Chapter 382: Hoarding tens of millions of tons of oil for fun
Soon, Soros sent the information about the strategic petroleum reserves, combined with the information Su Ming purchased in the Eye of God, Su Ming knew that he had no hope at all, as long as the other party could continue to influence the US political axe to release the strategic petroleum reserves, then oil prices could not rise at all.
There is a strict standard for the use of the strategic petroleum reserve of the United States, although the power used by the name belongs to the president, but under normal circumstances, the Department of Energy can make a decision and report to the president for approval, but after the reserves are less than 500 million barrels, it is not the Department of Energy that has the final say if they want to use them, and they must be strictly reviewed by the federal political axe and approved by the International Energy Organization, but now the reserves of the United States are already at a historical high of 6.1 billion barrels, in other words, the other side has at least 100 million yuan of room to release.
For example, although China's oil production is also the fifth highest in the world, it is an oil importer, so only about 30 million barrels of 63 million barrels are sold in the market.
Don't look at a little 100 million barrels is just more than three days of production, but oil is a long-term demand resource, basically all the oil supply chain is relatively stable, let alone a little 100 million barrels, that is, if you put more than 2 million barrels into the market a day, oil prices will be like taking laxatives, in order to stop the decline in oil prices, OPEC's production cut plan is only 2.3 million barrels per day, and it is average to all countries.
Su Ming originally had plans to destroy the U.S. strategic oil reserves, for the sake of the five billion U.S. dollars, even if it was worth offending the United States, but as soon as Su Ming saw the intelligence, he immediately extinguished this thought, it turned out that the strategic oil reserves of others were not built as Su Ming thought, they were all large oil depots.
Instead, the oil is directly discharged into the ground, in the United States Texas, Louisiana and Mississippi three states underground, buried hundreds of millions of barrels of high-quality crude oil, these large oil caves, not dug out, turned out to be a large underground salt mine group, water to salt off and pumped out, and then oil into it, when used to inject water into the oil discharge.
This storage method is safe and high, not easy to be destroyed, hidden deep in the ground is not afraid of fire, nor afraid of explosion, these large cave groups, the reserves of each cave are about 10 million barrels, and the caves are interconnected, due to the willingness of the drop and temperature, the oil is still flowing in the cave, after seeing this oil reserve plan, Su Ming couldn't help but marvel at the whimsy of others, who came up with this method.
Texas, Louisiana and Mississippi are the oil industry regions of the United States, where almost all of the oil industry is concentrated, and it is close to the Gulf of Mexico, where oil transported by ocean-going tankers can be easily injected into the ground, and this storage method is extremely low-cost, without the construction cost of large oil depots, and there is no expenditure on security.
Su Ming has no way, he has two billion dollars from Libya at the bottom, and once he closes the contract at hand, it is estimated that he will lose much money, but he can't hold his breath, since his debut, Su Ming has not suffered such a big loss, five billion dollars, more than a year ago, basically all his net worth, and what is wrong with this money, just give it to others for nothing.
But no matter how hard Su Ming thought about it, there was no way to reverse the current situation, the other party's capital power was more than enough to deal with his own alliance, and he had the strategic oil reserve in his hand, what other way could he do?
In the end, Su Ming still decided to admit defeat, taking advantage of the fact that the price is still above the high level, taking the opportunity to deliver the contract in his hand is the right thing, and then wait for the price to fall, he will lose more, Su Ming picked up the phone and prepared to call Hanks, but he didn't get through for a long time.
Hey, what is this kid doing, can't he be holding the phone and talking to others on the phone, right? No, I didn't hear that this guy has this habit and hobby, Su Ming just put down the phone in his hand, and the phone rang, and when he saw that it was Hanks calling, Su Ming realized that it must be that the two of them were constantly calling each other's phones to cause the situation just now.
"Mr. Su, just now Mr. Soros came over and proposed to find someone to get the Ministry of Energy not to release oil reserves to the outside world, but the other party proposed a return of one billion dollars, what do you think?" Hanks asked respectfully, he didn't dare to make decisions for Su Ming anymore, plus the 500 million given to Soros, 5 billion dollars is equivalent to spending one-third of it before it arrives, because he didn't shoot it for nothing, and he still has a part of the five billion dollars.
After Su Ming heard the news, his eyes immediately lit up, if the Ministry of Energy no longer put oil on the market, with the original situation, it would basically be a thin line away from 25 US dollars, and what he had to do now was to invest some more money to raise the price of oil again.
