The U.S. government is moving to ease some economic sanctions on Venezuela, which would allow Chevron (NYSE:CVX) to negotiate its license with state-owned oil company PDVSA, Associated Press reported Tuesday.
Under the proposed changes, Chevron (CVX) could negotiate the license but would not be allowed to drill or export any petroleum of Venezuelan origin, according to the report.
The moves are said to follow goodwill gestures by Venezuela President Nicolas Maduro after meeting in March with Biden administration representatives.
Chevron (CVX) is the last major U.S. oil company to do business in Venezuela, and its four joint ventures with PDVSA produced ~200K bbl/day in 2019, but the U.S. government ordered it in 2020 to wind down production.
Chevron (CVX), Exxon Mobil and Valero "are Strong Buys based on their promising growth potential, solid profitability, safe dividends, and great dividend yields," Steven Cress writes in a bullish analysis newly published on Seeking Alpha.