Chevron's Complex Reentry Into Venezuelan Oil Market
Chevron has received a renewed, restricted U.S. license to operate in Venezuela under the condition that no payments are transferred to President Maduro's administration. This move comes months after the Trump administration revoked licenses over migration and democracy concerns, impacting oil exports and operations.
Chevron company has been issued a limited U.S. license to operate in Venezuela. According to sources, the new agreement restricts oil proceeds from reaching the administration of Venezuelan President Nicolas Maduro, allowing Chevron to restart some operations in the sanctioned nation.
The authorization opens business opportunities for Chevron in Venezuela just months after a deadline set by Washington for joint ventures to halt transactions. Under the previous administration, Chevron and European firms like Spain's Repsol were authorized to increase operations in Venezuela, allowing oil exports to the U.S. and Europe.
The Trump administration had previously revoked these licenses due to Venezuela's ongoing democracy and migration issues, forcing Chevron to reduce operations. The new license gives the company leeway in joint ventures and procurement without benefiting the Maduro government, though it's unclear how this aligns with PDVSA's operations.
(With inputs from agencies.)
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