As of early May 2025, the crude oil trading relationship between the United States and Venezuela has undergone a major disruption, primarily due to recent geopolitical and regulatory shifts. The most pivotal development occurred in March 2025, when the U.S. Treasury revoked Chevron’s special license to operate in Venezuela. This license had previously allowed Chevron to export Venezuelan crude to the United States despite broader sanctions on the Maduro regime. The revocation was tied to the Venezuelan government’s failure to meet agreed electoral commitments. Consequently, Chevron has been instructed to wind down its operations entirely by May 27, 2025.
These policy changes are already clearly reflected in real-time oil flows data. According to the latest Signal Ocean data analytics, Venezuelan crude oil exports—categorized as “dirty cargo”—have plummeted in recent months. From a monthly high exceeding 8 million barrels in December 2024, volumes dropped sharply in April 2025. Notably, as of May 2, 2025, no export activity has been observed, suggesting a likely near-term halt in shipments following the Chevron wind-down. Over the monitored period (January 2023 to May 2025), a total of 137.7 million barrels were exported, with Chevron’s TAECJ Platform accounting for over 72% of these flows, highlighting the company’s dominant position in Venezuela’s export infrastructure.
The United States was the principal destination for this Venezuelan crude, receiving nearly 37% of all volumes. Key U.S. Gulf Coast ports—including Pascagoula (Mississippi), St. Charles (Louisiana), and Freeport (Texas)—absorbed the majority of these shipments. These destinations align closely with Chevron’s downstream refining and distribution network, confirming the direct link between U.S. refineries and Chevron’s Venezuelan operations. Additionally, almost all shipments used Aframax-class tankers (95.6%), a common vessel type for regional routes between the Caribbean and the U.S. Gulf Coast.
As Chevron exits Venezuela, the broader oil trade between the two countries continues to contract. Venezuelan crude exports declined by nearly 17% in April, with shipments to the U.S. falling notably, highlighting Chevron’s significant role in facilitating these flows. Looking ahead, Venezuela is increasingly turning to alternative markets, particularly China, as it adjusts to the decline in U.S. trade. The government has been engaging with Chinese refiners to expand crude exports, reflecting a broader shift in the country's energy strategy. This reorientation aims to sustain export revenues amid ongoing restrictions. While it remains uncertain whether Chinese demand will fully offset the reduction in U.S. activity, Venezuela’s oil sector continues to navigate a period of elevated uncertainty and constrained market access.
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Creating a sustainable world requires us to embark on a journey towards a zero emission future, where every step is a commitment to preserve our planet for future generations.
Albert Greenway
Environmental Scientist, Sustainability Expert
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Increased Use of Renewable Energy:
Shipping companies are embracing renewable energy sources to power onboard systems and reduce emissions during port operations. Solar panels and wind turbines are being installed on vessels to generate clean energy, reducing reliance on auxiliary engines, and cutting down emissions. Shore power facilities in ports allow ships to connect to the electrical grid, eliminating the need for onboard generators while docked.
Collaboration and Industry Partnerships:
Recognizing that addressing emissions requires collective action, shipping companies, governments, and organizations have formed partnerships and collaborations. These initiatives focus on research and development, sharing best practices, and promoting knowledge transfer. Joint projects aim to develop and deploy innovative technologies, improve infrastructure, and create a supportive regulatory framework to accelerate the industry's transition towards a greener future. The Zero Emission Shipping - Mission Innovation.
To pave the way for a greener future in shipping, the availability of alternative fuels plays a vital role in their widespread adoption. However, this availability is influenced by factors such as port infrastructure, local regulations, and government policies. As the demand for cleaner fuels in shipping rises and environmental regulations become more stringent, efforts are underway to improve the accessibility of these fuels through infrastructure development, collaborations, and investments in production facilities.
