Curacao’s RdK signs agreement with CORC to operate Isla refinery

Curacao’s state-owned refining company Refineria di Korsou (RdK) has signed an agreement with CORC BV to operate the Isla refinery.

The draft deed agreement follows the selection of Curacao Oil Refinery Complex (CORC) by RdK as its preferred partner to operate and manage the 335,000bpd Isla refinery.

In addition to the refinery, CORC will operate the utility plant and the terminal at Bullenbaai.

A binding closing agreement has also been signed between the two parties, including the conditions that CORC have to meet before the definitive transfer of the facilities.

The two agreements mark the end of the negotiation between the two sides.

CORC will now continue talks with the Government of Curaçao over fiscal terms and other aspects of the deal.

RdK said: “Both the management of RdK, as well as CORC, are pleased to have reached this important agreement regarding the handover of the management and operations of the oil facilities of Curaçao while headed towards a new and prosperous future.”

Venezuelan state oil company Petroleos de Venezuela operated the Isla and Bullenbay facilities until the expiration of the lease in 2019.

Last month, reports emerged that Mercuria Energy Trading started using oil storage at the Bullenbaai oil terminal under a short-term deal.

In 2020, a deal with oil firm SPS Drilling E&P to rent about six million barrels of Bullenbay’s 15-million barrel capacity was collapsed. This was due to a disagreement on fees.