Exxon Baton Rouge Refinery Set to Process Venezuelan Oil, Sources Report

• The Baton Rouge refinery has a processing capacity of 522,500 barrels per day
• Operations would mark the resumption of Venezuelan crude processing after a sanctions-related hiatus
• Exxon has not yet provided official comment on the reported plans

Summary: Exxon Baton Rouge Refinery Set to Process Venezuelan Oil

Key Development:

Exxon Mobil is preparing to process Venezuelan crude oil at its Baton Rouge, Louisiana refinery, marking a significant shift in operations following the easing of sanctions on Venezuela.

Facility Details:

The Baton Rouge refinery has a processing capacity of 522,500 barrels per day. The facility previously processed Venezuelan heavy sour crude but ceased operations with Venezuelan oil after sanctions were imposed on the country.

Market Context:

This development comes amid broader changes in U.S.-Venezuela oil relations. Related Reuters reports indicate Venezuela is reopening wells to recover crude production, while the U.S. has filed warrants to seize dozens of Venezuela-linked oil tankers. Additionally, a Canadian oil executive has proposed assisting with Venezuela's oil revival.

Company Response:

Exxon Mobil has not yet provided official comment on the reported plans, according to sources familiar with plant operations.

Market Implications:

The resumption of Venezuelan crude processing at a major U.S. refinery signals potential normalization of oil trade between the two countries. This could:

• Diversify Exxon's crude supply sources
• Impact heavy sour crude pricing dynamics
• Reflect broader geopolitical shifts in U.S.-Venezuela relations
• Affect global oil supply chains as Venezuelan production potentially increases

The move suggests sanctions relief may be expanding access to Venezuelan crude for U.S. refiners, which could influence regional refining margins and crude oil pricing structures, particularly for heavy sour grades.