Valor International FZC inks deal with HFZA to expand regional operations and boost production
Valor International FZC, a Hamriyah Free Zone-based company specialising in trading and handling of downstream refined oil by-products, has signed a Memorandum of Understanding (MoU) with Hamriyah Free Zone Authority (HFZA) to expand its regional operations and increase its production capacity.
Initially investing more than AED100 million by acquiring a 115,000 CBM oil storage facility, an additional AED77 million will be invested under the new MoU to build a multifunctional refinery over 193,750 sq. ft leased from the free zone. The new facility will have an estimated production capacity of 10,000 barrels per day and be designed to refine multiple commodities such as crude oil, fuel oil, gas oil, naphtha among others. With the new expansion plans, the total value of Valor’s investments in the free zone will reach close to AED200 million. This comes 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 Salim Al Mazrouei, Director of the Hamriyah Free Zone Authority, and Nimar Nikx, Managing Director of Valor International FZC at the HFZA headquarters in the presence of senior officials from both sides.
“Valor’s expansion plan is a significant step in the right direction. In addition to enhancing the growth of oil trade between manufacturers and users, the new facility will help the company better meet the increasing demand for energy and oil derivatives, considering the rapid economic growth witnessed by the Emirate of Sharjah,” Al Mazrouei said.
Nimar Nikx expressed his happiness at the new step taken by Valor, emphasizing that it was driven by the unique facilities and exceptional support provided by the free zone to all investors. “We had such a great experience with the HFZA since our incorporation in 2019,” Nikx said.
“The new plant will be dedicated to refining many commodities such as fuel oil, gas oil, naphtha, and kerosene for local and global use. Other than the domestic UAE markets our target market includes India, the Far East, and selected African nations.”
“We are currently exporting to over 10 countries around the world and we are growing daily. We have close to 40 people working at our terminal and we estimate that within a year we will have another 30 to 40 employees for the plant and around 10 more to our administration and trading teams,” Nikx added.