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Venezuela oil exports fall in July on processing interruptions, freight delays

Venezuela's oil exports fell in July as crude processing units were hit by failures, minimizing stocks readily available from the nation's primary producing area and increasing delays to load cargoes, according to files and vessel monitoring data.

The OPEC nation's exports had recovered in previous months assisted by U.S. licenses and permissions to partners of state oil company PDVSA, but domestic functional problems knocked down the volume of crude and fuel delivered to the second lowest regular monthly level this year.

An overall of 38 cargoes left from Venezuela's waters last month bring an average of 585,600 barrels daily (bpd) of crude and fuel, and 266,000 metric lots of oil byproducts and petrochemicals, the files and data from LSEG showed.

Oil exports were 26% lower than the previous month, and 33%. listed below the same month of 2023. Shipments of by-products and. petrochemicals consisting of petroleum coke and methanol declined. 26% from June.

The data showed the U.S got some 281,260 bpd, the primary. destination of Venezuela's oil exports for the first time since. Washington started enforcing energy sanctions on the country in. 2019. It was followed by China with 231,400 bpd.

U.S. producer Chevron reached its second greatest. monthly export level this year, delivering some 238,0000 bpd to. U.S. ports. Spain's Repsol, which in July started offering. Venezuelan crude to U.S. clients, shipped 102,000 bpd to the. U.S. and Europe.

Upgraders and mixing stations that process the additional heavy. oil produced at Venezuela's huge Orinoco Belt did not work near. complete capability in July, an internal PDVSA file revealed.

Projects Petrolera Sinovensa and Petrocedeno had short. functional disruptions due to equipment malfunctioning, while. a failure left a third task's upgrader, Petromonagas, out of. service considering that early July.

Low stocks of fuel oil and some unrefined grades from the. Orinoco Belt, including watered down crude oil (DCO), and the need of. filling cargoes through ship-to-ship transfers increased. shipping delays PDVSA has been dealing with considering that early this year.

A disputed election in Venezuela in which both incumbent. President Nicolas Maduro and the opposition coalition's. candidate, Edmundo Gonzalez, claimed triumph has slowed down. financial activity in current days while triggering prevalent. protests and arrests.

But PDVSA's main operations, consisting of crude production and. refining, have actually been working without major interruptions.

(source: Reuters)