About half of Venezuela’s oil production is now being exported to the United States (US), Reuters reported, quoting US Energy Under Secretary Kyle Haustveit, highlighting the rapid shift in Venezuela’s crude trade following Washington’s easing of restrictions on the country’s oil sector.
Haustveit’s comments point to the US becoming the dominant destination for Venezuelan crude as production and exports recover and US refiners increase their purchases of the heavy oil.
“In the last couple of months, we’re seeing north of 500,000 barrels, of approximately half of the production coming out of Venezuela, coming to the United States to the refineries that were built specifically for that crude,” he said at an event in Houston, adding that the country is currently producing around 1.25 million barrels a day.
Haustveit noted that more than 100,000 bbl/d of US naphtha is flowing into Venezuela to dilute heavy crude and boost extraction.
Venezuela’s crude production is projected to hit 1.245 million bbl/d by August’s close, accompanied by a 19.7% year-to-date increase in exports, according to Jovanny Martinez, a VP at Venezuela’s state oil company PDVSA.
The shift follows a significant increase in Venezuelan shipments to the US this year. Venezuela exported around 1.16 mmbbl/d of crude and petroleum products in July, down slightly from 1.2 mmbbl/d in June, while US-bound shipments climbed to approximately 786,000 bbl/d—their highest level since early 2019, according to Reuters shipping data.
The US had already become Venezuela’s largest oil destination in May, receiving about 558,000 bbl/d, compared with 427,000 bbl/d shipped to India and 169,000 bbl/d to Europe, Reuters reported. Total Venezuelan oil exports reached 1.25 million bbl/d that month, 61% higher than a year earlier.
The growing US market reflects Washington’s broader policy shift toward allowing Venezuelan crude sales and attracting international investment into the country’s energy industry.
In January, the US eased some sanctions to facilitate oil sales, while subsequent measures expanded the scope for international energy companies to operate in Venezuela.
