There’s More Oil Floating At Sea

6 Replies to “There’s More Oil Floating At Sea”

1. Is there any way I can play the stock market to bet on pirate futures? Perhaps BC Ferries can get into the oil pirate business and do away with those annoying gas surcharges forever.

2. try this link
   http://tinyurl.com/5fra4z

3. Now the question is … when will environmentalists get upset that tankers are storing oil rather than just acting as transports. I don’t ascribe to most of what they preach, but surely a land based holding facility would be better suited to doing this. In fact, we can probably turn GM, FORD and Chrysler around, by having them create the facility rather than building cars.

4. Great article
   I half expected to see a picture of a vacationing speedo wrapped Alphonse Gaglianno floating in the ocean off the coast of Sicily.

5. Storing oil in tankers?
   Hey, isn’t that the same the thing the CWB does when they store our grain in the rail cars spotted around WestCan?

6. No Hobbes, oil tankers are best. They are purpose built for storing crude. Land-based facilities are invariably salt-domes where there is a certain amount of seepage and interaction with adjacent mineral deposits (which contaminates the crude). They are also expensive to construct and don’t have a dual use, like carrying oil around the globe, when demand picks up.
   Actually, the most significant part of the story was in the Bloomberg piece, investors playing the contango stand to make an 11% return by purchasing prompt oil and selling futures for delivery in Dec 09. Better than the TSX with a lot less risk (purchaser default is really the only downside).