· 3 min read
illuminem summarises for you the essential news of the day. Read the full piece on The Wall Street Journal or enjoy below:
🗞️ Driving the news: The U.S. is set to grant Chevron a limited license to preserve its oil-producing infrastructure in Venezuela, allowing the company to maintain assets but not to import oil
• The move follows the expiration of a Biden-era waiver and reflects the Trump administration’s stricter stance on Venezuela, aimed at isolating the Maduro regime
• The license is designed to prevent asset seizure and maintain Chevron’s readiness should U.S.-Venezuela relations improve
🔭 The context: Chevron (see sustainability performance) remained in Venezuela after others, like ExxonMobil, exited amid nationalizations and sanctions
• Under President Biden, Chevron had resumed limited operations in 2022 to support democratic negotiations in Caracas
• However, political pressure from Florida lawmakers aligned with Secretary of State Marco Rubio has led to a rollback
• The current license represents a strategic compromise — preserving long-term commercial interests while tightening sanctions enforcement
🌍 Why it matters for the planet: Venezuela holds some of the world’s largest oil reserves, making U.S. corporate and political decisions there geopolitically and environmentally significant
• Restricting Chevron’s operations maintains pressure on the Maduro government but delays potential investments in cleaner technologies or operational upgrades
• It also raises concerns over increasing Chinese influence in the region, which could further entrench fossil fuel exploitation with fewer environmental safeguards
⏭️ What's next: Chevron will continue to hold its four joint ventures with Petróleos de Venezuela S.A. in suspension mode, producing no oil under the new license
• The status quo may persist unless diplomatic relations thaw or domestic U.S. politics shift, especially in an election year
• The U.S. administration will monitor Maduro’s actions and broader geopolitical developments, particularly in light of rising tensions over Venezuela’s territorial claims on Guyana’s oil-rich regions
💬 One quote: “Win China Lose USA,” — Harry Sargeant IV, president of Global Oil Terminals, summarizing U.S. oil industry concerns about geopolitical retreat
📈 One stat: Chevron currently accounts for about 220,000 barrels per day of Venezuela’s crude production — roughly 25% of the country’s output
See on illuminem's Data Hub™ the sustainability performance of Chevron and its peers ExxonMobil, Shell, and BP
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