Venezuelan Heavy Crude Commands Premium Over Canadian Barrels on U.S. Gulf Coast

U.S. Gulf Coast refiners are seeing Venezuelan Merey-16 crude offered at a premium to competing Canadian heavy barrels, underscoring shifting dynamics in the heavy sour crude market. Traders reported Merey-16 being quoted for Gulf Coast delivery at about a $6-per-barrel discount to Oil – Brent Crude futures, a narrower discount than West Canadian Select at Houston, effectively pricing Venezuelan supply more richly. The tighter spread suggests resilient demand for Venezuelan grades as refiners look to optimize yields and manage sulfur constraints, even as broader benchmarks like Oil – US Crude and Brent remain supported by ongoing supply discipline and geopolitical risk.

Over the past month, Oil – US Crude has advanced about 7.92%, while Oil – Brent Crude has gained roughly 8.38%, reflecting firm sentiment across the global oil complex and reinforcing the relative value of heavy sour barrels such as Merey-16 and Canadian grades. From a short-term technical perspective, both US Crude and Brent currently show a 1-day signal of Buy and Buy, respectively, indicating near-term bullish momentum that could continue to influence pricing differentials between Venezuelan and Canadian supplies on the Gulf Coast. Investors can explore more updates, prices, and analysis across global markets at Commodities.