State Department Slams Senate Democrats Over Venezuela Oil Deal Briefing

The State Department has accused Senate Democrats of "pure grandstanding" and "performative" actions in their demands for a briefing on a controversial U.S. government agreement concerning Venezuelan oil. The dispute centers on an arrangement that grants the Pentagon a stake in one of Venezuela’s largest oil producers through North American Blue Energy Partner (NABEP).

According to the State Department, a group of senior Senate Democrats demanded documents related to the deal, despite already being aware that administration officials planned to provide them and brief the Senate Foreign Relations Committee on October 1, 2026. The department stated that it proceeded to deliver copies of the U.S. government’s strategic partnership agreement with NABEP to the committee, even after the briefing was postponed. Assistant Secretary for Global Public Affairs Dylan Johnson claimed the senators canceled the briefing to leave town early for fall recess, calling their actions "grandstanding."

However, a congressional source familiar with the briefing disputed the State Department's characterization. This source told Fox News Digital that lawmakers were not informed the written agreement would be provided prior to their letter and that the briefing was intended as a broader update on U.S. policy toward Venezuela, not solely focused on the oil deal. Emails reviewed by Fox News Digital indicated that the request to postpone the briefing originated from a Republican committee staffer who cited the Senate having already adjourned for the week.

The Democratic senators challenging the deal include Jeanne Shaheen (D-N.H.), Jack Reed (D-R.I.), Martin Heinrich (D-N.M.), and Elizabeth Warren (D-Mass.). They have raised concerns about the legality and wisdom of the agreement, particularly the Pentagon's Office of Strategic Capital taking a 35% stake through penny warrants and the State Department receiving preferential rights to purchase 20% of the company's production at cost. The senators argue that the Pentagon may lack the legal authority for such an equity stake and question the administration’s vetting process for NABEP and its leadership. They also suggested the deal is unlikely to lower energy costs for Americans and could jeopardize Venezuela’s transition away from dictatorship.

The U.S. government's agreement with NABEP is part of a larger strategy to revive Venezuela's oil production and expand American economic influence following the removal of Nicolás Maduro earlier in the year. The administration believes that restoring oil output is crucial for rebuilding Venezuela's economy and diminishing the influence of countries like China and Russia in its energy sector. The White House estimates the government's 35% stake could be worth hundreds of billions of dollars. Furthermore, the deal could provide a new source of crude oil, potentially helping to replenish the Strategic Petroleum Reserve and supply U.S. military needs. The agreement also anticipates that millions of barrels of Venezuelan oil could eventually be refined in the U.S., utilizing American drilling equipment and infrastructure.

NABEP currently produces approximately 220,000 barrels per day and has plans to increase production to 500,000 barrels per day by late 2028. The administration is relying on private investment to revitalize fields that have suffered from years of underinvestment.

U.S. forces captured Maduro and his wife, Cilia Flores, on January 3, transporting them to the United States to face federal charges. The White House has described this operation as a law enforcement mission supported by the military. The current interim leader, Delcy Rodríguez, has cooperated with Washington, though Venezuela's political transition remains unsettled.

The senators also noted past money-laundering investigations involving NABEP chairman Alejandro Betancourt. While Betancourt has not been charged, Rubio has previously stated he is not under active U.S. investigation. This dispute could lead to further congressional scrutiny of the Trump administration's efforts to exert U.S. economic influence in Venezuela.