• 3 minutes Nucelar Deal Is Dead? Iran Distances Itself Further From ND, Alarming Russia And France
  • 5 minutes Don Jr. Tweets name Ukraine Whistleblower, Eric Ciaramella. Worked for CIA during Obama Administration, Hold over to Trump National Security Counsel under Gen McCallister, more . . . .
  • 9 minutes Shale pioneer Chesepeak will file bankruptcy soon. FINALLY ! The consolidation begins
  • 12 minutes China's Blueprint For Global Power
  • 10 hours Science: Only correct if it fits the popular narrative
  • 3 hours Crazy Stories From Round The World
  • 43 mins EU has already lost the Trump vs. EU Trade War
  • 13 hours Iran Burning: Shock Gas Price Hike Triggers Violent Protests After Subsidy Cuts
  • 2 hours Impeachment Nonsense
  • 5 hours Everything You Need To Know About Trump
  • 1 day Do The World's Energy Policies Make Sense?
  • 22 hours What are the odds of 4 U.S. politicians all having children working for Ukraine Gas Companies?
  • 2 days China's Renewables Boom Hits the Wall
  • 13 hours Atty General Barr likely subpeona so called whistleblower and "leaker" Eric Ciaramella
  • 2 days Forget out-of-date 'dirty oil' smear, Alberta moving to be world's cleanest oil industry
  • 2 days Water, Trump, and Israel’s National Security
  • 22 hours Who writes this stuff? "Crude Prices Swing Between Gains, Losses"

Breaking News:

Russia Plans To Boost Crude Oil Exports

Venezuela Hit By Gasoline Shortages

Caracas

Another problem has been added to Venezuela’s growing list of woes: gasoline import shortages that have caused lines at gas stations, Reuters reports, adding that local production has slumped too as the second-largest refinery in the country stopped operating.

PDVSA documents and shipping data from Reuters show that imports of fuel and diluents that are necessary to make Venezuela’s extra heavy refinable into fuels have since the start of the month dropped to 86,000 bpd from 225,000 bpd for April as U.S. sanctions bite deeper.

At the same time, the Cardon oil refinery, which has been operating at well below capacity even before the sanctions were introduced in January, halted operations because of damage to some of its units, Reuters quoted a local source as saying. Cardon has a capacity of 310,000 bpd but was processing just 115,000 bpd.

The news of the refinery suspension and the gas station lines comes on the heels of another update regarding production this time. Earlier this week, sources from Venezuela told Reuters none of its four heavy oil upgraders were operating as there was a shortage of buyers for the country’s crude after it lost its largest market in the U.S.

The report follows another one, by S&P Global Platts, which quoted a PDVSA report as saying production in the Orinoco Belt—the region where most of Venezuela’s oil riches are concentrated—had dropped to 169,800 bpd since the start of May. However, the reason given for the slump in that report was not the lack of buyers but rather the lack of tankers to carry the crude abroad.

Indeed, Venezuela has a barter deal with China and Russia that obliges it to repay sizeable loans with crude. However, the U.S. sanctions have targeted shippers, too, as part of the drive to remove Nicolas Maduro from power, and these have apparently heeded the warning.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play