Singapore oil trading company Hin Leong Wednesday began to build the region's first and largest independently-operated petroleum logistics terminal on Jurong Island, the city state's petrochemical center, according to Channel NewsAsia report.

With an investment of 750 million Singapore dollars (about 455 million U.S. dollars), the terminal will comprise 73 storage tanks with a total capacity of 2.3 million cubic meters and two very large crude carrier (VLCC) berths.

The company said that the facility will meet the increasing needs for third-party oil storage, distribution and supply services in the region and will shorten VLCC's transfer and processing time to less than two days from the current six days, as well as cutting down its related docking costs.

Singapore's Minister for Transport Yeo Cheow Tong was quoted as saying at the ground-breaking ceremony that the terminal will further enhance the city state's position as a leading global oil transshipment and trading hub.

Annual physical oil trade exceeded 260 billion Singapore dollars (about 158 billion U.S. dollars) and annual derivative trading reached 300 billion Singapore dollars (about 182 billion U. S. dollars) in Singapore, the third largest oil trading hub in the world, the report said.

Source: Xinhua