Chevron CEO Reportedly Seeks Trump’s Support For Venezuela Exit Extension - Chevron (NYSE:CVX)

In the wake of the Trump administration’s decision to revoke Chevron Corp. CVX license to operate in Venezuela, CEO Mike Wirth is seeking an extension to wind down the company’s operations in the country.

What Happened: Wirth has been engaging with Trump’s cabinet members, including Secretary of State Marco Rubio and Treasury Secretary Scott Bessent. The CEO also had a meeting with President Donald Trump at an event for energy executives hosted by the American Petroleum Institute, as per a Wall Street Journal report.

Wirth’s request has met with opposition from cabinet members who disapprove of Venezuelan leader Nicolás Maduro. Wirth cautioned Rubio in a call that Chevron’s exit could pave the way for China and other U.S. rivals to expand their influence in Venezuela.

Despite this, Rubio, a staunch critic of Maduro, maintained that Chevron should comply with the Trump administration’s April 3 deadline to halt operations. Wirth has requested an extension of no less than 60 days past the deadline.

The State Department acknowledged the call with Wirth but refrained from further comments, stated WSJ.

Why It Matters: This development follows the Trump administration’s decision to terminate an oil agreement with Venezuela, revoking a license previously granted to Chevron by former President Joe Biden.

Trump announced the cancellation of Chevron's Venezuela operations due to the lack of progress on electoral reforms and migrant returns by Venezuelan President Nicolas Maduro. The oil giant was given the license to operate in Venezuela's oil sector on November 26, 2022. The current situation underscores the geopolitical complexities that multinational corporations like Chevron have to navigate.

Chevron produces about 25% of Venezuela's oil and exports around a third of it, using part of the revenue to recover debts. The oil is refined in the U.S. for various products. Chevron argues that leaving Venezuela could destabilize the economy and increase migration.

Chevron stock climbed 2% to close at $164.05 on Wednesday.

Chevron holds a momentum rating of 72.28% and a growth rating of 31.20%, according to Benzinga’s Proprietary Edge Rankings. The Benzinga Growth metric evaluates a stock's historical earnings and revenue expansion across multiple timeframes, prioritizing both long-term trends and recent performance. For an in-depth report on more stocks and insights into growth opportunities, sign up for Benzinga Edge.