Royal Dutch Shell advised it has increased the storage capacity at its Bukom refinery in Singapore by nearly 1.3 million barrels by building two crude oil tanks.
The project is part of Shell’s ongoing effort to improve competitiveness by investing in storage and logistics at its core refineries.
“This project positions Shell to capture stronger margins and better manage market volatility over the coming years; these new facilities enable us to buy more oil when market conditions are attractive. ” said Robin Mooldijk, executive vice president for manufacturing at Shell.
Shell has been in Singapore for more than 120 years, and it is one of the largest foreign investors in the country. Its long history in Singapore began in Pulau Bukom. Today, Bukom has developed into one of the most important Shell production sites in the world.
Bukom is the largest wholly-owned Shell refinery globally in terms of crude distillation capacity (500,000 barrels per day). It is also home to a world-class Ethylene Cracker Complex (up to a million tonnes per annum) and a Butadiene Extraction Unit (155,000 tonnes per annum).
With the completion of the Shell Eastern Petrochemicals Complex (SEPC) project in May 2010, Bukom is now an integrated oil and petrochemicals site, with manufacturing facilities for fuels, lubricant base oils and specialty chemicals.
Integrating the refining and petrochemicals assets maximise the economic and efficiency benefits in terms of feedstocks, operations and logistics. Feedstock flexibility helps the site maximise returns as economics shift between hydrocarbon streams, and more importantly, provides greater security of supply for Shell’s customers.
Bukom is situated on a 243-hectare island 5.5 km southwest of Singapore. It forms part of a group of southern islands that have been identified for petrochemical and other industrial manufacturing.
(Source: Skell/CAN – Image: Bukom refinery in Singapore/Shell)