New plans to make Qeshm a focal point in Persian GulfNew contract between Machine Sazi Arak and Jinggang Company
A new contract between Iran and China will turn Qeshm Island into a focal point in the Persian Gulf in terms of oil reservation projects and oil production activities.
The contract was signed between Machine Sazi Arak and Jinggang Company which is the biggest name in China in iron industry.
According to Amir Hossein Rezaie who is the head of board in Machine Sazi Arak, the value of the contract stood at dlrs 550 million.
The deal aims at establishing a strategic point as an oil reservoir and oil products.
At the first stage of the project, 10 million barrels of oil will be stored.
The selection of Qeshm Island for implementation of the project is due to the Island’s special geopolitical situation which is close to the port city of Bandar Abbas in south of the country.
The port is a very favorable spot for loading and unloading oil tankers and cargo ships.