US continues to debate fate of Venezuela waiver for Chevron, other companies

Roughly two days before a waiver which allowed Chevron and four US oil services companies to continue working in Venezuela's oil sector is set to expire, the Trump administration is no closer to determining whether to extend it, sources told S&P Global Platts.

If the waiver is allowed to expire Saturday, Venezuelan oil output is expected to decline from already historic lows and Russian and Chinese firms could take over segments of the country's oil sector currently operated by US companies.

Administration officials are still strongly considering allowing the waiver to expire as part of its "maximum pressure" campaign on the Maduro regime, an option that has been viewed as more likely in recent weeks, according to sources familiar with the administration discussions.

"We are considering facts on the ground and are in close contact with the private sector entities concerned about the expiration [of the waiver] which allows Chevron and other US oil field service providers to engage in certain activities related to their operations in Venezuela," a State Department spokesman said Thursday.

Read the full article and more in S&P Global.