Vista completed a study to provide recommendations on strategic locations and costs related to petroleum bulk storage facilities for Natural Resources Canada (NRCAN). As part of its mandate to enhance the responsible development, competitiveness, and use of Canada’s natural resources, NRCAN was considering a new oil storage and distribution strategy.
The objective of the study was to provide recommendations on strategic locations and costs of facilities in order to aid NRCAN in developing a new petroleum bulk storage and distribution strategy.
In total, Vista developed six scenarios with facility capacities at 5, 15 and 30 million barrels of total crude storage.
The scenarios ranged from a single 5-million-barrel tank farm in eastern Canada to multiple facilities spread across the nation. Total installed costs ranged from $600 Million to $3,916 Million (Class V) depending on how much storage was needed and the location.
The costs accounted for refined petroleum product storage and the infrastructure (i.e. Marine/Rail Terminals) required to move crude to world markets.
The objective of the study was to estimate the cost of expanding petroleum storage capacity in Canada considering the following:
- Recommended equipment
- Conceptual plot plan development
- Infrastructure requirements
- Cost to build, maintain and replenish crude stocks
- Comparison of above ground and underground storage
- Operational costs for storage facilities
- Site selection and costs
Vista was able to assign a highly effective team of petroleum engineering specialists with over 80 years of combined experience to offer insight based on an advanced understanding of market conditions and trends. Engineering studies have been a key part of Vista’s integrated engineering service offering for more than 30 years.
Petroleum Bulk Storage Engineering Applications
The market knowledge and engineering capabilities related to petroleum bulk storage facilities that Vista demonstrated on this project would also apply in other industrial engineering markets.