Liquefied Natural Gas (LNG) infrastructure has seen significant growth in recent years, resulting in more LNG bunkering facilities and LNG-powered vessels. Nonetheless, the availability of LNG as a marine fuel can still vary depending on the region. To ensure consistent availability worldwide, there is a need for further development of LNG supply chains and infrastructure. For biofuels, their availability hinges on production capacity and the availability of feedstock. Although biofuels are being produced and utilized in various sectors, their availability as a marine fuel remains limited. Scaling up biofuel production and establishing robust supply chains are imperative to ensure wider availability within the shipping industry.Hydrogen, as a fuel for maritime applications, is still in the early stages of infrastructure development. While some hydrogen vessels have been tested or introduced in the first quarter of last year, the infrastructure required for hydrogen production and distribution needs further advancement.
Ammonia, as a marine fuel, currently faces limitations in availability. The production, storage, and handling infrastructure for ammonia need further development to support its widespread use in the shipping industry.Methanol, on the other hand, is already a commercially available fuel and has been used as a blend with conventional fuels in some ships. However, its availability as a standalone marine fuel can still be limited in certain regions. Bureau Veritas in October 2022 published a White Paper for the Alternative Fuels Outlook. This white paper provides a comprehensive overview of alternative fuels for the shipping industry, taking into account key factors such as technological maturity, availability, safety, emissions, and regulations.
Creating a sustainable world requires us to embark on a journey towards a zero emission future, where every step is a commitment to preserve our planet for future generations.
Albert Greenway
Environmental Scientist, Sustainability Expert
Increased Use of Renewable Energy:
Shipping companies are embracing renewable energy sources to power onboard systems and reduce emissions during port operations. Solar panels and wind turbines are being installed on vessels to generate clean energy, reducing reliance on auxiliary engines, and cutting down emissions. Shore power facilities in ports allow ships to connect to the electrical grid, eliminating the need for onboard generators while docked.
Collaboration and Industry Partnerships:
Recognizing that addressing emissions requires collective action, shipping companies, governments, and organizations have formed partnerships and collaborations. These initiatives focus on research and development, sharing best practices, and promoting knowledge transfer. Joint projects aim to develop and deploy innovative technologies, improve infrastructure, and create a supportive regulatory framework to accelerate the industry's transition towards a greener future. The Zero Emission Shipping - Mission Innovation.
To pave the way for a greener future in shipping, the availability of alternative fuels plays a vital role in their widespread adoption. However, this availability is influenced by factors such as port infrastructure, local regulations, and government policies. As the demand for cleaner fuels in shipping rises and environmental regulations become more stringent, efforts are underway to improve the accessibility of these fuels through infrastructure development, collaborations, and investments in production facilities.
Liquefied Natural Gas (LNG) infrastructure has seen significant growth in recent years, resulting in more LNG bunkering facilities and LNG-powered vessels. Nonetheless, the availability of LNG as a marine fuel can still vary depending on the region. To ensure consistent availability worldwide, there is a need for further development of LNG supply chains and infrastructure. For biofuels, their availability hinges on production capacity and the availability of feedstock. Although biofuels are being produced and utilized in various sectors, their availability as a marine fuel remains limited. Scaling up biofuel production and establishing robust supply chains are imperative to ensure wider availability within the shipping industry.Hydrogen, as a fuel for maritime applications, is still in the early stages of infrastructure development. While some hydrogen vessels have been tested or introduced in the first quarter of last year, the infrastructure required for hydrogen production and distribution needs further advancement.
Ammonia, as a marine fuel, currently faces limitations in availability. The production, storage, and handling infrastructure for ammonia need further development to support its widespread use in the shipping industry.Methanol, on the other hand, is already a commercially available fuel and has been used as a blend with conventional fuels in some ships. However, its availability as a standalone marine fuel can still be limited in certain regions. Bureau Veritas in October 2022 published a White Paper for the Alternative Fuels Outlook. This white paper provides a comprehensive overview of alternative fuels for the shipping industry, taking into account key factors such as technological maturity, availability, safety, emissions, and regulations.
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