You are correct, for oil contracts near expiration. All oil containers (in certain areas) were full, so anyone taking delivery would need a place to store the

You are correct, for oil contracts near expiration. All oil containers (in certain areas) were full, so anyone taking delivery would need a place to store the oil. The market needed a way to transfer this risk (risk of delivery) so prices went negative meaning you were paid to find a place for the oil. It's really neat actually and shows how almost all of the financial system is really a big "risk transfer" mechanism.