Hong Kong-listed Brightoil Petroleum (Holdings) Limited is planning to acquire a stake in a Chinese oil storage firm and to expand its onshore oil storage facilities in China.

The privately owned Chinese bunker supplier announced a possible acquisition of equity stake in a ''medium-sized oil storage company in Ningbo, China'', according to its Chairman Dr Sit Kwong Lam in a statement.

At the same time, the company is planning to build storage facilities with approximate capacity of 6-8 million cubic metres (m³) for petroleum products and crude oil, in China.

The plan is under discussion with a local governmental body of Dalian City, Liaoning Province in China. The specific location for the storage facilities has not been announced.

In addition, Brightoil has detailed its development plans for a plot of land on Waidiao Island in Zhoushan City, Zhejiang Province.

The 611,662 square metres (m²) land, to be acquired at an initial consideration of $30.9 million (RMB211 million), will see the construction of onshore storage tanks and wharfs and berths.

Brightoil is in discussion with the local government of Zhoushan City to build about 2.2 million m³ of storage facilities for petroleum products, and about 15 berths of various sizes to accommodate vessels of 100,000-300,000 deadweight tonnes (dwt) as well as other smaller vessels.

Dr Sit said the plans are subject to feasibility studies and regulatory approval.

Meanwhile, Brightoil is also exploring investment opportunities to diversify into upstream businesses, such as exploitation of crude oil and/or natural gas.

The company reported that it was  in discussions with independent third parties on possible partnership in upstream businesses in China and other countries.

Brightoil is principally engaged in the marketing and sale of marine bunkering services, with a strong presence in the Shenzhen  region in southeastern China.

The company operates a fleet of bunker tankers and has 271,000 m³ of bonded oil storage capacity in Shenzhen.

It has recently been given approval from the Singapore port authority to operate as an accredited bunker supplier in Singapore, the world's largest bunkering market.

The company is planning to bring in bunker tankers and to lease onshore storage space in Singapore for its bunkering operations.

Brightoil is also expected to start bunkering operations in Shanghai port towards the end of this month.