PIF Energy, an energy trader based in Dallas, has announced a plan to purchase up to 15 very large crude carriers (VLCC) worth $2 billion. The company has recently initiated efforts to secure transportation capacity for oil through the Strait of Hormuz.
Details of the Tanker Purchase Program
PIF Energy, founded and led by Ben Morrow, operates in the trading of crude oil and refined products. The company is engaged in supplying fuel to refineries, governments, and industrial customers, with operations extending across the Gulf, Europe, and the Middle East. The company's goal in purchasing tankers is to secure the necessary capacity for transporting oil from Iraq and other Gulf producers to markets in Asia and Europe.
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PIF Energy's Goals and Outlook
PIF Energy is also seeking opportunities in Iraq and has held discussions with the country's Ministry of Oil for collaboration in the upstream sector. The company is particularly focused on acquiring second-hand tankers and believes that by owning and operating transportation capacity, it can help connect crude oil supply to refinery demand and support the continuous provision of shipments.
The company expects to complete its initial purchase program within 3 to 4 weeks, subject to the availability of vessels and necessary due diligence. However, none of the specific vessels intended for purchase have been identified, and details regarding the financing of the $2 billion program have not been disclosed.
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