crude

May 3 (UPI) — Oil exports from the United States have increased by more than 30% the U.S.-Israeli war in Iran started and the Strait of Hormuz was blockaded in response.

The Port of Corpus Christie has overtaken the ports in Saudi Arabia and Iraq in the last few weeks as the two Persian Gulf ports have been cut off from the rest of the world since the Strait has been blockaded.

Over the past two months, the United States has sold more than 250 million barrels of oil to foreign buyers as exports have increased by 30%, from 3.9 million barrels per day in February to 5.2 million barrels per day in April, Bloomberg and CNBC reported.

Experts have warned, however, that domestic oil inventories are depleting stockpiles and there is a question of how long the country will be able to continue replacing oil on the market that is stuck in the Strait.

Although selling oil is good for business, oil producers are struggling to keep up with the demand and it is possible that selling so much could have an add-on effect of pushing gas prices for American consumers even higher than they have gone since the war started.

“Ships are coming to take our oil, but once significant volumes of are leaving the United States, it can be expected that balances will tighten,” Clayton Seigle, senior fellow at the Center for Strategic and International Studies, told Bloomberg.

“We are digging ourselves a hole in terms of spending down inventories,” he said.

Roughly 20% of global oil supplies pass through the Strait of Hormuz and Iran’s shutting of it has caused gas and fuel prices to skyrocket over the last two months, including massive effects on the airline industry, which has seen seen the price of jet fuel double since before the war.

Oil from the United States, Latin America and West Africa could for a short time be a substitute for Middle Eastern oil for countries in Asia, which has been hurt the most, but it is not ideal, Matt Smith, director of commodity research at Kpler, told CNBC.

“Asian markets are buying whatever they can get their hands on, so they’re taking a lot of light sweet [American] crude [oil],” Smith said, but their refineries are optimized for the heavier oil produced in the Middle East.

“It’a hole that can’t be plugged,” Smith told CNBC. “The answer has to be ensuring secure supply from the Middle East.”

[kicker]

Caracas, April 29, 2026 (venezuelanalysis.com) – The Venezuelan government signed new energy agreements with energy conglomerates British Petroleum (BP) and Eni in separate ceremonies at Miraflores Presidential Palace.

On Wednesday, Acting President Delcy Rodríguez signed a memorandum of understanding (MOU) to develop the Cocuina-Manakin field, an offshore natural gas project shared between Venezuela and Trinidad and Tobago.

“The return of BP [to Venezuela] is a ⁠clear sign of the future we want to chart for Venezuela and for ​international energy relations,” she said during a live broadcast. “May we have cooperation grounded in a win-win approach and ​shared benefits.”

BP was represented by its Trinidad and Tobago director David Campbell. The Cocuina-Manakin field holds an estimated 1 trillion cubic feet (Tcf) of natural gas, split 34-66 between Caracas and Port of Spain.

Following Wednesday’s agreement, the London-based multinational will additionally explore opportunities in the 7.3 Tcf Loran field, which is also part of a cross-border reserve shared with Trinidad. Both Cocuina and Loran are part of Venezuela’s Deltana Platform, a largely unexplored gas deposit on the country’s eastern maritime border.

Venezuela had suspended all energy projects involving Trinidad and Tobago over its neighbor’s support for the US military escalation in the Caribbean. Following January 3, the acting Rodríguez administration reengaged with Port of Spain, while extending overtures to BP and Shell in an effort to reopen the projects.

The BP agreement came on the heels of another high-profile ceremony at Miraflores on Tuesday that saw Rodríguez extend a “special welcome” to Eni CEO Claudio Descalzi and other executives. In what she called a “milestone in the relations” between Venezuela and the Italian corporation, Rodríguez announced that Eni is planning “one of the largest investments” in the Venezuelan oil sector. 

The contract establishes conditions to relaunch the exploration of the 425 square-kilometer Junín-5 block of Venezuela’s Orinoco Oil Belt. The Junín-5 is estimated to contain 35 billion barrels of extra-heavy oil in place, though only a fraction will be recoverable.

For his part, Descalzi indicated that the signed deal created conditions to “accelerate development” of Junín-5 activities and that the company would finalize its investment plan by the end of the year.

The Junín-5 block was assigned in the late 2000s to Petrojunín, a joint venture where Venezuelan state oil company PDVSA and Eni held 60 and 40 percent of shares, respectively. Crude extraction began in 2013 but did not hit the established targets, hovering around 10,000 barrels per day (bpd) by the end of the 2010s.

