The government of Fujairah has signed an agreement with Union Refinery, a subsidiary of Ittihad Energy Holding PJSC, to purchase the refinery's petrol production. The move is described as a strategic step reflecting Fujairah government's commitment to supporting and enabling strategic projects, reinforcing energy security and sustainability, and cementing the emirate's position as a leading regional and global hub for petroleum industries and logistics services, in support of sustainable economic development targets.
His Excellency Mohammed Al Dhanhani, Director of the Fujairah Emiri Court, said the agreement reflects the Fujairah government's vision to strengthen energy security, consolidate the emirate's standing as a global energy hub, support sustainable economic development, and enhance partnership with sectors to develop energy infrastructure.
The agreement comes within efforts aimed at supporting the development of the Union Refinery project by establishing a long-term commercial framework for purchasing petrol production, thereby enhancing the project's sustainability, contributing to the support of the petroleum supply system, and keeping pace with the United Arab Emirates' drive towards developing value-added manufacturing industries.
The design capacity of the first phase of the Union Refinery project is expected to reach approximately 15,000 barrels per day, with a focus on processing naphtha to produce petrol compliant with Euro 5 specifications, alongside other refined petroleum products that meet the needs of local and regional markets.