U.S. Sanctions Against Venezuela Escalate: PdVSA Now Subject to Blocking Sanctions

30 January 2019
View Debevoise Update
Key takeaways:
  • On January 28, the U.S. government blocked the property of PdVSA, Venezuela’s state-owned oil company.
  • This is the latest in a series of escalating U.S. sanctions against Venezuela and is meant to cut off a major source of funds to the Maduro government.
  • As a result, U.S. persons — including U.S. financial institutions–generally may not deal with PdVSA or its subsidiaries.
  • Limited exceptions exist for dealings with certain PdVSA subsidiaries, including CITGO, and for winding down existing relationships with PdVSA and its subsidiaries.