Venezuela's oil exports drop by 20% after Chevron cancels cargo
Ship tracking data and documents show that Venezuelan oil exports dropped by almost 20% in April to 700,000 barrels a day (bpd), the lowest level for nine months. This was due to cargo cancellations from U.S. producer Chevron, which forced ships to return to port and left some empty ports.
PDVSA, Venezuela's state company, suspended last month most of the loading window it had assigned Chevron. It also ordered the return of certain oil cargoes headed for the U.S. due to payment uncertainty relating to U.S. sanction enforcement.
Chevron missed a deadline set by the U.S. Treasury Department on May 27, to end oil operations in the OPEC nation and stop exports. The country has been subject to U.S. sanctions for energy since 2019.
According to LSEG vessel tracking data, 32 vessels left Venezuelan waters in the last month. They carried an average of 698.767 bpd crude, fuel, and oil byproducts.
Data and documents revealed that the main destination for Venezuela's oil exports is China, with 428,000 barrels per day, followed by America with 138,000 barrels per day and India with 64200 barrels per day.
Chevron's Venezuelan crude exports to the U.S. fell 69%, to 66,000 barrels per day. This was due to PDVSA measures.
Other customers of the company include France's Maurel & Prom and U.S. Global Oil Terminals, India's Reliance and other customers of the state company have increased their purchases of Venezuelan crude oil and byproducts in advance of May 27.
Venezuelan imports of heavy naphthalene increased to 94,000 bpd from 82,000 in March as part of an oil swap with these companies. This allowed PDVSA to store more diluents to dilute its extra-heavy crudes.
PDVSA has not responded to our request for a comment. Venezuela's oil minister Delcy Rodriguez visited China this month to discuss the oil business.
According to a document, the company halted Petropiar (operated with Chevron) between late March and April to change the facility's production, as part of its strategy to refine more locally.
PDVSA also inaugurated the loading of Blend 22 crude oil for export in April, with the first shipment bound for the U.S.
Venezuela's government rejected President Donald Trump’s toughening sanctions against the South American nation, saying that the measures amounted to "economic warfare".
(source: Reuters)
