Chevron ends Venezuela contracts, but will keep staff in country: report

Group 1 - Chevron has terminated its oil production, service, and procurement contracts in Venezuela, delegating joint-venture governance to PDVSA while retaining direct staff in the country [1] - The U.S. State and Treasury departments set a deadline of May 27 for companies like Chevron to receive Venezuelan crude oil and byproducts, following the revocation of authorizations by the Biden administration [2] - PDVSA canceled cargoes scheduled for Chevron due to payment uncertainties linked to U.S. sanctions, which also led to the end of Chevron's operating license in Venezuela [4] Group 2 - Under new U.S. authorization, Chevron is prohibited from operating oilfields, exporting oil, or expanding activities in Venezuela to avoid payments to the Maduro administration [7] - Analysts predict that without licenses, Venezuela's oil output and exports could decline by 15-30% by the end of 2026, following a recovery that brought average crude output to about 1 million barrels per day this year [10] - The Venezuelan government, led by Nicolas Maduro, rejects U.S. sanctions, claiming they constitute an "economic war" [10]