Venezuela Gold Set for US Market in Brokered Deal
A new US-Venezuela gold deal could soon channel hundreds of kilograms of bullion from the South American nation into American refineries.
Venezuela’s state-owned mining company, Minerven, has agreed to sell between 650 and 1,000 kilograms of gold dore bars to commodities trading house Trafigura under a multimillion-dollar arrangement brokered with the involvement of US officials, according to people familiar with the matter.
The gold will ultimately be delivered to refineries in the US under a separate arrangement with the US government, the sources said. The contract calls for the metal to contain about 98 percent gold content.
At current prices, the shipment could be worth more than US$100 million. A kilogram of pure gold currently trades at roughly US$166,000, though the value fluctuates with market conditions.
The agreement continues efforts by the Trump administration to deepen economic coordination with the country’s interim government following the January capture of Venezuelan President Nicolas Maduro by US forces.
US Interior Secretary Doug Burgum, who arrived in Caracas this week, helped shepherd the gold contract and met with Venezuelan officials to discuss expanding cooperation in the mining and energy sectors.
Burgum, who also leads Trump’s National Energy Dominance Council, said American companies were already lining up to explore opportunities in Venezuela’s mineral sector.
The deal represents the third major extraction agreement struck under US supervision since Washington moved to assert control over Venezuela’s key industries. Trafigura is also involved in oil contracts tied to the initiative that are reportedly worth more than US$1 billion.
“The oil is beginning to flow, and the professionalism and dedication between both countries is a very nice thing to see!” President Donald Trump wrote on Truth Social, praising Venezuela’s interim president Delcy Rodríguez.
Officials from both governments have said the arrangement could open the door to broader mining investment.
Rodríguez confirmed this week that Venezuela and the US would work together on future mining developments. The government is preparing reforms aimed at attracting foreign investment into the sector, mirroring recent policy changes that opened the country’s oil industry to international companies.
Venezuela holds vast untapped mineral resources alongside the world’s largest proven oil reserves.
In addition to gold, the country is believed to contain diamonds, rare earth elements (REEs), and other critical minerals used in electronics and energy technologies.
Gold has become an increasingly important source of revenue for Venezuela in recent years, particularly as US sanctions limited the country’s oil exports. The central bank reportedly sold nearly six tons of bullion in the second half of last year as the precious metal surged to record highs.
Much of Venezuela’s gold production comes from the Orinoco Mining Arc, a vast resource-rich region established in 2016 to boost mining output and diversify the country’s economy.
However, the sector has long been plagued by illegal mining operations, environmental damage and allegations of corruption involving armed groups.
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
