Chevron in talks with Trump team over Venezuela oil operations, sanctions

(Bloomberg) – Chevron Corp. is in discussions with the Trump administration about remaining in compliance with sanctions in Venezuela, emphasizing the benefits to the U.S. of the company’s continued presence, Chief Executive Officer Mike Wirth said. 

The CEO said he doesn’t know what President Donald Trump’s intentions are in the south Caribbean, where a US military build-up has prompted speculation the administration is looking to oust Venezuelan President Nicolas Maduro. But Chevron has takes a “long view” on operating in Venezuela, Wirth said in an interview on Bloomberg TV.

“We operate there in full compliance with all U.S. law and sanctions,” he said. “We’re in discussions with the administration to ensure that we stay in compliance, that they understand the value that our presence brings to America.”

Chevron is the only remaining U.S. oil major in Venezuela and has been operating under different sanctions waivers stretching back to the first Trump administration, resulting in stop-start operations. Its continued presence has been a thorny issue for both the Biden and Trump administrations, with some officials arguing it provides a financial lifeline to Maduro and others saying a U.S. operator is essential to maintaining stability in the country and global oil markets.

“Our presence there, we believe, is important for the local economy, the regional economy, the people of Venezuela,” Wirth said. 

Venezuela’s reserves are the largest in the world, with more oil and gas than Saudi Arabia. 

“It’s right here in our hemisphere, very close to the Gulf Coast refining complex,” Wirth said. “We’ve been there through ups and downs and like many places in the world, we have to take a long view on our presence in countries like this.”