Oil Prices Drop as Venezuela Agrees to Send Millions of Barrels to U.S

Oil Prices Drop as Venezuela Agrees to Send Millions of Barrels to U.S

Global oil prices fell on Wednesday after United States President Donald Trump disclosed that Venezuela’s interim authorities will deliver between 30 million and 50 million barrels of crude oil to the United States, a move seen by traders as likely to boost supply and ease prices. (Reuters)

Data from market sources shows that Brent crude fell below $60 per barrel on Wednesday evening as markets reacted to the announcement that up to $2 billion worth of Venezuelan oil could soon head to U.S. refineries. (The Corner)

In a social media post, President Trump said the Venezuelan oil would be sold at prevailing market prices, with revenues controlled by the U.S. government to benefit both Americans and Venezuelans, following diplomatic and strategic discussions with Caracas leaders. (mint)

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The deal—which could increase the availability of heavy crude for U.S. Gulf Coast refineries—comes amid ongoing uncertainty in Venezuela’s oil sector after recent political developments, including the capture of President Nicolás Maduro by U.S. forces and subsequent transition to interim leadership under Delcy Rodríguez. (Reuters)

Analysts say the anticipated rise in Venezuelan exports reflects a reconfiguration of global crude flows, particularly a potential drop in shipments to traditional buyers such as China, which has been Venezuela’s biggest crude customer in recent years. (Reddit)

Meanwhile, data showed that West Texas Intermediate (WTI) also experienced downward pressure, extending a market correction as traders factored in the implications of increased supply and geopolitical shifts. (Rigzone)

Market watchers caution that while the new Venezuelan oil supply could weigh on prices in the near term, the overall impact will depend on the pace of deliveries, investment in Venezuela’s energy infrastructure, and broader global demand conditions.

Oil Prices Drop as Venezuela Agrees to Send Millions of Barrels to U.S