Valor International will build a multifunctional mini-refinery with an estimated production capacity of 10,000 bbl/day; Valor will invest MAD 77 million in the new facility and lease 193,750 square feet of land
Saud Salem Al Mazrouei, director of the Hamriyah Free Zone Authority, and Nima Niknejad, general manager of Valor International FZC, honored the agreement at the HFZA headquarters in the presence of senior officials from both parties. — Photo provided
Valor International FZC, a Hamriyah Free Zone-based company specializing in the trading and handling of downstream refined petroleum by-products, has signed a Memorandum of Understanding with Hamriyah Free Zone Authority (HFZA) to expand its regional operations and increase its production capacity.
Initially, Valor International FZC invested over Dh100 million in logistics and handling by acquiring a 115,000 CBM oil storage facility in the Hamriyah Free Zone under the trade name of Valor International Terminal FZE. The facility is a liquid bulk storage facility offering a full range of petroleum logistics operations.
Under the new MoU, Valor International FZC will invest an additional 77 million dirhams to build a multifunctional mini-refinery on an area of 193,750 square feet leased from the free zone. The new facility will have an estimated production capacity of 10,000 barrels per day and will be designed to refine several products such as crude oil, heating oil, gas oil, naphtha, among others.
With the new expansion plans, the total value of Valor’s investments in the free zone will reach nearly 200 million dirhams. This is in line with its strategic plans to expand its regional and global presence from its headquarters in the emirate of Sharjah.
The agreement was signed by Saud Salem Al Mazrouei, director of the Hamriyah Free Zone Authority, and Nima Niknejad, general manager of Valor International FZC, at the headquarters of HFZA in the presence of senior officials from both parties.
“Valor’s expansion plan is an important step in the right direction. In addition to improving the growth of petroleum trade between manufacturers and users, the new facility will help the company better meet the growing demand for energy and petroleum derivatives, in light of the rapid economic growth seen. by the emirate of Sharjah,” Al Mazrouei said. .
“The petrochemical industry has become an important part of the vital free zone industrial sectors in the Hamriyah Free Zone, and with this in mind, we are making every effort to create a stimulating environment for companies operating in this sector and provide therefore a set of integrated and sophisticated facilities and services to encourage businesses to expand into regional and global markets from the Hamriyah Free Zone,” he added.
For his part, Nima Niknejad welcomed the new step taken by Valor, stressing that it was driven by the unique facilities and the exceptional support provided by the free zone to all investors.
“We have had such a great experience with HFZA since our incorporation in 2019,” Niknejad said.
“The new plant will be dedicated to refining many products such as fuel oil, gas oil, naphtha and kerosene for local and global use. Our target market other than UAE local markets include India and Far East and some African countries.
“We currently export to over 10 countries around the world and we are growing daily. We have almost 40 people working in our terminal and we estimate that within 1 year we will have another 30 to 40 employees for the factory and about 10 more to our administration and trading teams,” Niknejad added.