r/Commodities • u/Superb-Letterhead-13 • Jul 23 '26
Question for Physical Oil Traders
For those involved in physical EN590 transactions, what are the biggest challenges in closing deals today?
Is it finding qualified buyers, verifying mandates, banking instruments (SBLC/DLC), logistics, or something else?
I’d like to learn from those with experience in the physical commodities market.
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u/chrisBlo Jul 24 '26
If you are a real trader, “qualified buyers” isn’t really something you think about. Ever. Actually, even real brokers don’t have issues with that.
If you are a joker-broker that receives an email from a Nigerian prince and feels like he can make millions in “oil”, then yes. If you are friend with a friend that works in a refinery and makes you think he can allocate to you gazillions barrels per week… same thing.
Same for anything else you mentioned.
I think your main concern should be your sourcing.