Crude Oil Price as per July 1, 2026

US refiners Phillips 66, Citgo, Valero seek to buy crude directly from Venezuela

Phillips 66, Citgo seek to purchase directly starting in April, Valero later in the year, bypassing the trading houses to get a bigger share of the spread.

HOUSTON, Feb 18 (Reuters) - U.S. refiners Phillips 66 and Citgo Petroleum are seeking to buy heavy crude directly from Venezuelan state oil company PDVSA starting in April to maximize profits, rather than purchasing through trading houses and U.S. oil major Chevron (CVX.N), according to sources familiar with the efforts.

Trading houses Trafigura and Vitol in January secured the first U.S. licenses to export Venezuelan oil as part of a $2 billion deal between Caracas and Washington. Chevron has held an authorization to operate there and ship crude since last year.

Phillips 66 (PSX.N), one of the biggest U.S. refiners, is seeking compliance and internal clearance to purchase directly from PDVSA, three sources said. Once the company is ready, it plans to charter tankers to load the crude at PDVSA's terminals, one of the sources added.

The company bought Venezuelan oil from Vitol last month at

New Russian Oil Co. Sanctions

On Wednesday night, the US Department of the Treasury's Office of Foreign Assets Control hit Russia's two largest oil exporters, Rosneft PJSC and Lukoil PJSC, with sanctions. The move raises the stakes for buyers of their barrels, principally refiners in China, India and Turkey.

Rosneft PJSC and Lukoil PJSC, together with Surgutneftegas PJSC and Gazprom Neft PJSC, blacklisted in January, accounted for almost 70% of Russia's crude exports — around 3.1 million barrels a day — in the first half of the year.

If just half the Russian barrels covered by sanctions are curtailed, that could push the global oil market next year from a surplus of 700,000 barrels a day into a deficit, according to Bloomberg calculations using forecasts from the Organization of the Petroleum Exporting Countries.