● Covered by 1 source · 1 reportMedium impact1 negative
Poland's Orlen energy group lost $230 million in cryptocurrency attempting to buy Venezuelan oil
Key points
- Orlen sought to buy 6 million barrels of Venezuelan oil using USDT.
- Intermediary Hannon lost $230 million during crypto exchanges and transfers.
- USB drives with USDT were handed directly to alleged Venezuelan representatives.
- Polish oil tankers incurred demurrage fees while awaiting oil that never arrived.
Failed Oil Purchase and Cryptocurrency Loss
In 2023, Poland's state-backed Orlen energy group attempted to purchase 6 million barrels of Venezuelan oil during a sanction reprieve. The transaction involved using the USDT stablecoin, with Orlen engaging an external company, Hannon, to facilitate the purchase through UK firm Lexcor Energy.
Hannon converted $245 million into USDT, adding $15 million of its own funds. However, during multiple exchanges, $230 million worth of cryptocurrency became unaccounted for. One $135 million exchange yielded only 85 million USDT, resulting in a $50 million loss, and a $30 million exchange also vanished, though some was later returned.
Direct Handover to Alleged Scammers
Weeks of delays ensued, with Hannon blaming Venezuelan energy company PDVSA. A Hannon representative traveled to Venezuela with USDT stored on USB drives in cold wallets. In Venezuela, 60 million USDT was handed to a purported representative of Synergy, a local energy corporation. After further delays and a picture of a supposed PDVSA export schedule, another 50 million USDT was handed over to Synergy's representative.
Financial and Operational Consequences
The total loss for Orlen and Hannon amounted to $230 million. Throughout the ordeal, three Polish oil tankers remained anchored in Venezuela, incurring millions in demurrage and port fees due to the extended charter period. The incident underscores the significant financial risks and vulnerabilities associated with complex cryptocurrency transactions, particularly when dealing with intermediaries and in regions with high fraud potential.
✨ This summary was generated by AI from the outlets' reporting listed below. It is not independently verified and may contain errors — check the original sources. How BrevFeed works →
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Reporting from
Poland's state-backed Orlen energy group lost $230 million in USDT cryptocurrency during a failed attempt to purchase Venezuelan oil in 2023. The funds were lost through a series of transactions involving intermediaries and alleged scammers, highlighting the risks of using cryptocurrency for large-scale, complex international dealings, especially in sanctioned environments.