The US administration has decided to reimpose sanctions on the Venezuelan oil sector, not renewing its General License 44 and authorising a wind down of transactions until 31 May 2024. However, the November 2022 authorization for Chevron “to resume limited natural resource extraction operations in Venezuela" will still be allowed; as well previous authorisations granted to European companies Repsol and Eni were not withdrawn.
The United States imposed sanctions on the Venezuelan oil and gas sector after the contested 2019 presidential election. In October 2023, following political commitments to hold an inclusive and competitive election in 2024, the US Treasury Department had issued a temporary authorization to allow transactions with Venezuela’s national oil and gas sector until 18 April 2024. The US administration has considered that the Venezuelan government failed to comply with the Barbados Agreement concluded with the political opposition.
Venezuela's oil exports reached a record high in March 2024 (to 900 kb/d) as customers rushed to complete purchases ahead of the predicted expiration of the license.
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