Oil is so large that Glencore rents the world’s largest tanker to hoard oil at sea

Global oil prices have fallen to record lows as the Saudi-led oil price war has fallen. Although oil prices have risen in recent days, they are still below the $30/barrel mark. Against this backdrop, oil importers and traders around the world are struggling to import crude oil from oil-producing countries. The oversupply of oil stocks has forced global oil traders to find ways to store oil.

Oil is so large that Glencore rents the world's largest tanker to hoard oil at sea

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On March 20, Glencore, the world’s largest commodity trader, plans to spend $37,000 ($261,600) a day on large tankers to store oil at sea for a six-month lease,media reported.

It is reported that the super-large tanker is called Europe, one of the world’s largest tankers, carrying more than 320,000 tons, can transport 3 million barrels of crude oil in a single trip.

Oil prices have fallen as oil production has increased sharply and demand for oil consumption has fallen as a result of the outbreak. Oil traders are taking advantage of low prices to import crude oil, until then oil prices return to normal levels can be sold again profit.

At the same time, it’s not just Glencore that’s hoarding oil. Shell has also temporarily leased no less than three super-large tankers to store oil at sea for a period of at least three months. And Shell hires more than 2m barrels of oil per tanker.

Of course, in the face of global oil prices falling to freezing points, china has also stepped up its reserves of oil resources. According to the China Shipbuilding Industry Association, China sent 84 300,000-ton VLCC tankers to the Gulf region to buy oil, which is the world’s largest VLCC fleet, much larger than the world’s second largest VLCC owners total 43 VLCC tankers.

The giant tanker, Very Large Crude Carrier, or VLCC for short, refers to tankers with a tonnage of between 200,000 and 300,000 tons, which typically carry 2 million barrels of oil each, calculating that China’s 84 VLCC tankers can bring back 168 million barrels of crude oil at a time.