US Treasury sanctions four shippers, crude tankers for trading Venezuelan oil

The US Department of the Treasury sanctioned four shipping companies and their crude tankers June 2 for continuing to facilitate oil trading with Venezuela.

The action targets Marshall Islands-based shipowners Adamant Maritime, Afranav Maritime and Sanibel Shiptrade, and Greek shipper Seacomber. The targeted vessels are the Panama-flagged Athens Voyager, Malta-flagged Chios I, Bahamas-flagged Seahero and Marshall Islands-flagged Voyager I.

Treasury said Athens Voyager, Chios I and Seahero continued to lift oil cargoes from Venezuelan ports as recently as mid- to late February. It said Voyager I continued to lift cargoes as recently as late April.

US Secretary of State Mike Pompeo said the companies were facilitating the Maduro regime's "theft of Venezuelan oil."

"These sanctions further isolate the Maduro regime and are another step toward gaining freedom and prosperity for the people of Venezuela," Pompeo said on Twitter.

US sanctions imposed in January 2019 blocked US imports of Venezuelan crude and exports of US diluent to Venezuela.

Venezuelan oil production fell to 620,000 b/d in April, down 30,000 b/d month on month, according to the latest S&P Global Platts survey of OPEC production.

S&P Global Platts Analytics estimates that only 300,000 b/d of Venezuelan crude will be available to the market in May, down from 1 million b/d as recently as December. The flows could fall to 275,000 b/d by the fourth quarter of 2020.

Despite its vast oil resources, Venezuela recently turned to imported gasoline from Iran to meet demand. Of five vessels originally destined for Venezuela, three discharged fuel in late May, data from Kpler vessel tracking software show.

The Clavel is due to unload 338,794 barrels of gasoline June 2 at the El Palito refinery, the data show. However, the Faxon, turned back on May 29 after approaching Puerto la Cruz.