The UAE-based Gulf Petrochem has announced it will be expanding its Fujairah terminal at a total cost of Dh183.6 million ($50 million), with works set to start in April.

The announcement comes a week ahead of its engineering, procurement and construction (EPC) tender.

The current storage capacity at the Fujairah terminal stands at 412,000 cbm and the expansion will increase its storage capabilities by 243,280 cubic metres (cbm), bringing the total capacity to 655,280 cbm.

The additional capacity will also allow it to store Class I products.

The terminal, which is currently equipped with 17 tanks ranging from 13,000 cbm up to 40,000 cbm, handles Class III petroleum products such as fuel oil and gas oil, and 348,000 cbm dedicated to fuel oil across 10 tanks.

Commenting on the expansion, Prerit Goel, group director and board member at the Gulf Petrochem Group, said: “As a group we are extremely pleased to be in a position to be able to continue with our projects amidst a climate of low oil prices and uncertainty in the market. Upon completion of the expansion of our terminal in Fujairah, and complimented by our existing storage facilities in Hamriyah, Sharjah and Pipavav, India, the group will boast a total capacity of over 1,100,000 cbm.”