Lots of optionality contained within real assets give the oil majors an advantage as they aggressively trade around these… Javier Blas, Bloomberg has a nice piece on in house trading results, here…
“Inside Big Oil, it was also a trading bonanza. Although better known for their oil fields, refineries and pump stations, Shell, BP and Total also run in-house trading businesses that are larger than the better-known independent dealers. Shell alone trades the equivalent of 13 million barrels a day of oil, dwarfing the nearly 7.5 million barrels a day at Vitol.
For BP and Shell, 2019 was one of the best years ever in trading, making several billions dollars, according to two people familiar with the matter. Shell alone made at least $1 billion in fuel-oil trading linked to the IMO2020 changes.
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