Venezuelan Crude Surge Puts Price Pressure on US Gulf Coast Refiners Following Supply Deal
A rapid increase in Venezuelan crude exports is straining Gulf Coast refiners and depressing prices. Large volumes remain unsold after a major new supply deal.
Insights:
Oil refiners on the United States 
USGulf Coast are struggling to absorb a rapid surge in Venezuelan 
VEcrude shipments since a flagship $2 billion supply deal was reached between Caracas and Washington. The sudden increase in volume is putting significant pressure on heavy-crude prices and has left some cargoes unsold as trading flows adjust to the new supply.
USGulf Coast are struggling to absorb a rapid surge in Venezuelan VEcrude shipments since a flagship $2 billion supply deal was reached between Caracas and Washington. The sudden increase in volume is putting significant pressure on heavy-crude prices and has left some cargoes unsold as trading flows adjust to the new supply.Total Venezuelan oil exports rose to nearly 800,000 barrels per day (bpd) in January, representing a sharp climb from 498,000 bpd in December. According to tanker-movement data, exports destined for the United Statesalmost tripled to 284,000 bpd over the same period. Chevron Corporation , which increased its exports to 220,000 bpd in January from 99,000 bpd in December, is currently producing about 250,000 bpd within Venezuela.