The BP and Eni agreements were crafted under Venezuela’s recently overhauled Hydrocarbon Law, which introduces a series of pro-business incentives while curtailing state control over the energy sector.

Under the new law, minority partners can directly manage oilfield operations and sales, whereas in the prior framework that was PDVSA’s exclusive prerogative. Additionally, private companies can have royalties, income tax, and other fiscal contributions slashed at the government’s discretion as well as bring eventual disputes to international arbitration bodies.

In March, Eni, alongside Spain’s Repsol, inked a contract to further development of the Cardón IV offshore natural gas project. The European companies each own 50 percent stakes in the venture and recently announced plans to increase output by roughly 10 percent in the short term.

Eni, which has around 30 percent of its shares owned by the Italian state, is also a minority stakeholder in Petrosucre, a joint venture that operates the Corocoro offshore oilfield. In 2025, the ventures with Eni participation produced an average of 64,000 barrels of oil equivalent per day.

Alongside BP, Eni, and Repsol, Chevron and Shell have likewise struck new deals in recent weeks under the favorable conditions of the hydrocarbon reform. Chevron increased its stake in the Petroindependencia joint venture, while its Petropiar project with PDVSA was assigned a new drilling block in the Orinoco Belt. For its part, Shell will take over light and medium crude projects in Eastern Venezuela and several offshore natural gas initiatives. The company had also expressed interest in the Loran field.

The acting Rodríguez administration has actively courted foreign investment into the South American country’s energy and mining sectors, with leaders openly acknowledging the incorporation of “suggestions” and “recommendations” from Western conglomerates into the recent reform.

Alongside multiple delegations of corporate executives, Rodríguez has also hosted Trump officials, including Energy Secretary Chris Wright and Interior Secretary Doug Burgum, ahead of the recent hydrocarbon and mining reforms.

Last week, newly appointed US Chargé d’Affaires John Barrett stated that Washington’s goal is to “place the private sector at the center of Venezuela’s transformation” during a meeting with the Venezuelan-American Chamber of Commerce and Industry (VENAMCHAM).

Since the January 3 military strikes and kidnapping of Venezuelan President Nicolás Maduro, the Trump administration has issued multiple licenses to facilitate the return of Western conglomerates to the Venezuelan energy and mining sectors.

The licenses mandate that all royalty, tax, and dividend payments be made into accounts run by the US Treasury. Caracas and Washington recently announced the hiring of external auditors to oversee the flow of the US-controlled Venezuelan resources.

Edited by Lucas Koerner in Fusagasugá, Colombia.

Note: The report was amended on Wednesday night to incorporate the BP agreement.

Caracas, April 29, 2026 (venezuelanalysis.com) – The Venezuelan government signed new energy agreements with Italian conglomerate Eni in a ceremony at Miraflores Presidential Palace on Tuesday.

Acting President Delcy Rodríguez extended a “special welcome” to Eni CEO Claudio Descalzi and other executives, who were joined by Oil Minister Paula Henao and state oil company PDVSA President Héctor Obregón.

“We are witnessing a very important moment, a milestone in the relations between Eni and Venezuela,” Rodríguez affirmed, adding that Eni is planning “one of the largest investments” in the Venezuelan oil sector. 

The contract establishes conditions to relaunch the exploration of the 425 square-kilometer Junín-5 block of Venezuela’s Orinoco Oil Belt. The Junín-5 is estimated to contain 35 billion barrels of extra-heavy oil in place, though only a fraction will be recoverable.

For his part, Descalzi described the top-level ceremony as a “great honor.” He indicated that the signed deal created conditions to “accelerate development” of Junín-5 activities and that the company would finalize its investment plan by the end of the year.

The Junín-5 block was assigned in the late 2000s to Petrojunín, a joint venture where PDVSA and Eni held 60 and 40 percent of shares, respectively. Crude extraction began in 2013 but did not hit the established targets, hovering around 10,000 barrels per day (bpd) by the end of the 2010s.

The revamped agreement was crafted under Venezuela’s recently overhauled Hydrocarbon Law, which introduces a series of pro-business incentives while curtailing state control over the energy sector.

Under the new law, minority partners can directly manage oilfield operations and sales, whereas in the prior framework that was PDVSA’s exclusive prerogative. Additionally, private companies can have royalties, income tax, and other fiscal contributions slashed at the government’s discretion as well as bring eventual disputes to international arbitration bodies.

