Venezuela?s tanker expansion

Following yesterdays announcement that China State Shipbuilding Corp. and China Shipbuilding Industry will be building 18 crude oil tankers for Petróleos de Venezuela (PDVSA), Venezuela has ordered another 24 new tankers to support its oil exports from 2006 to 2012. These other newbuildings will be constructed in Argentina, Brazil and other countries.

Venezuela’s stated policy is to increase its exports of crude and refinery products to China as part of a strategy to diversify markets. PDVSA is expected to increase exports to the Asian market, up to 300,000 barrels per day (bpd) from the current amount of 160,000 bpd.