UAE – Mubasher: Oil storage firm Brooge Holdings on Friday signed a land lease agreement with the Fujairah Oil Industrial Zone (FOIZ) for expansion in the UAE’s East Coast oil hub.
Under the agreement, Brooge will take responsibility for an additional 450,000 square metres of space, as part of plans to expand its storage and refinery operations at the hub, the Emirates News Agency reported.
The agreement covers a strategically located and prime plot of land on which BPGIC, Brooge Holdings’ parent company, plans to develop its Phase Three facility.
BPGIC expects that Phase III alone could add storage and services capacity of up to 3.5 times the size of BPGIC’s projected operations post-Phase II, which will be 1 million cubic metres.
"We are thrilled to announce that we have secured a lease for this strategic and sizeable plot of land in FOIZ, which can accommodate additional capacity of over 3.5 times our facilities currently operating and under construction,” BPGIC’s CEO Nicolaas Paardenkooper commented.
BPGIC is in talks with potential collaborators for Phase III including several top global oil majors who have expressed interest in collaborating on the Phase III facility and has a signed memorandum of understanding in place.
“When the Phase III expansion is completed, we expect to become the largest oil storage and service provider in the increasingly important FOIZ & Port of Fujairah,” Paardenkooper said.
