Register with us today

and in less than 60 seconds continue your access to:Latest news headlinesAnalytical topics and featuresCommodities videos, podcast & blogsSample market prices & dataSpecial reportsSubscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

Please Note: Platts Market Center subscribers can only reset passwords via the Platts Market Center

Enter your Email ID below and we will send you an email with your password.


  • Email Address* Please enter email address.

If you are a premium subscriber, we are unable to send you your password for security reasons. Please contact the Client Services team.

If you are a Platts Market Center subscriber, to reset your password go to the Platts Market Center to reset your password.

In this list
Natural Gas | Oil

Venezuela's oil major PDVSA cut debt to Russia's Rosneft $400 mil in Q2

Commodities | Electricity | Energy | Coal | Emissions | Electric Power | Emissions | Natural Gas | Oil | Crude Oil | Refined Products | Petrochemicals | Polymers | Shipping | Coronavirus

Market Movers Europe, Aug 3-7: Will oil demand mirror OPEC+ supply? German coal phase-out starts

LNG | Natural Gas | NGL

Platts LNG Alert

Capital Markets | Commodities | Electric Power | Natural Gas

Mexican Energy Conference, 24th

Energy | Oil | Crude Oil

Spotlight: Urals is weakening with more production and alternative crudes pricing to compete in Europe

Venezuela's oil major PDVSA cut debt to Russia's Rosneft $400 mil in Q2

Moscow — Venezuela's state oil and gas company PDVSA cut its debt to Russia's top crude producer Rosneft by $400 million in the second quarter to $3.6 billion as of the end of June, Rosneft's second-quarter results presentation showed Tuesday.

Not registered?

Receive daily email alerts, subscriber notes & personalize your experience.

Register Now

Rosneft agreed prepayment deals for crude and products deliveries with Venezuela between 2014 and 2016, the last of which is due to expire at the end of 2020. The company gave Venezuela a total of $6.5 billion in pre-payments, a Rosneft official said earlier this year.

Venezuela's debt to the Russian major thus shrank by $1 billion in the six months since the end-2017 figure, according to the presentation.

Rosneft reported in May that Venezuela had paid off $600 million of debt in the first quarter. The Russian company also said it reduced crude purchases from the Latin American country in the first three months of the year.

With the Venezuelan economy moving downhill and its oil industry crumbling in recent years, PDVSA told customers earlier this year it was not able to fully meet its supply requirements. Due to provide Rosneft with 222,000 b/d of diluted crude oil, or DCO, PDVSA only had 116,000 b/d available in June, a PDVSA source said earlier.

In the face of crushing debt, crumbling infrastructure, worker unrest, hyperinflation and US sanctions, Venezuelan oil output dropped by 670,000 b/d in a year to 1.24 million b/d in July, according to S&P Global Platts OPEC survey. This is the lowest level in the 30-year history of the Platts OPEC survey, except a debilitating worker strike in late 2002 and early 2003.

With economic hardship, Russia and Rosneft have provided extensive economic support to Venezuela and PDVSA in recent years.

Late last year, Russia's finance ministry agreed to refinance Venezuela's $3.15 billion loan, extending the payment period to 2026 and introducing more favorable conditions on servicing the loan.

Rosneft also has stakes in upstream projects in Venezuela, including five oil projects: Petromonagas, Petrovictoria, Petroperija, Boqueron and Petromiranda, which together account for around 4% of Venezuela's overall production, according to the Russian company.

Crude reserves at the projects are estimated at over 20.5 billion mt. Late last year, Rosneft also agreed to develop two offshore gas licenses in the country.

--Nastassia Astrasheuskaya, nastia.astrasheuska@spglobal.com

--Edited by Jeremy Lovell, jeremy.lovell@spglobal.com