In March, Eni, alongside Spain’s Repsol, inked a contract to further development of the Cardón IV offshore natural gas project. The European companies each own 50 percent stakes in the venture and recently announced plans to increase output by roughly 10 percent in the short term.

Eni, which has around 30 percent of its shares owned by the Italian state, is also a minority stakeholder in Petrosucre, a joint venture that operates the Corocoro offshore oilfield. In 2025, the ventures with Eni participation produced an average of 64,000 barrels of oil equivalent per day.

Alongside Eni and Repsol, Chevron and Shell have likewise struck new deals in recent weeks under the favorable conditions of the hydrocarbon reform. Chevron increased its stake in the Petroindependencia joint venture, while its Petropiar project with PDVSA was assigned a new drilling block in the Orinoco Belt. For its part, Shell will take over light and medium crude projects in Eastern Venezuela and several offshore natural gas initiatives.

The acting Rodríguez administration has actively courted foreign investment into the South American country’s energy and mining sectors, with leaders openly acknowledging the incorporation of “suggestions” and “recommendations” from Western conglomerates into the recent reform.

Alongside multiple delegations of corporate executives, Rodríguez has also hosted Trump officials, including Energy Secretary Chris Wright and Interior Secretary Doug Burgum, ahead of the recent hydrocarbon and mining reforms.

Last week, newly appointed US Chargé d’Affaires John Barrett stated that Washington’s goal is to “place the private sector at the center of Venezuela’s transformation” during a meeting with the Venezuelan-American Chamber of Commerce and Industry (VENAMCHAM).

On Monday, Barrett was a keynote speaker at a Venezuelan Oil Chamber (CPV) event and hailed US “innovative investment” as the key to “turn Venezuela into a global energy hub.”

Since the January 3 military strikes and kidnapping of Venezuelan President Nicolás Maduro, the Trump administration has issued multiple licenses to facilitate the return of Western conglomerates to the Venezuelan energy and mining sectors.

The licenses mandate that all royalty, tax, and dividend payments be made into accounts run by the US Treasury. Caracas and Washington recently announced the hiring of external auditors to oversee the flow of the US-controlled Venezuelan resources.

Edited by Lucas Koerner in Fusagasugá, Colombia.

April 16 (Asia Today) — South Korea will begin receiving 27 million barrels of alternative crude oil in June, part of a broader effort to stabilize energy supplies and diversify import sources amid disruptions linked to conflict in the Middle East.

The Ministry of Trade, Industry and Energy said the shipments are part of crude secured by a presidential envoy team, with additional policy measures being introduced to support refiners facing supply uncertainty.

A senior ministry official said the envoy team secured about 223 million barrels of alternative crude, excluding 50 million barrels previously allocated from Saudi Arabia. Of that, 27 million barrels are scheduled for shipment beginning in June.

The earlier 50 million barrels are expected to be shipped in April and May through the Red Sea port of Yanbu, with confirmation from Saudi Aramco that deliveries will proceed as planned, the ministry said.

South Korean refiners had faced disruptions despite existing contracts, as shipments were affected by instability and constraints linked to the Strait of Hormuz, a key global oil transit route.

The envoy delegation has secured a total of about 273 million barrels of crude from countries including Kazakhstan and Saudi Arabia. Of that, roughly 250 million barrels from Saudi Arabia – which accounts for about one-third of South Korea’s crude imports – are expected to be delivered by the end of the year.

Officials said the government has already secured about 118 million barrels for April and May combined, indicating no immediate risk to domestic supply. Remaining volumes are expected to be shipped sequentially through the end of the year.

In parallel, the government is introducing measures to help refiners diversify import sources. For crude imported between April and June, authorities will ease requirements for refunds of the petroleum import levy and temporarily expand refund limits.

The ministry said it simplified freight cost calculations using an international benchmark index and removed restrictions on shipment volume, duration and frequency. It also temporarily lifted caps on freight cost compensation for diversified imports to expand financial support.

The program is backed by about 127.5 billion won (approximately $95 million) in funding, based on estimated demand from domestic refiners.

Officials said broader reforms may be considered if the situation persists.

The ministry also pushed back against claims that fuel consumption has increased following the introduction of a price cap. Data showed that weekly gasoline and diesel sales fell in five of seven weeks from late February to mid-April compared to the same period last year.

From mid-March to mid-April, after the price cap took effect, total fuel sales declined 12.4% year-over-year, the ministry said, urging observers to focus on overall trends rather than short-term fluctuations.

— Reported by Asia Today; translated by UPI

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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260416010005112