The United States has seized a large oil tanker off the coast of Venezuela, marking a major escalation in tensions between Washington and Caracas. President Trump confirmed the operation, saying, "We've just seized a tanker on the coast of Venezuela, large tanker, very large, largest one ever seized actually". He then went on to warn that "other things are happening so you'll be seeing that later." When asked what the U.S. would do with the tanker, the President responded, "We keep it, I guess... I assume we're going to keep the oil."
U.S. authorities, including the Coast Guard, FBI, and Homeland Security, executed a seizure warrant, boarding the tanker by helicopter. The vessel, identified by maritime sources as the Panama-flagged “Skipper” (formerly named “Adisa”), had been under U.S. sanctions for several years for its alleged role in transporting Venezuelan and Iranian crude via a shadow oil-shipping network tied to Hezbollah and the Islamic Revolutionary Guard Corps-Quds Force.
According to tracking data, the tanker had recently loaded heavy crude at Venezuela’s Puerto José. U.S. officials say the seizure is part of an intensified campaign of maritime interdiction by Washington, a strategy that appears to be expanding the use of naval power beyond sanctions, with the objective of targeting illicit oil trade and networks tied to sanctioned regimes.
In Caracas, the government of President Nicolás Maduro condemned the seizure, branding it “a blatant theft” and an act of “international piracy.” The Venezuelan statement argued that the move was part of a “deliberate plan to plunder our energy resources,” and vowed to defend the country’s sovereignty, natural resources, and national dignity, while calling on international bodies to denounce the U.S. action.
The move comes on the back of the U.S. releasing its latest national security strategy, which, among other things, emphasizes a strong U.S. influence in Latin America. President Trump's focus on Venezuela has included blowing up alleged drug boats in the Caribbean Sea, raising questions over the legality of those strikes.
There are reportedly over 30 U.S.-sanctioned oil vessels doing business in Venezuela that may now be reconsidering setting sail from Venezuela in the coming days.
Markets reacted promptly, with oil prices rising on the prospect of a major disruption to Venezuelan crude flows, particularly heavy sour grades that feed refiners. After the initial shock, however, oil prices dropped back with Brent trading down 0.10% at $62.15 while West Texas Intermediate futures were 0.05% at $58.43.
Markets will be watching closely to see if Trump's claim that "other things are happening" proves to be yet another escalation.
In related news, Venezuela's opposition leader has come out of hiding to claim her Nobel Peace Prize in Oslo, climbing over the barricades to get close to her supporters. With Trump having reportedly given Maduro an ultimatum to relinquish power during their recent call, this seizure will echo far beyond oil markets.
By Josh Owens for Oilprice.com
