The Hindu Business Line : Indian Oiltanking in jt venture to develop liquid product terminal

Decisive edge
Indian Oiltanking Ltd will be the managing partner of the joint venture.
The MIOL terminal is located at Mundra Port on the northern shore of the Gulf of Kutch in Gujarat.

Mundra (Gujarat) April 7 Indian Oiltanking Ltd has signed the term-sheet for the formation of a 50:50 joint venture with the Adani Group-promoted Mundra Port & Special Economic Zone Ltd, to own, operate and develop a liquid product terminal at Mundra.

The new joint venture company will be named as Mundra-Indian Oiltanking Ltd (MIOL) and will operate as an independent liquid storage provider. Indian Oiltanking Ltd will be the managing partner of the joint venture, a company spokesman said.

Oil Imports

The MIOL terminal is located at Mundra Port on the northern shore of the Gulf of Kutch in Gujarat and lies in the midst of one of the India's first private port based multi-product SEZ complex. The terminal has a total capacity of 3,42,000 m3 tank storage for providing services to leading domestic and multinational companies from the refining/marketing, trading and manufacturing sectors for petroleum products including bunker fuel, bio-fuels, vegetable oils and liquid chemicals.

The terminal uses multiple jetties having a draft of 15 meters and road and rail connectivity. The Mundra Port has proximity to northern and western hinterland of India. The Gulf of Kutch handles significant amount of India's crude oil imports and planned refinery expansions as well as trading possibilities open up big potential for handling these additional crude oil imports at MIOL.

Mundra Port already owns and operates a crude oil SBM for handling VLCC vessels at a distance of 7 km from the port and pipelines connectivities to refineries.

Worldwide Experience

"The joint venture with Mundra Port & Special Economic Zone will provide a decisive edge to our strong position in India by providing a pivotal position in the important northwestern Indian market' Mr Sarthak Behuria, Chairman of Indian Oiltanking Ltd, said.

"Together with the Adani Group we will endeavour to further improve the terminal's performance, leveraging the worldwide experience of the Oiltanking Group with the compelling advantages of offering terminalling services in one of the first port based multi-product SEZ in India," said Mr Gust Spaepen, Managing Director of the Oiltanking Group worldwide.

Aviation Services

Oiltanking GmbH, a division of German Marquard & Bahls AG, is the second largest independent tank storage provider for petroleum products, chemicals and gases worldwide. Oiltanking owns and operates 73 terminals in 21 countries in Europe, North and South America, and Asia. The group has an overall capacity exceeding 12 million cbm.

Indian Oiltanking Ltd (IOT) is a 50:50 joint venture between Indian Oil Corporation Ltd, India's top ranking Fortune 500 company, and Oiltanking GmbH. IOT owns Terminals in Navi Mumbai and Chennai and has joint ventures with Zuari Industries in Goa which owns and operates a terminal in partnership, and with IOC and Skytanking in Bangalore for providing aviation services at the new Bangalore International Airport.

The fast growing EPC Division of IOT offers services for design and engineering, procurement and construction for the petroleum, petrochemicals and power sectors in India and abroad. IOT also offers O&M services for terminals and jetties in petroleum and chemical sectors.

More Stories on : Alliances & Joint Ventures | Petroleum | Storage | Gujarat

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