The U.S. Treasury Department’s Office of Foreign Assets Control has issued a new license regulating transactions involving Venezuelan-origin oil. The document explicitly excludes any dealings in which Russia is involved in any capacity.
Formally, the license authorizes “certain activities related to Venezuelan-origin oil,” but the text lays out in detail the operations that remain prohibited. These include any transactions involving individuals or legal entities located in the Russian Federation or incorporated under Russian law. Similar restrictions apply to three other states—Iran, North Korea, and Cuba.
A separate provision introduces a ban on transactions with companies registered in Venezuela or the United States if such entities are directly or indirectly owned by persons located in China or are under their control.
After the seizure of Venezuelan President Nicolás Maduro in early January, the Donald Trump administration demanded that acting head of state Delcy Rodríguez open Venezuela’s oil market to U.S. companies and halt oil supplies to countries Washington considers its adversaries. Russian billionaire Oleg Deripaska had previously warned that if the United States were to gain control over Venezuela’s oil fields, “more than half of the world’s oil reserves would end up under their control.” “And apparently, their plans include ensuring that the price of our oil does not rise above $50 a barrel,” he emphasized.