Brooge Energy Ltd, a midstream oil storage and service provider located outside the Strait of Hormuz, adjacent to the Port of Fujairah in the UAE, has announced that its customers have successfully renewed their fixed lease contracts for 233 071 m3 of Brooge Energy’s Phase I storage capacity, at a premium that is 70% higher than the starting fixed lease storage price of the earlier contracts.
The contract renewals consist of a total of 190 072 m3 signed with two clients on three-year terms each consisting of one year plus a two-year mutual renewal clause. The remaining 43 000 m3 was renewed by a client for a three-year term consisting of six months plus six months, subject to mutual renewal for an additional two years.
Nicolaas L Paardenkooper, CEO of Brooge Energy and BPGIC, said: “We continue to experience strong demand for our facilities as, particularly, Fujairah in The Middle East proves itself to be a significant oil storage hub, as a result of the continued lead taken by the region in the production of crude oil and its increasing refining capacity. Our ability to provide seamless, automated storage solutions with a superior facility design that is designed to reduce product losses for our end users, as well as ancillary solutions such as heating and blending, make us the preferred choice our clients.”
Brooge Petroleum and Gas Investment Co. FZE (BPGIC) is conveniently located on the east-coast port of Fujairah on the Gulf of Oman. The provider owns facilities to store clean petroleum products (CPP) and fuel oil using some of the latest technology to maximise company performance and efficiency, while reducing operating costs. Through the development of its Phase II and Phase III facilities, it is also building additional CPP storage capacity as well as crude oil storage capacity using similar technology.
Read the article online at: https://www.tanksterminals.com/storage-tanks/03062021/brooge-clients-renew-storage-capacity/