Scarcity of land on Jurong Island, Singapore's petrochemical and oil refining hub, has led the island state to plan floating storage facilities for oil and petrochemical products. Singapore currently has 4.6 mln cubic meters of storage capacity and almost 3.5 mln cubic meters of new storage capacity will be added in the next few years. However, the country will be short of 3 million cubic meters of storage space even if the new capacities currently under construction come on stream. The proposed floating storage facility will add 300,000 cubic meters of storage space at an estimated investment of S$180 mln.
JTC Corp, the government agency appointed for the development of industrial facilities in Singapore, is in talks with several oil trading companies who have expressed strong interest in these very large floating structures. A government study found the construction of such structures to be technically feasible. A further study will be undertaken and this will be completed by mid-2008.