Venezuela is cutting oil production due to US export embargo repercussions, impacting its principal revenue source. PDVSA requested joint ventures to scale back output, with Chevron’s special license exempting some shipments. Production setbacks may affect refining and domestic fuel supplies, challenging the interim government’s stability efforts. Onshore storage capacity is nearing its limit, forcing PDVSA to use tankers as floating storage. Venezuela’s daily output dropped from 1.1mbbl in November to nearly 500,000bpd in December due to US measures. Tankers at the Jose port aren’t loading oil for export or domestic use.

Read more at Yahoo Finance: Venezuela to reduce oil production amid US export embargo pressures