Evolve carried out the market feasibility study for a proposed 500,000 m³ petroleum storage terminal in the Fujairah Oil Industry Zone (FOIZ), for client NilCon Group.
Fujairah is the only UAE emirate located entirely on the eastern coast, on the Gulf of Oman. Outside the Strait of Hormuz, it is home to one of the world’s largest deep-water ports and has grown into the world’s third-largest bunkering hub. NilCon Group, with a 25-year record of building storage tank terminals across the Middle East and Africa, planned to use a 140,000 m² plot within FOIZ to meet rising demand for bulk storage.
The concept is a 500,000 m³ terminal developed in two equal phases of 250,000 m³. Each phase provides storage for crude oil (100,000 m³), diesel (50,000 m³), fuel oil (50,000 m³) and jet fuel (50,000 m³). The commercial model is to lease tank capacity to international traders and oil companies on long-term agreements of 5, 10 and 15 years.
Over a four-month programme, Evolve’s study set out the market and site context,
developed the concept layout and product-capacity split, and built the financial case for the investment — including CAPEX benchmarked against recent regional terminal projects, OPEX and revenue assumptions, and payback and return analysis with occupancy sensitivities — along with the approach to securing offtake agreements from prospective partners.