"Do you hope that oil prices will stop falling and the situation will stabilize?"
Park Jin Hyuk seemed to understand something.
However, Li Zhongwu replied:
"No, if oil prices have bottomed out, I plan to stockpile some crude oil."
"What?"
Park Jin Hyuk looked at Lee Jong Moo in confusion.
"When oil prices plummeted more than 20 years ago, some people used very large crude carriers (VLCCs) to do this."
"What exactly is going on with what you're talking about?"
"It's about using large tankers to store crude oil, buying it when it's cheap, and selling it when the price rises, profiting from the difference. The key to this operation is accurately predicting oil price trends."
"Is this method feasible? Is it used frequently?"
"Not much, because oil prices are so unpredictable and hard to predict. If oil prices go up, I'll make money, but if they go down, I could lose everything."
During the first Gulf War in 1991, the British Andy Hall pioneered this method of using tankers to store oil. He made huge profits by buying low and selling high, and was therefore honored as the "God of Crude Oil" in the industry.
After that, this trading method was developed into a specialized arbitrage method.
However, this method involves huge risks and requires huge investment, and is not something most people would dare to adopt.
"Honestly, Shanming's abilities are limited. Dongjing Industry isn't doing well right now. The domestic market is too competitive, and the overseas situation is like this. I'd like to develop some new businesses, but I'm old and my brain isn't working anymore."
Having said that, Li Zhongwu sighed.
"So I thought, if I could accurately predict oil price trends, I'd take a gamble and make some money to improve the company's cash flow, but... now it seems that this idea has also failed."
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