US authorities have revoked Spanish oil company Repsol's licence to export oil from Venezuela, a company spokesperson confirmed on March 31. The widely expected move follows February's axing of Chevron's licence. Similar notifications have been delivered by the Office of Foreign Assets Control (OFAC) to France's Maurel et Prom and Italy's Eni, ramping up the pressure on Venezuela's key energy sector.

These ad-hoc licences were granted last year by the Biden administration after the expiration of a six-month blanket sanctions waiver, which failed to coax Venezuelan President Nicolas Maduro into organising free and fair elections.

Spain's Foreign Minister Jose Manuel Albares responded cautiously to the development, telling TV channel Tele 5: “I had contacts with (Repsol's) CEO, and we are analysing the decision and talking about it.” He advocated for a measured approach, adding, “We should not rush at this moment until we know the details about the decision, what it means and how it could affect and the margin there is for dialogue to solve the issue.”

Despite this setback, Repsol CEO Josu Jon Imaz expressed determination to maintain operations in Venezuela. “We are in direct contact with the American authorities, and we are going to see if we are able to find mechanisms that may allow us to continue with our activity in this country,” Imaz stated at the "Wake Up Spain" business event in Madrid, as quoted by AFP. The company currently produces approximately 65,000 barrels of crude oil per day in Venezuela.

Maurel et Prom disclosed that the US Treasury Department has granted it a "wind-down" licence to conclude operations by May 27, while Eni confirmed it could no longer be repaid for gas production through oil supplies from Venezuelan state oil company PDVSA. "Eni continues its transparent engagement with US authorities on the matter to identify options for ensuring that non-sanctioned gas supplies, essential to the population, can be remunerated by PDVSA," the company was quoted by Reuters as announcing. “Eni always operates in full compliance with the international sanctions framework.”

This escalation in sanctions comes amid heightened tensions between Washington and Caracas, with US President Donald Trump recently announcing 25-per-cent secondary tariffs on imports from countries buying Venezuelan oil and gas. Venezuelan President Nicolas Maduro has criticised these measures as part of an “economic war” against his country, AFP noted.

"Venezuela will continue to fulfill contracts with international oil companies whose US licences were revoked by the Trump administration," stated Executive Vice President Delcy Rodríguez, reacting to the slew of terminations. In a Telegram message on March 31, Rodríguez said the country was prepared for this situation and emphasised that international companies do not require authorisation from any foreign government as the country does not recognise extraterritorial jurisdiction.

The coordinated revocation of operating licences for European energy companies signals a rise in US hostility towards cash-strapped Venezuela, potentially isolating the country further while dealing a blow to European energy interests in the region.