us seizes oil tanker: US seizes largest oil tanker off Venezuela coast—here’s how oil prices and international relations will be impacted
President Donald Trump confirmed Wednesday that the United States had seized an oil tanker off the coast of Venezuela; This move immediately intensified political tensions and caused oil prices to soar. “We just seized a tanker off the coast of Venezuela, a big tanker, very big, actually the biggest tanker ever, and there’s some other stuff going on,” Trump said. Asked what will happen to the oil on board, he added: “I think we’ll keep it.”
ALSO READ: How to watch Kevin Costner’s ‘The First Christmas’ Special for free? Here’s everything you need to know
What did Trump say about the seized tanker?
The operation signals a tougher approach to Venezuela’s oil industry, the country’s main source of revenue. According to a report by Reuters, it is also the first known action against a tanker since Trump ordered a major US military build-up in the region and launched attacks on suspected drug vessels; has been the subject of scrutiny from legal experts and Democratic lawmakers.
ALSO READ: What does 67 mean, who made the 67 meme and why is it so popular?
Where was the tanker stopped?
Three unnamed US officials said the US Coast Guard was directing the operation but did not provide details about the tanker’s flag or its exact location. However, British maritime risk management group Vanguard reported that the ship believed to have been seized was Skipper. According to a report by Reuters, Washington had previously sanctioned the tanker for its alleged involvement in Iranian oil trade, where it operated under the name Adisa.ALSO READ: Ellen DeGeneres and Portia De Rossi left the UK and returned to the US, saying country life was too boring
Satellite data and internal PDVSA shipping records reviewed by TankerTrackers.com show Skipper departed Venezuela’s main oil port of Jose between 4 and 5 December after loading heavy crude oil at Merey.
How did the market react to the operation?
Oil futures rose as news of the seizure spread. Brent crude oil rose 27 cents to $62.21 per barrel, while US West Texas Intermediate crude oil closed at $58.46 per barrel, up 21 cents. According to Reuters, Venezuelan President Nicolas Maduro, speaking at the commemoration march, did not mention the incident.
ALSO READ: Mysterious 3I/ATLAS spacecraft from US to Australia pushes countries into urgent space threat exercises
Venezuela exported more than 900,000 barrels a day last month, its third-highest monthly average of the year, as PDVSA increased naphtha imports to dilute its extra-heavy crude. According to a report by Reuters, Washington has so far not directly intervened in the country’s oil shipments, leading analysts to question how the move would affect future exports.
ALSO READ: Cause of death of Jeff Garcia: What happened to the voice of Sheen from Jimmy Neutron, who died at the age of 50?
FAQ
Which tanker was reported to be seized by the USA?
The tanker is believed to be Skipper, according to shipping group Vanguard.
How did the seizure affect oil prices?
Following the news, Brent and WTI crude oils rose 0.4 percent.
