Biden Administration Reinstates Venezuelan Oil Sanctions

A city in Venezuela at night
Updated Published

The Biden administration has reinstated oil sanctions against Venezuela, criticizing President Nicolás Maduro for not pursuing more democratic reforms. U.S. companies operating in Venezuela are required to cease their operations within 45 days.

In October of the previous year, the U.S. had granted a six-month general license for oil and gas dealings in Venezuela following an agreement between Maduro and opposition leaders in Barbados, which outlined steps toward electoral reforms. However, Maduro has failed to adhere to the commitments made for conducting free elections.

Recent data from BRS indicates that Venezuelan oil production has marginally increased by 100,000 barrels per day since October, reaching 900,000 barrels per day. This figure is significantly lower than the 2.5 million barrels per day produced in 2015.

Additionally, BRS data reveals that the number of tankers in the so-called shadow fleet, predominantly managed by Russia and associated with PDVSA, Venezuela’s national oil company, is set to increase by 19, bringing the total to 776.