Venezuela's VLCC Oil Boom: A New Era of Crude Exports

Trading houses are ramping up Venezuela's oil exports by chartering Very Large Crude Carriers (VLCCs), a first since a supply deal with the U.S. began. This shift to larger vessels is expected to expedite shipments starting in March, with India as a key destination.

Previously, exports were handled by smaller tankers, heading to both U.S. refineries and Caribbean terminals. The move to VLCCs, which can carry up to 2 million barrels, aims to boost efficiency and lower transport costs amidst high crude prices.

Indian refiners are keen buyers, working to reduce reliance on Russian imports. U.S. oil blockade lifting has resumed Venezuela's crude flow, with Chevron and other U.S. firms preparing to increase processing, further elevating exports.