Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

US extends deadline letting Chevron stay in Venezuela

The Biden administration has given Chevron Corp. and several other American companies six more months to wind down their operations in Venezuela

Via AP news wire
Tuesday 01 June 2021 21:29 BST
Venezuela Chevron
Venezuela Chevron (Copyright 2021 The Associated Press. All rights reserved.)

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

The Biden administration on Tuesday gave Chevron Corp. and several other American companies six more months to wind down their operations in Venezuela.

The special license exempting the companies from U.S. sanctions comes as the Biden administration reviews the U.S. policy that seek to starve President Nicolás Maduro's socialist government of badly needed oil revenue.

It allows Chevron and other companies, including Halliburton and Schlumberger, until Dec. 1 to carry out essential work on oil wells that preserves its assets and employment levels in the South American nation. It leaves unchanged a ban in place since last year prohibiting the companies from producing or exporting oil. The earlier license, also for six months, was set to expire June 3.

California-based Chevron is the last major U.S. oil company to do business in crisis-wracked Venezuela, having first invested in the country in the 1920s.

Venezuela sits atop the world’s largest oil reserves, yet its political upheaval and economic crunch have led more than 5 million people in recent years to flee their country, where many lack basic services like running water, electricity, gasoline and functioning hospitals.

Like the Trump administration, the Biden White House has harshly denounced Maduro as a “dictator” and continues to press for free and fair elections after the opposition sat out the 2018 vote when several candidates were barred from running.

At the same time, Biden has shown some support for attempts at dialogue between Maduro and members of the opposition. Opposition leader Juan Guaido — whom the U.S. recognizes as Venezuela's rightful president — has said sanctions relief should be part of any such talks.

Chevron’s net daily production in 2019 as a result of joint ventures with state-owned PDVSA averaged 35,300 barrels of crude oil, equal to roughly 6% of Venezuela’s total production.

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in