EMEA News
More Fuel Storage Planned for Cape Town
Fuel storage terminal operator Burgan Cape Terminals (Burgan) has announced that it will put R$265 million ($26 million) over the next two years towards expanding oil and fuel storage in South Africa's Cape Town harbour, Business Day reports.
The funds will go towards transforming a terminal located in the harbour mole, a barrier-like structure built in the water, into a multi-purpose facility.
Burgan CEO Wandile Mseleku said the expansion efforts will include more efficient truck loading along with adding an extra tanker-berthing facility.
"The development of the fuel storage facility in Cape Town will not only address the country’s need to increase fuel infrastructure and capacity but it will also have a positive effect on the economy, on global skills transfer and on the transformation of the local energy sector," he said.
Cape Town harbour’s owner and manager, Transnet Port Authority, said it had granted Burgan a 20-year lease of the facility.
Oil and fuel companies will be able to rent storage space in the terminal, with Burgan reported to have already signed a 10-year deal with two tenants who are expected to begin storage in 2016.
Burgan Cape Terminals is a joint venture majority owned by Dutch-based storage terminal operator VTTI Energy Partners LP., with smaller, equal stakes held by South-African companies Thebe Investment Corporation and Jicaro.
