Folks are getting mighty creative out there with proposed solutions to the oil and refined products storage shortfall. Midstreamers are leasing capacity on their pipelines. Producers are chartering tanker ships. The Strategic Petroleum Reserve has become Hotel Crude. It’s not lost on us that the storage situation has become an acute supply-and-demand offshoot of an acute supply-and-demand crisis. So not surprisingly, housing supplies in the current environment is quickly becoming a cottage industry and those with tanks or underground salt caverns have just been crowned prom queen. Reese Energy Consulting today is following the latest news from midstream suppliers—and those with incredulous ideas—looking to hop aboard the storage biz. First up, mobile crude oil storage companies that deliver tanks to the wellsite like a Grub Hub takeout order. Next, oilfield water providers reimagining their ethos. Next, fuel-bladder manufacturers making hay with their blow-up mattress products. Next, the shut-in-place and bored offering up their swimming pools. Remember, in the 1860s crude was transported in whisky barrels.
Posted on May 13, 2020