Dalian Port plans 800 million yuan (HK$907.68 million) to 1 billion yuan of capital spending this year, including growing its oil and vehicle operations, to fulfil its aim of being a major oil and automotive port, said Dalian Port chairman Sun Hong. 'We have confidence in the future of our oil business,' said Mr Sun. The total oil storage capacity at the port will expand from 600,000 cubic metres to 3.25 million cubic metres by the end of this year, said executive director Jiang Luning (right). Currently, Dalian Port has 600,000 cubic metres of oil storage capacity through a joint venture with PetroChina International Corp, which will add 1.25 million cubic metres by the end of the year, said Mr Jiang. PetroChina International will separately add 1.4 million cubic metres of capacity by the end of this year, he said. Dalian's oil facilities would be expanded to accommodate 450,000 deadweight tonne (dwt) ships by the end of this year, up from 300,000 dwt at present, said Mr Jiang. 'Currently, our oil storage capacity is not enough for our international clients. Many international clients are talking to us about leasing our oil storage facilities,' he said. Oil contributed 42.2 per cent of Dalian Port's revenue and 54.1 per cent of its gross profit last year, wrote Roslyn Ji in a Core Pacific-Yamaichi report. 'We expect oil to continue to drive the company's growth over the next few years on the back of Dalian Port's unique position as one of the strategic oil reserve bases in China.' For the second half, Dalian Port plans to build up its vehicle logistics system to develop automotive shipping between north and south China, and explore international transshipment of cars. 'We are bullish about our automobile trade. In the long term, by 2015, northeastern China's annual car production will reach three million units. This will be one-quarter of the country's car production. Since northeastern China has only 10 per cent of the nation's population, a lot of cars will be exported from Dalian Port to other parts of China and overseas,' said Mr Jiang.