Venezuela and Iran Use ‘Dark Fleet’ to Evade Oil Sanctions
Venezuela and Iran have used their “dark fleet” to continue exporting oil in defiance of United States sanctions, according to a June 8 report by OilPrice.com. “Dark fleet” is a term used for transport vessels that hide their locations in order to move illegal oil cargoes.
After Russia’s invasion of Ukraine, the U.S. and its allies sanctioned Russia’s petroleum exports in order to weaken Russia and its trade allies economically. Since then, the volume of oil vessels avoiding identification has increased significantly.
Dark fleet expands: As U.S. sanctions intensified, the emergence of the dark fleet offered a solution to continue exports of crude Iranian and Venezuelan oil. According to a Reuters investigation, the number of tankers clandestinely shipping Iranian crude oil increased to 300 in March 2023 from 70 in November 2020. According to latest estimates from maritime AI company Windward, there are now a total of 1,100 vessels in the dark fleet. Around 32 percent of these are crude oil tankers, and another 20 percent are oil product vessels.
Venezuela’s national oil company, Petróleos de Venezuela, S.A. (pdvsa), has greatly benefitted from this emerging dark fleet, as the country is slowly restoring its economy through the oil industry. Earlier this year, Reuters stated that pdvsa paid double the market price to lease 41 tankers in 2022 to ship Venezuelan crude oil.
Restoring oil economy: After strict U.S. sanctions, weaker oil prices, and a lack of skilled labor, the Venezuelan petroleum industry almost collapsed in 2020. However, the pdvsa was able to rebuild its oil infrastructure and production with the help of Iran, Russia and China.
According to data from the Organization of the Petroleum Exporting Countries, Venezuela pumped an average of 810,000 barrels per day during April 2023, which is more than double the record low of 390,000 barrels per day in July 2020. The reconstruction of Venezuela’s oil industry has been essential in restoring its economy and helping its allies continue trading oil despite heavy sanctions.
The Trumpet says: Watch as relations between Venezuela and Iran continue to improve as they counter American interests. Bible prophecy indicates that multiple nations will strengthen their economic ties to lay siege on the United States in a trade war.
Learn more: Read “America Is Being Besieged Economically.”
