(EnergyAsia, October 24 2013, Thursday) — Hong Kong-listed Brightoil Petroleum (Holdings) Limited said China’s highest policy making body has approved its application to build an oil storage and terminal complex with the capacity to handle vessels of more than 10,000 deadweight tonnes (DWT) in Zhejiang Province’s Zhoushan port city.
Subsidiary Zhoushan Brightoil Terminal Co Ltd will build the Ningbo-Zhoushan Port facility in the Laotangshan Port Zone on Waidiao Island which will be key to the parent company’s plan to develop its oil storage and transshipment business hub in eastern China.
According to Brightoil, the National Development and Reform Commission (NDRC) has approved its plan to build the 32.9-million tons/year terminal that will be equipped with four 1,395-m berths to accommodate vessels ranging from 20,000 to 300,000 DWT, 100,000 DWT, 50,000 DWT and 20,000 DWT.
The facility will add to Brightoil’s growing presence in Zhoushan as it is building the first phase of a major oil storage facility on Waidiao Island, having awarded the construction contract to state China Petroleum Pipeline Bureau in June. When completed, Waidiao will have 13 berths to accommodate vessels of size ranging from 1,000 to 300,000 DWT while its tanks will store up 3.16 million cubic metres of oil products.
To date, Brightoil said it has invested a total of US$1 billion in building the storage and transshipment base which will start up with a capacity of 1.94 million cubic metres by end-2014. The project’s second phase is expected to start up with a 1.22-million cubic metre capacity in the first half of 2015.
Sit Kwong Lam, Brightoil’s chairman and CEO, said:
“Leveraging its strategic geographic location, the project will generate stable rental income and enable synergies with the group’s international trading, bunkering business and marine transportation business.