U.S. Oil License Expires: Major Companies Halt Operations in Venezuela

CARACAS, Venezuela — The U.S. General License 80 expired on May 9, 2025, significantly impacting American oil contractors operating in Venezuela. Companies such as Halliburton, Schlumberger, Baker Hughes, and Weatherford can no longer engage in business with Petróleos de Venezuela (Pdvsa).

The license had been issued by the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) and allowed these companies to conduct certain financial transactions necessary for their operations, including security measures and meetings. However, with its expiration, these companies must cease all activities by May 27, 2025.

Prior to the expiration, U.S. officials, including those from the Trump administration, notified partners such as Repsol and Eni that their permissions to trade Venezuelan crude oil and derivatives were revoked. This regulatory withdrawal has raised concerns about the future of U.S. oil operations in the region.

Chevron‘s CEO expressed apprehensions regarding the termination of operations in Venezuela, citing risks to energy security and China’s increasing influence in the area. Meanwhile, Venezuelan President Nicolás Maduro reaffirmed the nation would continue its oil operations despite international pressure.

The General License 80 was initially issued on November 7, 2024, under President Joe Biden and was valid for six months. As the U.S. government tightens regulations, local companies in Venezuela face an uncertain future amid rising economic struggles.

Industry analysts predict that the expiration of this license could further deteriorate the already fragile Venezuelan economy, which heavily relies on oil revenue.