Greater Singapore storage developments challenge Singapore

New independent oil storage terminals due to start-up in 2014 and 2015 could threaten Singapore’s good times

By the middle of 2015, two new independent oil terminals near Singapore will have started operations, competing for the trade which has given the Singapore operators the highest storage fees in the world. The new terminals – in Indonesia and Malaysia, but directly facing the shipping lanes to Singapore – will add capacity equivalent to 22% of Singapore’s existing terminal capacity. For a while now, Singapore’s storage insiders have been talking about the emergence of a Greater Singapore oil hub. With no more land available for storage terminals in Singapore, some argue that new terminals to be built nearby will secure the long-term future of the Singapore hub – which is seeing competition fr