Mohammed Barkindo, secretary-general of OPEC, has inaugurated Brooge Petroleum and Gas Investment Company’s (BPGIC) Phase II storage terminal in the emirate of Fujairah
Barkindo and the delegation visited Fujairah as special guests of the 2018 Gulf Intelligence Energy Markets Forum, now in its eighth year, which gathered senior energy industry executives from across the globe for a day of discussion and debate on the theme “How to Navigate the New-Normal of Global Oil & Gas Trade Flows.”
The expansion of the BPGIC’s existing Fujairah terminal is set to introduce storage for crude oil and will have a storage capacity of 600,000 cu/m, taking BPGIC’s total capacity to one million cu/m. Phase II will enable BPGIC to store crude oil through the construction of eight storage tanks, half of which will have a convertibility feature for fuel oil.
“We are very happy to see that there are new investments going into the oil and gas industry, and we commend BPGIC for its efforts to grow and to positively contribute to the development of the energy industry,” Barkindo.
“There has been a sharp contraction in investment across the energy industry’s supply chain for two consecutive years, but the medium-to-long term oil demand is robust despite the headwinds, and so we hope to continue to see more investments in the near term,” Barkindo added.
At the event, Barkindo was presented with an achievement award for his achievements and work in the oil and gas industry as well as his current efforts to maintain stability in the oil industry.
BPGIC’s terminal began operations in the Port of Fujairah in January 2018. The facility currently stores refined oil products, such as fuel oil and clean products and provides a range of ancillary services such as blending, heating, inter-tank transfers and ship loading and unloading. Currently, BPGIC operates 14 convertible tanks that are fitted with best-in-class technology and built with high-quality materials. The terminal has the capability of having 11 simultaneous operations.
“This world-class facility will help to bolster the oil and gas industry’s presence in the Emirate and is meeting a growing demand for storage capabilities in this dynamic and exciting market. We look forward to what the future holds for BPGIC and Fujairah as a whole in the journey ahead,” Barkindo noted.
Commenting on the visit of OPEC secretary-general in the UAE, said Sean Evers, managing partner at Gulf Intelligence, said, “The OPEC secretary-general arrives in the UAE with a good story to report to its member states as Brent crude sits firmly in the US$70s, but there are growing signs that oil demand could be choked-off as an emerging trade war between the world’s two largest oil consumers – the US and China - heats up.” “And there are supply side challenges looming for OPEC with resurgent US shale oil producers capturing market share in Asia from Middle East producers,” he added.
