Venezuela restarts crude exports to US Gulf Coast after 15-month halt
According to BOE Report, Venezuela resumed exports of diluted crude oil (DCO) in March after a 15-month pause, with Chevron shipping a 500,000-barrel cargo to the US Gulf Coast. The grade is produced by blending extra heavy crude from Venezuela’s Orinoco Belt with imported heavy naphtha and is popular among US and Indian refiners.
The restart comes after US licenses granted in January following political changes in Venezuela. By February, DCO stocks had reached 4.8 million barrels, the highest accumulation of heavy crude in the Orinoco region.
What It Means for Subcontractors
- US Gulf Coast refiners processing more Venezuelan heavy crude could increase demand for specialized handling, storage, and transport services in Texas and Louisiana
- Higher refinery utilization from new crude supplies may drive additional maintenance, construction, and logistics work at processing facilities
- Sustained Venezuelan exports could stabilize heavy crude markets, potentially affecting pricing and project economics for contractors serving upstream heavy oil operations
