A Chevron-chartered vessel has begun the process of returning a cargo of approximately 300,000 barrels of Venezuelan oil, marking a significant development in the ongoing complexities surrounding oil exports in the region. According to shipping data and an anonymous source, the Marshall Islands-flagged ship, named Dubai Attraction, docked at the Amuay terminal in Venezuela on Thursday to discharge its cargo. This move aligns with an order from the state oil company PDVSA to return the crude, a directive that emerged amidst uncertainties related to U.S. sanctions affecting payment processes.
Venezuela’s Vice President and Oil Minister, Delcy Rodriguez, has pointed fingers at U.S. sanctions, asserting that these measures have obstructed Chevron’s ability to fulfill payment obligations for the oil. The impact of these restrictions has been significant; Venezuela’s oil exports saw a nearly 20% decrease in April, plummeting to 700,000 barrels per day, the lowest figure recorded in nine months. Moreover, Chevron’s exports of Venezuelan crude to the United States experienced a staggering 69% drop, averaging around 66,000 barrels per day.
Some tankers that Chevron had originally chartered for transporting Venezuelan crude to the U.S. have been redeployed on the spot market, indicating a shift in strategy. This suggests that Chevron may not anticipate loading its full capacity of cargoes from Venezuela unless a resolution with PDVSA is achieved. The challenges intensified following a decision by the Trump administration in March to revoke a license granted in 2022 by the U.S. Treasury to allow Chevron operations in Venezuela.
Companies associated with PDVSA, such as Eni, Repsol, Maurel & Prom, and Reliance Industries, have similarly been instructed to wind down their oil cargoes by a set deadline. Meanwhile, trading house Vitol has reportedly continued its operations without interruption, illustrating the varied impacts of the sanctions in the oil market.