The Sullom Voe oil terminal in Shetland is in line for a £500m investment, BBC Scotland can reveal.
The French oil company Total has confirmed it is planning to build a new gas plant, which could create dozens of jobs and start operating in 2013.
Work is due to start next year on building the facility.
Council convenor Sandy Cluness said it was great news for the economy and that the investment would keep the terminal open for another 20 to 30 years.
The project is part of a major £2bn investment by the company to pipe gas from the deep waters west of Shetland to the Scottish mainland.