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U.S. Eases Venezuela Oil Sanctions With License for Maintenance and Services

OFAC authorizes limited work to rehabilitate oil operations under tight exclusions.

Overview

  • OFAC’s new general license permits U.S. firms to carry out maintenance, refurbishment, and repairs on Venezuelan oil and gas assets.
  • The authorization extends to providing certain goods, technology, software, or services tied to exploration, development, or production under defined conditions.
  • The license bars transactions involving Russian, Iranian, Chinese, Cuban, or North Korean entities and prohibits forming new upstream joint ventures.
  • The move marks a further, targeted easing of restrictions intended to prepare infrastructure without reopening broad upstream investment.
  • Oilfield service leaders at Halliburton and SLB say they can ramp up quickly under clear licensing, while Chevron remains the only U.S. producer exporting Venezuelan oil.