Page 13 - MEOG Week 21 2022

MEOG NEWS IN BRIEF MEOG

POLICY is set to open its giant crude oil caverns in National Oil Co., Fujairah Oil Terminal FZC,
the mountains of Fujairah next year, one year Vopak and Gulf Petrochem are among the
KRG’s Minister of Natural later than planned, according to people with other companies with tank farms at the port,
knowledge of the project.
while Vitol has an 82,000 b/d refinery, Ecomar
Resources resigns over to hold 42 million barrels of crude oil, was has a 20,000 b/d refinery and Uniper owns an
The project, which will have capacity
LSFO plant.
health issues pushed back because of COVID-19 related largest single project awarded at the time
The caverns contract was the world’s
delays and will be finished before the end of
The Kurdistan Region’s Minister of Natural 2023, one source told S&P Global Commodity for underground crude oil storage, valued
Resources Kamal Atroshi has resigned for Insights, asking not to be identified. ADNOC at Dirhams 4.4 billion ($1.21 billion). The
health reasons, the Kurdistan Regional said it had no comment. caverns storage is intended to support
Government (KRG) announced on Thursday. When complete, it will boost Fujairah’s ADNOC’s broader move into trading, the
Atroshi “voluntarily” submitted his status as a regional trading center, as the company has said. Work on the project
resignation to Prime Minister Masrour caverns will be able to store three different started in 2018, with the first phase involving
Barzani after he had to take another extended grades of crude oil, providing ADNOC with construction of an access tunnel completed
leave for treatment, according to the KRG more flexibility to export crude through by 2019.
statement. Barzani accepted Atroshi’s the port. Among the crudes is ADNOC’s S&P PLATTS
resignation so his leave of absence will not flagship Murban crude, a light sour grade that
affect the ministry’s affairs, the statement read. underpins a crude futures contract launched Ministry of Oil declares final
Due to his health condition, Atroshi had by the company and the Intercontinental
previously taken leaves. He was sworn in Exchange in 2021. April export volumes
as the region’s natural resources minister in The storage caverns will also support
January 2021 at the Kurdistan Parliament after ADNOC’s efforts to boost its crude The Ministry of Oil declared the total exports
Barzani assigned him the position. production capacity from 4 million b/d to 5 and revenues of last April, based on the final
With over 40 years of experience in the million b/d by 2030. statistic of Oil Marketing Company (SOMO),
energy sector, Atroshi said he aimed to The engineering procurement and where the total crude oil exported quantities
undertake extensive reforms in the Kurdistan construction contract went to South Korea’s was 101.4mn barrels, with a total revenue of
Region’s oil and gas sector. SK Engineering and Construction Co. to build $10.6bn. The statistic showed that the total
His appointment as natural resources three underground storage caverns, each with crude oil exported quantities, in last April,
minister came at a time when the Kurdistan a capacity of 14 million barrels, in the Fujairah from Iraq southern and middle fields reached
Region was enduring severe economic mountains on the UAE’s east coast, sitting 98.1mn barrels, and the exported quantities
hardship caused by plummeting oil prices and outside the Strait of Hormuz, a key shipping from Kirkuk fields through the port of
the onset of the coronavirus pandemic. chokepoint. Ceyhan reached 2.99mn barrels.
Atroshi will remain Barzani’s energy Fujairah has risen rapidly in the last The average price per barrel is $104.64.
advisor, according to the statement. two decades to become the third-largest The statistic mentioned that the exported
KURDISTAN24 global bunkering port, after Singapore and quantities were lifted by 34 international
Rotterdam. At the free zone just north of the companies from different nationalities,
main city, the landscape between the rugged through the ports of Basra and Khor Al-Amia,
OIL mountains and the ocean is dominated by the Single Point Mooring in the Gulf, and the
rows of tall, cylindrical oil tanks on both sides Turkish port of Ceyhan.
Fujairah crude oil storage of the highway. action as it believes in letting the Iraqi people
The Ministry of Oil took this monthly
ADNOC already has a crude export
caverns set to open in 2023 terminal there, fed from its 1.5 million b/d informed about the exported crude oil and
Habshan pipeline that connects oil fields in
related revenues.
Abu Dhabi’s national oil company, ADNOC, Abu Dhabi’s west to the port. Dubai’s Emirates MOO

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