US to take 35% stake in Venezuelan mogul Betancourt's oil venture, WSJ reports

Business Recorder reported, citing a Wall Street Journal report on Saturday, that Washington plans to acquire a 35% passive stake in North American Blue Energy Partners, the venture of Venezuelan businessman Alejandro Betancourt. According to the newspaper, the information came from people taking part in negotiations over the deal. The White House and the company did not reply to requests for comment made outside regular business hours.

Under the proposed terms, the US would also gain priority access, priced at cost, to 20% of the firm's output. The Pentagon's Office of Strategic Capital is reportedly considering penny warrants, which would give the US equity in the business without a significant capital outlay. The report surfaced a day after Trump said on Friday that Washington would control a fifth of the country's large oil reserves.

A Pentagon spokesperson, Sean Parnell, said the Office of Strategic Capital does not take equity in private firms, and its legal role is confined to loans, loan guarantees and technical assistance. Trump offered few details, saying Washington had majority control of reserves totalling 65 billion barrels or more through a private tie-up.