Reuters reports five sources familiar with the issue as saying that Chevron and others may gain authorisation from the US Administration to restart production in Venezuela.
Venezuela has been subjected to sanctions by the US since 2019. Chevron, which makes lubricant and grease products under the Texaco brand, was unique in gaining an exemption that allowed it to produce oil in Venezuela. The proceeds of this went towards paying off the debt owed to Chevron rather than the Venezuelan Government. In February, the US Government took a harder stance and gave companies like Chevron until May to wind down their links.
A senior official at the US State Department declined to comment about specific licenses issued to partners of the Venezuelan state-run PDVSA. The official did say, however, that the administration of President Nicolas Maduro would not be allowed to profit from oil sales. A spokesperson for Chevron, Bill Turenne, issued a statement:
“Chevron conducts its business globally in compliance with laws and regulations applicable to its business, as well as the sanctions frameworks provided for by the US government, including in Venezuela.”
The possible easing of restrictions on the oil sector in Venezuela follows an exchange of American prisoners for Venezuelans who were deported from the US. Three of Reuter’s sources said any new authorisations could involve swapping Venezuelan oil for imported oil. The sources also said Marco Rubio, the US Secretary of State, is not looking to block new authorisations but rather seeking to limit their scope.
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