Brooge Petroleum and Gas Investment Company has secured an initial lease agreement for land to more than triple storage capacity at its terminal.
This agreement for land in Fujairah will enable the company to carry out its phase III storage expansion and build the remaining 90% of a 250,000 barrel per day greenfield refinery.
The first 24,000 barre phase of the refinery is being built in an adjacent location and is set to be finished in the first quarter of 2020.
Currently, BPGIC has 400,000 m3 of crude oil products storage and is constructing an additional 600,000 m3 of storage space in its phase II expansion for crude oil. This phase is due to be complete by the second or third quarter of 2020.
The company says in a statement: 'BPGIC expects that phase III alone could add storage and services capacity of 3.5 million m3, the size of BPGIC's projected operations post-phase II, which will be one million m3.
'BPGIC believes it could execute a final lease agreement, which would permit commencing plans and construction, for this land sometime in 2019. Concurrently, BPGIC has had discussions with top global oil majors, which have expressed interest in securing portions of the capacity of a phase III facility.'