US to Let Eni, Repsol Ship Venezuela Oil to Europe, Reuters Says

(Bloomberg, 5.Jun.2022) — The US could allow Italy’s Eni SpA and Spain’s Repsol SA to ship Venezuelan oil to Europe as soon as July to make up for Russian crude, Reuters reported, citing people familiar with the matter.

The US State Department gave the two companies the green light to resume shipments in a letter, according to the report. Volumes are not expected to be large and any global oil-price impact will be modest, one of the sources told Reuters.

The companies, which have joint ventures with Venezuela’s state-run PDVSA, can count the cargoes toward unpaid debts and late dividends on the condition that they go to Europe, it added.

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By Patrick Sykes