US Announces Sanctions against Venezuela’s State Oil Company

Local Editor

The United States imposed sanctions against the Venezuelan state oil company PDVSA, seizing $7 billion in assets, Treasury Secretary Steven Mnuchin said.

In its measures, the US is trying to force recognition of Juan Guaido as president in Caracas.

Munchin said that the move is “to help prevent the further diversion” of assets by “former president Maduro.”

Sanctions will be lifted upon the “expeditious transfer of control to the interim president, or the subsequently democratically elected interim government,” he added.

In addition to $7 billion in PDVSA assets in the US, the sanctions will affect $11 billion worth of exports over the coming year, according to US National Security Advisor John Bolton.

The US buys a significant amount of Venezuelan oil, but Mnuchin said the sanctions would have "modest effect" on American refineries. He added that some of the oil that's been paid for is at sea, making its way to the US, but there will be no future purchases until regime change takes effect.

Meanwhile, the fuel industry company Citgo will continue operating in the US, but all profits from its sales will have to go into a blocked account, which will only be made available to Guaido's government, the Treasury secretary explained.

Speaking in Caracas on Monday evening, Maduro called the US sanctions an attempt to “steal” Citgo from Venezuela, and announced that PDVSA will begin legal action to protect the company.

He also vowed a “symmetrical response” to US measures in the immediate future, to “protect the interests of Venezuela.”

Source: News Agencies, Edited by website team