Venezuela Reinvigorates Crude Export Scene with DCO Resumption

Venezuela has resumed exporting diluted crude oil (DCO), a key crude grade, after a hiatus since late 2024. The export could deplete vast inventories. The crude, a mix of Orinoco Belt heavy oil and imported naphtha, is well-received by refiners in the U.S. and India.

Venezuela has reignited its role in the global oil market by resuming exports of a crucial crude grade, the diluted crude oil (DCO), state energy company PDVSA confirmed in a recent document.

Last shipped in late 2024, the DCO is produced by blending Orinoco Belt's extra heavy crude with imported heavy naphtha. The resumption is set to relieve the stockpile of millions of barrels of this blend.

The blend remains a favorite among refiners situated in nations like the United States and India, underscoring Venezuela's pivotal contribution to the global energy sector.