Name and Location
Western Cape independent fuel storage and distribution project, Western Cape, South Africa.

Client
Burgan Cape Terminals.

Project Description
The new terminal will offer safe, state-of-the-art and flexible storage.

The terminal will have a capacity of 118 670 m³ of product, with the product portfolio including diesel, petrol, fatty acid ethyl esters and ethanol for blending, and Clean Fuels 2.

A 12 m jetty will also be built to provide direct access for vessels, with drafts of up to 12 m.

The terminal will also be directly connected by pipeline to the inland Chevref refinery, and loading will be optimised using five bottom-loading road truck bays.

Value
An estimated R650-million will be invested in the project during the first two years of development.

Duration
Project construction is expected to start this year, with first oil being received into the tanks 18 months later.

Latest Developments
Construction of Cape Town’s new independent fuel storage and distribution facility is imminent, after Burgan Cape Terminals secured the required environmental authorisation in this month.

The approval of the final environmental-impact assessment (EIA), submitted to the Western Cape Department of Environmental Affairs and Development Planning (DEA&DP) in October, was one of the final regulatory hurdles for the expected fuel storage terminal operator.

Oil major Chevron, which has been opposing the project since inception, has expressed its dissatisfaction with the DEA&DP’s approval of the EIA.

Burgan, which was formed to develop and manage the fuel storage and distribution facilities at the Eastern Mole, in the Port of Cape Town, for Transnet National Ports Authority (TNPA) for the next 20 years, now aims to put in place the required final permits and licences to start work on the project.

Only the local municipal licences are outstanding; however, there are no indications of further potential delays in securing the approvals, the company has noted.

All TNPA and other regulatory requirements for the project have been met, with the National Energy Regulator of South Africa, despite Chevron’s protests, issuing Burgan with combined licences for the construction and operation of the petroleum storage facility, the petroleum loading facility and the petroleum pipeline in the Western Cape in December last year.

Burgan has signed multiple long-term contracts with major established and emerging customers for the storage and distribution of locally produced and imported fuels.

The customers, which Burgan says will mainly offtake their product from Chevron’s oil refinery, will aggregately produce up to 805 000 m3/y of product.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Burgan Cape Terminals project manager Stijn van Zelst, email info@burgan.co.za.