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AquaChemie opens $50-million Petrochemical Terminal in Jebel Ali Port

Company targets $300 million revenue from the new terminal

AquaChemie Middle East - a leading regional player for process industry chemicals in the GCC region and part of the UAE-based AquaChemie Group - inaugurated its petrochemical terminal in DP World’s Jebel Ali Port in Dubai. The advanced $50 million (Dh184 million) terminal will be one of the most functional and versatile bulk liquid terminals in the GCC region serving as a vital gateway to facilitate and boost the growing petrochemical trade between manufacturers and end-users across the Middle East and globally.

The facility was inaugurated on Thursday in a well-attended opening ceremony by the chief guest, Abdullah Bin Damithan, CEO & managing director, DP World UAE & Jafza; Dr. Aman Puri, Consul General of India, Dubai & Northern Emirates; with Subrato Saha, managing director, AquaChemie; and Anand Kumar, managing director, AquaChemie; in the presence of senior DP World and Jafza officials, industry associates, and the media.

AquaChemie commissioned Mott MacDonald, the globally renowned engineering, management, and development consultancy, for the new facility’s design detailed engineering and project management, with the region’s leading mechanical, electrical, instrumentation, and civil contractors also being on boarded for the project’s completion in record time.

The Chemical Terminal covers an area of 20,000 square metres and is located some 500 metres from Chemical Berth 4 in Jebel Ali Port. The new facility is linked by five SS pig-gable jetty pipelines, making it one of the most functional and versatile bulk liquid terminals in the GCC region.

With a total storage volume of over 34,000 cubic metres, the 26 large tanks can handle over 100 UN Class 3 and 8 chemicals. The terminal has three tanker truck loading bays for top and bottom loading of tankers and ISO tanks, five semi-automatic drumming lines, a warehousing facility with over 6,300 drums, a dedicated ISO tank storage area, and a weigh bridge at the truck entry point.

The terminal is fully monitored and controlled from a central control room. AquaChemie’s corporate headquarter building is located on the same site as the terminal facility, so as to allow the leadership team to stay in close proximity. The corporate building houses the terminal’s operation control room, support and sales staff offices, dining and recreation areas, management office and board room.

“It took us over four years to bring the AquaChemie terminal from concept to reality. We are thankful to have met such capable collaborators along the way who assisted us in shaping it. We pledge to our customers, employees, investors, and neighbours that we will conduct business in the safest, most environmentally and socially responsible manner possible, for both current and future generations,” Saha said. “AquaChemie group’s revenue target for the new terminal over the next three years is $300 million. The storage facility has been built primarily for AquaChemie’s captive distribution of products. It strengthens the business case for chemical supply by increasing economies of scale, lowering freight costs, and expanding into new industries and geographies,” he added.

“Our new state-of-the-art terminal is a step towards backward integration of our current oil and gas offering for the upstream and downstream petrochemical sectors. The supply reliability and lower supply chain cost will immensely benefit our existing customers as chemicals will be delivered on time so that the customers’ operations are not disrupted,” Kumar said.

“The new terminal will also assist in the formation of strategic alliances with regional and global manufacturers of petrochemicals, in order to distribute bulk products to customers in smaller packaging. To maximise capacity utilisation and partially offset operation costs, a few tanks in the new facility will be leased for third-party storage. Chemicals hold enormous promise for the region. We hope, humbly, to contribute to this value chain,” Kumar added.

Snehal Karia, VP Business Development of AquaChemie, stated: “I am especially excited about our combined offering of a centrally located storage terminal supplemented by local setup in each Middle Eastern country. We will become a dependable chemical product supplier all year round, and serving on all days. Our new facility now enables the storage of several new products with improved pricing and availability for end-users.”

Vishal Patel, GM Terminal of AquaChemie, noted: “Having worked in chemical multinationals, I was pleasantly surprised to find AquaChemie’s safety and professional mindset to be on par with the best. The new terminal is also extremely adaptable and reliable in terms of asset availability and operability. Furthermore, outsourcing operations to MDR’s professional team, internationally recognised for process facility operation, has simplified my job.”

China, the United States, Russia, Saudi Arabia, and South Korea are amongst the top six countries, by volume, producing bulk petrochemicals worldwide. The global petrochemical market is expected to reach $5.4 trillion by 2027, growing at a CAGR of 4.1 per cent during the forecast period.