Iran conflict: JSW first Indian company to be directly affected
What's the story
JSW Infrastructure Ltd, a leading Indian company, has been directly impacted by the ongoing US-Israel-Iran conflict. A fire broke out at its oil storage terminal in Fujairah, United Arab Emirates (UAE). Local media reports suggest that an Iranian drone was intercepted over the Fujairah Oil Industry Zone (FOIZ) this morning. The debris from this drone triggered a fire at the JSW facility, which has now been brought under control.
Business expansion
JSW acquired Fujairah terminal in November 2023
JSW Infrastructure, a subsidiary of the Mumbai-based JSW Group, acquired the Fujairah liquid storage terminal in November 2023 from Swiss commodity trader Mercuria Group. The facility has 15 storage tanks with a total capacity of 465,000 cubic meters, enough to hold nearly three million barrels of oil. This is roughly equivalent to a day's crude production in the UAE.
Strategic location
Fujairah is a major bunkering hub
Fujairah is a major bunkering hub, handling a significant portion of the UAE's oil exports. Storage terminals in this region are primarily used to hold fuel for overseas supply. The recent drone attack highlights the vulnerability of such critical infrastructure amid escalating geopolitical tensions.
Official response
UAE authorities confirm fire at oil storage facility
The UAE authorities have confirmed the fire at an oil storage and trading zone in Fujairah today. They said that the blaze was quickly brought under control and normal operations have resumed in the area. "Relevant authorities in the Emirate of Fujairah responded to a fire that broke out this morning in FOIZ," a statement from the Fujairah media office read.