Super-Tanker Crisis Threatens Global Oil Trade
A shortage of super-tanker vessels and rising transportation costs are negatively impacting long-term crude oil trade, endangering global flows.
Rising petroleum transportation costs and a shortage of super-tankers worldwide are making long-haul crude oil trade economically unviable, threatening global energy flows.
Difficulties in Super-Tanker Supply
The inadequacy in the number of super-tanker vessels used in global crude oil transportation is leading to a significant supply contraction in the markets.
While finding giant chartered vessels in different regions of the world has become nearly impossible, this situation is driving up logistics costs.
The Cost of Long-Haul Trade
Surging freight prices and the scarcity of ships are pushing crude oil trade conducted over long distances to a commercially unsustainable point.
In this period when fuel markets have tightened considerably, logistical disruptions are increasing the risk of shipment interruptions.
Refineries' Search for Local Sources
The high cost and difficulty of bringing oil from afar are encouraging refineries to turn to supply sources in closer geographies.
Businesses, whenever they can find them, are turning to crude oil resources in nearby regions to try and avoid the transportation crisis.