KATHMANDU: Nepal Oil Corporation (NOC) has unveiled plans to construct a new aviation fuel depot at the Tribhuvan International Airport (TIA) in Kathmandu, with an estimated investment of Rs 6.54 billion.
The proposed depot will be located in the northeastern Guhyeshwari area, replacing the existing facility in Sinamangal which has been deemed outdated, non-compliant with international safety standards, and insufficient in storage capacity. The current setup also poses a growing security risk within the airport vicinity.
On Thursday, the Institute of Engineering (IOE), Pulchowk Campus under Tribhuvan University, officially handed over the Detailed Project Report (DPR) for the new depot to NOC. The handover was made by IOE Assistant Dean Prof. Dr. Suraj Lamichhane and Associate Professor Narayan Gautam to depot chief Pradeep Kumar Yadav and accounts head Prachanda Pathak.
According to the DPR, the new facility will strictly adhere to international safety protocols, including standards set by the American Petroleum Institute (API). Five vertical tanks with a capacity of 3,000 kiloliters each will be built for fuel storage, with provision for future expansion.
“The new depot is being designed to meet the aviation fuel demand for the next 50 years,” said depot chief Yadav. “It will be fully modern and automated.”
Features of the upcoming depot include six loading bays and eight unloading bays, seven hydrant refuellers for fueling international aircraft, and a fire protection system with two 2,100-kiloliter water tanks and an advanced automated fire-control system.
The plan to relocate the depot was endorsed by the government during a Cabinet meeting on August 12, 2024. NOC had assigned IOE to prepare the DPR in November.
The construction process is expected to begin in November 2025, following an international tender announcement in September, contingent upon the Civil Aviation Authority of Nepal (CAAN) completing land acquisition and management.
Yadav noted delays in land-related processes and urged CAAN to expedite the work, as the project aims for completion within two years. Fuel supply from the new depot is expected to begin from December 2027 .
Assistant Dean Lamichhane said the IOE has the technical expertise to design complex infrastructure and that collaboration with NOC has further enhanced institutional capacity.
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