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Secretary Rubio outlines U.S. post‑Maduro policy for Venezuela, says sanctioned oil sales will fund Venezuelan needs under oversight

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Key takeaways

  • Secretary of State Marco Rubio testified before the Senate Foreign Relations Committee on January 28, 2026, focusing on U.S. policy toward Venezuela after Maduro’s removal.
  • The U.S. established a short-term mechanism allowing quarantined/sanctioned Venezuelan oil to be sold at market prices, with proceeds deposited into an account under U.S. oversight to be spent for the benefit of the Venezuelan people.
  • Rubio described three U.S. objectives: immediate stability, a recovery phase to normalize the oil industry, and a long-term democratic, prosperous, and friendly Venezuela.
  • Venezuelan authorities passed a new hydrocarbon law that removes many Chavez-era restrictions on private investment in the oil sector, a step Rubio called significant though not sufficient.
  • The administration says Venezuela has begun releasing political prisoners (estimates cited ‘up to 2,000’) and that released individuals are starting to participate in political life.
  • Rubio noted the U.S. is supplying diluent (light crude needed to process Venezuela’s heavy crude), replacing a source that had previously come from Russia.

Follow Up Questions

What does Rubio mean by "sanctions on oil" and how does a "quarantine" work in practice?Expand

Rubio means U.S. oil sanctions that block or restrict Venezuela’s crude exports and related transactions; the "quarantine" is the operational enforcement of those sanctions—preventing sanctioned cargo from being delivered or financially settled unless approved by the U.S. (examples include boarding/seizing tankers, blocking normal banking routes, and allowing narrowly licensed sales). Under the quarantine, the U.S. can authorize specific sales only if proceeds are handled through U.S.-supervised channels.

How will the oversight account for oil proceeds be administered and audited to ensure funds go to Venezuelan public needs?Expand

Administration: the Treasury will hold proceeds in designated U.S. custodial accounts ("Foreign Government Deposit Funds"); the Secretary of State will direct how funds may be spent and the Treasury executes those instructions. Process: Venezuelan authorities submit monthly budgets; the U.S. limits prohibited uses and can require purchases (e.g., medicine, diluent) and phased disbursements. Oversight/audit: the EO requires Treasury (in consultation with State and DOJ) to manage the accounts and report to Congress, but detailed public audit procedures or third‑party auditing arrangements have not been fully disclosed.

Who are the groups or institutions that "control the elements" of Venezuela today (law enforcement, military, regional leaders)?Expand

"The elements" refers to Venezuela’s security and governing institutions that hold practical power today: the Bolivarian National Armed Forces (including the National Guard), national law‑enforcement/security services, senior managers of state oil company PDVSA and oil infrastructure custodians, and influential regional officials and pro‑government groups (including armed colectivos/paramilitary actors).

What is "diluent" and why is it necessary to process and move Venezuela’s heavy crude?Expand

Diluent is a light oil or solvent blended into Venezuela’s very heavy crude (extra‑heavy or bitumen‑like) to reduce viscosity so it can flow through pipelines, be pumped into tankers, and run through refineries; without diluent, Venezuela’s heavy grades cannot be exported or processed effectively.

What specific changes are in the new hydrocarbon law and how might they affect foreign or private investment?Expand

The new hydrocarbon law reportedly removes many Chavez‑era limits on private and foreign participation in the oil sector (easing restrictions on joint ventures, production-sharing and private investment), intended to attract capital and technical partners; officials say it’s a significant step but may not be sufficient to overcome years of underinvestment and legal/contractual uncertainties—investment will depend on implementation, contract terms, and guarantees against past expropriation claims.

What exactly happened to Nicolás Maduro — was he removed by force, arrested, or did he leave office through another process?Expand

Public U.S. statements (including Rubio’s testimony and government briefings) say Maduro was removed from power during the recent operation referenced; publicly available official remarks describe "the removal of Maduro" but do not provide detailed legal or criminal-status language in that statement. Independent reporting indicates Maduro lost control and U.S. forces/partners interdicted key oil shipments and moved to enforce sanctions; definitive, court‑documented arrest/charge details have not been published in the sources cited here.

What measures will the U.S. and partners use to ensure future Venezuelan elections are free and fair?Expand

The U.S. and partners plan a mix of measures: (1) conditional licensing and sanctions enforcement (allowing sales only through supervised mechanisms); (2) requirements for transparent disbursement of oil proceeds and U.S. oversight of those accounts; (3) support for electoral reforms and international monitoring (observers, technical assistance); and (4) incremental political opening (release of political prisoners, media access). Precise election‑conditioning details (timelines, observer teams, guarantees) have not been fully published.

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