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Terminal operator Vitol Tank Terminals International (VTTI) intends to move forward with plans to increase the capacity of its oil import and distribution terminal in the industrial area of Vasiliko, Cyprus.

Speaking at a reception in Nicosia last week, Chief Executive Officer Rob Nejst said: “We’ll push for another phase of this project allowing us to expand our terminal to at least 550,000 cubic meters.”

Nejst added that there were 'commercial opportunities' for partnerships with other companies in Cyprus.

VTTI, which is jointly owned by the Dutch Vitol Group and the Malaysian shipping company MISC Bhd, announced plans in July to build a 340,000-cubic metre (cbm) storage terminal for fuel oil, gasoline, diesel and jet fuel, which would be 100 percent owned, funded and operated by VTTI.

In addition to storage tanks, a jetty will be constructed to handle seagoing vessels. Oil products will arrive at the new terminal from the international oil markets and current plans for the terminal are focused on re-exporting to regional markets, as well as supplying the inland market in Cyprus.

VTTI agreed to develop the terminal with Cyprus-based building contractor J&P, Nejst. The facility is set for completion in 2012 and is expected to cost more than €100 million.

The announcement by VTTI that it intends to expand the Vasiliko terminal by a further 210,000 cbm follows comments made this month by Cypriot Minister of Commerce, Industry and Tourism, Antonis Paschalides, who said that the government plans to construct its own fuel-storage facility, also at Vasiliko.

VTTI has a network of 11 terminals in five continents, including a major new terminal in Florida, USA, which opened in April 2010. In Europe, VTTI has major terminals in Rotterdam, Amsterdam, Antwerp and Ventspils, Latvia.