US extends sanctions waivers for Citgo

The US today extended certain sanctions exemptions by more than a year for Venezuelan-controlled US independent refiner Citgo.

A general license allowing the 750,000 b/d refiner with three US facilities and its holding company to operate will last 18 months and renew monthly, following a modification published today by the Treasury Department's Office of Foreign Asset Control. The authorization was originally set to expire on 27 July, almost six months after the US imposed sanctions on Venezuelan national oil company PdV.

"This extension will further enable ongoing operations while prohibiting any benefit from flowing back to the illegitimate Maduro regime," a Treasury Department spokesman said today.

A Citgo representative could not be immediately reached for comment.

The US imposed sanctions on 28 January blocking US sales of naphtha supplies vital to Venezuela's crude production and effectively banning the purchase of the Opec country's crude using US financial services. Payments for any crude must go to escrow accounts to be made available after President Nicolas Maduro leaves office. Most western governments recognize National Assembly leader Juan Guaido as an interim president to lead a transition government and hold new elections.

Expectations of a swift change in leadership have faded. Washington today removed the last of its diplomats in Caracas after defying a Maduro order to leave in January. State Department special Venezuela envoy Elliott Abrams warned this week that "very significant additional sanctions" were coming.