Something bizarre is happening off the coast of Galveston, Texas. Were you to look toward the sea in the Texas port town, you’d be subject to a oceanic traffic jam of epic proportions. Ships carrying oil have gathered along the coast in the Gulf of Mexico in such great quantities that ships approaching the port have been asked to move toward the town slowly in an attempt to ease the burden.
This phenomenon is directly tied to the huge amounts of oil stored internationally and in floating container ships across the world. As oil prices fall, stockpiles of the resource are going through the roof, and governments and companies don’t have anywhere else to store it.
This could cause the price of oil to fall catastrophically further, as supply far exceeds demand for the time being.
To see the full report on this strange occurrence, continue reading on the next page:
There is a long line of ships everyday waiting for a pilot to guide them through the channel. I live here and it is an everyday thing. Ships aren’t allowed to guide themselves through the ship channel. They have to wait for a pilot.
Houston easily has at least 20 million barrels on offshore standby. Map as of Jan 26 2:30CST. Red marks represent tankers.
This has been going on for years … All this oil is out there in these “floating storage containers” … There is many many many more of these out there too …
Certainly a sign of more serious things to come. I enjoy cheap gas just like the next guy don’t get me wrong, but it seems whenever consumers get to enjoy a price break as this, it is always followed by the complete opposite- a hike, and at a greater deviation from the norm- almost as if we are being back charged for the cheap gas we received. Yes I know, get in line and drink the koolaid like everyone else. Bye
If they are loaded someone painted the water line wrong.
Just wondering if the price is down, wouldn’t that drive sales up, increasing demand? They said it’s a common case of supply and demand, but that doesn’t really make sense when the price is falling. Not trying to be a troll, or argumentative. Can someone clue me in?
next week there will be an oil shortage and gas back to 5.00 a gallon. And we will believe that too.
I just want to know why anyone would try to develop a long term plan for sustainable growth as a company based on a non renewable resource and why on earth would you trade it on the stock market?
They are renting mega tankers to sit and store oil.
They should have learned April 16, 1947 when the whole place blew up in the worst maritime accident in history .