Eni said on Monday that it restarted shipments of Venezuelan crude in April as payment-in-kind tied to gas output in the country, a step intended to recover longstanding receivables owed by Caracas.
The arrangement arises from a deal signed in March between state-owned Petr leos de Venezuela (PDVSA) and Cardon IV, the joint venture equally owned by Eni and Spain's Repsol that markets gas from the Perla field. Under the terms of that agreement, Eni said, payments for gas sales are to be made in kind rather than in cash. The company confirmed that the first shipment of Venezuelan-origin crude under the arrangement was lifted in April.
Eni provided the detail in written answers to questions it received ahead of its annual shareholder meeting scheduled for May 6. The company described the resumption of crude lifting as a mechanism to recover receivables that have accrued over time in Venezuela.
According to Eni, the resumption of oil cargo lifts is enabled by a changed regulatory environment. The company said U.S. sanctions on Venezuela have been gradually eased since January through a series of general licences issued by the U.S. Treasury's Office of Foreign Assets Control. Eni said that this evolution in the regulatory framework allows it to continue operating in Venezuela and said it will, over the medium term, assess the possibility of strengthening its activities there.
Eni's annual report states that PDVSA owed the Italian energy group about $3.3 billion at the end of last year, with roughly $1 billion of that total accounted for by accrued interest. In the company's balance sheet, Eni recorded a recoverable value for the receivables tied to its Venezuelan operations of 80 million at the end of 2025.
Eni framed the crude lifts as a practical step to convert arrears into physical cargo that can be monetised, while noting that broader operational and strategic choices in Venezuela will be assessed within the constraints of the current regulatory permissions.
Summary
Eni has begun lifting Venezuelan crude in April as part of a payment-in-kind arrangement tied to gas sales from the Perla field via the Cardon IV joint venture with Repsol. The move, disclosed ahead of Eni's May 6 shareholder meeting, is intended to recover receivables from PDVSA. Changes in U.S. regulatory licensing since January have permitted Eni to resume these activities and to consider a potential medium-term strengthening of its presence in Venezuela. At the end of last year, PDVSA owed Eni about $3.3 billion, including approximately $1 billion in accrued interest, while Eni's balance sheet shows a recoverable value of 80 million for Venezuelan receivables at the end of 2025.
Key points
- Eni lifted its first Venezuelan-origin crude cargo in April as payment-in-kind for gas produced by the Cardon IV joint venture.
- The Cardon IV JV is equally owned by Eni and Repsol and produces gas from the Perla field; the March agreement specifies in-kind settlement for gas sales.
- The decision follows a gradual easing of U.S. sanctions since January through general licences from the Office of Foreign Assets Control, allowing Eni to maintain Venezuelan operations and to evaluate medium-term expansion.
Risks and uncertainties
- Regulatory risk - Continued operations and any expansion in Venezuela depend on the prevailing U.S. licensing regime issued by the Office of Foreign Assets Control.
- Credit and recoverability risk - Although Eni recorded a recoverable value of 80 million for Venezuelan receivables at the end of 2025, the company was owed about $3.3 billion by PDVSA at the end of last year, including roughly $1 billion in accrued interest, posing uncertainty over full recovery.