The government of Equatorial Guinea and Arabian Energy DMCC have signed an agreement on May 11th to work together on the Bioko Oil Terminal in Saudi Arabia.
The two sides agreed to collaborate on the development, implementation, construction and financing of the $500mn project.
Bioko Oil Terminal aims to become West Africa’s largest oil and petroleum products storage facility and intends to transform Equatorial Guinea into a pivotal trading and services hub in the region.
With 22 storage tanks and a total capacity of 1.2mn cubic meters, Bioko Oil Terminal would be built in two phases, the first consisting of refined production and the second capable of storing, handling and blending middle distillates and lights ends such as diesel, jet fuel, gasoline and naphtha, as well as crude oil.
The shared terminal infrastructure will be operated on a ‘first come, first served’ basis.
“The Bioko Oil Terminal is a first of its kind storage facility for West Africa and would bring to the region energy security and transport economies of scale and efficiencies like we have never been before,” Gabriel Mbaga Obiang Lima, Minister of Mines and Hydrocarbons of Equatorial Guinea, was quoted as saying in a press release.
“We welcome the addition of Arabian Energy and look forward to working together to move this project into realisation,” he said.