Energy giant Vitol to build bunkering facility in Maldives' north
At the ceremony, Vitol Director Jay Ng said Maldives is in the best region for bunkering.
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By
Ahmed Mizyal
The State Trading Organisation (STO) has signed a term sheet with Vitol, one of the world's largest private energy and commodities companies, to implement an international bunkering project in Ihavandhippolhu, the northern most Atoll of the island nation.
The term sheet was signed at a ceremony held at Hotel Jen on Wednesday by:
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STO Managing Director Shimad Ibrahim
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Vitol Director Jay Ng
The previous government also made efforts to build a bunkering facility in Ihavandhippolhu. During the previous government, STO signed an MoU with Qatar's UrbaCon Trading and Contracting, one of the largest trading companies in the Middle East.
After signing the term sheet, STO MD Shimad congratulated Vitol on winning the tender for the bunkering project. He described working with the world's largest private energy trading company as a privilege.
Shimad said the project will bring huge financial benefits to STO and Maldives. According to him:
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The company's revenue and profits will increase
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Tax revenue to the state will increase
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Foreign exchange reserves will increase
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More job opportunities will be created
At the ceremony, Vitol Director Jay Ng said Maldives is in the best region for bunkering.
“In the coming years, Maldives will not only be famous as a tourism hub, but also a major bunkering hub,” he said.
What kind of company is Vitol?
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Vitol is a global energy and commodities company that trades and distributes energy around the world
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It was founded in 1966 in Rotterdam, the Netherlands, and is now headquartered in Geneva, Switzerland
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In 2022, Vitol Group made net profits of USD 15.1 billion
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The company operates in 40 countries around the world
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Vitol's activities include trading in oil, coal, natural gas, and carbon emissions
Economic Minister Mohammed Saeed said tourism is a tested and mature industry. Although bunkering is completely new to Maldives, the assurance given by the massive energy trading company is truly encouraging, he said.
STO did not disclose any details about the term sheet.
Bunkering services in Ihavandhippolhu is estimated to begin before the end of July next year.
