The Oiltanking Group will enter into a joint venture with Korea National Oil Company (29%), Glencore International (15%), SK Energy Co Ltd (11%) and GS Caltex Corporation (11%) to jointly develop a new petroleum terminal in Yeosu, South Korea. Oiltanking will hold the remaining 34%.
The secured site can accommodate a capacity of over 950,000 m³ and has adjacent water access with a natural draft of 20 meters.
The terminal will mainly serve as the trading hub for North East Asia to leverage on arbitrage opportunities with the Pacific Coasts of the Americas and to break bulk to the Japanese and Chinese markets. Additionally the facility will serve as an overflow function for the nearby South Korean refineries.
The new joint venture company to be named Oiltanking-KNOC Yeosu has started the engineering study. Commercial operation of the first phase of the terminal is expected to start at the end of 2011.
Oiltanking is a subsidiary of Marquard & Bahls, Germany, a privately-owned petroleum company. Oiltanking is the second-largest independent tank storage provider for petroleum products, chemicals and gases world-wide. The company owns and operates 62 terminals in 20 countries within Europe, North and South America, Middle East, India as well as Asia. Oiltanking has an overall capacity of 13 million m³.