Reliance Seeks US Approval to Import Venezuelan Oil
Indian oil refiner Reliance Industries has once again requested permission from the US to import crude oil from Venezuela. This move aims to resume oil trade between the OPEC producer and Reliance, which was previously the second-largest importer of Venezuelan oil.
This request comes after the US did not renew a general license for Venezuela to export oil and fuel in April 2023. However, the US has indicated that it would consider individual authorizations for foreign firms seeking to do business with Venezuela.
Reliance and other Indian companies have previously applied for such individual authorizations, but they were not granted. Despite this, Reliance has continued to purchase Venezuelan oil through intermediaries since October 2023.
Maurel & Prom Receives License for Venezuelan Operations
French oil producer Maurel & Prom has been granted a license by the US to conduct oil and gas operations in Venezuela for the next two years. This is the first authorization issued under the exemptions offered by the US to its reimposed sanctions regime on Venezuela.
The license allows Maurel & Prom to continue production activities under an agreement signed with Venezuela in November 2022. The company owns a 40% interest in an oilfield joint venture with PDVSA and has agreed to boost oil output in the field.
Limited Approvals for Venezuelan Oil Business
The US Treasury and State departments have received numerous license requests from firms interested in Venezuela's energy industry. However, only a few of these requests have been approved, including a key license to US oil major Chevron.
The limited approvals highlight the ongoing challenges for companies seeking to do business with Venezuela in the face of US sanctions.