On June 18, 2026, the US Department of the Treasury’s Office of Foreign Assets Control (“OFAC”) issued three Venezuela-related general licenses and amended FAQ 595. The most notable development is new General License 59 (“GL 59”), which authorizes certain aircraft safety-related activities for Venezuelan Specially Designated National airline, Conviasa.
OFAC also reissued its telecommunications and mail authorization as General License 24A (“GL 24A”), again delayed the effectiveness of the PdVSA 2020 bond authorization through General License 5X (“GL 5X”), and amended related FAQ 595 accordingly.
GL 59 authorizes limited aircraft-related support involving Conviasa
GL 59 permits transactions otherwise prohibited by Executive Order 13884 involving Consorcio Venezolano de Industrias Aeronáuticas y Servicios Aéreos, S.A. (“Conviasa”), entities 50 percent or more owned by Conviasa, and aircraft in which Conviasa or such entities have an interest, where those transactions are ordinarily incident and necessary to the provision from the United States or by a US person of goods, technology, software, or services for the maintenance, repair, upgrade, refurbishment, improvement, safety, or airworthiness of those aircraft.
The authorization also extends to related supporting transactions, including payment processing, shipping and logistics, customs clearance, delivery, software updates, inspection and testing, technical support, and the supply or replacement of parts and components, provided those activities are tied to aircraft maintenance, repair, upgrade, safety, or airworthiness. GL 59 also authorizes dealings with the Government of Venezuela that are ordinarily incident and necessary to those aircraft-related activities. (Note also overlap with existing General License 30B authorizing transactions ordinarily incident and necessary to operations or use of airports in Venezuela.)
GL 59 contains a number of significant limitations. The license does not authorize, among other things, certain non-commercially reasonable payment structures (including certain debt swaps, payments in gold, or transactions involving Venezuelan government-issued digital assets such as the petro), transactions involving specified Russia-, Iran-, North Korea-, or Cuba-related persons, certain transactions involving China-related ownership or joint venture structures, the unblocking of property blocked under the Venezuela Sanctions Regulations, or transactions involving military or intelligence activities. Other prohibitions under the Venezuela Sanctions Regulations continue to apply unless separately authorized, and compliance with other applicable US regulatory regimes (including Bureau of Industry and Security export licensing requirements) is unaffected.
For aviation, MRO (maintenance, repair, and overhaul), and related service providers, GL 59 opens a narrow but potentially meaningful authorization channel focused on Conviasa aircraft safety and airworthiness, while preserving a significant set of guardrails that will continue to require careful transaction-level analysis.
GL 24A reissues and slightly expands telecommunications and mail authorizations
GL 24A replaces and supersedes prior General License 24 and largely maintains the existing authorization for transactions involving the Government of Venezuela that are incident to the receipt and transmission of telecommunications.
The principal change relates to mail and package services. While the prior general license covered mail and packages between the United States and Venezuela, GL 24A expands that authorization to cover transactions of common carriers involving the Government of Venezuela that are incident to the receipt or transmission of mail and packages to, from, or within Venezuela.
Although this revision is relatively narrow, it incrementally broadens the scope of the existing authorization and may be relevant for logistics providers transporting mail and packages to, from, or within Venezuela.
GL 5X again delays the PdVSA 2020 bond authorization
GL 5X continues OFAC’s long-running practice of delaying the effectiveness of the authorization relating to the Petróleos de Venezuela, S.A. (“PdVSA”) 2020 8.5 percent bond. Under GL 5X, transactions related to, the provision of financing for, and other dealings in the bond are authorized on or after August 4, 2026, and not before that date. GL 5W, issued May 4, 2026, is replaced and superseded as of June 18, 2026.
This reissuance is best understood as a continuation of OFAC’s practice of repeatedly postponing the effective date of this authorization. For additional background on this sequence of extensions, see our prior post here.
FAQ 595 reflects the continued delay and its practical effect
OFAC amended FAQ 595 to reflect the issuance of GL 5X and the new delayed effective date. The updated FAQ continues to emphasize that, between October 24, 2019 and August 4, 2026, there is no authorization in effect for transactions that would otherwise require a license under subsection 1(a)(iii) of Executive Order 13835 in connection with the PdVSA 2020 8.5 percent bond. As a result, transactions relating to the sale or transfer of CITGO shares pledged as collateral for that bond remain prohibited during that period unless specifically authorized by OFAC. The FAQ also reiterates that, if parties reach an agreement to restructure or refinance payments due to bondholders, additional licensing requirements may apply, and OFAC would encourage parties to seek specific authorization, indicating a favorable licensing posture toward such arrangements.
