Oiltanking, a Germany-based energy supply, trading and logistics operator, has signed an agreement to acquire 20% stake in oil terminal located in Port of Açu, Brazil, from Prumo Logistica for $200m.

Prumo Logistica is controlled by American fund EIG Global Energy Partners.

Under the terms of the agreement, Oiltanking will also manage the Port of Açu oil terminal, which is designed to handle the large oil tankers and has oil transfer capacity of 1.2 million barrels a day, reported Reuters.

The terminal is backed by a 20-year contract with BG. The contract has provision to increase capacity to 320,000 barrels a day of oil.

Scheduled to be commissioned in August 2016, the terminal will initially transfer about 200,000 barrels a day of petroleum sourced from BG’s oil fields located offshore Santos Basin, Brazil.

The terminal will transfer the oil which shuttle tankers collect from offshore floating production storage and offloading ships. This oil will be transferred to larger tankers which are docked at Açu for shipment to market.

Marquard & Bahls subsidiary Oiltanking owns and operates 73 terminals in 22 countries.