With no fair elections in sight, oil sanctions return.

The Biden administration has reimposed tight oil sanctions on Venezuela, reverting previously eased restrictions that were in hopes of fostering democratic change. A U.S official indicated that any U.S. firms active in Venezuela have 45 days to conclude their operations. The U.S. had relaxed sanctions on Venezuela’s state-run oil, gas, mining sectors in October, after the Maduro government agreed to collaborate with the opposition for a fair presidential election. However, Maduro is accused of undermining this agreement, with actions such as hindering his primary rival, ex-lawmaker Maria Corina Machado, from registering her candidacy; and arresting numerous government critics. This latest move from the U.S. bans U.S. enterprises from trading with state-run oil producer PDVSA without a specific U.S. Treasury Department license. The impact of these abrupt changes on Venezuela’s struggling oil and gas industry is uncertain, and it is unclear whether the tightened sanctions will force Maduro to provide fairer electoral conditions. The sanctions’ reinforcement does not directly affect Chevron, the last major U.S. oil driller in Venezuela, which increased shipments thanks to a license issued in 2022 amidst the potential impairment of global energy supplies by Russia’s Ukraine invasion. Find full Text by Joshua Goodman And Regina Garcia Cano in -> TheNationalPost

Note -> You have to read the “fine print” of the OFAC document, because although it suspends the GL (general license) it says that each company can request an SL (Special License) to operate in Venezuela, which “will be individually analyzed according to the security of the United States.” by Ricardo Ríos @riosdefrente in-> X

Share on Facebook

Tweet

Follow us

Save