12:45 PM EDT, 05/16/2024 (MT Newswires) -- The US is looking to give oil licenses to certain companies operating in Venezuela, prioritizing them over those seeking to enter the country for the first time, Reuters reported Thursday, citing unnamed people close to the discussions.

The plan might support companies like Eni (E) that have projects frozen because of US sanctions and enable them to expand operations and recover debt. The move will however limit licensing firms with no prior investments in Venezuela, the report said.

Certain companies, including Chevron ( CVX ) , that have oil production and assets in Venezuela are already authorized to expand production in the country, Bloomberg reported.

The news follows the US Treasury Department's announcement last month it would offer some individual authorizations to companies to operate in Venezuela after it did not renew a license that had made it easier for companies to trade oil and gas with Venezuela.

Treasury "generally relies on foreign policy guidance from the US Department of State and takes into consideration the national security interests of the US," a Treasury spokesperson was quoted as saying.

Chevron ( CVX ), Eni, the Treasury Department, and State Department did not immediately respond to MT Newswires' requests for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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