Iran to establish second oil export terminal

Iran will establish its second oil export terminal in Jask island, located in the Sea of Oman, ISNA quoted Akbar Torkan, the secretary of Iran's Free Trade Zones Coordination Council, as saying on March 26.

Another oil export terminal is projected to be established in addition to the Kharg oil export terminal, which is located in the Persian Gulf, Torkan added.

A pipeline with the length of 2200km transfers Iranian crude oil to the Sea of Oman shores. So, it is planned to establish oil storage and export facilities in the Jask Island, Torkan explained.

In May 2013, Pirouz Mousavi, managing director of the Iranian Oil Terminal Company said the oil storage capacity of Kharg Island will reach 28 million barrels.

Currently, four oil storage facilities are under construction on the island, the IRNA News Agency quoted Mousavi as saying.

The facilities will come on stream at the cost of 420 billion rials (about $34.25 million), Mousavi said.

Construction planning for these facilities began in January 2011. They are supposed to come on stream in 36 months, Mousavi explained.

Mousavi was quoted by the Fars news agency last month as saying that Iran was building several land based oil storage sites at locations including Kharg Island and Assaluyeh.

Mousavi said Iran faced no problems with oil exports.

"We have no consignment on the water and if there is any, it is waiting for loading and exports," Mousavi was quoted as saying.

Reuters reported on April 24, 2013 that Iran is storing millions of barrels of oil in tankers in its territorial waters as Tehran struggles with tougher Western sanctions on its vital seaborne exports.

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