NEW YORK, Dec. 07, 2020 (GLOBE NEWSWIRE) — Brooge Energy Limited (“Brooge Energy” or the “Company”) (NASDAQ: BROG), and its wholly-owned subsidiary Brooge Petroleum and Gas Investment Company FZE (“BPGIC”), a Fujairah Free Zone Entity in the oil storage and services business, announced today that BPGIC has signed offtake contracts with three regional oil trading companies for total geometric storage capacity of 129,000 cbm at a 50% premium to previous contracts.
Under the terms of the contracts, BPGIC will provide oil storage at its Phase I facility for a total of one year consisting of initial six month periods, plus additional six-month renewal periods, subject to mutual renewal, commencing in November 2020.
Nicolaas L. Paardenkooper, CEO of Brooge Energy and BPGIC, said, “Due to its advanced technology, high speed, innovative designs and strategic location, BPGIC’s facility is more in demand today than ever before by the regional and global trader community. Moreover, global oil storage facilities are rapidly filling up and approaching capacity, driving a high number of requests to BPGIC. The improved terms of these new contracts reflect BPGIC’s unique, highly demanded facilities, and the scarcity of storage space available.”
BPGIC is a key independent storage provider in Fujairah, UAE, conveniently situated in the East-coast port of Fujairah on the Gulf of Oman, which owns capacity to store clean petroleum products and fuel oil using some of the latest technology to maximize company performance and efficiency, while reducing operating costs. Through the development of its Phase II and Phase III facilities, it is also building capacity to store crude oil using similar technology.
