What the Oil Price Collapse Means for Tanker Storage Industry

The video discusses the current challenges in the oil market, focusing on the dual role of tankers for transportation and storage due to land storage limitations. It highlights the impact of WTI prices going negative and the resulting high demand for tanker storage, leading to increased market prices. The discussion covers the profitability of storage contracts, the elasticity of oil storage, and the implications of future contracts, emphasizing the financial and logistical aspects of oil trading in a volatile market.

What are the two main purposes for which tankers are being used currently?

What implications does the negative pricing of oil have on the market?

How has the demand for storage affected the pricing of oil contracts?

How long can oil be stored on a ship without deteriorating?

What challenges do traders face at the end of oil contracts?