Vopak starts marine gasoil tank expansion work in Singapore

Vopak Terminals Singapore has kicked start its Sebarok tank expansion project that is set to add four new tanks to store marine gasoil (MGO) in anticipation of demand ahead of the IMO 2020 regulation.

On Monday, Vopak marked the start of the expansion project with a tank lift as work goes underway to add four new tanks with 67,000 cu m of storage for MGO.

“Working with the main contractor Hiap Seng Engineering, Vopak has adopted an innovative approach to tank construction by fabricating tanks off-site, minimising activities in an operating terminal, improving safety and productivity, plus shortening project schedule,” Vopak said.

Vopak said that the tank expansion, to be commissioned by end-2019, aims to cater to the handling of MGO, and to strengthen Singapore’s position as the bunker hub of choice with the flexibility of handling multiple fuels.

Read more: Vopak expanding marine gasoil storage in Singapore to meet 2020 sulphur cap demand

At present, the 3.5% sulphur 380 cst bunker fuel commands the lion’s share of bunker sales in Singapore port. But that is set to change come 1 January 2020 when IMO enforces its Marpol Annex VI global regulation to restrict fuel sulphur content to 0.5%.

Singapore, the world’s largest bunkering port, will be keenly watched by the majority of owners in being able to make compliant fuels available, be they in the form of MGO or blended low sulphur fuels.

The Maritime and Port Authority of Singapore (MPA) earlier said that it will announce a list of licensed bunker suppliers of low sulphur fuels by mid-2019.

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Posted 02 April 2019

© Copyright 2019 Seatrade (UBM (UK) Ltd). Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of Seatrade.

Lee Hong Liang

Asia Correspondent

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