Venezuelan oil sees Chinese buyers step back as offers rise

Chinese buyers largely shunned offers for Venezuelan Merey crude this week as loadings to China fell amid a US naval blockade, and sellers raised offers with Merey offered about $13 a barrel below Brent versus roughly $15 a month ago.

Chinese buyers largely shunned offers for Venezuelan crude this week, the reports say. That shift comes as tighter US action has constrained exports and disrupted ship movements. Sellers raised offers for Merey crude while shipments bound for China fell last month. Analysts and data firms reported sizable volumes of sanctioned oil held in floating storage near Asia. Key points: - Bloomberg reports that Chinese buyers declined offers for Venezuela's Merey crude this week. - People familiar with the matter said Merey was offered at about $13 a barrel below ICE Brent, compared with roughly $15 a month earlier, and sellers have raised offers amid shipping disruptions. - Data intelligence firm Kpler estimated almost 82 million barrels of sanctioned crude, including Venezuelan oil, are on tankers off China and Malaysia. Summary: Chinese demand for Venezuelan crude has softened amid shipping and export constraints, while large volumes in floating storage may mitigate immediate shortages. Undetermined at this time.