Crude Oil Prices Edge Higher Amid Venezuela Export Ban and Geopolitical Tensions

On Wednesday, May 28, 2025, Crude Oil prices ticked upward as investors assessed fresh supply concerns following new U.S. restrictions on Venezuelan crude exports. The modest gains, however, remained capped by expectations of increased output from OPEC+.

As of 03:45 GMT, Brent crude futures were up 25 cents, or 0.4%, trading at $64.34 per barrel. Meanwhile, U.S. West Texas Intermediate (WTI) crude rose 24 cents, also 0.4%, to reach $61.13 per barrel. At 10:05 AM, Brent Crude futures were trading up 0.47% to $64.39.

Why is Crude Oil Price Rising?

The uptick came after the Trump administration issued a revised authorisation for Chevron, barring the company from exporting oil from Venezuela.

In recent years, licenses granted to Chevron and other international firms have helped Venezuela's oil production recover slightly, reaching around 1 million barrels per day despite enduring heavy sanctions.

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Further supporting prices, concerns over new U.S. sanctions on Russia resurfaced. On Tuesday, President Trump publicly expressed dissatisfaction with Russian President Vladimir Putin over stalled peace talks in Ukraine, hinting that additional sanctions could be introduced as early as this week. This geopolitical tension added to fears of disrupted energy flows, particularly from Russia, one of the world's major crude exporters.

Upcoming OPEC+ Meeting

All eyes are on the upcoming OPEC+ meeting, where member nations are expected to consider a potential supply boost of approximately 4,11,000 barrels per day. Despite this, analysts caution that compliance with production quotas remains inconsistent among some OPEC members.

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