U.S. Lawmaker Questions Vitol, Trafigura on Venezuela Oil Deals

• Garcia requested all communications between Vitol CEO Russell Hardy and Trafigura CEO Richard Holtum with Trump administration officials from January of the previous year to present
• U.S. forces captured Venezuela's President Nicolas Maduro earlier this month, with the Trump administration taking control of the country's oil sales indefinitely
• A dozen House Democrats previously sent letters to 21 companies, including Vitol and Trafigura, who attended a January 9 White House meeting about Venezuelan oil development, warning of legal and financial risks

Summary

U.S. Representative Robert Garcia, the top Democrat on a House investigative committee, has requested all communications between global trading firms Vitol and Trafigura and the Trump administration from January 2025 to present. The inquiry focuses on correspondence preceding the U.S. capture of Venezuelan President Nicolas Maduro earlier this month.

Key Developments:

The Trump administration is now managing Venezuela's oil sales "indefinitely" following Maduro's capture. Vitol and Trafigura have reportedly obtained the first U.S. licenses to load and export Venezuelan crude. Both companies attended a January 9 White House meeting about developing Venezuelan oil resources.

Political Context:

Garcia's investigation aims to determine who benefits from the Venezuela action and understand the nature of any agreements between these trading houses and the administration regarding Venezuelan commodities. Democrats do not currently control the House, and Republicans face midterm elections in November, giving this oversight effort added political significance.

On Wednesday, a dozen House Democrats sent letters to 21 companies who attended the White House meeting, warning of legal and financial risks associated with Venezuelan oil transactions and investments.

Market Implications:

The situation creates uncertainty around Venezuelan oil exports and raises questions about revenue distribution. The involvement of major global trading houses Vitol and Trafigura signals potential significant changes in Venezuelan oil flow to international markets. Neither company has commented on Garcia's request.

The investigation highlights the intersection of geopolitics, energy markets, and U.S. domestic politics as the administration restructures Venezuela's oil sector management.