China Bought Some Venezuelan Oil From the US, Wright Says

Article content(Bloomberg) — China has bought some Venezuelan oil that was purchased earlier by the US, according to Energy Secretary Chris Wright.Sign In or Create an AccountEmail AddressContinueor View more offersArticle content“China has already bought some of the crude that’s been sold by the US government,” Wright told the media in Caracas, without giving details. “Legitimate Chinese business deals under legitimate business conditions” would be fine, he said, when asked about joint ventures in the country.Article contentWe apologize, but this video has failed to load.Try refreshing your browser, ortap here to see other videos from our team.Article contentThe global oil market was jolted in January as US forces swooped into Venezuela and seized former President Nicolás Maduro, with Washington asserting control over the OPEC member’s crude industry. Since then, traders have looked for signals about how export patterns may change, and how output may be revived after years of neglect, sanctions, and underinvestment.Article contentArticle contentThe South American country’s so-called “oil quarantine” was essentially over, Wright said on Thursday. Ahead of the intervention, the US blockaded the country’s oil flows with a vast naval force, and seized several vessels.Article contentTop StoriesGet the latest headlines, breaking news and columns.There was an error, please provide a valid email address.Sign UpBy signing up you consent to receive the above newsletter from Postmedia Network Inc.Thanks for signing up!A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againInterested in more newsletters? Browse here.Article contentRefiners in China — the largest world’s oil importer — were the biggest buyers of Venezuelan crude before the US move, with the bulk of the imports bought by private processors. Given those flows were sanctioned, they were typically offered with deep discounts, making them attractive to local users.Article contentChina’s Foreign Ministry didn’t have an immediate comment on Wright’s statements.Article contentAfter Maduro’s seizure, President Donald Trump said that Venezuela would turn over 30 million to 50 million barrels of sanctioned oil to the US, according to a post on Truth Social. In addition, Wright told Fox News in January that the US would not cut China off from accessing Venezuelan crude.Article contentSeveral Indian refiners have bought Venezuela’s flagship Merey-grade crude following the US action, and the government has asked state-owned processors to consider buying more Venezuelan and US oil. Exports have also made their way to other markets, including Israel.Article contentSome banks expect a revival in Venezuelan output over the medium term. Production could hit 2 million barrels a day within two to three years, Natasha Kaneva, head of commodities strategy at JPMorgan Chase & Co., told a Bloomberg Oil Markets Outlook 2026 event this week.Article contentIn December, Venezuelan supplies totaled about 896,000 barrels a day, according to the Organization of the Petroleum Exporting Countries.Article content—With assistance from Yongchang Chin and Dan Murtaugh.Article content(Updates to add data on output in final two paragraphs.)Article contentTrending BlackBerry cofounder Michael Lazaridis invests in Vancouver-based AI startup Innovation Trump privately weighs quitting CUSMA trade deal he negotiated Economy Subscriber only. These are the TFSA and RRSP tricks that can make you a fortune Subscriber only Personal Finance Garry Marr: Say no to a free lunch for your RRSP today, expect fewer menu options at retirement Retirement Turning self-employed Canadians into employers could add $24 billion to GDP, new report says Entrepreneur Share this article in your social networkCommentsYou must be logged in to join the discussion or read more comments.Create an AccountSign in Join the Conversation Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information. BlackBerry cofounder Michael Lazaridis invests in Vancouver-based AI startup Innovation Trump privately weighs quitting CUSMA trade deal he negotiated Economy Subscriber only. These are the TFSA and RRSP tricks that can make you a fortune Subscriber only Personal Finance Garry Marr: Say no to a free lunch for your RRSP today, expect fewer menu options at retirement Retirement Turning self-employed Canadians into employers could add $24 billion to GDP, new report says Entrepreneur