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The US decided to extract oil in Venezuela


Novembre, 25 2022
watermark Economic news

The United States intends to issue a license for oil production in Venezuela to the American company Chevron Corp., one of the largest oil companies in the country.


The US authorities made this decision as part of easing the policy of long-standing sanctions against Venezuela, which could open the door to doing business with other oil companies.


Chevron will restore partial control over oil production at Venezuelan fields and resume maintenance of dilapidated towers and platforms. It is reported that the American company managed to retain a stake in the fields thanks to joint ventures with the state oil company of Venezuela Petróleos de Venezuela SA. 


Chevron representatives note that there is no talk of new investments yet, since the previous debts have not yet been repaid. Which, by the way, may take several years.


The granting of the new license depends on the statements of the Venezuelan authorities (expected on Saturday) on the implementation of a humanitarian program worth $3 billion using Venezuelan funds unfrozen by the United States. 


Recall that Venezuela has been under US oil sanctions since 2019. In June of this year, the State Department allowed Italian Eni and Spanish Repsol to supply oil from Venezuela to Europe.


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Foreign exchange trading carries a high risk of losing money due to leverage and may not be suitable for all investors. Before deciding to invest your money, you should carefully consider all the features associated with Forex, as well as your investment objectives, level of experience, and risk tolerance.