Geopolitical Shift in the United States’s Backyard

Julianna Bambina '24

Venezuela’s state-owned oil and gas company, Petróleos de Venezuela S.A. (PDVSA), met the United States’s oil company, Chevron. The oil companies both discussed joint venture employees following license approval. On December 6th, Venezuelan officials and Chevron executives spoke to their workers bringing up the ventures, as they prepared for the first significant foreign participation in the Venezuelan oil industry.

The U.S. Treasury Department granted Chevron a six-month license to encourage political talks between the president of Venezuela, Nicolas Maduro, and the opposition regarding a presidential election next year. Chevron, based in California, stated that it does not expect significant investment in Venezuela in the next six months due to license restrictions that allow exports to the U.S. but prevent proceeds from reaching Venezuela's pockets. A major factor in this is the looming 2024 presidential election.

Mr. Foppiani, a teacher in Fontbonne Hall Academy, commented on the ongoing developments, “The gathering of Venezuelan officials and Chevron marks the beginning of a seismic shift to U.S policy in the Caribbean. Partially spurred on by the events of the Ukrainian war. The newfound leverage gained by the Maduro regime has left the U.S. camp with practically no other option than to negotiate with the regime. Oil remains an irreplaceable and vitally important factor in U.S-Venezuelan relations. This new development won’t be conclusive on it’s own but, in my view could greatly accelerate a new era of restored corporations.”