Local Business

New liquids terminal for port

Royal Vopak and Reatile Resources has submitted a proposal for a 15.8ha terminal in the South Dunes Precinct.

WITH Zululand’s oil and gas prospects abuzz, the world’s largest independent operator of bulk liquid storage tanks is looking to spread its international footprint to Richards Bay.

Royal Vopak and Reatile Resources, which specialises in the storage and handling of liquefied chemicals, gases, petrochemicals, biofuels, vegetable oils and oil products, has submitted their proposal for a 15.8ha terminal in the South Dunes Precinct of the Richards Bay port.

Dubbed the Vopak-Reatile Terminal Richards Bay, the development will consist of 45 storage tanks to store Liquid Petroleum Gas (LPG) and a mix of Clean Petroleum Products (CPP) and Chemicals.

‘The capacity of the tanks envisaged for the project range from 1500m³ to 37 500m³,’ said Vopak in a statement.

‘Once completed, the Vopak-Reatile Terminal Richards Bay would have a total storage capacity of approximately 300 000m³.’

Motivation

At present, the supply of LPG into the South African market is limited during the cold winter months when demand reaches its peak.

And although the company’s primary supply of the gas derives from six South African refineries, Vopak states its local supply has been regularly interrupted by scheduled and unscheduled shutdowns.

‘Supply challenges and increasing demand, combined with the vast distances between supply points, and the lack of sufficient strategic storage facilities, have resulted in the need for additional storage facilities and dedicated import terminals to prevent the current and future projected shortages,’ said Vopak’s statement.

‘The solution to this problem is the construction of a bulk liquid storage and handling facility within close proximity to major consumers in the Gauteng and KwaZulu-Natal regions.’

Owing to the lack of land available at the Port of Durban, the company decided to invest its facilities in Richards Bay where it is ‘ideally located’ a 180kms from the Port of Durban.

‘The Port of Richards Bay also provides additional import and export capacity which is beneficial for the development of the local fuels industry,’ Vopak said.

Royal Vopak currently operates a total of 84 terminals in 31 countries worldwide with a combined storage capacity of approximately 29.9 million m³.

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