The Trump administration has quietly renewed a license allowing U.S. oil giant Chevron to resume operations in Venezuela, signaling a shift in Washington’s hardline stance toward President Nicolás Maduro’s government, sources familiar with the matter reportedly told the Miami Herald.
The new license is described as a “specific license” issued privately rather than a publicly disclosed general license. It reportedly permits Chevron to engage in more regular activities with Venezuela’s state oil company, PDVSA. Under the terms, Chevron will be repaid in barrels of oil instead of cash, potentially giving Caracas increased latitude to monetize its crude reserves despite ongoing U.S. sanctions.
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The State Department said the license was only intended for maintenance purposes and to facilitate repayment of PDVSA’s estimated US$3 billion debt to Chevron. But former PDVSA planning director Juan Fernández doubts the license will achieve the State Department’s stated purpose of preventing Maduro’s government from benefiting. “This obviously will benefit Maduro, because once they receive the oil, they will turn around and sell it,” he said.
Chevron’s operations previously accounted for roughly a quarter of Venezuela’s oil production, which stood around 900,000 barrels per day (b/d) earlier this year. The company had been forced to suspend activities after the Trump administration revoked an earlier license in May.
Despite continued calls for democratic reform in Venezuela, the license renewal suggests a more pragmatic U.S. approach. The Herald’s sources said the decision followed direct negotiations between U.S. and Venezuelan officials, including National Assembly President Jorge Rodríguez. Talks reportedly remain ongoing, with discussions touching on the potential reopening of embassies in Washington and Caracas.
Secretary of State Marco Rubio, previously a vocal critic of Maduro, is now said to be playing a central role in shaping Venezuela strategy, while former special envoy Richard Grenell’s influence appears diminished.
While the decision could pave the way for other energy companies to seek similar arrangements, it has drawn concern from Venezuelan opposition groups and human rights advocates who fear normalization with Maduro may undercut democratic efforts.
