U.S. Markets closed
  • S&P 500

    +57.82 (+1.62%)
  • Dow 30

    +454.97 (+1.54%)
  • Nasdaq

    +156.15 (+1.31%)
  • Russell 2000

    +35.23 (+1.94%)
  • Crude Oil

    -0.12 (-0.27%)
  • Gold

    +1.40 (+0.08%)
  • Silver

    +0.02 (+0.09%)

    +0.0008 (+0.0714%)
  • 10-Yr Bond

    +0.0250 (+2.92%)
  • Vix

    -1.02 (-4.50%)

    +0.0007 (+0.0494%)

    +0.0090 (+0.0086%)

    -19.03 (-0.10%)
  • CMC Crypto 200

    +7.56 (+2.04%)
  • FTSE 100

    +98.33 (+1.55%)
  • Nikkei 225

    +348.15 (+1.33%)

BP Charters Oil Storage Tanker at 2020's Lowest Daily Rate

Zacks Equity Research
·2 min read

BP plc BP has booked a supertanker for storing crude oil off the coast of Malaysia, per Reuters. The British energy giant has managed to charter the oil tanker at the lowest rate of 2020 till now, added the source.

At a daily rate of $20,500 for three months, the integrated energy major has chartered the very large crude carrier (VLCC), per the source. The company also reportedly has an option for the extension of the contract for an additional three months at a daily rate of $22,000.

In April, the per day booking rate of a VLCC for a period of six months was $120,000 to $130,000, according to the source. The rate hit the high mark since, with the plunge in oil price owing to the coronavirus pandemic, traders rushed to store oil to be sold at a later date. Through the second and third quarters, more than 1 billion barrels of oil were reportedly stored.

Now, with the continuation in production cut by OPEC members and a slowdown in demand recovery for crude oil, there has been a drastic fall in demand for oil tankers, leading the daily rate to decrease significantly.

BP p.l.c. Price

BP p.l.c. Price
BP p.l.c. Price

BP p.l.c. price | BP p.l.c. Quote

BP currently carries a Zacks Rank #4 (Sell).

Meanwhile, better-ranked players in the energy space are Pioneer Natural Resources Company PXD, Concho Resources Inc. CXO and Murphy Oil Corporation MUR, each holding a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Pioneer Natural has seen upward earnings estimate revisions for 2020 in the past 30 days.

Concho is likely to see earnings growth of 21.6% in 2020.

Murphy’s 2020 bottom-line estimates have been revised upward over the past 30 days.

5 Stocks Set to Double

Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Pioneer Natural Resources Company (PXD) : Free Stock Analysis Report
Murphy Oil Corporation (MUR) : Free Stock Analysis Report
Concho Resources Inc. (CXO) : Free Stock Analysis Report
BP p.l.c. (BP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research