Letter from South America: Washington softens Caracas stance

Trinidad & Tobago’s position as a Caribbean gas hub seems more secure following US permission for it to access Venezuela’s Dragon field

The US Treasury’s announcement that Trinidad & Tobago may access gas produced from Venezuela’s Dragon field is a significant departure from the position of the previous administration, which had levied heavy sanctions on the Venezuelan hydrocarbons industry. Several important details remain unclarified, including if Venezuelan state-owned Pdvsa or the Venezuelan government would be able to receive any payment for the production. Sources within the Biden administration have said cash payments to the Maduro regime will not be permitted under the new licence, which potentially calls into question why the Chavistas would want to participate in the first place. Deft negotiation skills will be