Five companies are understood to have been prequalified to bid for the estimated $30-35m engineering, procurement and construction contract, which covers the construction of 140,000 cubic metres of new storage capacity.

The invited firms are CB&I of the US; Punj Lloyd, Larsen & Toubro and Indian Oiltanking, all of India; and Saudi Arabian Bemco.

Oiltanking’s existing storage capacity is more than 740,000 cubic metres or 4.65 million barrels. It stores a range of petroleum products and chemicals.

The firm, in a joint venture with Dubai Multi Commodities Center Authority (DMCC) and Tropicana Trading DMCC, is also planning to develop a new, 500,000 cubic metre storage terminal at Dubai’s Technopark Freezone. Tenders for the project will be issued to bid later in the year (MEED 26:3:08).