If Caracas takes steps to restore democracy, the United States may consider easing sanctions on Venezuela to allow Chevron Corp. to pump oil into the nation.
The newspaper reported on Wednesday, citing people familiar with the proposal, that the Biden administration would ease some sanctions in exchange for Venezuelan President Nicolás Maduro restarting negotiations with the political opposition on the prerequisites for holding free and fair elections in 2024.
According to the report, US officials stated that the agreement had not yet been finalised and might fail if Maduro’s administration does not pick up talks with the opposition.
In the midst of skyrocketing energy costs throughout the world, the agreement would make it possible for Chevron and US oil-service businesses to begin exports of Venezuelan oil to the global market.
Energy experts have issued a warning that the impact of Venezuela’s oil supply on pricing may be limited given that the nation’s output has collapsed as a result of years of economic crises, poor management, and sanctions.
Since the Trump administration and Western allies recognized opposition leader Juan Guaidó as the country’s rightful leader after elections marred by claims of vote-rigging in 2019, Venezuela’s oil industry has been subject to severe US sanctions.
Adrienne Watson, a spokesperson for the White House National Security Council, stated on Wednesday that the administration has no intentions to alter its approach to sanctions “without meaningful steps” for Maduro to restore democracy.
“Our approach to Venezuelan sanctions has not altered. Following the Wall Street Journal article, Watson issued a statement stating, “We will continue to implement and enforce our sanctions against Venezuela.
