LatAm Briefs: EP PetroEcuador Tenders, Ofac License Extension To Chevron

(Energy Analytics Institute, 2.Jun.2021) — Energy briefs from the Latin America and Caribbean region including: EP PetroEcuador generating $768mn thru ten tenders of Oriente and Napo crude oil between January and May 2021 and the US’ OFAC extending a general license to Chevron and others to continue operating in Venezuela.

EP PetroEcuador Generate $768mn Thru 10 Oil Tenders

EP PetroEcuador has held 10 bids so far in 2021 for the spot market sales of Oriente and Napo crude oil, five each. These sales took place between January and May 2021 and have allowed the Ecuadorian state to earn $768,522,580.89, with the commercialization of 12,847,758.14 barrels of Oriente and Napo oil, EP PetroEcuador Geneal Manager Gonzalo Maldonado said 2 June 2021 in an official statement published by the state oil entity.

OFAC Extends General License To Chevron, Others In Venezuela

Basically, the Office of Foreign Assets Control (Ofac) gave Chevron, Halliburton, Baker Hughes, Schlumberger and Weatherford six more months to continue operating in Venezuela and engage in just transactions with state controlled-PDVSA necessary for essential maintenance or the wind down of their operations.

Washington’s reasoning for the extension is varied but is generally to: 1) maintain a US presence in Venezuela should a “Day 1” scenario arise (that hypothetical first day, whenever it arises, in which a new US favored regime takes over in Venezuela), 2) counter Russia and China influences, and 3) allow Washington more time to develop a Venezuela policy and strategy.

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By Piero Stewart. © Energy Analytics Institute (EAI). All Rights Reserved.