Chevron Corporation (NYSE:CVX) has terminated the contracts it had to operate in Venezuela and has delegated its joint-venture governance to its partner, PDVSA, reported Reuters on Wednesday. However, the company plans on retaining its staff in the country, said sources.
A tanker truck making its way through a refinery facility.
This follows the revocation of a key license for Chevron Corporation (NYSE:CVX) to operate in Venezuela in March, and this week’s expiration of two months granted to the energy company to wind down transactions.
However, on Tuesday, the Trump Administration granted Chevron Corporation (NYSE:CVX) a narrow authorization, allowing the oil-maker to retain staff and keep assets in Venezuela, including its joint-venture stakes.
These guidelines are similar to the terms it operated between 2020 and 2022, before the Biden government allowed the company to expand in Venezuela and resume crude exports to the U.S. Under the new authorization, the company cannot operate oilfields in the South American country, expand its activities, or export oil to avoid potential earnings for the Maduro government.
According to sources, Chevron Corporation (NYSE:CVX) executives met with contractors and Venezuelan government officials this week and communicated about the next steps.
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