Galway Harbour Company plans to move the oil tanks at the city docks to a safer location in the outer harbour.
The company is in discussions with three oil companies on a proposed new terminal at its enterprise park which will handle some 43,000 tonnes of fuel.
A planning application has already been lodged for the terminal. The harbour company chief executive, Mr Tom O'Neill, explained the proposed new oil tank facility would accommodate both of the existing oil terminals in the docks area, as well as the anticipated increase in imports of oil through Galway.
The current Irish Shell terminal is located only a few minutes walk from Eyre Square in the city centre, while the Leeside terminal, which houses the Statoil and Texaco tanks, is located further away from the docks area off the Lough Atalia Road.
The location of the Shell fuel tanks so close to the city centre has been a matter of concern to the harbour company for some time because of the fire hazard they pose.
Mr O'Neill said they hoped to persuade both of the terminal operators to move into the proposed new oil terminal at the enterprise park. "Nothing has been signed or delivered yet, we are only in preliminary discussions at this stage. It would be great for the city if it did happen though and we are hopeful that it will," he stated.
The harbour company anticipates that planning permission will be granted for the terminal by July and construction will start in early September, with the terminal to come into operation in 2006.
The application has been lodged by Cold Chon which already runs a bitumen business at the harbour enterprise park.
A risk assessment carried out as part of the planning application states that more development around the tanks would provide shelter if a fire broke out.
Galway harbourmaster Capt Brian Sheridan said the proposed development would boost the oil importation business in the port.
