Three companies have announced plans for a $100 million (Canadian) oil transshipment terminal at Whiffin Head, Newf.
Mobil Oil Canada Ltd., Chevron Canada Resources Ltd., and Petro-Canada, all of Calgary, are also partners in the Hibernia oil field development offshore Newfoundland.
The companies said a transshipment terminal is a cheaper option than building two additional tankers at a cost of about $150 million each to move oil from Hibernia and other Grand Banks fields, such as Terra Nova.
The Hibernia project will use two shuttle tankers. The terminal in Placentia Bay on the Avalon Peninsula will hold 1.5 million bbl of crude and be built with one tanker berth and three tanks.
Future expansion allows for an additional tanker berth and three more oil tanks. It will handle tankers as big as 155,000 dwt.
Terminal construction begins in spring 1997 and is scheduled for completion in late 1998, about 6 months after Hibernia begins production.
Mobil will own 41% of the terminal, Chevron 34% and Petro-Canada 25%.
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