US Venezuela Move: Limited Threat to North American Oil, Says Fitch

A major credit rating agency says recent US actions in Venezuela are unlikely to hurt oil and gas producers in the United States and Canada. Fitch Ratings stated that the potential impact on North American energy companies appears "limited" for now. The agency monitors how geopolitical events affect business risk. The analysis follows the US government's decision to reimpose broad sanctions on Venezuela's oil industry. This reversed temporary relief granted last year. Fitch noted the US policy shift could actually help American oil companies if it eventually forces Venezuela to change its own policies. The benefit would occur if Venezuela allows more foreign investment and participation in its vast oil sector. For now, the direct financial exposure of rated US and Canadian producers to Venezuela is minimal, the agency concluded.