The International Energy Agency (IEA) has yet to assess the impact of the latest U.S. sanctions on Venezuelan oil supplies, its executive director said on Jan. 30.
Rating agency Fitch downgraded the credit rating of Mexican state oil company Pemex on Jan. 29, sending the peso currency falling in early trading in Asian markets.
Government seeks to free up $580 million to boost company’s sagging production.
Venezuela’s oil exports to the United States remain the primary cash resource for its state-owned oil company, and efforts by the U.S.to cut off that revenue would likely force it to send crude to China, India or other Asian countries.
Plus, QEP Resources recently engaged Evercore to explore a sales process following a surprise takeover bid by activist investor Elliott Management in early January.
In the short term, a potential war makes the crude oil situation dicey at best.
The Trump administration ratcheted up pressure on Venezuela's President Nicolas Maduro on Jan. 23, announcing U.S. recognition of the country's opposition leader as interim president and signaling potential new sanctions against its vital oil sector.
Refined products are stockpiled following closure of fuel pipelines.
Mexico’s government has ordered pipelines shut to limit losses from fuel theft.
Venezuelan state oil firm PDVSA has signed a deal with little-known U.S. energy firm Erepla, partly owned by a prominent Florida Republican, to help increase the socialist-run country’s plummeting crude oil output, the company said.