Oil refineries are often close to oil deposits.
The term oil depot refers to a facility specifically intended to store crude oil derivatives that generally serves as a place where products can be stored pending onward distribution to distributors and ultimately end consumers. As can be expected from any large, purpose-built industrial facility, an oil depot typically has many storage areas for products, including tanks that can be built underground or aboveground within the facility. As part of the strategic positioning application, the oil depot can be built in the vicinity of an oil refinery that processes or refines oil into different products including kerosene and other products such as diesel.
Crude oil is stored in oil reservoirs.
The process by which an oil tank receives oil is varied and does not depend on a single method. For example, depending on the location of the depot, you may receive your oil supply from tankers, which are typically trucks equipped with tankers that allow them to transport the oil from refineries to the specific oil depot that has the oil shipment. In some cases, oil can be shipped from the refinery through the use of a direct pipeline that feeds from the refinery to specific points that eventually connect to the oil reservoir. Typically, gas station owners purchase the oil from the depot and transport it to their storage facility at the gas station facility. Sometimes the oil depot will send their own tanker truck to deliver the oil for an additional fee,
Tanker trucks can deliver oil to a reservoir.
An oil depot may be owned by independent contractors who simply lend oil companies the use of their facilities to store the material. These locations may be desirable due to their strategic location for the oil refinery. For example, a visionary entrepreneur may convert a property that is conveniently located near an oil refinery into a storage facility, in which refiners will patronize it based on perceived advantage. Oil refiners may also own such sites, or they may be owned by other corporate interests.