The Saldanha Bay depot, located in South Africa, is expected to release a proposal selling a total of 21 million barrels of crude storage in Q2 2010.
The storage facility consists of six 7.5 million barrel concrete oil storage reservoirs for commercial use. South Africa already stores some of its emergency oil reserves there.
Saldanha Bays existing customers include Mercuria and the recently purchased Masefield Group. These leaseholders, however, will not receive any favored treatment after their current contract has terminated.
According to a source familiar with the terminals lease contracts, storing crude oil at the facility is likely to cost around 25 cents (0.2) per barrel per day.