Oslo - Norway’s marine insurance company Skuld warns the shipping industry against the consequences of the sanctions toward Venezuela. “Whilst some of the sanction provisions are inherently vague, and possibly subject to change,” writes a company’s press release, “their effects on operations are nevertheless already being felt.”
A significant ramping up of US sanctions took place on 28 January 2019 with the designation of Petróleos de Venezuela as a Specially Designated National, a company whom U.S. citizens and permanent residents are prohibited from doing business. This includes entities in which Petróleos de Venezuela owns, directly or indirectly, a 50 percent or greater interest, subject to some limited relief for Petróleos de Venezuela ’s US subsidiaries CITGO and PDV Holdings.
Vessel owners or operators who have contracts directly with Petróleos de Venezuela, or its subsidiaries, will be affected. The sanctions will likely impinge most directly upon vessels already on charter to Petróleos de Venezuela, or any subsidiary, to carry cargoes to the US, and more particularly those vessels already loaded.