The issuance of the new General License 48D (GL 48D) by the Office of Foreign Assets Control (OFAC) expands authorizations for persons and companies subject to U.S. jurisdiction to engage in activities related to the exploration, development, and production of oil and gas, as well as petrochemical and power sector projects in Venezuela. The license also permits ancillary activities necessary for these operations, including logistics services, maritime transport, insurance, maintenance, and payment processing linked to such projects.
Among the most significant aspects is the explicit inclusion of petrochemical products and fertilizers—such as ammonia, urea, methanol, and other strategic raw materials—which could facilitate new investments and the reactivation of industrial projects linked to the Venezuelan energy sector. However, the license imposes specific conditions, including a requirement that dispute resolution mechanisms in contracts with PDVSA or the Government of Venezuela be subject to specific international jurisdictions, as well as strict periodic reporting requirements to U.S. authorities.
While GL 48D represents a significant easing of the sanctions regime applicable to Venezuela, major restrictions remain in effect—including those concerning operations involving certain sanctioned jurisdictions, cryptocurrency transactions, or debt-swap schemes, as well as prohibitions on specific activities expressly excluded from the authorization. Consequently, any company interested in capitalizing on the opportunities arising from this license must implement rigorous regulatory and sanctions compliance controls before commencing operations.
