U.S. Treasury extends critical license for American energy companies in Venezuela

With election legal challenges continuing, and with less than 3 months until the end of President Donald Trump’s term in office, the Trump administration continues to project its strong pro-American foreign policy agenda across the globe, and in particular in the Middle East and the Western Hemisphere.

As it was widely expected, Trump’s U.S. Treasury department just extended a license to five American energy companies to continue working in Venezuela until June 3, 2021.

The license, which has been renewed six times, was up for renewal on December 1, 2020.

The license extension provides a waiver that exempts Chevron, Halliburton, Schlumberger Ltd, GE company Baker Hughes and Weatherford International from sanctions on Venezuela’s oil sector but with significant limitations. These are the same limitations that were included in the last waiver and which do not authorize the companies to drill, sell ship,s or trade Venezuelan oil.

The license allows these five U.S. companies to carry out transactions in the country that are essential to preserve their assets, keep employees safe and pay contractors.  It should be noted that the waiver does not require the companies to close their operations or exit the country by that date.

“Chevron will continue to comply with applicable laws and regulations in relation to the activities that it is authorized to undertake in Venezuela. We remain committed to the integrity of our joint venture assets, the safety and wellbeing of our employees and their families, and the company’s social and humanitarian programs during these challenging times,” stated Chevron Spokesman Ray Fohr.

OFFICE OF FOREIGN ASSETS CONTROL (Link)