Maldives National Oil Company (MNOC) is planning to build a 6-million cubic metres (m³) onshore oil terminal on the one of the Maldive islands.
The crude and petroleum terminal is being planned on 20 hectares of land at a total investment of $150 million, according to MNOC's Managing Director Ahmed Muneez.
About 75% of the storage capacity will be dedicated to storing crude oil while the remaining 25% will be for clean and bunker products, said Muneez.
The terminal will have either two jetties or two Single Buoy Moorings (SBM), coupled with full blending facilities, Muneez told participants at a bunker course organised by August Energy in Singapore.
Construction work on the terminal is expected to start towards the end of this year and could take one and a half years to complete, Muneez told Bunkerworld.
Five islands have been shortlisted by MNOC for the project.
MNOC is currently inviting international fuel oil traders to commit to lease agreements of the storage capacity for the medium-term, he said.
''We're still scouting for partners,'' he said. ''The storage capacity will be able to sell refined products to regional markets to take advantage of arbitrage and trading plays.''
The twenty-six atolls of Maldives encompass a territory featuring 1190 islands, of which 202 islands are inhabited.
The archipelago is about 450 kilometres (km) southwest of India and 700 km west of Sri Lanka. It is known for its scenic beaches and high-end tourist resorts.