The issuance of a license by the United States (U.S.) administration allowing certain transactions related to gold originating from Venezuela has been an important development indicating that energy and mining policies in Latin America are being reshaped.[1] The Venezuelan economy, which has faced heavy sanctions for many years, has experienced a serious contraction in production, especially in the oil and mining sectors. Despite this, the country is regarded as a state that possesses some of the world’s richest reserves of strategic minerals such as gold, iron ore, bauxite, and coltan.[2] For this reason, the U.S. licensing decision that allows certain transactions is not only an economic regulation, but also constitutes a geoeconomic move in the context of global resource competition.
Within the scope of the license issued by the U.S. Department of the Treasury, certain limited commercial transactions with Venezuela’s state-owned mining outfit Minerven and its affiliated entities have been permitted. This authorization covers activities such as the export, purchase, transportation, and delivery to the United States of Venezuelan-origin gold. However, it has been stipulated that these transactions must be based on contracts regulated under U.S. law. At the same time, it has been stated that payments made to individuals and entities on the sanctions list must be carried out through certain fund mechanisms. In addition, transactions carried out through methods such as digital currencies or debt swap mechanisms have been kept prohibited.
One of the significant aspects of this decision is that a model of “selective” liberalization has been adopted instead of the complete removal of sanctions. While the U.S. administration allows gold trade to a certain extent, it has kept prohibited the transactions that would be carried out with countries such as China, Russia, Iran, North Korea, and Cuba, which have long-standing political relations with Venezuela. Similarly, commercial activities conducted through joint ventures involving Chinese companies have also been excluded from the scope of the license. This situation shows that Washington does not consider economic opening independently from geopolitical competition.
Venezuela’s mining potential is not limited only to gold production. The country also possesses a significant reserve area for rare earth elements and strategic minerals. The transformation experienced in the global economy in recent years has increased the demand for minerals required especially for electric vehicles, defense technologies, and high-technology production. This situation has placed resource-rich countries at the center of great power competition. For the U.S., Venezuela’s mineral reserves are seen as part of a strategy to reduce China’s dominance in the critical mineral supply chain. Indeed, it is stated that the U.S. administration has carried out official visits to Caracas to evaluate investment opportunities in the mining and energy sectors.[3]
During these visits, it was also stated that the Venezuelan administration had prepared a new mining law that would encourage foreign investment.[4] The new regulation is said to aim to reduce bureaucratic obstacles and provide security guarantees to international companies. Thus, it is intended that the country’s natural resources be included again in the production process. The issue of the security of foreign companies, especially because of illegal mining activities and armed groups seen in some regions of Venezuela, is considered an important problem. For this reason, it is expected that the state will provide security guarantees in order to improve the investment environment.
It is also noteworthy that Venezuela’s mining production currently remains well below its potential. Due to long‑standing sanctions, nationalization policies, and infrastructure deficiencies, a significant portion of production facilities are in need of modernization. In order for many facilities to resume production, comprehensive financing and technology investments are required. This situation has made the return of international companies to the country one of the fundamental conditions for economic recovery from Venezuela’s perspective. It is thought that there is short‑term potential for an increase in gold exports in particular, but that it is not possible to sustainably increase production capacity in a serious way without substantial investments.
It would be an incomplete approach to evaluate the U.S. decision to grant limited permission for Venezuelan gold trade solely as an economic development. This decision also shows that the U.S. has adopted a pragmatic approach in its Latin America policy. For many years, sanctions against Venezuela were largely used as a tool for political pressure. However, it is seen that the Washington administration has recently prioritized energy and mineral security issues. In this context, it is clear that a controlled economic opening strategy has been preferred rather than the complete removal of sanctions.
This strategy can also be described as linked to the U.S. goal of attaining a stronger position in global energy and mineral markets. In particular, China’s increasing mining investments in Africa and Latin America in recent years have led Washington to place greater importance on resource diplomacy. For this reason, the reintegration of countries with large reserves like Venezuela into the global market has been evaluated not only as an economic move but also as a strategic one.
On the other hand, this development has created important opportunities for Venezuela in terms of economic recovery. The country has long been struggling with serious economic problems such as hyperinflation, production decline, and infrastructure collapse. The revitalization of the mining sector is seen as a factor that could contribute to increased foreign exchange earnings and the partial recovery of public finances. However, debates continue over whether Venezuela’s economic transformation being dependent solely on foreign investments is sustainable in the long term.
As a result, the U.S. decision to issue a license granting limited permission for transactions involving Venezuelan‑origin gold shows that energy and mineral policies in Latin America have entered a new phase. This development reveals that sanction policies are evolving toward a selective model of economic integration rather than being completely removed. At the same time, it shows that global mineral competition is becoming increasingly decisive and that great powers are redefining their relations with countries rich in natural resources. The future of Venezuela’s mining sector will largely depend on the scale of foreign investment, infrastructure modernization, and the sustainability of political stability. Therefore, the license decision in question is evaluated not only as a commercial regulation but also as a strategic development that could affect the geoeconomic balances of Latin America.
[1] “After Official Hails Mining Potential, US Allows Some Transactions of Venezuelan Gold”, Reuters, https://www.reuters.com/business/energy/after-official-hails-mining-potential-us-allows-some-transactions-venezuelan-2026-03-06/, (Date Accessed: 08.03.2026).
[2] Ibid.
[3] Ibid.
[4] Ibid.
