Venezuela is about to resume oil exports to Europe after two years of sanctions


A shipment of 650,000 barrels of Venezuelan crude chartered by the oil company Italian Eni is about to set sail, in what is the first oil export to Europe in two years from the country under US sanctions, after Washington authorized the operation, according to data from Refinitiv by Eikon.

The US State Department sent letters to Eni and Spain’s Repsol in May authorizing them to resume receiving Venezuelan crude as a way to settle billions of dollars in unpaid debt, as well as outstanding dividends from the member country. OPEC.

A second vessel hired by Eni, the supertanker Pantanassa, was sailing to Venezuela on Friday to load some 2 million barrels of the same variety, diluted crude oil (DCO), also bound for Europe, according to a shipping document and sources.

The tanker is expected to load in the second half of June with an option for it to Eni deliver part of the crude to the Spanish Repsol for their Cartagena and Bilbao refineriesaccording to the document and sources.

The Maltese-flagged Pantanassa is scheduled to load via ship-to-ship transfer near the Venezuelan port of Amuay, the document added.

Eni, Repsol and PDVSA They did not immediately respond to requests for comment.

Venezuela’s oil exports plunged in May to the lowest level in 19 months due to contract changes imposed by PDVSA, which is now requiring advance payments to reduce the risk of unpaid shipments. The change did not affect customers under swap agreements or for debt repayment.

European, Asian and US companies that are PDVSA’s partners in joint ventures in Venezuela, including Eni, Repsol, Chevron, ONGC Ltd and Maurel & Prom, have racked up billions of dollars in outstanding debt since the administration of then-President Donald Trump suspended oil-for-fuel swaps and debt payments.



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