Venezuela Reopening
Overview
The lifting of US sanctions on Venezuela has triggered a new flow of Venezuelan crude into the US Gulf. These grades are being sold by merchant traders on a “delivered US Gulf” basis. Oil produced in Venezuela is heavy, sour, and asphalt-rich, and requires specialised refining units, such as cokers, for full processing. US Gulf coast refineries were built for this purpose, and have the appetite to process large volumes of these crudes.
Argus has launched three new price assessments for Venezuelan crude oil to better reflect the new market. Effective Monday, 9 February, Argus assesses Merey, Hamaca, and Boscan, all on a “delivered US Gulf” basis. See key price pages for more details.
Price assessment details
Argus Merey del USGC
While offers have emerged for Venezuelan crudes in India, Asia and Europe, trades for Merey have only been completed in the USGC, where multiple refiners have purchased cargoes of the grade. Transactions have occurred on a delivered USGC basis and against the Ice Brent pricing benchmark, which is widely used to price Latin American grades on the water.
Argus Boscan del USGC and Argus Hamaca del USGC
Due to a current lack of liquidity for these two grades, Argus prices will initially be assessed on the basis of other market information for similar grades in the region, general tendencies in the sour markets around the USGC and quality spreads to Merey, which are widely discussed by market participants and are relatively stable. Should activity for these grades pick up, Argus will also take into consideration any bids, offers and deals that emerge in the spot market to further inform the assessments.
Expectations are that sales will remain concentrated around the USGC on an Ice Brent basis for the foreseeable future. Argus will also publish an equivalent differential for all three Venezuelan grades against the Argus WCS Houston price, given Venezuela crude is a close alternative to Canadian supplies, and more specifically WCS. This WCS basis price will allow for hedging as there are actively traded futures swaps based on the Argus WCS Houston price on both major exchanges. These financial contracts settle on the month average of Argus WCS Houston daily published prices.
Related news and analysis
Venezuelan crude heads to Italy, Spain
Venezuelan crude heads to Italy, Spain
Barcelona, 11 February (Argus) — Two cargoes of Venezuelan crude heading across the Atlantic are signalling for Sarroch in Italy and Bilbao, Spain, according to Argus tracking. Suezmax Poliegos updated its destination overnight to trading firm Vitol's 300,000 b/d Sarroch refinery in Italy. It is carrying around 1mn bl of Venezuelan crude, loaded at the country's Jose terminal. Vitol has been approved by the US government to market Venezuelan crude. Sarroch was the most recent Mediterranean destination for Venezuela crude, in March-April 2025 , ahead of tighter US sanctions on Caracas that halted supplies. Suezmax Folegandros was already signalling arrival at the Spanish Atlantic port of Bilbao, where integrated Repsol has a 220,000 b/d refinery. Repsol would not comment on the matter. According to workers connected to the refinery, the cargo is a spot purchase and not part of a crude-for-debt swap scheme that Repsol ran with Venezuela's state-owned PdV. Under that scheme Spain received 55,000 b/d of Venezuelan crude in 2024, all of which went to Repsol refineries at Bilbao, Cartagena and La Coruna. This fell to 15,000 b/d last year, after sanctions tightened. By Adam Porter and Jonathan Gleave Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
US condensate helps Venezuela output rise: Sources
US condensate helps Venezuela output rise: Sources
Caracas, 10 February (Argus) — Venezuela's crude production rose slightly in January to 1.16mn b/d, industry sources tell Argus , the same month a US military intervention captured the country's former president Nicolas Maduro. The January figure includes liquids and condensates from production, including greater volumes of condensate from US sources used to make the heavy crude easier to transport, an official with a US company in Venezuela told Argus . Regional production details were not provided. Venezuelan gas industrial association Avpg said this week that January production was 1.14mn b/d. The Venezuelan energy ministry, which reported December output of about 1.12mn b/d , declined comment on the production reports. The government typically reports production figures mid-month. By Carlos Camacho Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
US seizes eighth Venezuela-linked tanker
US seizes eighth Venezuela-linked tanker
