Focus Washington: Vitol Inc. President Mike Loya Discusses Global Oil Trading and the Challenges of the High Seas

Following hearings held by the U.S. Senate Committee on Commerce, Science & Transportation, and the U.S. Senate Armed Services Committee, Focus Washington’s Karen Hanretty interviewed, in Houston, Mike Loya, president and CEO of Vitol Incorporated.

Mr. Loya discussed how the company approaches international challenges when transporting oil. In the interview, Mr. Loya illustrates the work of Vitol Inc., the American arm of the Vitol Group, in moving beyond news cycles and public crises to perform the company’s core business of moving physical crude oil and oil products around the world and bringing together buyers and sellers. He said that Vitol operates in an agile fashion in many countries around the globe, in accordance with local and international laws.

During the Armed Services hearing, several members of the Senate expressed concern about how to protect companies from threats of this nature. Senators noted that the commercial shipping industry is in part responsible for managing this situation.

“Pirates are nothing new; they’ve been around as long as ships have been used to transport goods,” said Mr. Loya. “Vitol’s job is to move products and crude oil from the markets where it’s produced to the markets where it’s needed. We have to face every challenge and find a way to move the product. Our employees are experts in moving oil and dealing with threats, so I know we can cope with pirates. Professionally dealing with these and other logistical challenges, Vitol Incorporated imported more than 40 million barrels of gasoline into the USA from overseas in 2008.”

From the company’s North and South American headquarters in Houston, Texas, Mr. Loya leads a team of some of the most experienced traders in the industry. The company is well versed in dealing with international issues to provide consumers and businesses with the physical energy needed to compete. In addition to crude oil and oil products, Vitol has growing businesses in power, natural gas, coal, biofuels and carbon emissions.

Watch the interview below…