|

Venezuela faces hurdles clearing 24 mln barrels oil export backlog - Reuters data

According to the latest Reuters data, Venezuela is lagging by nearly a month in shipping crude to customers from its main oil export port, in the wake of falling output levels amid the financial and economic crisis.

The delay could breach Venezuela’s state-run PDVSA’s crude supply contracts if they are not quickly cleared.

Key data via Reuters:

“Tankers waiting to load more than 24 million barrels of crude, almost as much as PDVSA shipped in April, are sitting off the country’s main oil port.

The backlog is so severe, the company has told some customers it may declare force majeure, allowing it to temporarily halt contracts if they do not accept new delivery terms.

As of June 6, more than 80 tankers were waiting in Venezuelan waters, half of them to load crude and refined products for exports.

In April, PDVSA shipped 1.49 million barrels per day (bpd) of crude and fuels to its customers, 665,000 bpd below the 2.15 million contracted.

Customers waiting for cargoes with tankers already at sea include U.S.-based Chevron Corp and Valero Energy, India’s Nayara Energy and China’s CNPC and its trading unit PetroChina.”

Author

Dhwani Mehta

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

More from Dhwani Mehta
Share:

Editor's Picks

GBP/USD trims losses, approaches 1.3500

GBP/USD adds to the multi-day negative streak, although it has managed to bounce off earlier four-week lows near 1.3470 on Wednesday. Meanwhile, Cable’s deep correction comes despite the tepid performance in the Greenback and the persistent geopolitical concerns.

EUR/USD slips back toward 1.1580 on USD recovery

EUR/USD comes under some pressure and revisits the 1.1580 region as the NA session draws to a close on Wednesday. That said, spot adds to Tuesday’s bearish performance while the Greenback is slowly gathering steam and leaving behind earlier lows.

Gold keeps the recovery in place; focus is back to $4,400

Gold continues to regain ground lost and sets its target on the $4,400 mark per troy ounce on Wednesday. The yellow metal’s rebound comes amid modest losses in the US Dollar, steady geopolitical uncertainty and mixed US Treasury yields.

Bitcoin and Gold Outlook: BTC comes under pressure, XAU rebounds amid US-Iran strikes
Bitcoin (BTC) remains neutral-to-bullish, edging lower near $77,000 support on Wednesday. The largest cryptocurrency by market capitalization has been unable to sustain a recovery after being rejected around $81,500 last Friday. Meanwhile, its downside appears broadly protected due to an established moving average cluster.
BoC recap: Risks are shifting as Oil prices and US trade actions complicate outlook
The Bank of Canada (BoC) left its overnight interest rate unchanged at 2.25% on Wednesday, as widely anticipated, but delivered a more cautious message as inflation risks increased and the recovery became harder to assess.
Diesel’s record $100 warning: The oil shock hiding in plain sight

The Oil market may look calmer than it did a few months ago, but diesel is sending a very different message. The US diesel crack spread, the premium of ultra-low sulphur diesel futures over WTI, recently surged above $100 per barrel for the first time, reaching an intraday record of just over $102.00.