New Venezuela Sanctions Regulations: Understanding the Recent OFAC General Licenses
Estimated reading time: 3–5 minutes
The Department of the Treasury’s Office of Foreign Assets Control (OFAC) has issued new General Licenses under the Venezuela Sanctions Regulations. These licenses are numbered 47, 48, 49, and 50. They were initially released on the OFAC website and are now published in the Federal Register. Let’s break down what each of these licenses means.
General License No. 47
GL 47 was issued on February 3, 2026. It allows certain transactions that are usually not allowed due to the Venezuela Sanctions. These transactions must be linked to selling U.S.-origin diluents to Venezuela. This includes businesses like Petróleos de Venezuela, S.A. (PdVSA) and others it owns.
The transactions must be essential and usual for sales, storage, and transport of these diluents. Contracts must state that U.S. laws govern them and any issues resolved in the U.S. However, this license does not allow unusual payment terms, exchanges in gold, or using digital currency.
General License No. 48
Issued on February 10, 2026, GL 48 permits supplying specific items and services to Venezuela for oil and gas exploration. Like GL 47, any contracts must adhere to U.S. laws and resolve disputes within the United States.
This license does not permit using digital currency or involve people or companies from countries like Russia, Iran, or China. Additionally, it prohibits forming new joint ventures in Venezuela related to oil or gas.
General License No. 49
GL 49, issued on February 13, 2026, allows negotiations and forming conditional contracts for investments in Venezuela’s oil and gas sectors. These contracts must be pending until authorized separately by OFAC.
This license doesn’t unblock any assets frozen under the Venezuela Sanctions Regulations and does not involve entities from certain countries such as North Korea or Cuba.
General License No. 50
Also dated February 13, 2026, GL 50 permits transactions related to oil and gas operations by specific companies listed in its annex. The companies include BP PLC, Chevron Corporation, and others.
Contracts must reflect U.S. legal jurisdiction, with payment conditions following Executive Order 14373. The license doesn’t permit unusual payments or involve various specified countries.
Reporting and Compliance
All entities engaging in activities under these licenses must report detailed transaction information to OFAC within specified time frames. It’s important to follow all necessary federal agency requirements, including the Department of Commerce’s rules.
Conclusion
The OFAC General Licenses provide structured pathways for engaging in specific economic activities with Venezuela. Interested parties must comply with the detailed requirements of each license.
For more information, visit the OFAC website at https://ofac.treasury.gov.
Legal Disclaimer
This article includes content collected from the Federal Register (federalregister.gov). The content is not an official government publication. This article is for informational purposes only and does not constitute legal advice. For case-specific consultation, please contact us. Read our full Legal Disclaimer, which also includes information on translation accuracy.
