The U.S. plans to target and “aggressively” enforce measures against shipping companies across the globe that violate U.S. sanctions, a top State Department official said, according to a Nov. 6 Reuters report. David Peyman, deputy assistant secretary of state for counter threat finance and sanctions, told reporters in London that ships are being used as a “key artery to evade sanctions,” according to Reuters. “If behavior doesn’t change, notwithstanding our very frank conversations and clear messages, then we do look toward fully and aggressively and consistently enforcing U.S. sanctions across the board as a means to change behavior of bad actors,” he said.
The Treasury’s Office of Foreign Assets Control amended and issued Venezuela-related general licenses and revoked two Turkey general licenses, according to a Nov. 5 notice. OFAC also published new and amended frequently asked questions to explain the Venezuela-related licenses.
The Treasury’s Office of Foreign Assets Control extended the expiration dates of two Ukraine General Licenses and expanded an authorization for certain activities, OFAC said in a Nov. 1 notice. General License No. 13M and No. 15G, replacing No. 13L and No. 15F, respectively, extend the expiration date of authorized transactions necessary to the wind-down of operations with GAZ Group until March 31, 2020. No. 15G also expands authorizations for certain “safety-related activity” and introduces a new authorization for “certain activities to comply with environmental regulatory requirements,” OFAC said.
The Treasury’s Office of Foreign Assets Control amended a Venezuela-related general license, OFAC said in an Oct. 24 notice. General License No. 5A, replacing No. 5, authorizes certain transactions with certain bonds related to Petróleos de Venezuela, the country’s state-run oil company. OFAC also issued a Frequently Asked Question (No. 595) explaining that the license contains “a delay in effectiveness until January 22, 2020.”
The Treasury’s Office of Foreign Assets Control issued a general license to allow certain transactions with COSCO Shipping Tanker (Dalian) Co. -- a subsidiary of COSCO Shipping Corporation -- until Dec. 20, OFAC said in an Oct. 24 notice. General License K allows transactions that are necessary to the “maintenance or wind down” of transactions with COSCO Shipping Tanker (Dalian) and any entity it owns by more than 50 percent. The license does not authorize transactions with COSCO Shipping Tanker (Dalian) Seaman and Ship Management Co.
The Treasury’s Office of Foreign Assets Control extended the expiration date of a Belarus-related general license, OFAC said in a notice. General License No. 2G, replacing No. 2F, authorizes certain transactions with nine Belarusian entities until April 26, 2021.
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Venezuela’s oil production will continue to drastically decline in 2020 if Nicolas Maduro stays in power, potentially crippling future Venezuelan oil trade, said Alejandro Grisanti, director of the ad hoc board for Petroleos de Venezuela set up by opposition party leader Juan Guaido. Speaking during an Oct. 22 Atlantic Council panel, Grisanti said Venezuela’s oil production will fall to 450,000 barrels per day in 2020 if Maduro stays in power. The country’s oil production has fallen from 1.5 million to about 750,000 barrels per day this year due to U.S. sanctions, Grisanti said.
The Treasury’s Office of Foreign Assets Control issued a Venezuela-related general license extending certain permitted transactions with Petroleos de Venezuela, Venezuela’s state-owned oil company, according to an Oct. 21 OFAC notice. General License No. 8D, which replaces No. 8C, authorizes certain transactions by Chevron Corp., Haliburton, Schlumberger Limited, Baker Hughes and Weatherford International until Jan. 22, 2020.
The Treasury’s Office of Foreign Assets Control renewed a general license that authorizes certain transactions with Nynas AB, a joint venture between biofuel producer Neste and Petroleos de Venezuela, Venezuela's state-run oil company. General License No. 13D, which replaces No. 13C, authorizes transactions with Nynas AB and any of its subsidiaries until April 14, 2020. The license was scheduled to expire Oct. 25.