WASHINGTON, March 6 (Reuters) -

The U.S. Treasury Department has extended to early July a

license that protects Venezuela-owned refiner Citgo Petroleum

from creditors, a notice posted on the department's website on

Thursday showed.

The move followed termination by President Donald

Trump's administration of a key license to Chevron ( CVX ) to

operate in Venezuela.

Venezuela's opposition has asked the U.S. to maintain

protection of Citgo, the crown jewel of the South American

country's assets overseas, as a U.S. court progresses this year

in an auction of its parent's shares to pay creditors.

The Treasury's Office of Foreign Assets Control must

greenlight any new owners of the shares once the auction is

completed. These owners would ultimately operate Citgo's

facilities.

Venezuelan opposition leaders also asked Trump's

administration to cut any financing to President Nicolas Maduro,

whose two re-elections Washington does not recognize. That led

to cancellation this month of an authorization that has allowed

Chevron ( CVX ) to export Venezuelan crude since 2022.

The new license, which supersedes a previous

authorization issued in early November, puts on hold until July

3 all transactions related to a bond maturing in 2020 issued by

Citgo's ultimate parent, Caracas-headquartered PDVSA.

PDVSA defaulted on that and other bonds, prompting many

holders to claim compensation in U.S. courts, going after Citgo

and related companies based in the U.S.

Maduro and his government have accused the U.S. of trying to

"steal" Citgo. Washington has not recognized his re-elections

since 2018, leading to oil sanctions on the country in the last

six years.