WFRD - Chevron's Venezuela license renewed under same restrictions

The U.S. Treasury Department on Friday officially renewed Chevron's (NYSE:CVX) license to operate in Venezuela through November despite U.S. sanctions, although without the expanded terms the company had sought, Reuters reports. The renewed license allows the company to conduct "transactions and activities necessary for safety or the preservation of assets in Venezuela." The license also authorizes oilfield service companies Halliburton (HAL), Schlumberger (SLB), Baker Hughes (BKR) and Weatherford (WFRD) to maintain assets in Venezuela. Chevron (CVX) had sought to expand its license, mainly to receive billions of dollars of pending debt by trading cargoes of Venezuelan oil, and gain some control of its joint ventures with Venezuela's PDVSA. Chevron (CVX) "has the financial wherewithal to ensure the dividend will remain intact and most likely be increased Y/Y," David Alton Clark writes in a bullish analysis newly posted on Seeking Alpha.

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Chevron's Venezuela license renewed under same restrictions