OREANDA-NEWS. Construction work on a new 119,000m? refined products storage facility at the port of Cape Town will start by the end of August, South African president Jacob Zuma said today.

Rotterdam-based terminal operator VTTI signed a joint venture agreement with two South African companies in September last year to invest about 650mn rand ($51mn) in the project. VTTI has a 70pc stake in the venture, called Burgan Cape Terminals.

Construction is expected to take 18-22 months to complete.

More than a third of the tanks at the storage facility are expected to be used for diesel. The remainder will be used for gasoline, jet fuel, paraffin and biofuels.