U.S. Considers Loosening Sanctions on PDVSA for Chevron

The U.S. government is evaluating the possibility of authorizing Chevron and potentially other European partners of PDVSA to operate in Venezuela, marking a potential policy shift. This comes as the U.S. insists that any new approach will not financially benefit the Venezuelan government.

The Trump administration may soon authorize Chevron and other European partners to engage with Venezuela's state-owned oil company, PDVSA, despite ongoing sanctions. According to sources, this move could signify a shift in the U.S.'s earlier pressure tactics against Venezuela.

The potential new authorizations represent a significant change from the U.S. policy enforced at the start of the year, which aimed at isolating Nicolas Maduro's government economically. Allowing limited operations may lead to a more collaborative approach with key partners.

While confirming the review of existing sanctions, the U.S. State Department emphasized that any arrangements will prevent profit-making for Maduro's regime. The decision, if enacted, will need to balance diplomatic advancement against practical sanctions enforcement.

(With inputs from agencies.)