June 26, 2014 [Royal Vopak] - Pengerang Independent Terminals Sdn Bhd (PITSB), an independent oil storage terminal located within the Pengerang Integrated Petroleum Complex and built on 150 acres of reclaimed sea-bed land, has officially begun operations following the successful start-up and commissioning of Phase 1A (432,000 cbm) in April this year.
The state-of-the-art facility was officiated by Prime Minister Dato’ Sri Najib Tun Razak at a celebration event in Pengerang today.
Also present were Johor Menteri Besar Dato’ Mohamed Khaled Nordin, Dialog Group Executive Chairman Tan Sri Dr. Ngau Boon Keat, Royal Vopak Chairman of the Executive Board and CEO Eelco Hoekstra, senior regional executives from the Asian Oil & Gas industry and local politicians and community leaders.
“Today is indeed a historical moment for us as it celebrates the realisation of a vision we had in 2009. Our vision was to develop and build a world-class crude oil and petroleum products storage terminal facilities in Pengerang. Our deepwater terminals can then play a vital role as a catalyst for the development of a Refining and Petrochemical manufacturing hub in Pengerang. Both these developments will then transform Pengerang into a world class oil and gas hub for the region.” said Tan Sri Dr Ngau, who is also PITSB chairman.
He added, “We are grateful to our partners for their co-operation and contribution in delivering what we have promised all our stakeholders”.
Mr. Hoekstra from Royal Vopak also commented, “The commissioning of PITSB further strengthens Vopak’s position in South East Asia. Together with our terminals in Singapore, PITSB will cater to the needs of our customers who are existing international oil companies, national oil companies and traders.
“Fundamental to the success of PITSB is the partnerships and support from the Malaysian government, Johor State government, our joint venture partners, customers, banks, employees and the people of Pengerang. We are very grateful to each and every one who has been on this exciting journey with us.”
PITSB is equipped with six berths including a deep-water jetty with a draft of up to 24 metres to accommodate Very Large Crude Carriers. The facility will provide storage, blending and distribution services for crude oil and petroleum products. PITSB is South East Asia’s first independent crude oil storage facility and caters to a new and growing demand for this service, triggered by growing crude oil and petroleum products import flows into Asia and Australia.
The completion of PITSB is in three phases. Phase 1B, upon completion by the end Q2 2014 (expected commissioning by Q3 2014), will bring on stream an additional 432,000 cbm of storage for clean petroleum products while Phase 1C will consist of 420,000 cbm of storage for crude oil with expected completion in Q4 2014 (expected commissioning by Q1 2015). When fully completed, the terminal will have a capacity of approximately 1.3 million cbm.
The terminal, earmarked as one of Malaysia’s key economic transformation projects, is designed to develop and reposition South East Johor into an oil storage and trading hub in the region.
PITSB is a joint venture between Dialog Group Berhad, Royal Vopak and the State Secretary of Johor, SSI.
About Pengerang Independent Terminals Sdn Bhd (PITSB)
Pengerang Independent Terminals Sdn Bhd (PITSB) is a joint venture between Malaysian integrated specialist technical services company Dialog Group Berhad, world’s largest independent tank storage provider Royal Vopak and State Government of Johor. Located at the southeastern tip of Peninsular Malaysia in the state of Johor, the terminal offers approximately 1.3 million cbm of independent storage for petroleum and crude products when fully completed.
