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US President Donald Trump has signed an executive order declaring a national emergency to protect Venezuelan oil revenue held in US Treasury accounts, the White House said on Saturday. The move is aimed at preventing the seizure of these funds by courts or creditors and ensuring that the money is preserved to advance US foreign policy objectives in Venezuela.
According to a White House fact sheet, the order blocks any attachment, judgment, lien, garnishment or other judicial process against what it defines as “Foreign Government Deposit Funds”. These funds include proceeds from Venezuelan oil and diluent sales currently held in US accounts. The administration has described the action as necessary for US national security and regional stability.
Funds Placed Under Special Protection
The executive order effectively places Venezuelan oil revenue under special legal protection, prohibiting transfers or dealings unless specifically authorised by the US government. It also states that the money is the sovereign property of Venezuela, held in US custody for governmental and diplomatic purposes, and therefore not subject to private or commercial claims.
White House officials said allowing creditors to seize the funds could undermine ongoing US efforts to stabilise Venezuela politically and economically. They added that loss of control over the revenue could also weaken initiatives to curb illegal immigration, drug trafficking and the influence of hostile external actors in the region.
Push To Revive Venezuela’s Oil Sector
The order comes amid renewed US efforts to revive Venezuela’s oil industry following the capture of former president Nicolas Maduro in Caracas last week. Venezuela holds nearly 20 per cent of the world’s proven oil reserves but has seen production collapse after years of sanctions, underinvestment and political turmoil. Output fell to around one per cent of global crude production in 2024, according to OPEC data.
Trump has made clear that tapping Venezuela’s vast oil reserves is central to his broader goal of boosting global supply and lowering fuel prices in the United States. A US agreement with Venezuela’s interim leadership could allow Washington access to up to 50 million barrels of crude oil, which can be processed by US refineries designed for heavy Venezuelan crude.
On the same day the order was signed, Trump met senior executives from ExxonMobil, Chevron, ConocoPhillips and other energy companies in Washington, urging them to invest up to $100 billion in Venezuela’s oil sector. However, industry leaders struck a cautious note. ExxonMobil CEO Darren Woods described Venezuela as “uninvestable” under current conditions, citing weak legal frameworks and a history of asset nationalisation. ExxonMobil and ConocoPhillips exited Venezuela in 2007 after refusing to cede majority control of their projects to the state and are still pursuing claims worth billions of dollars. Chevron remains the only US company currently licensed to operate in Venezuela.
The Trump administration has invoked the International Emergency Economic Powers Act of 1977 and the National Emergencies Act of 1976 as the legal basis for the order. The White House maintained that safeguarding these funds is critical to preventing further economic collapse in Venezuela and protecting long-term US strategic interests in the Western Hemisphere.