Venezuelan oil is back on the table (terms and conditions apply)
- US issues a general licence allowing trade in Venezuelan oil, with plenty of caveats
- Transactions with PdVSA related to oil shipments can be carried ‘by an established US entity’
- Contracts must be governed by US law; payment terms deemed not ‘commercially reasonable’ like debt swaps or in gold are not authorised
- Aframaxes have reportedly been switching from clean to dirty in anticipation of more Venezuelan barrels, according to Xclusiv Shipbrokers
The US has issued a long-anticipated general licence that effectively puts Venezuelan oil back into the mainstream — but with plenty of restrictions. While there are no expectations for near-term spikes in Venezuelan exports, barrels exported by the shadow fleet can now be shipped above-board, creating more demand for mainstream tonnage in the Atlantic
