U.S. Set to Approve Broader Chevron Licence for Venezuelan Oil

Chevron is expected to receive a broader licence from the U.S. government this week that could allow the company to raise oil production and exports from Venezuela, according to Reuters.

The U.S. major is likely to be among several companies granted approval by President Donald Trump’s administration to operate in Venezuela, as producers, traders and refiners seek access to the country’s heavy crude following the U.S. removal of President Nicolas Maduro. Marathon Petroleum is also holding talks with Washington over potential supplies of Venezuelan crude for its refineries, sources said.

Talks expand beyond Chevron

Valero Energy, along with global trading houses Mercuria and Glencore, are also in discussions with U.S. authorities about licences to conduct business with Venezuela. Chevron said it operates in full compliance with applicable laws and sanctions. The other companies and the U.S. Treasury’s sanctions office declined to comment.

Chevron has been negotiating with Washington to widen its authorisation so it can ship more crude to its own refineries and sell oil to third parties. If approved, it could also trade a portion of state producer PDVSA’s output. Chevron remains the only U.S. oil major producing in Venezuela, pumping about 240,000 barrels per day through joint ventures with PDVSA.

Earlier, a more flexible licence between late 2022 and early 2025 helped lift output, repair facilities and increase exports. That approval was later tightened as part of U.S. efforts to remove Maduro, cutting exports by about half. Chevron shares have climbed nearly 9% since Maduro was ousted and interim President Delcy Rodriguez took office.

A U.S. official said Washington has completed the first Venezuelan oil sales under a $2 bn agreement, with further shipments expected soon. Chevron, Vitol and Trafigura have been competing for export contracts as the U.S. seeks to maintain long-term control over Venezuelan oil sales.