Vopak could add to its 80 global oil and petrochemical terminals, if studies in Malaysia prove fruitful.
The Netherlands-based independent operator has signed a Memorandum of Understanding (MoU) with Malaysias Dialog Group Berhad (Dialog) to jointly study the feasibility to develop an independent storage terminal for oil products in Pengerang, Johor, in southern Malaysia.
The Pengerang region is located at the southern tip of Johor state, close to international shipping routes and Singapores international oil products hub.
The proposed terminal in the south-eastern Pengerang district will have an initial storage capacity of 1.4 million m3. The terminal will be a tank facility for storing, blending and distributing crude oil and oil products with port facilities capable of handling very large crude carriers.
Ultimately, there is an area of 200 hectares available for the development of a world class deepwater storage terminal for oil products.
Pending a positive result, the companies will form a joint venture company that will partner with the State Government of Johor Darul Tazim and the State Secretary, Johor (Incorporated) to undertake the development of the terminal. This follows a MoU signed on 8 June between Dialog, the State Government of Johor Darul Tazim and the State Secretary, Johor (Incorporated).
Dialog and Vopak are currently equity partners in Kertih Terminals in Malaysia. This is a 395,900 m3 storage facility for chemical products and liquefied gas in Kertih, which is located in the Malaysian province of Terengganu.
Vopak also operates a fully owned 20,600 m3 storage terminal for chemical products in the free trade zone within the Johor Port at Pasir Gudang, Malaysia.