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The Trump administration is revoking a number of permits and licences that enable western oil companies to do business in Venezuela, as it ratchets up economic and diplomatic pressure on President Nicolás Maduro.
Italian oil major Eni said on Sunday it had been notified by US authorities that it was no longer allowed to be repaid for gas that it produces in Venezuela through oil supplies given to it by PDVSA, the state oil company.
The Italian energy company said it would engage with Washington to determine how it could continue providing non-sanctioned gas supplies which are essential to the local population and receiving payment for them.
“Eni always operates in full compliance with the international sanctions framework,” said Eni in a statement.
Global Oil Terminals, a trading company owned by shipping magnate Harry Sargeant III, said it had also received notice from the US government that it would have to wind down its licences to export products from the Latin American nation.
Sargeant, a prominent Republican donor, told the Financial Times that the company’s “licences would have to wind down by May 27 and all payments to Venezuela entities must be made by this Wednesday”.
Several other companies that were granted waivers from the US government under former president Joe Biden, including Spain’s Repsol, France’s Maurel & Prom and India’s Reliance, did not immediately reply to a request for comment.
A US Treasury spokesman declined to comment. A Venezuelan government spokesperson did not respond to a request for comment.
The suspension of the waivers and licences that enable western companies to do business with Venezuela’s state oil company PDVSA are the latest steps taken by the Trump administration to pressure Maduro, who was sworn in for a third term in January despite widespread evidence of fraud in the July election.
Last week, Trump said the US would impose a 25 per cent tariff on all imports from any country that buys oil from Venezuela, a move that could disrupt crude markets and sharply raise levies on goods from China and India.
The announcement roiled Venezuela’s black market exchange rate, which surged from near 90 bolívars to the US dollar on Monday to 102 on Friday evening, well above the official rate of 69 bolívars to the dollar.
In a post on Truth Social, Trump said “Venezuela has purposefully and deceitfully sent to the United States, undercover, tens of thousands of high level, and other, criminals, many of whom are murderers and people of a very violent nature”.
More than 7.7mn Venezuelans, nearly a quarter of the population, have fled repression and economic collapse during Maduro’s 12-year government, with the majority settling in other Latin American nations.
The action against Eni and Global Oil Terminals follows Washington’s decision to cancel Chevron’s licence to operate in Venezuela, despite an intense lobbying campaign by the US oil major to maintain its presence.
Venezuela exported 660,000 barrels a day of crude globally last year, according to consultancy Kpler, a trade that is critical to the country’s economy.
Analysts estimate that the exemption licences, including those of Chevron and Eni, were worth more than $4.5bn last year to Maduro’s government. Opposition figures have said that money was used to fund repression.
