‘Oil storage is vaporising’

OSLO: US-listed Overseas Shipholding Group said it expects all tankers used for storing crude to be released due to the tightness in the oil market amid the conflict in Libya.

"We're expecting all ships that have been used for storage to be released due to the tight market because of what's happening in Libya, so it's obvious that storage is vaporising," Overseas Shipholding Group CEO Morten Arntzen told Reuters on the sidelines of a seminar.

"The only tankers used for storage right now are the ones that the ITC (International Tanker Corporation) has, there are no GLCCs or Suez-max being used for storing crude oil. There is one VLCC storing jet fuel in Singapore, that's all."