Rizhao Port, the port operator, and Sinopec each will contribute 50 percent of the funding for the 486-metre long wharf that would have crude throughput capacity of 20 million tonnes per year, the report said.
Rizhao is one of the three major ports in Shandong and handles mainly iron ore, coal and other commodities as well as containers.
Sinopec officials were not immediately available to comment on whether the crude oil tanks were for commercial or strategic purposes.
A top Sinopec executive was quoted in March by state media as saying that the company was likely to build the state strategic oil reserve bases in Rizhao and neighbouring Qingdao.
Government tanks are normally built by state-owned oil majors.
China has completed its first phase of state strategic oil reserve bases that could hold about 102 million barrels of oil.
The world’s second-largest oil user has planned a second phase that will be able to store about 170 million barrels, but it has not officially disclosed where the facilities would be located or when they would be ready for use.
Sinopec understood to build large crude oil storage capacity in Rizhao
06.16.2009 - NEWS
BEIJING, June 11 - China's refiner Sinopec has recently won government approval to build 2.4 million cubic metres of crude oil storage tanks in Rizhao in eastern Shandong province.
It was also allowed by the National Development and Reform Commission to build a new crude oil berth that would be able to dock very large crude carriers and a pipeline linking Rizhao and Yizheng in neighbouring Jiansu province, the Qilu Evening News reported, citing sources at Rizhao port.
