Singapore to build underground reservoirs for Saudi Aramco oil at 150-metre depth

Underground oil storage: a new stage of cooperation with Saudi Arabia

In the second half of 2027, Singapore intends to begin storing oil arriving from Saudi Arabia in specially prepared underground rock caverns. Media reports indicate plans to implement this project. The initiative is driven by the need to enhance energy supply reliability against the backdrop of existing disruptions in energy resource supplies caused by the conflict in the Middle East.

Facility characteristics and storage volumes

The oil will be stored in the Jurong Rock Caverns complex, located on Jurong Island. The storage depth is approximately 150 metres. The total capacity of the facility is estimated at around 9 million barrels of oil and other liquid hydrocarbons. The use of underground space allows for the storage of significant volumes of raw materials without consuming large areas of land surface.

Memorandum of cooperation and strategic goals

Singapore and the Saudi oil company Saudi Aramco have signed a memorandum of cooperation. Under the agreement, accumulated reserves will be used to maintain energy supply in the event of supply disruptions.

For Singapore, which relies on external sources of energy resources and holds an important place in international oil trade, the creation of additional reserves is of strategic significance. The implementation of the project will help the country reduce its vulnerability to potential disruptions in maritime transport and changes in the global energy market.