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Energy ETFs to Watch as US-Venezuela Sign Historic Oil Deal

The U.S. government’s latest agreement with Venezuela, described by President Trump as “the biggest oil deal in world history,” marks a major shift in global energy geopolitics by giving America access to 65 billion barrels of proven Venezuelan oil reserves. Brokered through a partnership involving North American Blue Energy Partners (“NABEP”), the deal grants 100-year concessions across 17 oilfields.

The agreement also includes a 25-year cooperation framework, aimed at more than doubling American oil reserves and substantially lowering gasoline prices for U.S. consumers.

As the global energy market adjusts to this development, investors must be turning their attention to energy companies and, by extension, exchange-traded funds (ETFs) that could benefit from the restructuring of Venezuela's decaying oil infrastructure.

Against this backdrop, understanding how these ETFs are positioned to capture this market shift is essential. This requires examining the economic rationale behind the U.S. government's latest move and identifying the energy companies that stand to benefit from the deal.

Economic Rationale Behind the US Action

The deal comes at a critical time when the United States is facing significant energy challenges. Global oil prices have spiked dramatically since February 2026 amid heightened geopolitical tensions, particularly the Iran war and disruptions in the Strait of Hormuz, which have significantly constrained a portion of global oil supply.

With U.S. gasoline prices rising sharply, the Trump administration is under intense domestic pressure to address fuel costs.

By gaining access to Venezuela's oil reserves, the administration aims to achieve several strategic objectives — replenish the depleted Strategic Petroleum Reserve, secure a stable source of crude for U.S. refineries and reduce the country's dependence on volatile global oil markets.

Additionally, the agreement allows the United States to leverage Venezuela's vast oil resources, estimated at 303 billion barrels and representing the world's largest proven reserves, while establishing a long-term energy partnership that could fundamentally reshape energy dynamics in the Western Hemisphere.

Corporate Beneficiaries of the Deal

While the full market implications of this deal will take time to materialize, several major U.S. energy companies are positioned to benefit from the expected multi-year investment cycle. In particular, Chevron CVX, currently the sole U.S. supermajor operating in Venezuela, stands as the primary immediate beneficiary.

The company recently expanded its stake in key Orinoco Belt joint ventures to focus on heavy crude operations. Reinforcing this strategy, Chevron CFO Eimear Bonner confirmed a target this January to increase Venezuelan crude production within its existing footprint by up to 50% over a two-year horizon — a baseline that could grow further with expanded operational rights

Other integrated majors, including ExxonMobil XOM and ConocoPhillips COP, remain in preliminary discussions as fiscal and legal frameworks evolve.

Oilfield services leaders SLB Limited SLB and Halliburton HAL are primed to redeploy workover rigs, digital reservoir diagnostics and specialized heavy-oil extraction technologies to rehabilitate deteriorated fields. SLB has already begun laying the groundwork by signing agreements to deploy AI drilling software and launch nationwide reservoir characterization programs.

These companies stand to benefit from the estimated $100 billion in infrastructure investment needed to modernize Venezuela's oil industry, with the agreement targeting crude output of 1.5 million barrels per day.

Energy ETFs to Watch

Considering the aforementioned discussion, it is evident that the full benefits of the U.S.-Venezuela oil deal are likely to materialize over the long term, with significant production increases expected to take several years.

Against this backdrop, the opportunity could be attractive for long-term energy investors. Those seeking exposure to the potential beneficiaries of the deal can add the following ETFs to their watchlists and consider investing when appropriate:

State Street Energy Select Sector SPDR ETF XLE

This fund, with net assets worth $41.44 billion, offers exposure to companies in the oil, gas and consumable fuel, energy equipment and services industries. XOM holds the first spot in this fund, with 19.76% weight, while CVX holds the second position with 14.90% weight. COP holds the third spot with 6.26% weight, while SLB holds the seventh spot with 4.75% weight.

XLE has rallied 43.1% year to date and charges 8 basis points (bps) in fees. It traded at a good volume of 27.12 million shares in the last trading session.

Vanguard Energy ETF VDE

This fund, with net assets worth $12.4 billion, offers exposure to companies whose businesses are dominated by either of the following activities — the construction or provision of oil rigs, drilling equipment, and other energy-related service and equipment; or the exploration, production, marketing, refining, and/or transportation of oil and gas products. XOM holds the first spot in this fund, with 21.94% weight, while CVX holds the second position with 14.31% weight. COP holds the third spot with 5.80% weight, while SLB holds the ninth spot with 2.96% weight.

VDE has surged 43.1% year to date and charges 9 bps as fees. It traded at a volume of 0.38 million shares in the last trading session.

VanEck Oil Services ETF OIH

This fund, with net assets worth $2.02 billion, offers exposure to U.S.-listed companies involved in oil services to the upstream oil sector, which include oil equipment, oil services, or oil drilling. SLB holds the first spot in this fund, with 20.84% weight, while HAL holds the second position with 6.11% weight.

OIH has jumped 50.7% year to date and charges 35 bps in fees. It traded at a volume of 0.33 million shares in the last trading session.

iShares U.S. Energy ETF IYE

This fund, with net assets worth $1.85 billion, offers exposure to oil and gas producers and distributors in the United States. XOM holds the first spot in this fund, with 21.87% weight, while CVX holds the second position with 15.68% weight. COP holds the third spot with 6.65% weight, while SLB holds the eighth spot with 3.59% weight.

IYE has soared 42.2% year to date and charges 37 bps in fees. It traded at a volume of 0.54 million shares in the last trading session.

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