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and have a thickened edge or reinforced concrete piles on the
edge to help bear the weight of the tank.
C. Tank Construction
When a terminal requires the addition of new tanks,
management personnel at the terminal first prepare an
authorization for expenditure (AFE). After approval of the AFE,
CITGO submits requests for bids from tank builders, reviews the
bids, and awards a contract. CITGO’s contracts require that the
tank’s design and construction comply with the American Petroleum
Institute Standard 650, Welded Steel Tanks for Oil Storage (API
Standard 650). The contractor then prepares drawings according
to the contract specifications and fabricates the various tank
components.
Once the tank foundation is built, the contractor sets and
welds together the tank floor. Then, the contractor welds the
steel plate tank shell rings from the floor up to the top ring.
At this point, the contractor installs any necessary roof support
columns, girders, or rafters and any internal mechanisms, such as
an internal floating roof. Finally, after welding the roof
plating together, the contractor installs ladders or other
accessories and paints the tank.
The cost of constructing a new tank is between $10 and $12
per barrel of capacity. Tank construction crews usually consist
of 8 to 12 workers, who build the tank structure in 5 to 6 weeks.
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Last modified: May 25, 2011