Emirates National Oil Company (ENOC) and Tristar Transport, a multi-modal liquid logistics service provider, have signed a new joint venture (JV) focused on specialised logistics services for the petroleum and chemicals sectors in Saudi Arabia
With an initial capital outlay of US$8mn, the new JV will initially operate a small fleet of vehicles this year for supporting the logistics requirements of the oil, gas and chemicals sectors in the Kingdom, which is likely to expand to 500 vehicles by 2017, company sources said.
It would also operate open and covered warehousing facility for storage of oil and chemicals, and an ISO tank cleaning facility to support the growing requirements from the industry.
Saeed Khoory, chief executive officer of ENOC, said, “Saudi Arabia is a key market where ENOC is strengthening its footprint, in diverse sectors, through strong industry partnerships. The joint venture with Tristar Transport, an organisation with proven credentials in the logistics sector, and ENOC’s heritage in the oil & gas retail business are an ideal fit to offer world-class services in the Kingdom’s fast-growing oil, gas and chemicals logistics sectors.”
Eugene Mayne, founder of Tristar Transport, added that there were concerted efforts to upgrade the standards and technology of Saudi Arabia’s logistics sector, particularly for the oil, gas and chemicals industries.
The ENOC-Tristar JV will have its office in Jubail in the eastern province and will be assisted by Tristar Transport’s head office in Dubai.
The primary activity of the company will be liquid logistics for the petroleum and chemicals sectors, the firm’s sources added.
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