Oil Shipments Go Beyond the First Tranche
A continuing flow, not a one-time transfer
Venezuela will ship sanctioned oil to the United States on an ongoing, indefinite basis, according to sources close to the White House.
The U.S. president said Tuesday that Venezuela will turn over 30 million to 50 million barrels of sanctioned oil that will be sold at market prices. Sources said those barrels represent only the first tranche, with shipments expected to continue after that initial volume.
- Initial volume: 30M–50M barrels
- Structure: Market-priced sales
- Duration: Indefinite, per sources
Sanctions Rollback and U.S.-Controlled Proceeds
Selective relief, controlled settlement
Sources said U.S. sanctions against Venezuela would be selectively rolled back to enable the transportation and sale of the oil.
Proceeds from oil sales are expected to settle in U.S.-controlled accounts, with funds released back to Venezuela at U.S. discretion, according to the same sources.
The U.S. president said the proceeds would be controlled by the U.S. to ensure the money is used to benefit Venezuela and the United States.
Energy Secretary Confirms “Indefinite” Marketing of Crude
From stored barrels to ongoing production
Energy Secretary Chris Wright confirmed the plan Wednesday at a Goldman Sachs conference in Miami.
He said the U.S. will market Venezuela’s crude starting with “backed up, stored oil” and then continue indefinitely, selling production that comes out of Venezuela into the marketplace.
Sources also said crude that would have previously flowed primarily to China will now be rerouted toward the U.S., with shipments transported via storage ships to U.S. receiving docks.
Big Reserves, Smaller Current Output
Scale matters — but so does capacity
Venezuela has the largest proven crude oil reserves in the world and is a founding member of OPEC, but it is producing roughly 800,000 barrels per day, according to Kpler.
By contrast, the U.S. is producing about 13.8 million barrels per day.
WSA Take
This isn’t just an oil headline — it’s a control-and-cashflow framework. Indefinite shipments plus selective sanctions relief suggests a longer runway for U.S.-directed Venezuelan barrels, but the bigger story is who controls the proceeds and how quickly production can realistically scale from today’s levels. The market impact depends less on the first 30–50 million barrels — and more on whether infrastructure and investment follow through.
Read our recent coverage on Musk Downplaying Nvidia’s Self-Driving Push.
Explore more market insights on the WallStreetAccess homepage.
Disclaimer
WallStAccess does not work with or receive compensation from any companies mentioned. This content is for informational and educational purposes only and should not be considered financial advice. Always conduct independent research before investing.
