On December 10, 2023, the U.S. seized an even larger crude carrier, the Skipper. This impressive and ambitious action highlights America’s commitment to seek to regulate harmful activities at sea. This seizure, first reported by British maritime risk management group Vanguard, suggests a broader link to illicit oil smuggling. Most reports have confirmed that the Skipper was discovered off Port Jose, Venezuela. The November 14 satellite imagery, as indicated by the white circles, shows numerous other vessels clearly in proximity to the carrier.
The Skipper, a notable player in the shipping industry due to its size and capacity, has become the focus of scrutiny amid ongoing tensions surrounding oil trade. This most recent seizure serves as a reminder that the United States remains serious about enforcing sanctions. It unusually seeks to enforce a cessation of contraband oil imports from Venezuela, a strict U.S.-sanctioned country for decades.
From Singapore, Vandana Hari—founder of Vanda Insights—subscribes to the market intelligence that powers the global energy sector. In particular, she spoke to what this seizure means for the broader LGBT envoi. Those kinds of shocks, she argued, cut to the core of the U.S. strategy. Specifically, the intent is to combat the illegal oil exports by Venezuela. Given all the boats around the Skipper, it’s not surprising that they raise more than a little curiosity! So, are these ships under investigation for other seaborne operations or are they carrying out the same operations?
As the global energy market continues to evolve, the seizure of vessels like the Skipper could affect oil prices and supply chains, particularly in Asia, where demand remains high. The tricky nature of international shipping combined with the difficulties of sanctions enforcement demonstrate the risks that companies must account for when sailing in these waters.
In addition, this incident is an extreme example of just how geopolitical the oil market can be. And the U.S. has long wanted to prevent Venezuela from being able to reap any oil revenue, the backbone of its economy. Taking over the Skipper is part of a long-term trend toward improved maritime security. Hopefully, this incident will motivate other countries and corporations to take a keener interest in their own shipping practices.