Minister of Finance and Public Enterprises Moosa Zameer has revealed that two lagoons in the Greater Malé Region are being explored as potential sites for establishing long-term oil reserves in the Maldives.

Speaking at a press briefing by the Special Cabinet Committee on Middle East tensions, minister Zameer said the Ministry of Finance is working jointly with the Ministry of Economic Development and the State Trading Organization to develop a national oil storage facility. He noted that global tensions, particularly in the Middle East, have contributed to fluctuations in oil prices, prompting the Government to prepare for potential supply disruptions.

The minister said the project is being planned in three phases, with initial efforts focused on identifying suitable locations. He confirmed that surveys of the two lagoons in the Malé region are expected to begin next week, following preliminary assessments. A final proposal, including design, feasibility and financing components, will be prepared and submitted to the President for approval.

Minister Zameer stated that the reserve is intended to ensure the Maldives can maintain adequate fuel supplies during periods of volatility, with plans to determine the appropriate stock levels once the project design is finalised. He added that after securing national requirements, there may be scope to lease additional storage capacity.

The Government aims to establish reserves capable of storing fuel for up to one year, with Phase One targeted for completion within two years. At present, fuel is stored at the Funadhoo terminal near Malé, which supplies diesel and petrol to public utilities, resorts and private operators, while aviation fuel is distributed to Velana International Airport and other airports across the country.