U.S. Coast Guard actions disrupt Venezuela's oil exports, stranding tankers and raising storage concerns amid buyer hesitance.
Venezuela is facing significant challenges in exporting its oil due to U.S. Coast Guard interventions on tankers in the Caribbean. Many vessels have been detained or forced to cut short their voyages.
According to data from TankerTrackers.com, the U.S. Coast Guard has seized two loaded VLCC tankers. One tanker was redirected to the Atlantic, while several others altered their routes to avoid capture. Approximately 30 tankers are currently stranded in Venezuelan territorial waters, and many tanker owners have declined to enter into new contracts for Venezuelan cargoes.
Payment concerns have arisen regarding shipments to China. Sources speaking to Reuters indicate that buyers are hesitant to approve cargoes from PDVSA due to the risk of seizure. In contrast, Chevron's exports to the U.S. are proceeding without disruption, although PDVSA's storage tanks are rapidly reaching capacity.
As a temporary measure, PDVSA is utilizing grounded foreign-flagged tankers as floating storage facilities to delay a halt in production due to insufficient storage. However, the company has not officially declared a force majeure.
Some customers are pressuring to offload their cargoes back to Venezuelan terminals to mitigate the risk of intervention, further constraining PDVSA's options.
In an effort to reassure buyers, President Nicolas Maduro announced that the Venezuelan navy would escort tankers heading to China. However, this escort only extends to the boundary of Venezuelan territorial waters, and all seizures have occurred in international waters.
The Venezuelan National Assembly has passed a law criminalizing the seizure of tankers, and officials have suggested that Maduro may consider deploying soldiers on tankers to counter U.S. interventions, potentially escalating tensions.
In response, the Pentagon has deployed the USS Gerald R. Ford super aircraft carrier along with an amphibious ready group of three ships, marking the largest naval task force in the region since the Cuban Missile Crisis.
U.S. President Donald Trump stated at a press conference that the pressure campaign is likely aimed at removing Maduro from power, suggesting that a strong response from Maduro could lead to further consequences.
Source: www.denizhaber.com
