Today: Monday, 8 August 2022 year

Eni and Repsol allowed to supply Venezuelan oil to Europe

Eni and Repsol allowed to supply Venezuelan oil to Europe

Venezuela may supply oil to Italy’s Eni and Spain’s Repsol to compensate for the loss of supplies from Russia for the European market. The US State Department gave permission for this to the companies by sending them a corresponding letter. Deliveries could begin as early as next month.

The companies have joint ventures with the Venezuelan state oil company PDVSA, and they can set off the delivered oil to Venezuela against debts and overdue dividends. The key condition, according to one of the sources, was that the resulting oil must go to Europe, it cannot be resold anywhere else. It is also noted that the volume of oil supplied will not be large and will not affect world fuel prices.

Earlier, the US Treasury issued a license allowing the American oil company Chevron to begin negotiations on its future activities in Venezuela. Before that, it became known that the United States could not agree with Venezuela on the easing of sanctions on oil exports. Proposals to ease sanctions included allowing Caracas to sell oil through Western companies.