Adani Enterprise has entered into an equal joint venture with one of the world’s leading marine fuel suppliers, Chemoil Energy, to capture the bunker market in India. Aiming for a pan-India presence in the fuel oil and petroleum products market, Chemoil-Adani Pvt Ltd will start by supplying marine fuel at the Mundra port initially.
“Our aim is to cover all the major ports of India,” said Devang Desai, CFO of Adani Enterprise. Chemoil-Adani JV aims to touch a capacity of one million tonnes of fuel oil storage per year soon, he said. Adani already has a separate bunkering unit with an existing capacity of 2 lakh tonnes per year.
The Port of Fujairah in West Asia and Singapore port have a capacity of 50 MT of bunkering capacity. Many Indian ships also go for bunkering to these ports.
“Even if we can get about 2-3 per cent of this market, it will be an achievement,” said an Adani official. The JV firm will have an initial investment of $10 million, which can be increased, according to Desai. It will take on lease storage terminal facilities from the Mundra Port Special Economic Zone.