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STO docks first bunkering vessel near Kulhuduffushi City

State Trading Organisation (STO) has docked the first bunkering vessel near Kulhuduffushi City. Aiming to launch bunkering services, STO is bringing two oil tankers with the capacity of 4,000 tonnes. The first tanker is now docked in Kulhuduffushi City, and the second is anticipated to arrive in the Maldives shortly. Bunkering services will first be launched in Ihavandhippolhu Atoll.

Bunkering services involve supplying fuel to marine ships and vessels. The establishment of such services in commonly travelled maritime areas will attract boats to stop and refuel, making it a profitable venture. The Maldives' has a strategic geographical location as it is situated near two major shipping channels where bunkering services are relatively high in demand. The country also has the advantage of having calm seas and shallow waters, facilitating convenient bunkering for ships of various sizes.

Maldives will be providing bunkering services in collaboration with a multinational energy and commodity trading company, Vitol Bunkers, a company which specialises in providing energy solutions to the maritime sector. Vitol Bunker recognises the Maldives as a key global bunkering destination, positioning the country prominently on the world bunkers map. While the country currently has a Gross Domestic Product (GDP) of USD 6.5 billion, the government projects that the new bunkering service will generate an additional USD 400 million, creating a new industry valued at USD 390 million.

The government aims to reclaim the land in nearby surroundings and expand the international bunkering operations in the near future. This expansion is expected to significantly boost state revenue and create numerous job opportunities within a competitive sector.