The Trump administration moved Friday to open the door for international oil companies to explore and produce oil in Venezuela while the country remains under U.S. sanctions.
The general license issued Friday by the Treasury Department marks the Trump administration’s most aggressive move yet to lift longstanding U.S. restrictions and entice oil companies to invest in the country. But so far, only a few of major oil companies with the deep pockets and expertise to work in the South American nation have expressed interest in the offer, given Venezuela’s debilitated oil infrastructure and uncertain political future.
One of the new licenses issued by the Treasury Department’s Office of Foreign Assets Control allows companies to enter into contracts with Venezuela’s state-owned oil company, Petróleos de Venezuela, for new oil and gas exploration, development and production. Those contracts will be contingent on express approval by OFAC.
Another new license gives five specific companies with an existing presence in Venezuela — BP, Chevron, Eni, Repsol and Shell — authorization to resume operations there, which are conducted in partnership with PdVSA.
