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Commodities

Analysts question viability of US-Venezuela oil agreement

Analysts are questioning whether President Donald Trump’s agreement covering 65 billion barrels of Venezuelan oil can attract investment from US companies. Financial Times feeds say the arrangement could also destabilise Venezuela’s interim president. The available material does not specify investment commitments, production targets or how the deal’s reserves figure was calculated.

Why it matters

The agreement’s value depends on companies committing capital and Venezuela maintaining enough political stability to produce oil.

Sources

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