Al Banna Engineering has been awarded the construction contract for the 2,740 sq m Chemstore project, a hazardous chemicals warehousing facility at the Jebel Ali Free Zone (Jafza).

A Dh 3.5 million joint venture between Emirates National Oil Company (Enoc) and Modern Freight Company (MFC), Chemstore will begin operations next March and have a storage capacity of 12,000 drums.

"Chemstore is the 23rd firm in the Enoc Group's widely segmented portfolio of companies and will become a vital component of our diversification strategy," said Hussain Sultan, Enoc Group chief executive and board member. "It will establish Dubai as a chemicals' storage hub for the entire Middle East and subcontinent regions."

Sultan was speaking at Chemstore's groundbreaking ceremony held at the project's future location, next to MFC's existing facilities.

"Chemstore is a highly sensitive project requiring sophisticated construction methods and techniques in order to meet stringent UAE government environmental standards," said MFC chairman Salah Salih.

It will feature advanced safety standards including fire-fighting and spillage-containment systems. The facility will also have a separate modern office unit housing management, inventory control processes and related functions.

"This facility will seamlessly accommodate the growing demand from international chemical traders and manufacturers for a neutral warehousing facility to serve Middle East and subcontinent markets," said Tariq Baqer, managing director, Dutco Group, of which MFC is a subsidiary.

Enoc is a highly diverse Middle East organisation focusing on upstream and downstream activities in the oil and gas sector but with expertise and interests also spanning information technology, logistics and shipping.

Established in 1977, Dubai-based MFC is prominent in the field of freight forwarding, warehousing and logistics services, with offices located in the Jebel Ali Free Zone, Bur Dubai, Dubai International Airport and Al Quoz.