HOUSTON, May 23 (Reuters) - Spain's Repsol has received a license from the U.S. Treasury Department authorizing the energy company to continue and expand its oil and gas business in Venezuela, sources close to the decision said on Thursday.

Repsol has several joint ventures with Venezuela's state oil company PDVSA to produce crude and gas in the country. The two firms recently agreed to expand one of the joint venture projects by adding two large fields.

Repsol did not immediately reply to a request for comment. The Treasury declined to comment. (Reporting by Marianna Parraga, Pietro Lombardi and Daphne Psaledakis; Editing by Gary McWilliams)