Venezuela roils ANS
 Click here to go to the full PDF version of this issue, with any maps, photos or other artwork that appears in
some of the articles.
Glut worries overpower large surprise draw on U.S. crude inventories
Steve Sutherlin for Petroleum News
Alaska North Slope crude plunged $1.03 Jan. 6 to close at $61.57 per barrel as traders pondered the U. S. invasion of Venezuela in terms of its potential to add to world supplies under U.S. management -- offsetting the geopolitical risk narrative that had previously lent support to prices. West Texas Intermediate plunged $1.19 on the day to close at $57.13 and Brent plunged $1.06 to close at $60.70.
On Jan. 7, crude futures continued lower. WTI plunged $1.14 to close at $55.99, and Brent dropped 74 cents to close at $59.96. The ANS closing price for Jan. 7 had not been released by the Alaska Dept. of Revenue as Petroleum News went to press Jan. 8.
On Jan 6, ANS closed at a premium of $4.44 over WTI and at an 87-cent premium over Brent.
The United States will control sales of sanctioned Venezuelan oil "indefinitely" and ease restrictions on the country's crude in global markets, the White House said Jan. 7, adding that sales would start with 30 million to 50 million barrels with revenue controlled by the U.S. government.
"We need to have that leverage and control of those oil sales to drive the changes that simply must happen in Venezuela," Energy Secretary Chris Wright said.
The White House said the proceeds of crude sales would go to benefit Venezuela and the United States.
On Jan. 5. ANS jumped 80 cents to close at $62.60, WTI leapt a dollar to close at $58.32, and Brent leapt $1.01 to close at $61.76.
In the raid on Venezuela Jan. 3, the country's former president Nicol- s Maduro was arrested in Caracas and extradited to face drug, weapon, and narco-terrorism charges in the United States.
On Jan. 2 -- the first trading day of 2026, trading was muted as the market searched for direction in the wake of a U.S. campaign to strike alleged Venezuelan seaborne drug smuggling vessels and seize tankers carrying sanctioned crude, as peace efforts in Ukraine wavered.
ANS inched 5 cents lower on the day to close at $61.80, as WTI and Brent each edged 10 cents lower to close at $57.32 and $60.75 respectively.
Surprise U.S. inventory fall fails to lift price Crude prices fell Jan. 7 despite a large surprise drawdown of U.S reserves.
U.S. commercial crude oil inventories for the week ended Jan. 2 -- excluding Strategic Petroleum Reserve levels -- decreased by 3.8 million barrels from the previous week to 419.1 million barrels -- 3% below the five-year average for the time of year, according to data released by the U.S. Energy Information Administration in its weekly petroleum report Jan. 7.
Crude stocks had been expected to have fallen by 900,000 barrels, per the average estimate in a Wall Street Journal analyst survey.
Gasoline and distillate reserves, however, surprised to the upside.
Total motor gasoline inventories increased by 7.7 million barrels over the week to 242.0 million barrels -- 3% above the five-year average for the season, the EIA said. Distillate fuel inventories increased by 5.6 million barrels over the period to 129.3 million barrels -- 3% below the five-year average for this time of year.
Gasoline levels were anticipated to have risen by 2.8 million barrels according to the WSJ poll, while distillate fuel stocks were predicted to see a 700,000-barrel rise.
ANS fell 66 cents Dec. 31 to close at $61.85, while WTI fell 53 cents to close at $57.42, and Brent plunged $1.03 to close at $60.85.
On Dec. 30, ANS gained 9 cents to close at $62.51, WTI fell 13 cents to close at $57.95, and Brent slid 6 cents to close at $61.88.
ANS shed 94 cents from its Dec. 30 close of $62.51to its close of $61.57 on Jan. 6.
| 