July 03, 2024 [Reuters]- A unit of Hong Kong-headquartered energy firm Oryx Group has reached an agreement with Curacao’s refinery to lease and operate storage facilities on the Caribbean island for 30 years, the company said.

The Bullenbaai terminal and the Emmastad facility can store 30 million barrels of oil. They have remained mostly idle since a lease deal with Venezuela’s state company PDVSA including them and a 330,000-barrel-per day refinery expired in 2019.

The facilities are key for handling Caribbean oil imports and exports, including a deepwater port.

In recent years, Curacao failed to secure long-term agreements for its oil assets. In December, the government and PDVSA signed an agreement to settle debts to the refinery and its workers following expiration of a contract between the refinery and PDVSA.

“The initial phase of the partnership with Refineria di Korsou will focus on the start-up of the facilities. Detailed technical, economic and environmental assessments will be conducted during the first three years,” Oryx Group said late on Monday.

The company plans to work with local stakeholders, including Curacao’s government, to invest some $70 million in the next five years to ensure that the facilities meet international and local safety and environmental regulations, it added.

Oryx Group, founded in 2021, specializes in energy infrastructure, with offices in Hong Kong, Curacao and Barbados.