Concord and Fujairah oil storage terminal is expected to start operations in 2014
An oil storage terminal being built in the United Arab Emirates port of Fujairah is expected to start operations by late next year, according to news agency Reuters.
The facility is being built by Singapore-based Concord Energy and a subsidiary of China’s Sinopec, Concord Energy. Concord and Sinomart KTS Development, a wholly-owned subsidiary of Sinopec Kantons, each holds 50 percent of the project.
Asia’s strong oil demand has prompted many oil producers and trading houses such as Litasco, Noble Group and Azeri SOCAR to secure oil storage rights in the Gulf region. Construction of the 1.155 million cubic metre terminal is expected to take 21 months.
Construction of the tank farms is expected to start this month with commercial operations commencing in the fourth quarter of 2014, John Stuart, chief executive of Assets Group Concord Energy, said in a statement. He also said that Fujairah Oil Terminals had recently signed binding agreements with a consortium of six international banks for the provision of a $252 million senior debt facility.
China Petrochemical, Asia’s largest oil refiner, operates businesses in oil and gas exploration and production; crude oil processing; oil products trading, transportation, distribution and marketing; and petrochemical products production.