• 1 hour Why Alberta Will Win The War Over Trans Mountain
  • 14 mins How Lousy Shale Oil Economics Will Pull Down The U.S. Economy
  • 16 hours Russia attacks (again):Cyber Firms Warn On Suspected Russian Plan To Attack Ukraine
  • 4 hours Elon Musk Goes Full Conspiracy Theorist, Blames Big Oil for Tesla's Negative Media Coverage
  • 6 hours Psychological manipulation of oil prices.
  • 17 hours Hamburg Becomes First German City To Ban Diesel Vehicles
  • 17 hours Euro Zone Economy Slowdown Sharper Than Expected In May
  • 10 mins How Much Oil Could EVs Feasibly Displace by 2040?
  • 7 hours $5 per gallon in Manhattan
  • 5 hours Clean Energy Tech FAILURE says IEA
  • 18 hours Trump Oil
  • 18 hours API Inventory Data (Tuesdays)
  • 26 mins Water-Based Battery Claims Exceptional Scalability
  • 1 day Iran and sanctions
  • 1 day Uniper Converts Wind Power to Methane
  • 13 hours Trade war with China on hold
Alt Text

Mexico’s Oil Sector Set For A Jolt

Just as Mexico’s energy reforms…

Alt Text

How Does Oil Impact Bond Markets

Oil prices and 10Y yields…

Irina Slav

Irina Slav

Irina is a writer for the U.S.-based Divergente LLC consulting firm with over a decade of experience writing on the oil and gas industry.

More Info

Trending Discussions

ConocoPhillips Moves To Seize Venezuelan Oil Assets

PDVSA Curacao

ConocoPhillips has seized the oil product inventory of Venezuela’s state oil company PDVSA following the issuance of two court orders granting it this right as part of efforts to enforce compensation to the tune of US$2 billion awarded the U.S. company by court.

“PDVSA products from the installations of the Isla refinery have been confiscated. We don’t have any way to get them,” Reuters quoted Curacao’s economic minister as saying. Steven Martina added that the ministry will host a meeting with Conoco and PDVSA later this week to discuss the matter.

Curacao’s economy is dependent on the PDVSA refinery, Isla, which accounts for a tenth of the island’s GDP and much of the employment on Curacao. The refinery has a capacity of 335,000 bpd of crude, but is currently operating at much lower than usual rates as the Venezuelan owner cannot access enough crude to feed into it.

Conoco obtained two court orders for PDVSA assets on three Caribbean islands earlier this month, and last week it made the first steps towards seizing control over them. The Isla refinery and the accompanying terminal were the assets covered by one of the attachment orders.

The other order is for PDVSA assets on St. Eustatius, where the Venezuelan company rents oil storage tanks at NuStar’s Statia terminal. The sources told Reuters that Conoco has retained four million barrels of crude under its second court order. Related: Could Oil Hit $100?

On the island of Bonaire, PDVSA runs a 10-million-barrel export terminal that manages oil product shipments to international clients, with a focus on Asia. The Venezuelan state company also has a lease on a refinery and another storage terminal along with its U.S. division, Citgo.

If Conoco seizes all targeted assets, this would deepen the woes of PDVSA, which is already suffering a 33-percent decline in oil exports from their peak, a drop in oil production due to lack of funds to invest in field maintenance, and a matching decline in processing rates. Over the first quarter, Venezuelan refineries operated at just above 30 percent of capacity.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


x


Back to homepage

Trending Discussions


Leave a comment
  • Rodney on May 14 2018 said:
    Maduro should write that $2.05 billion check to ConocoPhilips before the Venezuelan tank farms are full. If he doesn't he'll have to shut down the oil fields.
  • Tom on May 15 2018 said:
    Is there any chance ConocoPhillips would want to get back into the refining game with these... (new to them) assets? I suppose they are in pretty bad shape, yet it might be a game changer for them. I wonder?

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News