Construction work at VTT Vasiliko oil storage terminal, a subsidiary of the joint venture between Dutch global energy trader Vitol and MISC-Petronas, is going according to plan and should be completed in the first half of 2014, a senior company official said.
George Papanastasiou, Managing Director of VTTV, said that the initial investment for the terminal is estimated at 300 mln euros, or approximately 0.17% of Cyprus’ GDP, creating 500 jobs until completion, while 40 people will be hired to manage the facility.
Additional service jobs will also be created to support the terminal and shipping activities.
Papanastasiou added that the Cyprus Ports Authority will have revenues of around 18 mln euros per year from port fees, whereas the government will have additional income from customs fees and corporate taxes paid by the companies that will be trading their products through this terminal.
He that consumers are also expected to benefit from the reduction in fuel prices as the terminal will help boost competition, since it will be used by companies that are not operating in the Cypriot market at present.
Project manager Stelios Yiamalakis said that so far the construction of the administration building, the building for Customs and other services as well as eight tanks has started, whereas the foundations have been laid for an additional eleven tanks, while the construction of eight more tanks will start soon on a recently-acquired nearby property.
Initially, the terminal will have a capacity of 357,000 tonnes of oil products (gasoline, diesel, jet fuel, gasoil, MTBE) and will increase to 643,000 tonnes with the completion of the second phase.
A marine jetty with four berths will be created which will extend 1200 metres off-shore and include two loading arms per berth per product, capable of loading or discharging 1250 tonnes per hour.
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