For oil traders, there’s no place quite like Saldanha Bay.
So says Bloomberg reporter Paul Burkhardt in a recent article on the site.
According to Burkhardt, storage facilities at Saldanha Bay provide traders with the option of holding on to oil stocks when prices have dipped.
The secluded port north of Cape Town is possibly one of the biggest oil hubs in the world and storage facilities will soon be expanded, he explains.
Saldanha began as a storage facility... It has become a place where oil traders keep oil.— Paul Burkhardt, Bloomberg reporter
In recent years, it did pay off for traders to store oil and wait until the oil price gets higher.— Paul Burkhardt, Bloomberg reporter
It currently has the capacity to store 45 million barrels [of oil].— Paul Burkhardt, Bloomberg reporter
Take a listen to dive into his findings: