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Tank Cars for Storage

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  • Member since
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  • From: Texas
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Tank Cars for Storage
Posted by PJS1 on Thursday, April 2, 2020 7:06 PM
There is too much oil on the markets.  It is so bad that many producers cannot find a place to store it.  So, according to an article in Bloomberg, they are looking to store it in railroad tank cars.
 
Opportunity?  Risks? 

Rio Grande Valley, CFI,CFII

  • Member since
    December 2001
  • From: Northern New York
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Posted by tree68 on Thursday, April 2, 2020 8:52 PM

It's a finite resource - there's only so many suitable cars.

And there might be a NIMBY issue.  Some folks in the Adirondacks took exception to empty (but still placarded) cars stored there a couple of years ago...

LarryWhistling
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  • Member since
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  • From: Georgia USA SW of Atlanta
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Posted by blue streak 1 on Friday, April 3, 2020 7:57 AM

Put it in the strategic petroleum reserve.

  • Member since
    January 2019
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Posted by Erik_Mag on Friday, April 3, 2020 1:31 PM

blue streak 1

Put it in the strategic petroleum reserve.

 

Makes perfect sense but unfortunately that has been blocked as part of the most recent corona virus bill.

  • Member since
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Posted by MidlandMike on Friday, April 3, 2020 9:09 PM

Erik_Mag

 

 
blue streak 1

Put it in the strategic petroleum reserve.

 

 

 

Makes perfect sense but unfortunately that has been blocked as part of the most recent corona virus bill.

 

They could rent out capacity.

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