On January 3, 2026, US forces executed a large-scale military operation codenamed “Operation Absolute Resolve,” resulting in the capture of Venezuelan President Nicolás Maduro and his wife, Cilia Flores, who were subsequently flown to New York to face drug-related charges. As reported by multiple outlets including CNN, The New York Times, and Reuters, the operation involved airstrikes on military targets in Caracas and a special forces raid, marking a dramatic escalation in US-Venezuela tensions.
This event triggered an immediate rally in shares of major US oil companies, as investors anticipated potential lifting of sanctions and renewed access to Venezuela’s vast oil reserves—the world’s largest at over 300 billion barrels. According to CNBC, pre-market trading on January 5 saw significant gains, with Chevron (CVX)—already holding joint ventures in Venezuela—jumping around 7-8%, positioned to ramp up production quickly. ExxonMobil (XOM) rose about 3-6%, amid speculation of expanded rights in areas like the Orinoco Belt, while other firms like Occidental Petroleum (OXY), ConocoPhillips (COP), and Halliburton gained 5-9% in pre-market activity, as noted in reports from The Guardian and Reuters.
The market optimism stems from years of US sanctions since 2019 that slashed Venezuela’s output from 3 million to under 1 million barrels per day. With Maduro removed and President Trump stating US companies would invest billions to revive infrastructure (as reported by Reuters and NBC News), analysts expect a potential supply boost benefiting US refiners optimized for heavy crude. Energy sector ETFs also climbed, reflecting broader enthusiasm.
However, reactions were mixed. Oil prices initially spiked on disruption fears but fell amid oversupply expectations, per NBC News and Reuters. Safe-haven assets like gold surged over 2%, signaling geopolitical risks, including potential resistance or backlash from Venezuela’s allies like China, Russia, and Cuba (which reported 32 personnel killed, according to CBS News).