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Question:

Who buys Crude oil by the barrel ?

Who buys Crude oil by the barrel ?

Answer:

If you drive in the southern part of Mexico, you will see oil and gasoline being delivered by the barrel on the back of flatbed trucksMany remote areas have fluids of all kinds delivered this way If we buy refined oil or chemicals in the oilfield, it is likely delivered by the barrelThere are many pickup trucks running around with a small crane looking lift on the back specifically designed to lift a barrel of liquidA barrel is the largest quantity one person can handle, by rolling it around on its edgeBut having re-read your question, you may not be asking about the metal container called a barrel at all Pipelines and bobtail drivers and transport ships all buy oil by the barrelInvestors buy oil by the barrelOil futures traders buy one contract that covers 1,000 bblIt is measured in the production tanks at the oil well in barrels, and sold to a refiner in barrels, then loaded onto a tank truck for transportIt is transported by train and measured and bought and sold in barrelsIt would be easier if I were to ask you who buys crude oil in anything other than barrelsI'm not aware of any except for the end user at the local Wal-Mart, except that would be refined oil rather than crude oil.

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