En Español

Very usefull links


News links




Dow Jones

Oil price



Views and News





U.S. unlikely to sanction venezuelan crude

Trump administration is weighing sanctions against Venezuela. Refiners say banning oil imports would hurt U.S. economy

Petroleumworld 07 10 2017

The Trump administration is unlikely to ban imports of Venezuelan crude even as it considers a slate of sanctions on the country's energy sector, said a person familiar with those White House deliberations.

U.S. officials have not made any decisions on what, if any, sanctions may be imposed on Venezuela, but they have serious concerns about the impacts of a crude embargo on domestic gasoline prices and the economy as a whole, said the person, who requested anonymity because the decision hasn't been announced yet.

The administration's caution comes as refiners lobby in Washington against the move, which would choke off supplies to U.S. refineries reliant on Venezuelan crude, including those owned by Valero Energy Corp ., Phillips 66 and  Chevron Corp .

The American Fuel and Petrochemical Manufacturers, the largest association of U.S. refiners, has urged Secretary of State Rex Tillerson, Commerce Secretary Wilbur Ross and other cabinet officials to exempt Venezuelan crude imports from a possible sanctions package.

"Sanctions limiting U.S. imports of Venezuelan crude would disadvantage many U.S. refineries, particularly those in the Gulf Coast and East Coast regions, that have optimized to utilize sour crudes produced in Venezuela," AFPM President Chet Thompson said in a letter to President Donald Trump sent Thursday. 

Refiners argue that cutting off the supply would squeeze their margins and raise gasoline prices.

Venezuela was the second largest supplier of crude oil in 2016 to the Gulf Coast, with 701,000 barrels daily, according to the U.S. Energy Information Administration. U.S. refineries imported 24.4 million barrels of crude from the country in April.  Citgo Petroleum Corp ., the U.S.-based refiner controlled by Venezuela's state-owned oil company Petroleos de Venezuela SA , takes the largest share of those imports, followed by Valero, Chevron and Phillips 66.

The White House is considering sanctions against the socialist nation in light of President Nicolas Maduro's May announcement that he will seek to re-write the country's constitution. Anti-government protests in Venezuela have left at least 95 dead since April.

Story by Catherine Traywick and Jennifer A Dlouhy from Bloomberg.

07 07 2017

We invite all our readers to share with us
their views and comments about this article.
Write to editor@petroleumworld.com

By using this link, you agree to allow PW
to publish your comments on our letters page.

Any question or suggestions,
please write to: editor@petroleumworld.com

Best Viewed with IE 5.01+ Windows NT 4.0, '95,
'98,ME,XP, Vista, Windows 7,8,10 +/ 800x600 pixels







Contact: editor@petroleumworld.com,

Editor & Publisher:Elio Ohep/
Contact Email: editor@petroleumworld.com

CopyRight © 1999-2016, Paul Ohep F. - All Rights Reserved. Legal Information

PW in Top 100 Energy Sites

CopyRight©1999-2017, Petroleumworld   / Elio Ohep - All rights reservedThis site is a public free site and it contains copyrighted material the use of which has not always been specifically authorized by the copyright owner.We are making such material available in our efforts to advance understanding of business, environmental, political, human rights, economic, democracy, scientific, and social justice issues, etc. We believe this constitutes a 'fair use' of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have chosen to view the included information for research, information, and educational purposes. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond 'fair use', you must obtain permission fromPetroleumworld or the copyright owner of the material.