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Ageing terminals, blackouts and berths clogged with abandoned sanctioned vessels are throttling exports at 1.25 million bpd, frustrating Washington’s plan for a rapid recovery
Venezuela’s decaying oil export terminals are functioning as a de facto ceiling on the country’s rebounding crude production, with tankers waiting as long as 30 days to load because of ageing infrastructure, power failures and quality problems, according to shipping data, industry sources and documents reviewed by Reuters.
The bottlenecks are obstructing a U.S. plan to lift Venezuelan oil exports rapidly following a landmark agreement with global trading houses. Competition for port capacity appears set to intensify as many partners of state energy firm PDVSA prepare to market their share of output independently under new contractual terms.
Customers last faced comparable delays during the U.S. naval blockade imposed late last year — part of a campaign that culminated in the January 3 capture of then-President Nicolas Maduro. Interim leader Delcy Rodriguez has since adhered to Washington’s blueprint for reviving oil exports.
Yet in recent months PDVSA and its partners have been unable to push exports beyond 1.25 million barrels per day, even with rising output, drawdowns of stored crude and strong global demand, vessel monitoring data showed. When production peaked above 3 million bpd more than two decades ago, the country’s terminals handled over 2.5 million bpd, with vessels entering and clearing Venezuelan waters in under a week.
Slow transfers, mounting disputes
The loading problems are generating disputes over demurrage, crude quality and hull contamination, according to maritime documents, four sources and monitoring data.
“The speed of crude transfers from tanks to vessels is incredibly slow, which forces tankers to occupy docks for longer than their assigned loading windows,” a PDVSA source said, adding that arrivals discharging imports take longer still because of insufficient fuel storage capacity.
Venezuela’s oil ministry and PDVSA did not reply to requests for comment.
The congestion is visible in the dozens of tankers circling at anchorages, particularly off the Jose terminal on the northeastern coast, which handles roughly 70% of national exports. Company shipping reports seen by Reuters documented interruptions this year at Jose caused by equipment malfunctions, quality issues and power outages during loading and unloading.
Even firms with privileged berth access after decades of partnership with PDVSA, such as U.S. major Chevron, are seeking remedies — including requests for access to ports until now reserved for domestic shipping, sources said. Chevron did not respond to a request for comment.
Exports rise, but midstream lags
The export arrangement with Washington, extended several times, has allowed traders including Vitol and Trafigura to ship more than 140 million barrels of crude and fuel this year. Most cargoes have been destined for the United States, with others reaching markets that had gone years without Venezuelan barrels, including Europe and India, as sanctions ease.
But while Washington promotes a $100 billion energy reconstruction programme, the effort is concentrated on raising crude output. Midstream and downstream projects — among them repairs to terminals and refineries — are not being prioritised.
At two conferences in Houston this week, U.S. and Venezuelan officials welcomed the export recovery while acknowledging infrastructure constraints they said fresh investment could address. “We are today in a phase of recovery, but the infrastructure is there,” PDVSA vice president Jovanny Martinez told one gathering, conceding deficiencies and a need for improved reliability.
Between rust and leaks
The congestion at the Jose and neighbouring Pozuelos anchorages partly predates the current boom. Venezuela’s docks remain cluttered with remnants of the years of severe sanctions — blacklisted tankers that slipped in and have been unable to depart.
One, flying a false Guyanese flag, sits at PDVSA’s Guaraguao port in Puerto La Cruz, its hull and deck visibly corroded from a distance. Formerly named Syrma and used to carry oil to Cuba before being renamed Consul, it has remained there for two years, sheltering from a U.S. crackdown on dark fleets that produced seizures and arrests, according to shipping data and maritime databases.
Like many others, the vessel occupies berth space now at a premium, even as foreign companies attempt to reactivate idled terminals to expand exports. In mid-August, only two of Guaraguao’s seven docks were fully operational, a terminal worker said.
The scramble for capacity has driven many customers to terminals and ship-to-ship transfer zones where oil spills frequently stain tanker hulls, adding further delays and costs, the sources and documents indicate.
Payment terms tighten
PDVSA is increasingly being billed thousands of dollars in demurrage — the surcharge levied for each day a tanker waits beyond its allotted loading window — which it has agreed to settle only in crude.
The state company is also requiring new customers to pay for cargoes on delivery without credit, complicating invoicing when buyers claim surcharges or quality-related discounts, the sources said.
The migration of dozens of contracts to new terms under a sweeping energy reform that took effect in late July is expected to sharpen the contest for infrastructure. PDVSA, however, has made clear it intends to retain control of its terminals — including all cargo scheduling — at least for the time being.
