The search for storage… Reuters

Devika Krishna Kumar, Reuters, has a nice piece, here, highlighting the intensive search for storage facilities in an oversupplied market:

“Storage rates at Cushing, doubled over the past month, and were seen as high as about 50 cents per barrel per month by Friday, two traders familiar with the matter said. Storage for about 540,000 barrels at Plains All American’s Cushing tanks for sublease was offered at 50 cents per barrel (cpb) for a term of one year, one source said.”…

“Nearly 38 million barrels are currently parked there, half the about 76 million barrels in capacity. The rest of U.S. storage is at smaller tank farms or refining facilities. Inventories at Cushing rose more than 640,000 barrels in the week through Friday, traders said, citing data from market intelligence firm Genscape.”