deepwater ports

There’s a reason why more than half a dozen midstream companies and joint ventures are clamoring to build deepwater loading terminals on the Gulf of Mexico: because it’s a major pain to load Very Large Crude Carriers (VLCCs) any other way. These days, the standard operating procedure for loading the vast majority of VLCCs along the Gulf Coast involves a complex, time-consuming and costly process of ship-to-ship transfers called reverse-lightering, in which smaller tankers ferry out and transfer crude to VLCCs in specified lightering areas off the coast. Today, we ponder the current dynamics for U.S. crude exports via VLCC.