Particle.news
Download on the App Store

U.S. Operation in Venezuela Imperils Russia’s Oil and Arms Stakes

Analysts warn Russia’s Venezuela bet now looks like a costly liability.

Overview

  • Russia’s state oil vehicle Roszarubezhneft asserted that its Venezuelan holdings are the property of the Russian state.
  • Estimates cited by reporters point to exposure in the billions, including roughly $17 billion in loans since 2006 and an arms credit with about $3 billion outstanding that was pushed to 2027.
  • President Vladimir Putin has not commented publicly, while the foreign ministry called for Nicolás Maduro’s release and urged talks between Washington and Caracas.
  • U.S. authorities have seized multiple sanctioned tankers since December, including Bella 1 and Olina, driving up transport costs and widening discounts on Urals crude, which Argus priced near $34 per barrel versus a Russian budget assumption of $59.
  • Trade with Venezuela remains small at about $200 million in 2024, reflecting a relationship driven largely by geopolitics, and a reported U.S. push to revive Venezuelan output to target $50 oil faces feasibility doubts from energy experts.