Petty’s Island in New Jersey, Now Controlled by Venezuela, May Soon End Up in Hands of Trump Donor: Report

By: Jerome Brookshire

In an astonishing twist of geopolitics and finance, a modest 300-acre island in the Delaware River — long under the ownership of Venezuela through its national oil company’s U.S. subsidiary — now stands on the brink of passing into the hands of one of America’s most influential hedge-fund magnates. Petty’s Island, with its sweeping views of the Philadelphia skyline and a rich history dating back to Indigenous habitation and colonial settlement, has become an unexpected flashpoint in a dramatic saga of international law, debt defaults, and political upheaval. The New York Post has been closely following developments that may soon see the island’s legal control transferred to investor and conservative donor Paul Singer’s Elliott Investment Management.

Petty’s Island lies within New Jersey waters in the Delaware River and has quietly stood as Venezuelan-controlled territory for decades, owned by Citgo Petroleum Corp., the U.S. subsidiary of Venezuela’s state oil giant PDVSA. The island’s lineage stretches from the Lenni-Lenape people who originally inhabited the land, to an era under Pennsylvania founder William Penn, and later to 18th-century trader John Petty, after whom it is named. Over the centuries, it transitioned from farmland and shipbuilding hub to a corporate holding. The New York Post report on Saturday noted that Citgo began acquiring parcels of the island in 1916, eventually owning the entirety by the 1950s.

During the 1980s, PDVSA came to own Citgo as part of Venezuela’s broader nationalization of its oil industry. For decades, Petty’s Island was an unusual geopolitical curiosity: a quiet, semi-remote island in one of the United States’ most densely populated corridors, yet owned by a foreign state with which diplomatic relations have waxed and waned.

The prospect of a dramatic change in ownership arose late last year when a federal judge in Delaware approved a bid by Amber Energy — an affiliate of Singer’s Elliott Investment Management — to purchase the parent company of Citgo, Petróleos de Venezuela, S.A. (PDVSA), in a court-ordered sale aimed at satisfying claims from creditors owed billions due to Venezuela’s debt defaults and expropriations. The bid, reported as $5.9 billion, was structured to address outstanding monetary obligations linked to the Venezuelan state’s failure to meet its financial commitments.

According to the information provided in The New York Post report, Venezuelan officials have denounced the decision as “fraudulent” and sought to appeal. However, in the wake of extraordinary international developments — including the January 3 U.S. military capture of Venezuelan leader Nicolás Maduro, who was brought to New York to face narco-conspiracy charges — there is significant uncertainty about whether Caracas will continue to contest the sale. As The New York Post report observed, President Trump has publicly declared that the United States is “running the oil-rich South American country,” a statement likely to diminish Venezuela’s appetite or ability to pursue further legal appeals.

Amber Energy, while poised to finalize the acquisition, has been reticent. In comments to the Philadelphia Inquirer — reported by The New York Post — spokesperson Braden Reddall stated only that “the transaction involving Citgo has not yet been completed,” declining further detail.

At the center of this financial whirlwind is Paul Singer, the billionaire founder of Elliott Investment Management. Known for his aggressive investment strategies and long legal battles over sovereign debt, Singer has become something of a kingmaker in conservative political circles. His firm has contributed tens of millions of dollars to Republican campaigns and allied organizations, including substantial backing for Trump’s 2024 presidential campaign. The New York Post report highlighted the convergence of finance and politics in Singer’s bid for Citgo, raising eyebrows about the broader implications of private investors gaining control of assets once held by foreign states.

Singer’s interest is strategic as much as financial. Citgo, with its refining infrastructure and pivotal role in the U.S. oil market, represents a prized asset. According to Reuters, Citgo’s extensive refining and distribution network has long been seen as a linchpin in Venezuela’s ties to the U.S. energy sector, particularly given its capacity to process heavy crude. Contemporary plans under Trump’s administration aim to revitalize Venezuelan oil production, yet Citgo’s exact place in those plans remains in limbo due to regulatory uncertainties — including necessary approval from the U.S. Treasury’s Office of Foreign Assets Control (OFAC).

The potential transfer of Citgo — and by extension Petty’s Island — to a U.S. private investor marks a rare intersection of international law, economic leverage, and national symbolism. Critics have voiced concerns that such a transaction, emerging from a forced auction, could set unusual precedents for how sovereign assets are treated under legal systems outside a nation’s borders. Supporters argue it is a lawful remedy for years of economic mismanagement that left Venezuelan creditors uncompensated.

The geopolitical moment adds layers of complexity. The Maduro administration, already weakened by internal strife and global condemnation, may now find itself politically incapacitated to object to outcomes engineered through U.S. courts and backed by American military interventions. The New York Post report suggested that the evolving situation makes it “likely Singer and Amber will soon close on the deal to own Citgo — and presumably Petty’s Island.”

While global financial and political forces vie over ownership of energy assets, the future of Petty’s Island itself — long detached from public consciousness — has drawn attention from local stakeholders on a different front. Conservationists in New Jersey have long envisioned transforming the island into an urban nature reserve, replete with an environmental center and habitat restoration projects.

According to The New York Post and reporting from local environmental advocates, New Jersey authorities and organizations such as the Center for Aquatic Sciences in Camden, N.J., have pushed for repurposing Petty’s Island into protected green space. The island — home to wildlife including bald eagles, kestrels and herons — has seen limited public access in recent years, primarily accessible through scheduled educational programs and excursions.

Environmental aspirations are not new. An earlier vision, documented by local news sources, called for a comprehensive ecological restoration that would transform Petty’s Island from industrial uses into a haven of biodiversity and public recreation. Whether such plans will withstand the realpolitik of international asset transfers remains uncertain, but they reflect a deep local investment in the island’s future as more than just a financial footnote in global affairs.

The layered history of Petty’s Island underscores its uniqueness: a landmass once inhabited by the Indigenous Lenni-Lenape, later touched by colonial figures such as William Penn, and famous visitors including pirate Blackbeard and polymath Benjamin Franklin. Its transformation from farmland and shipbuilding hub to corporate holding reflects broader patterns of economic and social evolution in the Delaware River corridor.

Yet few could have anticipated that an island with such a storied past would find itself enmeshed in a drama bridging U.S. domestic politics, international debt litigation, and the contested future of Venezuelan state assets.

As the legal and political saga unfolds, one question looms large: what will become of Petty’s Island once the smoke of litigation and strategic maneuvering clears? Will a future owner embrace visions of environmental stewardship and public access, or will the island remain an emblem of 21st-century financial conquest?

For now, the potential acquisition by Singer’s Amber Energy remains just that: a possibility, contingent on regulatory approvals and the unresolved status of Venezuelan appeals. Yet as The New York Post has reported, the combination of judicial authority and geopolitical upheaval makes it increasingly plausible that Petty’s Island — once a quiet jewel of the Delaware — could soon pass from Venezuelan control into the portfolio of an American financier whose political ties are as formidable as his financial ones.

Whichever path Petty’s Island ultimately takes, its journey from Indigenous homeland to contested asset in a new era of global power politics is a testament to how even the most modest geographic spaces can become pivotal symbols of larger forces shaping the 21st century.