Venezuela’s Oil Exports Increase Despite Shipping Delays
Venezuela’s Oil Export Situation
Venezuela’s oil exports saw a slight uptick in February, reaching around 670,000 barrels per day. However, persistent shipping delays have exacerbated the issue of tankers waiting to load, as per documents and vessel tracking data.
Client Rush for Crude Pick-Up
PDVSA’s clients rushed to dispatch tankers to Venezuela in recent months to collect crude and fuel before potential US oil sanctions are reinstated. The existing license is set to expire on April 18, with PDVSA struggling to meet delivery deadlines.
Export Figures and Challenges
Despite increased deliveries to clients like Chevron and Reliance Industries, Venezuela faced challenges like weak output and shortage of diluents, preventing a significant rise in total exports. Notably, Chevron’s crude shipments to the US surged, while deliveries to Cuba and other Caribbean islands also saw slight increases.
Operational Hurdles and Recovery
The Jose terminal faced issues with power outages and slow oil blending in January, affecting loadings. However, with most crude upgraders and blending stations back in service, higher exports are anticipated in March. Despite this, some tankers bound for Asia departed Venezuelan ports without loading after prolonged waits.
Inventory and Import Constraints
Insufficient inventories of flagship Merey 16 crude and a lack of imported diluents at the Jose port hindered PDVSA from meeting spot supply deals. Additionally, fuel imports to Venezuela rose in February, highlighting ongoing challenges in the oil sector.
Situation at Ports and Future Prospects
As of late February, a significant number of supertankers were waiting to load near the Jose and Amuay ports, creating a bottleneck. While the Jose terminal has made progress in resolving operational issues, the situation remains complex. The coming months will be crucial for Venezuela’s oil export landscape.
