Dubai, 25 March 2105:

Oil storage companies are looking to refinance their debt in a bid to grow terminals outside the Hormuz Strait. The idea is to help traders manage an oil surplus at a time when they can secure cheap loans, with Middle East interest rates near a record low.

Fujairah Oil Terminal FZC, the JV  between China Petroleum & Chemical Corp. and a Singaporean partner, is looking to refinance a construction loan, according reports from Reuters.com.

The “oil glut » is estimated by analysts at 2 million barrels a day, adding to the pressure on storage facilities due to a growing regional output of products such as gasoline, which boost demand for storage.

Royal Dutch Shell Plc is planning to lease 5 new crude tanks from another storage construction project led by Royal Vopak NV and Emirates National Oil Co.