UAE’s BPGIC says limited impact from coronavirus on oil storage facilities

The port of Fujairah, above, is one of the world’s biggest ship refueling hubs because of its location just outside the Strait of Hormuz. (AFP file photo)
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Updated 01 July 2020

UAE’s BPGIC says limited impact from coronavirus on oil storage facilities

  • ‘The disruption to oil markets caused by COVID-19 showed the high strategic value of having well-located storage assets’

DUBAI: The United Arab Emirates’ Brooge Petroleum and Gas Investment Co. (BPGIC) said on Wednesday that it was moving ahead with its oil storage expansion plans as there has been a limited impact from the coronavirus pandemic on the company’s operations.
BPGIC also reported on Wednesday that its 2019 revenue rose 23 percent from a year earlier to $44 million and gross profit climbed 29 percent from the prior year to $34 million.
“The disruption to oil markets caused by COVID-19 showed the high strategic value of having well-located storage assets,” said Nicolaas Paardenkooper, Brooge’s chief executive officer, in a statement.
“(Our) facilities remain fully operational at this time, having experienced limited impact from the COVID-19 pandemic.”
Brooge said the second phase of its storage capacity expansion plans in Fujairah, which will add eight storage tanks with capacity of 3.8 million barrels, is expected to be completed by the end of 2020. The company’s Fujairah refinery is expected to become operational in the third quarter of next year, it added.
Fujairah is one of the seven emirates in the UAE. It is one of the world’s biggest ship refueling hubs because of its location just outside the Strait of Hormuz, an important shipping lane for oil exports from Iraq, Saudi Arabia, Kuwait and Iran.
Under phase 3 of its Fujairah storage plans, BPGIC will expand its capacity by another 22 million barrels, increasing total storage capacity to about 4.5 million cubic meters, or about 28 million barrels, which will come online in late 2022, it said in the statement.
US-listed BPGIC, established in 2013, is one of the largest holders of storage assets in Fujairah.


Hikma raises annual sales outlook for top two units

Updated 07 August 2020

Hikma raises annual sales outlook for top two units

  • Core operating profit for the six months to June 30 rose 15 percent year-on-year to $284 million

Hikma Pharmaceuticals revised its annual sales outlook for two of its biggest divisions on Friday and reported higher first-half profit, as hospitals and distributors stocked up on critical medicines during the COVID-19 pandemic.
The UK-based company, which supplies many generic drugs including anaesthetics, pain medications, sedatives, neuromuscular blocking agents and anti-infectives, said core operating profit for the six months to June 30 rose 15 percent year-on-year to $284 million.