Supertankers sailing to pick up Venezuelan oil for China make U-turn: ship data
The Xingye and Thousand Sunny, which have not been the subject of sanctions, head back to Asia after weeks of idling in the Atlantic
Two China-flagged supertankers that were sailing to Venezuela to pick up debt-paying crude cargoes made U-turns and were headed back to Asia, LSEG shipping data showed on Monday, a sign that the US-blocked South American country might not be directly exporting oil to its main buyer any time soon.
Following the US announcement last week of a deal to export up to 50 million barrels of Venezuelan oil stuck in storage, US President Donald Trump said China would not be deprived of Venezuela’s crude. He did not elaborate on the supply mechanism.
But China, the biggest market for Venezuela’s oil, has not received any cargoes from state-run PDVSA since last month as Washington says the oil embargo remains in force. Global trading houses Vitol and Trafigura are instead readying the first cargoes of the announced US$2 billion deal, to be sent to the US and other destinations, including India and China, a negotiation that can ultimately benefit China’s refiners if the traders negotiate cargoes with them.
The very large crude carriers Xingye and Thousand Sunny, which have not been the subject of sanctions, had remained anchored in the Atlantic Ocean for weeks, waiting for directions amid the blockade and Venezuela’s political crisis, triggered by the US capture of leader Nicolas Maduro.
PDVSA did not immediately reply to a request for comment.