Brief
The U.S. Treasury’s Office of Foreign Assets Control has issued Venezuela-related General License 44A. The authorization covers the wind-down of transactions connected to oil or gas sector operations in Venezuela. The agency also published related frequently asked questions alongside the license. The action establishes the applicable U.S. sanctions authorization for parties disengaging from those Venezuelan energy-sector transactions under this measure.
By limiting authorization to wind-down activity, OFAC raises near-term compliance and exit risk for parties involved in Venezuelan oil and gas. The measure reduces certainty around continued energy-sector dealings and may weigh on the capital, services and commercial relationships available to the industry.
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Industry · U.S. Treasury OFAC — Venezuela Actions
Apr 17, 2024
Watch for subsequent OFAC licenses or revised guidance specifying whether the wind-down authorization is extended, replaced or allowed to end, as well as any clarification of the transactions it covers.