Key points
- It was granted despite US’ sanctions against South American nation
- Washington ordered Chevron to pull out of the country in February
- Trump is seeking to strangle Venezuela economically
PARIS: French oil firm Maurel & Prom on Monday said the United States has revoked its licence to operate in Venezuela, which had been granted despite Washington’s sanctions against the South American nation.
Venezuela announced on Sunday that the United States had stripped the licences of several transnational oil and gas companies that had allowed them to operate in the country.
While Venezuela did not name the companies, experts had expected that Repsol of Spain and Maurel & Prom would be affected after Washington ordered US oil giant Chevron to pull out of the country in February.
Maurel & Prom’s statement
Maurel & Prom said in a statement that it received a US Treasury Department notification “informing M&P that the specific licence granted in May 2024 for its activities in Venezuela has been revoked”.
M&P said that the Treasury’s Office of Foreign Assets Control (OFAC) gave the company a special “wind-down” licence that allows it to undertake the transactions necessary to conclude operations in Venezuela by May 27.
“M&P is currently assessing the implications of this decision in close consultation with its legal advisors. The Group remains actively engaged with US authorities and continues to monitor the situation as it develops,” the statement said.
“It is M&P’s understanding that this action is part of a broader initiative by OFAC affecting both US and international oil companies operating in Venezuela under similar authorisations, pending a possible agreement between the US and Venezuela as the situation continues to evolve.”
Chevron’s licence
US President Donald Trump revoked Chevron’s licence, which had allowed the company to operate despite sanctions, at the end of February. Other companies had received similar licences.
Trump is seeking to strangle Venezuela economically in order to cripple its president, Nicolas Maduro, and last week announced steep 25 per cent tariffs on imports from countries buying Venezuelan oil and gas.
