Whilst fear of US sanctions still appears to be serving as a deterrent to international oil companies doing business with both Iran and Venezuela, the two countries are reportedly finding ways of helping each other resolve their oil-related problems associated with the sanctions imposed by the United States.
Towards the end of the Trump administration, Tehran emerged as a proverbial life-saver for Caracas, delivering oil to the South American republic in the teeth of a risk that their vessels could find confrontation in waters which Washington regards as part of its proverbial ‘backyard’.
The passage of time would appear to have realised a further consolidation of the relationship as these days, Venezuela is reportedly shipping jet fuel to Iran in the same vessels in which Iran delivers gasoline and spare parts for refineries in Venezuela. A recent Reuters report indicates that Caracas, which reportedly has excess aviation fuel, is only too happy to send some Iran’s way in exchange for gasoline which, from all reports, has now become ‘good gold’ in the country that once boasted of offering its citizens the cheapest gasoline anywhere in the world. Venezuela has been suffering from acute gasoline shortages in recent years as a result of US sanctions, which have cut off imports.