US Grants Chevron License to Restart Oil Operations in Venezuela – zoohousenews.com
- December 4, 2022
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(Natural News) The US government gave oil company Chevron a limited license to continue pumping oil fields in Venezuela, in what may be the first step in ending America’s embargo on oil from the socialist nation.
In a press release, the U.S. Treasury Department confirmed the move, adding that it allowed Chevron to proceed with “natural resource extraction operations.” The statement also mentioned that Venezuelan President Nicolas Maduro and the opposition coalition Unitary Platform (PU) have reached an agreement to push through a humanitarian program and resume talks to hold free and fair elections.
“The announcements by the PU and the Maduro regime are important steps in the right direction to restore democracy in the country,” the finance ministry said. “The US welcomes and supports the resumption of negotiations between [PU] and the Maduro regime as part of our longstanding policy of supporting the peaceful restoration of democracy, free and fair elections and respect for the rights and freedoms of Venezuelans.”
According to a Wall Street Journal report, Washington has agreed to license Chevron after the Venezuelan leader vowed to fulfill his commitments outlined during talks with the opposition coalition.
Chevron is the last remaining American oil company in Venezuela. However, Caracas banned oil pumping due to sanctions against Maduro.
The New York Times said that despite having the world’s largest oil reserves, the Maduro government desperately needs foreign investment in oil to boost its struggling economy. Chevron’s development also marks an opportunity for other oil companies to continue doing business in Venezuela, two years after former US President Donald Trump cracked down on the South American country.
Chevron is said to be pumping alongside Venezuela’s state-owned oil company
The license, granted to Chevron by the Treasury Department, allows the company to pump in a joint venture with Petroleos de Venezuela SA (PDVSA), the state-owned oil and natural gas company. However, it prohibits the Venezuelan state oil company from making profits from Chevron’s oil sales. Other activities involving PDVSA are also prohibited, the department added.
“This action is not being taken in response to energy prices – this is a limited license. As we have said in the past, the issue is for the regime to take the necessary steps to help restore democracy in Venezuela,” said an unnamed Biden administration official.
“We have long made it clear that we believe the best solution in Venezuela is one negotiated between Venezuelans. To encourage this, we have also stated that we stand ready to provide targeted sanctions relief.”
However, the official explained that additional measures would require further “concrete steps” as well as the release of political prisoners and the approval of United Nations humanitarian missions in Venezuela. Other US sanctions and restrictions imposed on Venezuela continue to be enforced.
Although tied to political changes in Venezuela, the move could keep gas prices low by bringing more oil to the global market. US officials had previously suggested easing some sanctions on Venezuela to support peace deals between the opposition and the Maduro government.
As energy prices have soared and inflation fueled, US President Joe Biden has released more than 200 million barrels of America’s emergency oil reserves to help at the pump. (Related: Biden Begs Socialist Venezuela for Oil After Killing US Energy Independence.)
The Biden administration has helped foreign governments like Venezuela boost oil production even amid global shortages caused by sanctions on Russia over the conflict in Ukraine, OPEC+ declaring production cuts, and dwindling US shale oil production.
Follow FuelSupply.news for more news on America’s oil supply.
Watch this Fox News clip denouncing the Biden administration for allowing Chevron to resume operations in Venezuela.
This video is from the NewsClips channel on Brighteon.com.
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