Shell has increased storage capacity at its Bukom refinery in Singapore with two large crude oil tanks.
The expansion, which is part of the company's ongoing effort to improve competitiveness by investing in storage and logistics at its core refineries as well as meet growing demand in the Asia Pacific region, increases the site's storage capacity by nearly 1.3 million barrels.
Increased storage capacity at Bukom gives Shell greater flexibility to optimise its oil trading activities.
Robin Mooldijk, executive vice president for manufacturing at Shell, says: 'This project positions Shell to capture stronger margins and better manage market volatility over the coming years. These new facilities enable us to buy more oil when market conditions are attractive.'
The new storage tanks were built using innovative automated technology, which helped the team safely accelerate project delivery and reduce costs.
Shell built the tanks using an automated welding technology, which helped reduce welding time by 60% and lowered costs. A special aluminum alloy used in the tank roofs provides better protection against severe weather, such as lightning. The company also used a new method to lift, move and install heavy materials when building tanks, which helped keep employees safe during construction by reducing the need to work at heights and to carry out heavy lifting. A new seawall was built, and the company also modified nearby drainage systems to help protect the environment.
Singapore is Shell's largest petrochemical production and export centre in the Asia-Pacific region. Demand for some oil products such as diesel, jet fuel and bitumen in the region and globally is expected to increase over the next 20 years as populations continue to growth and more people achieve a higher standard of living.
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