After oil prices crashed with the financial crisis of 2008, investors put 90 million barrels of crude into floating storage. (fortune.com)
This has led traders to take oil off the market — in some cases by leasing supertankers for extra, floating storage capacity — in hopes that they will be able to sell it back later at a higher price. (fortune.com)
Narrowing contango and the Brent backwardation are also helping crude in floating storage to draw down, with an estimated 40 million barrels drop in storage since the beginning of the year. (oilprice.com)