First phase of world-scale Crude Oil Storage Terminal nears completion
The first phase of a world-scale crude oil storage terminal is currently nearing completion at Ras Markaz on the Sultanate’s south-eastern coast and is due to come into operation in the first quarter of 2022.
Developed by Oman Tank Terminal Company, a wholly-owned subsidiary of OQ — the Sultanate’s integrated energy group — the facility will position the Sultanate as a global hub for all kinds of local, regional and international crudes.
According to a high-level executive of OTTCO, marine works at the Raz Markaz Crude Oil Park were completed in the first quarter of this year, with landside infrastructure reaching the 70 percent completion mark as of June-end this year.
An array of huge tanks has been constructed at site, offering up to 25 million barrels of storage capacity in the first phase of the project. When fully built, in increment stages over several years, the facility will offer a world-leading 200 million barrels of storage capacity.
A total of 40 sq kilometres has been earmarked for the entire park, up from the present area of about 10 kilometres under development for the first phase.
Overlooking the Arabian Sea and the Indian Ocean beyond, the storage park’s geographically advantageous location, will open up opportunities for regional and international oil traders to store their volumes on a short-term and long-term basis.
CEO Ard Van Hoof said: “We aspire to become the largest crude oil storage project in the Middle East to serve as an important global crude oil storage centre due to the strategic location of Ras Markaz on the Arabian Sea, overlooking the Indian Ocean. The Park will meet the markets’ needs, connecting the markets in South Asia, Far East and Africa.”
In addition to serving as a storage hub, imported crude as feedstock for the greenfield refinery of OQ8 (formerly known as Duqm Refinery) – a partnership of OQ and Kuwait Petroleum International – will be channelled to the refinery via an 80-km pipeline already in place.
Giant tanks, built at a height of 110-metres above sea level, will allow for its crude oil contents to flow by gravity for loading into ships anchored a few kilometres offshore.
Going forward, OTTCO plans to build a new pipeline connecting the Main Oil Line (the country’s principal crude export pipeline) with Ras Markaz, thus opening up another export terminal for Omani crude.
For more information visit www.ottco.com
9th August 2021
