Jiangsu Huayuan Petrochemical (transliteration) in East China is likely to start operation of a 96,000-cu-m tank farm for oil products in October 2011, C1 learned from industry sources.
Construction of this Xuzhou-based tank began in 2009 and was previously scheduled to wrap up in June 2010, said a source with Shanxi Hetian Group, investor of this tank farm. "But the operation was delayed because of redesign of an exclusive railway for the tank farm," said the source.
The tank farm will be operated by Huayuan Petrochemical, but it is owned by Shanxi Hetian Group, he said, adding that part of the tank farm will be rented out.
Huayuan Petrochemical plans to build altogether 170,000 cu m of storage with an investment of Yuan 600-mil. The 96,000-cu-m tank farm under its phase-I tank farm project is equipped with a 1,500-meter railway.
Shanxi Hetian Group has 96,000 cu m of storage capacity for oil products in Jinzhong City in Shanxi Province, with nearly half of the storage rented by PetroChina Shanxi. The company has less than 10 petrol stations and gets gasoil and gasoline supply from PetroChina, Yanchang Petroleum and Shandong independent refineries.
