Overview
- OFAC issued a broad license that allows PDVSA to sell Venezuelan crude directly to U.S. companies and into global markets.
- Only buyers that existed before Jan. 29, 2025 qualify, and deals involving Russia, Iran, North Korea, Cuba and some Chinese entities are barred.
- Payments cannot go to PDVSA and must be deposited in a special U.S.-controlled account, with no settlement in gold or cryptocurrency and no transactions tied to Venezuelan debt or bonds.
- Officials say the move aims to raise global oil supply as Iran’s blockade of the Strait of Hormuz has driven prices higher.
- Critics warn the policy risks benefiting Maduro-aligned leadership despite ongoing concerns over repression and corruption.