Gas Processing & LNG is Produced by Gulf Publishing Holdings LLC

Venezuela's oil exports top 800,000 bpd for a second month, drains surplus

MEXICO CITY/PUNTO FIJO, Venezuela, Nov 4 (Reuters) - V enezuela's oil exports eased in October, but surpassed 800,000 barrels per day (bpd) for second month in a row, helping to drain an inventory buildup that had forced the OPEC country to cut output, according to documents and data.

Since the United States imposed sanctions on Venezuelan state-run oil firm PDVSA in January to oust socialist President Nicolas Maduro, the OPEC-member country has struggled to find customers and tankers for its oil.

New rounds of sanctions in August and September on Venezuela and maritime firms carrying the nation's oil pushed its crude stocks to record levels, requiring PDVSA to reduce output and halt blending operations. But exports have improved since late September as an armada of tankers sent by allies has helped the country partially drain inventories.

PDVSA and its joint ventures delivered a total of 33 cargoes of crude and refined products last month, exporting an average of 812,775 barrels per day (bpd), 3.7% below the September level and down from this year's peak of 1.13 million bpd in June, according to internal documents from the company and Refinitiv Eikon data.

The top destination for its October crude exports was China with 292,000 bpd, while the largest recipient was Russian state-run oil firm Rosneft, which took 503,100 bpd or 62% of the nation's total oil exports, according to the data.

Venezuela's most important political ally, Cuba, received almost 114,000 bpd of mostly crude and fuel oil in October, below the 143,000 bpd of September.

Problems reported by some customers with the quality of Venezuela's heavy crude grades - which typically contains high volumes of water and sulfur - last month caused delays in tanker loadings and departures, according to the PDVSA documents.

But October's exports drained almost 1 million barrels of crude in inventories as the nation's production remained below this year's average. Inventories ended last month at 39 million barrels, according to data intelligence firm Kpler.

Since the United States imposed the measures on PDVSA, a growing number of tankers switch their transponders off while in Venezuelan waters, making difficult to accurately track export vessels.

The South American country also imported 213,000 bpd of refined products last month, mainly diesel, gas oil and gasoline for domestic consumption and for supplying Cuba, which has struggled to satisfy fuel consumption in recent months. The number was higher than the 184,700 bpd bought in September.

(Reporting by Marianna Parraga in Mexico City and Mircely Guanipa in Punto Fijo, Venezuela Editing by Marguerita Choy)

Copyright © 2019. All market data is provided by Barchart Solutions. Futures: at least a 10 minute delay. Information is provided 'as is' and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.

                                  CMEGroup                                     Icelogo


Business Trends: Four challenges to Australia’s rising role in the global LNG market
-David Gross
The past 10 yr have been the decade of natural gas, but the next 10 yr will belong to LNG as countries race to build out their export capacity.
Editorial Comment
-Adrienne Blume
Australia and Middle Eastern countries, which have been net LNG exporters, are now foraying into LNG imports due to supply issues.
Industry Focus: Mixed performance for Africa’s gas markets in 2019 poses questions for next decade
-Shem Oirere
As 2020 begins, Africa’s gas market is left with a mixed bag of achievements that only partly confirms a prediction by the International Gas Union (IGU) in early 2019 that the continent’s natural gas segment is “facing a potential turning point.”
Regional Focus: North American NGL to boom alongside petrochemicals
-Eugene Khartukov
Strong natural gas production and rapidly rising demand from petrochemicals makers have resulted in record-high production of natural gas plant liquids in North America, particularly in the U.S. This growth has been led by ethane.

GasPro 2.0: A Webcast Symposium

View On-Demand

Following on the heels of the highly successful GasPro 2.0 Webcast Symposium in October 2018, the second GasPro Webcast Symposium 2.0 will take place on October 24, 2019.

The 2019 web event will gather experts in the fields of LNG, gas processing, and gas transport/distribution to share their operations expertise, engineering and design solutions, and technology advances and trends with our audience.

Attendees will learn about technology and operational solutions and deployments in a number of areas: plant design and expansion, construction, NGL production, optimization, sulfur removal, marine operations and separation technology.

October 24, 2019 08:30 AM CDT

View On-Demand


Please read our Term and Conditions, Cookies Policy, and Privacy Policy before using the site. All material subject to strictly enforced copyright laws.
© 2020 Gulf Publishing Holdings LLC.