- Ghost Tankers Load as US Pressure Intensifies.
- Sanctions Strain Grows on Venezuela Oil Exports.
- Offshore Loading Highlights Limits of Enforcement.
Right now, two so-called ghost oil ships are loading up off the coast of Venezuela, highlighting the challenges Washington faces in trying to disrupt the country’s main source of income, reports gCaptain.
Supertankers Active at Key Port
According to a shipping report from Bloomberg, these supertankers, which are the largest vessels for transporting crude oil, are currently loading at the government-controlled port of Jose. So far this month, up until Friday, Venezuela has managed to load nearly 880,000 barrels of crude oil each day, based on preliminary shipping and vessel-tracking data. This is a significant jump compared to an average of 586,000 barrels a day in November.
Recent Seizure Raises Stakes
This uptick in activity comes just two days after US authorities seized a tanker that was carrying Venezuelan crude. This is part of a larger strategy aimed at pressuring President Nicolas Maduro to cut off oil revenue and ultimately push him out of power. The real question now is whether these vessels loading offshore will take the risk of leaving Venezuelan waters and facing potential seizure.
Conflicting Signals From Washington
At the same time, US authorities have renewed a license that allows a US oil major to keep pumping oil in Venezuela, according to sources familiar with the situation. This move underscores the tight spot Caracas is in, as the state oil producer is running out of viable routes to market and typically sells crude to Asia at steep discounts.
A Houston-based operator said its operations in Venezuela “continue in full compliance with laws and regulations applicable to its business, as well as the sanctions frameworks provided for by the U.S. government.”
Storage Limits Drive Shadow Trade
With limited storage options, Venezuela’s state oil producer is looking for ways to offload crude and bring in revenue. This has led to a greater reliance on ghost ships that mask the origin of the oil to evade sanctions.
Limited Market Impact So Far
Despite the potential risk of losing supplies from the world’s largest oil reserves, global markets have remained relatively unaffected due to an oversupply situation. The International Energy Agency estimates that the current surplus stands at a record 3.8 million barrels a day.
According to estimates from an energy consultancy, about 30% of Venezuela’s oil exports, which is roughly 300,000 barrels a day, could be at risk due to US actions.
Shadow Fleet Bound for Asia
The shadowy fleet is gearing up to transport nearly 4 million barrels of Venezuela’s flagship Merey 16 crude, according to shipping reports. The identities of these ghost ships are often kept under wraps, leaving us in the dark about whether they’re facing sanctions. Satellite images have confirmed that several berths at the offshore platform are occupied, including one vessel that’s been chartered under a US license to load Venezuelan oil.
Ratcheting Up the Pressure
Recently, the US administration has ramped up its campaign, ordering strikes on ships believed to be involved in illegal activities and warning of more actions, including potential seizures related to the illicit oil trade. President Maduro has condemned these actions as acts of piracy and has pledged to safeguard the nation’s natural resources.
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Source: gCaptain
