Oil Traders Line Up $7 Billion in Credit to Weather War Turmoil

The world’s biggest commodity traders are lining up billions of dollars in new credit lines as they position for further price spikes in oil and gas that could trigger giant margin calls.

Vitol Group, Trafigura Group and Gunvor Group have all been holding talks with banks to raise new credit lines in recent days as the Iran war sparks dramatic price swings across energy markets. Trafigura on Tuesday announced it had secured a $3 billion credit facility to provide a “liquidity buffer, if required during a period of heightened commodity price volatility.”