China Has Nowhere to Store Oil

By Marko Vidrih on The Capital

Opportunities for oil storage are almost exhausted in China after the spring procurement of cheaper raw materials, reports specialized analytical portal Oilchem ​​China.

Last week in China crude oil storage capacities reached 69%. Crude oil reached 33.4 million tons, which is 24% more than in the same period in 2019.

Analysts believe the level of 70% is the maximum possible for storage. So, there are not enough free tanks in Shandong province. Tankers in its ports waiting for two to three weeks to unload.

In May, oil imports in China grew by 19.5% and reached 47.97 million tons. Over the year, total oil imports amounted to 216 million tons.

Chinese authorities allowed a number of companies to expand storage capacities, and some sellers were allowed to export.

Author: Marko Vidrih

Featured image credit: Unsplash

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