(MENAFN) Singapore's Concord Energy, involved in the construction of an oil storage terminal in the UAE port of Fujairah, said that the terminal would be ready late next year, Reuters reported.
In addition to Concord Energy, Sinomart KTS Development, a wholly owned subsidiary of China's Sinopec, is also involved in the strategic project. Both firms hold share 50/50 of the project.
The project is being built to meet Asia's strong oil and oil products demand, which have prompted many oil producers and trading houses such as Litasco, Noble Group and Azeri SOCAR to secure oil storage rights in the Gulf region.
Assets Group Concord Energy CEO John Stuart said that the construction of the tank farms is expected to start this month with commercial operations commencing in the fourth quarter of 2014.
Stuart said Fujairah Oil Terminals had recently signed binding agreements with a consortium of six international banks for the provision of a USD252 million senior debt facility.
Construction of the 1.155 million cubic metre terminal is expected to take 21 months.