Indian Oiltanking Plans Pol Terminal At Nabipur, Port Facilities

Indian Oiltanking Ltd (IOT), the joint venture between Indian Oil Corporation (IOC), IBP and Oil Tanking Gmbh of Germany, will develop a terminal at Nabipur and set up port facilities at Mundra in Gujarat.

The company is also in the final stages of signing agreements to supply fuel for power plants in the state.

IOT is planning to capture the deregulated petroleum and energy sector by building port and inland terminal infrastructure in the country.

While IOC and IBP each hold 25 per cent stake in IOT, Oiltanking holds 50 per cent equity in the company.

The German company is the fourth largest tank terminal company in the world, and belongs to the Marguard & Bahls group.

R N Tankha, vice-president (marketing), Indian Oiltanking Ltd, said the company has signed an agreement with IOC to operate, maintain and manage the terminal at Nabipur which will supply fuel to Gujarat Torrent Electric Company.

The joint venture will receive and supply fuel via a pipeline as well as through railways.

"The company is accelerating implementation of its strategic plans in view of increasing trading activities in the field of petroleum and energy sector, "Tankha added.

The company is working on a two way strategy- setting up port-based terminals and inland terminals. It has identified sites at Hazira, Dahej, Pipavav, Vadinar, Cochin, Kakinada, Ennore and Paradeep for port terminals.

Inland terminals will basically involve relocating terminals, storage tanks and setting up rail linkage and pipeline facilities for transportation of products.

The IOT board has recently approved relocation and construction of storage tanks for IOC's Koyali and Mathura refinery. Plans to set up pipelines at Saharanpur and Ludhiana are also under consideration.

Currently, IOT is executing its first projects, a fully integrated terminal in Mumbai at Navghar and JNPT in Maharashtra. At Navghar, IOT will construct tankages for black and white products such as fuel oil and diesel.

The project will be executed in two phases with total tankage capacity of 536 cbm. Each tank capacity will vary between 5,000-30,000 cbm.. Phase I of the project is expected to be completed by the end of 1998.

IOT aims to link Navghar to Vashi through Hindustan Petroleum Corporation's Mumbai-Pune pipeline as well as Bharat Petroleum Corporations' Mumbai-Manmad product pipeline. Moreover, the company is also considering setting up additional jetty for IOC and BPCL off Mumbai coast .

At JNPT, the company intends to receive and supply class- A petroleum products. The project will be linked to the proposed jetty.