More than half of the 22 oil tankers in Venezuela, the country with the world’s largest oil reserves, are in such poor condition that they need immediate repair or decommissioning, according to an internal report by Venezuela’s state oil company, PDSVA. .

In a classified document obtained by Reuters journalists, entitled “Critical deficiencies and risks for PDV Marina’s fleet of oil tankers”, it is stated that years of delays in technical work have led to a “reduced level of reliability” of the entire fleet and serious risks of spills and fires. , collisions, took water on board or even sank.

“Currently, the vessels do not have airworthiness classification and certificates from the flag countries,” says the report from March this year.

This is just one of a series of 8 documents obtained by Reuters detailing the precarious state of Venezuela’s oil tanker fleet, compiled by various units of the PDSVA and the authorities in Caracas, all compiled between January and March of this year.

In addition to the status of tankers, the reports detail the cost of leasing foreign-flagged vessels and the status of new shipbuilding contracts in Argentina and Iran.

Billions of dollars in oil exports have disappeared in Venezuela

An analysis by PDVSA’s commercial arm shows that a deteriorating tanker fleet has forced the state-owned company to lease ships in other countries to export oil, which the Caracas government provides with much of the foreign exchange it needs amid a massive devaluation of oil. bolivar, the national currency of Venezuela.

The reports were compiled after the country’s President Nicolas Maduro ordered a series of corruption investigations last October after billions of dollars that were supposed to go to the state budget from oil exports were discovered to have gone missing.

As a result of the investigations, more than 60 people were arrested, and the CEO of PDVSA and the country’s oil minister were replaced.

One of the reports recommends decommissioning 5 tankers, sending 7 more to the shipyard for overhaul and installation of missing equipment, including communications and firefighting equipment.

Reuters notes that none of the recommended actions have been taken so far, and an internal audit is still ongoing.

Venezuela is forced to rent oil tankers, even though it has the largest oil reserves in the world

The same report shows that 5 oil tankers in PDVSA’s fleet are at least 30 years old, exceeding their recommended service life, and that the last major fleet maintenance was 5 years ago.

“The oil tanker fleet is showing a decline in the quality of its operations due to increased physical wear and tear, leading to higher maintenance and repair costs. The plans to send oil tankers to the shipyard were greatly affected by the lack of payments with them and suppliers,” the message reads.

The documents also show that PDVSA chartered at least 41 vessels last year, paying between $14,000 and $36,500 a day, roughly double the market rate, to persuade companies to sign contracts with it despite sanctions imposed by the United States.

A PDVSA official told Reuters that inspections ordered by Maduro’s new CEO, Petro Tellecea, who will lead the oil company, could cause further delays.

“All contracts are frozen,” he said on condition of anonymity, fearing the consequences.

Nicolas Maduro assured that Venezuela can replace Russia on the world market

According to the documents, Venezuela paid shipyards in Iran and Argentina at least $300 million for six new vessels under contracts signed in 2005, but received only two of them.

Last September, Nicolas Maduro said Venezuela was ready to “supply the world” with oil and natural gas “stable and safe” in the context of an explosive rise in prices due to the war in Ukraine.

Nicolas Maduro has said his government has “fixed” its oil industry, which has seen production hit historic lows after years of disinterest in investment and lack of maintenance.

“Venezuela is ready and willing to fulfill its role and supply the oil and gas market that the world economy needs in a stable and safe manner,” the head of state said during an event organized during the visit to Caracas of the Secretary of Venezuela. Director General of OPEC Haitham al-Ghais.

In 2019, the US imposed a series of sanctions against Caracas, including an embargo on Venezuelan oil, after Nicolas Maduro was re-elected to a second term in 2018 in elections boycotted by the opposition and marked by serious irregularities.