For what Hanks said, it's not that there is no possibility, just like the old man Mao said, "There is no party outside the party, imperial thought, no faction in the party, and there are all kinds of strange things", as big as a country, as small as an organization, it may be a monolith, and the other party can influence the American political axe, so other people can do the same, don't look at a billion dollars, but if you can get a billion just by exerting your influence, this business is still very cost-effective.
Just like Soros, why did he intervene in this matter, because compared to a big action like the Asian financial crisis, the risk this time is not big, and the time is short, and it doesn't need to do too much preparation, that time on the surface it seems that Soros made billions, but what really fell into his hands, but it was only a few hundred million dollars, but he spent a year and a half preparing for the entire operation, and also used various resources, if the goal can be achieved this time, then the income is not lower than last time, so Soros is so enthusiastic.
It's not profitable, why should Soros come to help Su Ming for no reason, although the two sides are collaborators in the financial crisis, but they just act together, and everyone earns their own, so Su Ming has no gratitude for Soros, and this time he launched a relationship to find someone, just for the sake of the five billion dollars.
Su Ming immediately asked Hanks to agree, and at the same time mobilized a billion dollars of funds to invest in it again, this is already the only fund that Su Ming can use, and if he mobilizes it again, he will have to use Su's corporate cash reserves, in addition, there are 1.7 billion US dollars that are ready to be paid to Namibia, which is still in Su Ming's hands, and it is really impossible to fill in this money, Su Ming really doesn't believe it, how much money can the other party come up with.
In this operation, Su Ming's side also has an advantage, that is, the leverage ratio of Brent crude oil futures is much higher than that of New York oil futures.
However, after all, Su Ming's strength has a huge gap with the other party, so the two sides have once again formed a situation that cannot hold each other, this side is a little higher, and that side is vigorously suppressed, and the average price of oil in the two places has been fluctuating back and forth between twenty-two and twenty-three, and there is still a long distance from the average price of twenty-five, so it can no longer be pushed up.
In the end, Su Ming even invested the 1.7 billion US dollars, but it provoked a small wave, and the average price briefly rushed to 23 US dollars, and then quickly fell again, at this time Su Ming's hands were already empty-handed, Hanks also told Su Ming that it would have no effect to continue to invest funds, and he had to think of other ways.
What else is there to think about, these oil-producing countries that can be affected have already been affected, and they can't fight Libya again, or let people simply stop oil exports, but Su Ming quickly thought that reducing the amount of oil on the market can not only reduce production, but also increase the amount of purchases, how can he forget it.
But Su Ming can't go to the purchase by himself, it's not that he has no money, the key is to store the purchased oil there, this is a big problem, a tanker is tens of thousands of tons, hundreds of thousands of tons, no matter how big the oil depot is, it can't accommodate it, what should I do, Su Ming easily thought of his own country from the strategic petroleum reserves of the United States, as if he hadn't heard of this mechanism? Su Ming directly picked up the phone and found Prime Minister Tie.
"Hehe, I thought you forgot the country behind you." Tie Rongsha seems to have expected Su Ming's request for help, Su Ming's movement is so big, it has long been noticed by many countries, but people are just playing according to the rules in the formal capital market, and no one can say anything.
"Tell me, how much are you going to borrow?" Being Su Ming's creditor for a while made Tie Rongsha very happy, always asking for each other, and finally Su Ming asked for himself, Tie Rongsha was still very satisfied.
"Borrowing money? I don't borrow money. Su Ming's intention was not to borrow money, and listening to Tie Rongsha's tone Su Ming was a little uncomfortable, he didn't need to go to the state to borrow money at any time, those who had been slapped in the face didn't know how to say anything about themselves, besides, Su Ming couldn't listen to Tie Rongsha's tone, as if he had asked him.
"What do you want to do without borrowing money?" Tie Rongsha asked strangely.
"Can you borrow some space?" Su Ming originally wanted to cooperate with the country to build a strategic oil reserve, but when the words came to his lips, Su Ming suddenly changed his mind, and it was better to hoard oil by himself, just to find a safe place in the country.
"Borrow a place? What do you mean? Tie Rongsha felt as if he understood something, but he was not quite clear.
"I'm going to stock up on tens of millions of tons of oil, and I want to find a place in the country and sell it when the price of oil rises." Britain and the United States and other countries like to use the barrel as a unit, China likes to use tons, one ton of oil is basically equal to about seven barrels, Su Ming said that tens of millions of tons are basically hundreds of millions of barrels, but if you convert it into money, it is only a few billion dollars.
(To be continued)