London, 9 February (Argus) — The US seized the sanctioned tanker Aquila II today, 9 February, in the middle of the Indian Ocean, the US Department of Defence said. The tanker, carrying Venezuelan Merey crude, was intercepted while sailing from the Jose Terminal to Qingdao in China, according to Vortexa data. The vessel is sanctioned by the US, EU and UK for transporting Russian crude oil. It is listed with an unknown flag in the IMO database. The last recorded shipment of Russian crude aboard the vessel was in December 2024, when it loaded Urals in Novorossiysk for Visakhapatnam, India, according to Kpler data. "Overnight, US military forces conducted a right-of-visit, maritime interdiction and boarding on the Aquila II without incident in the Indopacom [Indo-Pacific Command] area of responsibility. The Aquila II was operating in defiance of President Trump's established quarantine of sanctioned vessels in the Caribbean. It ran, and we followed. The Department of War tracked and hunted this vessel from the Caribbean to the Indian Ocean," the US Defence Department said on X. This is the eighth US seizure of a Venezuela-linked tanker since late 2025, starting with the capture of the Skipper on 10 December. The US is seeking to establish greater control over Venezuelan crude flows following the capture of former Venezuelan president Nicolas Maduro earlier this year. By Andrey Telegin Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Oil service firms raring to go in Venezuela
Oil service firms raring to go in Venezuela
New York, 2 February (Argus) — The world's top oil service companies are likely to be the early winners of US president Donald Trump's push to get Venezuela's severely degraded energy sector back up and running. While some of the biggest US oil firms have expressed reservations about returning to the country, given the risks involved and past experience of having assets seized, both SLB and Halliburton are confident they could scale up quickly — even if they, too, would need reassurances about the commercial and legal terms on offer. SLB, the largest service contractor, is ready to take advantage of its existing footprint in the country after maintaining a presence there during the US sanctions era. And Halliburton chief executive Jeff Miller, who was previously based in Venezuela, won praise from Trump at a White House meeting of oil executives in January when he said his firm was eager to return. "My phone is ringing off the hook in terms of interest in Halliburton being there," Miller said. Oil service firms have been among this year's standout performers on the stock market, as the US capture of former Venezuelan president Nicolas Maduro — and Trump's subsequent call for oil companies to invest $100bn to rebuild the nation's crippled energy sector — sparked speculation of a boom in demand for their services and equipment. With the shale sector showing signs of fatigue in their home market, the timing of the Venezuelan opportunity is also favourable. Hefty investments would be required to return Venezuela's oil production to the almost 3.5mn b/d seen in the late 1990s, and companies may need security guarantees for their workers and confidence they could make profitable returns before staging a comeback there. But incremental output gains are still possible in the near term and likely to be services-led, according to bank Jefferies, which cited the potential for workovers, reactivations and surface facility repairs. "However, a return to historical production levels would require multi-year investment, technical partnerships and regulatory clarity," it concludes. When oil production in Venezuela was at 2.5mn-3mn b/d, the country was operating 70-80 rigs, according to bank Citigroup estimates. A return to around 75 active rigs could translate into a combined market opportunity for the top four oil service firms of $3bn-3.5bn, Citigroup analyst Scott Gruber says. Blast from the past SLB has been the largest supplier and partner to state-owned PdV in the past. It has a significant number of assets that are ready to be deployed in Venezuela, ranging from drilling services to production and rigs. "We remain confident that with appropriate licensing, safety parameters and compliance measures in place, we can rapidly ramp up activities in support of the oil and gas industry In Venezuela," chief executive officer Olivier Le Peuch says. Halliburton, which first entered Venezuela in 1938 and only left when US sanctions kicked in at the end of the last decade, is also standing by and ready to make a return. "Halliburton knows this market well, and we will grow our business there as soon as commercial and legal terms are resolved, including payment certainty," Miller says. "The early steps are already well under way." The services giant is well-versed in moving equipment all over the world. "There are opportunities for us sooner rather than later to get back to work," Miller says. Baker Hughes is taking a "prudent, long-term" view as the company assesses opportunities in Venezuela, which were worth about $500mn in terms of company revenue back in 2012. Moderate production increases will require "substantial" investment in well integrity, off-grid power generation, as well as equipment replacements and upgrades, chief executive Lorenzo Simonelli says. By Stephen Cunningham Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Map: Primary Venezuelan oil assets
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Key price assessments
Crisis en Venezuela y su impacto en los mercados de crudo
La intervención de Estados Unidos en Venezuela ha generado incertidumbre y gran expectativa en los mercados de crudo tanto a nivel global como regional ¿Cómo han evolucionado los precios desde entonces? ¿Qué escenarios se pueden anticipar en un contexto de tanta volatilidad?
Regístrese ahoraTimeline: Key Venezuela sanctions dates
