November 17, 2020

OFAC issues Venezuela-related general license 8G to extend the wind down deadline for certain companies

On November 17, 2020, the US Department of Treasury’s Office of Foreign Asset Control issued General License 8G, pursuant to the Venezuela Sanctions Regulations (VSR), 31 C.F.R. Part 591, to enable five oilfield service companies to wind down operations in Venezuela that involve Petróleos de Venezuela, S.A. (PdVSA).  General License 8G replaces General License 8F, effectively extending the deadline for wind down operations from December 1, 2020 (under GL 8F) to June 3, 2021.  Similar to GL 8F, the new general license allows five named companies to engage in transactions otherwise prohibited by Executive Order 13850 or Executive Order 13884 for operations, contracts, or other agreements involving PdVSA or an entity controlled by PdVSA underway prior to July 26, 2019 only to the extent they are (1) for safety or the preservation of assets in Venezuela, or (2) are ordinarily incident and necessary to the wind down of those operations, contracts, or other agreements.

OFAC Recent Action | General License 8G