“”so what do they do with it?””
At a certain point you have to get ride of it, sell it cheap.
Point is within a couple weeks storage is full and theres no place to store various distillates and it no place to sell it. After Sept 11th we were about at that point with jet fuel shortly before flight resumed. Now there are a few flights going, but its going to be a longer period. Idk how they resolve it. Perhaps demand for all oil related products decrease to where its a non issue.