U.S. Eases Oil Sanctions: Chevron Set to Re-Enter Venezuela

The U.S. administration under President Donald Trump is poised to issue new authorizations to key partners, including Chevron, of Venezuela's state-run oil company PDVSA. This would mark a departure from the earlier strategy of imposing strict sanctions on Venezuela's energy industry, in place since 2019.

An anonymous senior State Department official noted that while specific licenses to PDVSA's partners couldn't be discussed, the U.S. would prevent profits from reaching President Nicolas Maduro's government. The authorizations might allow companies to pay contractors and import necessary materials to continue operations.

Chevron confirmed its adherence to international laws and sanctions, including those concerning Venezuela. Despite a recent prisoner swap between the U.S. and Venezuela, relations remain tense. The State Department may impose conditions on any licensing changes to ensure no funds benefit Maduro's government, though Secretary of State Marco Rubio could still halt the process.

(With inputs from agencies.)