(EnergyAsia, June 19 2013, Wednesday) — Hong Kong-listed Brightoil Petroleum Holdings Limited said it expects to complete the construction of a RMB1.32-billion yuan oil storage terminal on Waidiao Island in Zhoushan city in China’s Zhejiang province by the second half of 2015. (US$1=6.13 yuan).
The company said wholly owned subsidiary Brightoil Petroleum Storage (Zhoushan) Co Ltd has signed a contract with builder China Petroleum Pipeline Bureau to begin construction of the project’s first phase to store 1.94 million cubic metres of fuel oil, diesel, jet fuel and chemical products. It plans to add 1.22 million cubic metres of capacity a year later, boosting the Zhaoshan Waidiao Island project’s total to 3.16 million cubic metres.
The Yangtze Delta terminal will have 15 berths to handle vessels of sizes ranging from 1,000 to 300,000 deadweight tonnes (DWT).
Brightoil chairman and CEO Sit Kwong Lam said:
“We are pleased to sign the contract with China Petroleum Pipeline Bureau, which marks an important milestone in the development of our oil storage and terminal facilities business. Zhoushan is emerging as a major petrochemical and trading hub for East China and is strategically located to support the import and regional trade for the greater Yangtze River Delta region.
“It creates synergies with our project on Changxing Island in Dalian, an oil storage and facilities project under development. The commissioning of these two projects will bring us stable revenue from oil storage as well as oil trading opportunities. The group will continue to actively expand its oil storage and terminal facilities business.”
Brightoil is also constructing a 7.7-million cubic metre oil storage facility and terminal on Changxing Island in the northeastern city of Dalian facing the Bohai Bay.