Fujairah to publish weekly oil inventory databy Slavka Atanasova on Sep 22, 2016
Fujairah will start publishing weekly inventory data as part of a transparency initiative to help establish the emirate as a global energy trading hub with the region’s first oil products benchmark in due course.
The move has been replicated from leading terminal operators in Rotterdam and Singapore. It will see Fujairah publish weekly data including an aggregate breakdown of fuel oil, residuals, middle distillates and light ends.
The project is aligned with the UAE Government’s 2021 Vision to adopt an Open Data practice to make government data and information available to the public.
In recent years, the Arabian Gulf has seen the growth of an array of key features that support the need for the establishment of a world-class oil trading hub.
The region has become a major logistics hub, with pipelines, vast storage and several deep-water ports.
It is supported by growing financial centers and now the majority of banks, oil companies, multinationals, national oil companies and commodity trading houses.
The GCC is also in the midst of a refining construction boom, with more than a million barrels a day of capacity added in recent years.
“Today Fujairah sits at the heart of the new energy corridor opening up East of the Suez Canal to Asia, and not only is it a world-scale bunkering and oil products storage center—it is now also becoming an important crude oil export center,” said His Excellency Suhail Al-Mazrouei, Minister of Energy, United Arab Emirates.
“This transparency initiative will play a key role in Fujairah’s evolution from a key logistics hub for the region into a trading hub for global energy markets,” he said.
Home to the Middle East’s largest commercial storage capacity for refined oil products, Fujairah is fast catching up with Singapore in the area of private tank storage which is expected to reach 9mn cubic meters this year and exceed 14mn cu m by 2020.
Most of its dozen storage operators are expanding capacity including VTTI, owned by the Vitol Group.
Other projects underway include plant expansions by Fujairah Oil Terminal and Gulf Petrochem, and land allocation to Concord Crude Oil Terminal Company for a 1mn cu m crude and products storage terminal.
Fujairah’s crude offering is ever-widening as well, such as Murban, Basrah Light and Masila from Yemen on its product list.
“Further to the discussions with all Fujairah terminals operators, we are pleased to have reached a consensus on publishing Storage Data on a weekly basis, while protecting the confidentiality of terminals and traders through the anonymity provided by the publication of aggregated oil product volumes,” said Dr. Salem Abdo Khalil, technical advisor for the Government of Fujairah.