Summary

Bars U.S. persons and U.S.-controlled entities from investing, trading, or operating in Venezuela’s energy sector — including providing goods, services, or financing to Petroleos de Venezuela, S.A. (PDVSA) and the Maduro regime — effective on enactment. The Treasury, with State, may implement the ban using authorities such as IEEPA; violations are subject to IEEPA penalties, the President may issue limited waivers, and the restrictions automatically end if Maduro recognizes the July 28, 2024 election result for Edmundo Gonzalez and leaves power or on December 31, 2027, whichever comes first. Also records congressional findings that more than 10 million Venezuelans voted on July 28, 2024, credible monitors reported opposition candidate Edmundo Gonzalez won by more than two-thirds, and that the Maduro government refused to accept the result and has arrested and abused thousands for peaceful political activity.

Key Points

• Creates a near-term statutory ban on U.S. persons and U.S.-controlled entities engaging in investment, trade, or operations in Venezuela’s energy sector.
• Specifically prohibits providing goods, services, or financing to PDVSA and the Maduro regime.
• Gives Treasury (with State) authority to implement the ban and to use IEEPA powers for enforcement.
• Violations are subject to IEEPA civil and criminal penalties; the President can grant limited waivers.
• Prohibitions take effect on enactment and end if Maduro recognizes the July 28, 2024 election result and leaves power or on Dec 31, 2027, whichever is earlier.
• Includes congressional findings on the July 28, 2024 election and documented abuses by the Maduro regime.
• Targets the Venezuelan energy sector specifically, rather than imposing a complete trade embargo.
• Could disrupt existing and prospective U.S. investments and contracts tied to Venezuela’s oil and energy activities.

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