Venezuela’s crude oil seaborne exports dropped 27.2% year-over-year in February, as the country struggles to keep production levels from falling due to natural declines and underinvestment, Kallanish Energy learns.
Data from UK’s oil analytics firm Vortexa show crude shipments from the OPEC member totaled 1.39 million barrels per day (MMBPD) last month, compared to 1.91 MMBPD in February 2017. Volumes were 7% lower than January’s 1.49 MMBPD.
Between last December and last month, crude exports from Venezuelan ports averaged 1.4 MMBPD, with no major monthly declines reported – supporting the government’s promise to increase production and stabilize exports.
Despite an ongoing sanctions threat, shipments to the country’s No. 1 destination – the U.S. – are on the rise, reaching 11.1 million barrels (MMBbl) in February. Shipments totaled 10.8 MMBbl in January and 9.3 MMBbl in December.
The other two major destinations for Venezuelan exports, which don’t include other terminals such as Curacao and the Caribbean, were India, at 5.7 MMBbl and China, at 6.6 MMBbl.
Vortexa’s analysts noted some of February’s exports to the U.S. will include some arrivals in March.
According to the International Energy Agency (IEA), Venezuela’s oil production more than halved in the past 20 years and declines are expected to accelerate in the upcoming years.
The ongoing collapse of Venezuela’s oil industry has been closely watched by global players, given its potential impacts in supply and demand disruptions, and consequently oil and products prices.
