OFAC issues GL 5X and GL 5Y authorizing PDVSA bond transactions
The new general licenses, effective Aug. 4 and Sept. 17, 2026, permit authorized parties to conduct transactions involving PDVSA's 2020 8.5% bond.
The Treasury Department's Office of Foreign Assets Control (OFAC) published General License 5X and General License 5Y, each superseding a prior license under the Venezuela Sanctions Regulations, 31 CFR part 591. GL 5X replaces GL 5W and becomes effective on August 4, 2026; GL 5Y replaces GL 5X and becomes effective on September 17, 2026.
GL 5X, issued on June 18, 2026, authorizes all transactions related to, the provision of financing for, and other dealings in the Petróleos de Venezuela, S.A. 2020 8.5 Percent Bond that would otherwise be prohibited by subsection l(a)(iii) of Executive Order 13835, as amended by Executive Order 13857. The license expressly supersedes GL 5W, dated May 4, 2026, and is signed by Deputy Director Lisa M. Palluconi.
GL 5Y, issued on August 3, 2026, provides the same authorization for the same bond but applies to transactions on or after September 17, 2026. It supersedes GL 5X in its entirety and is signed by Director Bradley T. Smith.
Both licenses contain a paragraph stating that they do not authorize any transactions or activities otherwise prohibited by the Venezuela Sanctions Regulations or any other part of 31 CFR chapter V.
The notice appears in the Federal Register, volume 91, number 183, page 60304, as FR Doc 2026-19422, filed September 22, 2026. Further information is available on OFAC's website.
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