November 12, 2012 [EMEA News] - IOT Infrastructure & Energy Services of India has won a contract to build an oil storage facility in the United Arab Emirates (UAE) for an estimated $82 million, MEED Media reports.
The engineering, procurement, and construction (EPC) contract was awarded by UAE trading group Primestar Energy and India-based Leasing & Financial Services, which have received funding by a consortium of banks led by India’s Bank of Baroda.
The terminal in Fujairah, UAE, will have a storage capacity of 600,000 cubic metres and should be commissioned by the middle of 2014.
Fujairah is in the midst of a boom in oil and gas projects, with the Abu Dhabi crude oil pipeline set to be fully operational by the end of the year, according to Middle East news site Al Bawaba.
The pipeline, with a capacity of 1.8 million barrels per day (mbpd), shipped its first cargo in July, providing a route around the Strait of Hormuz, which Iran has previously threatened to block.
In October, Vitol Tank Terminals International (VTTI) Fujairah announced that it would almost double its storage capacity to over 2 million cubic metres.
