[Sixstrings]

$this->bbcode_second_pass_quote('', 'G')host in the Gulf: Why Did This Oil Tanker Disappear?

Oct. 23 (Bloomberg) -- A mysterious oil tanker has been sitting off the coast of Texas since late July. The ship holds Kurdish oil, which Baghdad contends is stolen goods. The Kurds say that it is theirs to produce and sell as they choose. While the two sides argue, the Kurds have found a way to go around Baghdad and sell their oil - make the ship disappear. (Source: Bloomberg)
http://www.bloomberg.com/video/oil-tanker-in-gulf-may-hold-the-key-to-kurdish-independence-wKDeqWZ9QGCdRFK5jr5z0Q.html?cmpid=otbrn.video

[ROCKMAN]

We do understand that the ship didn't really "disappear", right? All large vessels in the GOM are constantly under surveillance by the Coastwise and Homeland Security. Not that the care that much about Kurdish oil... it's all about drugs. Additionally there are a large number of private and commercial fishing vessels that can eye ball the tanker anytime they want. And for about $10,000 the film crew from any member of the MSM can fly out anytime they want to and take a thousand photos and hours of video of the tanker. In fact, given the hype around this story I find it very interesting we don't see the MSM doing just that.

I seriously doubt any one is trying to sneak Kurdish oil into the US without federal knowledge. What are the requirements for importing natural gas, oil, and/or petroleum into the U.S.? Petroleum and petroleum products are subject to requirements of the Department of Energy. You do not need a license to import these items, but you are required to file a form EIA814 with the Energy Information Administration. Since there would be mucho eyes observing the process it couldn't be kept a secrete. If that oil has made it to a US refinery I'm sure the feds are aware of the details.

[Sixstrings]

Right, yeah, common sense says that's impossible, just sneaking some oil into Texas lol.

Maybe I misunderstood that bloomberg vid rock, did you watch it? And there's no article to it. I never look at bloomberg, apparently they have "digital shorts" I don't know wth that is, do people have no time to read a real article anymore.

Anyhow just thought I'd share it, I'm like oh look something about oil I can post on topic for once.

(If I understand the video correctly, it says they turn the transponder off and that's how it "disappears?" And then the transponder goes back on and the ship pops up somewhere else and is "higher in the water" which is supposed to suggest the oil is offloaded.

But then the last line in the video says that particular ship is still sitting there in the gulf, "waiting to sell its oil in the US."

[Sixstrings]

Some more info:

$this->bbcode_second_pass_quote('', '[')img]http://fuelfix.com/files/2014/07/UnitedKalavryta_stbd-stern-306x173.jpg[/img]
The United Kalavryta, shown here in the Gulf in late July, remains anchored about 60 miles off Galveston's coast. (Courtesy: U.S. Coast Guard)

Iraq wants an international dispute over a tanker of crude floating for more than three months off Galveston’s coast to remain in U.S. courts because Kurdistan refuses to resolve the matter on Iraqi soil, according to recent court filings.

“It appears to be Iraqi Kurdistan’s position that no court in the world may adjudicate this matter,” Baghdad’s attorneys argued in court filings Thursday. “While the issues should be decided in Iraq, they certainly may be decided here.”

The Kurdistan Regional Government two months ago asked U.S. District Judge Gray Miller to dismiss Iraq’s pleases to seize more than 1 million barrels of contested oil, arguing that the case over who owns the cargo has no place in U.S. courts.

...

Meanwhile, Baghdad said it suspects that the tanker may have secretly offloaded some of its cargo in recent weeks. Their suspicions were stoked by comments made by Karwan Zebari, a congressional representative for the Kurdistan Regional Government, in a Bloomberg Businessweek article last month.

“It’s my understanding that some of the oil has been delivered,” the magazine quoted Zebari as saying. “Maybe 100,000 barrels or so.”

Iraq has claimed that the oil was stolen, smuggled out of the country through a pipeline to a Turkish port that bypasses the state oil company, which claims the right to broker all deals for Iraqi crude. The tanker remained anchored 60 miles off Galveston’s coast late Thursday, the last time it reported its position. Its draft hasn’t changed, indicating that if any 1 million barrels of oil aboard the ship were unloaded the amount wasn’t significant.
http://fuelfix.com/blog/2014/11/14/iraq-wants-tanker-dispute-to-stay-in-u-s/

[BobInget]

Ballast water can easily refill empty oil tanks. It's against CC laws to discharge ballast in ports. That vessel could eventually leave looking as
full as when it arrived. Indeed if oil prices were what they were in July'
it would have sailed months ago.

[ROCKMAN]

But the fact remains that no US refinery will buy any oil that doesn't have a documented and "clear title". Yes: all oil refined in the US has a title trail just like every home or car. And no buyer wants to end up with a disputed title. Imagine buying car and finding out that the person you bought it from falsified the title. The actual owner shows up and the court forces you to give the car back or pay for it... again. Your only recourse is to go after the guy that sold it to you. US courts don't have jurisdiction over Iraq oil floating in tanker on the high seas. But if that oil lands in the US our courts have absolute jurisdiction over it. And every potential buyer here knows that and understands they'll be held accountable for any "irregularities".

We don't go into oil patch title work in much detail here because it's seldom an issue that pops up that few here care about. But "title analysis" is a huge aspect within the industry. Hundreds of $millions have been spent over the years doing title searches. There's an entire industry that does nothing else but title work. And still there are many hundreds of title disputes that pop up every year. There are law firms that focus solely on title issues.

Buying oil with a potential "title flaw" is something US refiners would be very hesitant to do.