Why Oil Traders Love Saldanha Bay

Fascinating story on Bloomberg on Saldanha Bay (South Africa, by Cape Town):

Saldanha is currently able to hold as much as 45 million barrels, enough to fill more than 20 large tankers. By comparison, Cushing, the better-known U.S. oil storage center in Oklahoma that serves as the pricing point for the West Texas Intermediate oil benchmark, can hold about 75 million barrels.

And here's the kicker: 

Following the contango bonanza, in late-2017 traders soldoil stored at Saldanha as prices more than doubled.

https://www.bloomberg.com/news/articles/2018-05-29/africa-s-hidden-oil-hub-grows-after-making-millions-for-traders

 

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