Pier Pressure

The proposed project to expand Pier 400 – Berth 408 in the port of Los Angeles has engendered a fair bit of media coverage recently and begged questions as to the potential impact on the tanker market and the surrounding environment. Although it will not be the first berth capable of accommodating Very Large Crude Carriers (VLCCs) on the United States West Coast, the commencement of the project could yield material impacts on the overall traffic patterns, demurrage and turn around time for vessels moving into the Port of Los Angeles. However at present, it is difficult to see the imminent need for expanded berth capacity given the tepid economic climate. Regardless, the increasing role of imported crude oil in meeting US West Coast demand raises awareness about the potentially fragile supply scenario over the long-term. Download here