One oil and gas storage facilities company is increasing its portfolio with plans to build a storage terminal in Pulau Besar, Malacca, a first of its kind.
Pristine Oil Capital will spend RM900 million (179 million) on its unique Melaka Oil Storage Terminal (MOST).
We are in the process of completing the environmental impact assessment and it (the facility) will be the first seaport and independent oil storage tank in Malaysia, the groups CEO Kamarulzaman Mohamed says.
The project is scheduled to start by the second half of next year and to be completed in mid-2013.
South Koreas Samjung TCN and MSK Corp have been appointed as the main contractor and contracts worth about RM700 million had been awarded for the proposed project.
Engineering conglomerate Siemens Malaysia Sdn Bhd will also build a 5 megawatt power plant costing and provide the latest technologies in electrical, instrumentation, automation equipment, tank process control and applications.
The terminal will cater to the demand of the marine industry such as Petronas, Malaysian Maritime Enforcement Agency and international oil traders, Mohamed adds.
The construction of MOST on 32 hectares will be carried out in four phases, comprising the marine terminal and jetty, and multi-purpose oil storage tanks farms with 360,000 metric tonne capacity.
Kamarulzaman said there were close to 40 billion barrels of crude oil reserves, with more than 11 million barrels being transited through the Straits of Malacca alone.