Empty supertankers reveal truths about today's oil market - Vanguard News Nigeria

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Empty supertankers reveal truths about today’s oil market vanguardngr.com vanguardnews

In normal times, the vessels would be filled with heavy, high sulfur Middle Eastern oil for delivery to refineries in Houston or New Orleans. Not now though.

The 12 vessels are making voyages of as much as 21,000 mi direct from Asia, all the way around South Africa, holding nothing but seawater for stability because Middle East producers are restricting supplies. Still, America’s booming volumes of light crude must still be exported, and there aren’t enough supertankers in the Atlantic Ocean for the job. So, they’re coming empty.

The U.S. both exports and imports large amounts of crude because the variety it pumps — especially newer supplies from shale formations — is very different from the type that’s found in the Middle East. OPEC members are likely cutting heavier grades while American exports are predominantly lighter, Patterson said.

 

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