Odfjell partially restarts Rotterdam terminal

Odfjell partially restarts Rotterdam terminal

7:12 AM, 1st October 2012
Odfjell partially restarts Rotterdam terminal

BERGEN, NORWAY: A decision was made by Odfjell Terminals Rotterdam (OTR), on 27July, 2012 to carry out a temporary shutdown to initiate immediate safety upgrades. The terminal has successfully restarted and is currently operating at about 20 per cent of its capacity. Management expects to gradually restart the majority of the remaining capacity within the next six months.

Odfjell SE partly owns 12 tank terminals globally, of which (OTR), is the largest. Odfjell SE owns 51 per cent of OTR. OTR is working closely with key stakeholders to resolve the issues at the terminal. OTR has initiated several cost cutting initiatives and is in the process of ‘preparing’ a plan to reduce the work force to match the reduced activities at the terminal. The situation at OTR will negatively impact results of the tank terminal activities for the remainder of the year.

OTR expects an operating loss (EBITDA) of $ 25 to 30 million in the second half of 2012, compared to a marginally positive EBITDA in the first half of the year. The estimates for second half of 2012 include provisions for customer claims and other expected costs. These figures are based on Odfjell’s 51 per cent share in OTR.

Since 2010, OTR has had a 5 year plan in place to execute the necessary safety improvements of its technical installations and tank pits. This investment programme has now been accelerated and increased by an estimated 30 per cent. $100-133 million (Odfjell share) has been allocated for this; the range being subject to future scope of replacements. The company also expects continued weak results for the chemical tankers.

© WOC News

0 Comments

Login

Your Comments (Up to 2000 characters)
Please respect our community and the integrity of its participants. WOC reserves the right to moderate and approve your comment.

Related News


Ecolab to acquire water treatment firm in Mexio

ST PAUL, US: Ecolab Inc will purchase Quimiproductos S A de C V, a wholly-owned subsidiary of Fomento Economico Mexicano, S A B de C V, (FEMSA), a Mex ...

Read more
Songwon to expand di-n-octyltin oxide capacity in Korea

ULSAN, KOREA: Songwon Industrial group will expand di-n-octyltin oxide (DOTO) production capacity by 60 per cent at its Ulsan, Korea manufacturing fac ...

Read more
La Seda de Barcelona’s new subsidiary for PET production & marketing

EL PRAT de LLOBREGAT, SPAIN: The PET manufacturing business carried on by La Seda de Barcelona (LSB) at its production plant in El Prat de Llobregat ( ...

Read more
Ineos to import ethane for European crackers from the US

LAUSANNE, SWITZERLAND: Ineos Europe AG has completed supply and infrastructure agreements that will secure a significant volume of ethane feedstock fr ...

Read more
Songwon to cease tin agrochemicals production at Ulsan

ULSAN, KOREA: Songwon Industrial Co Ltd will discontinue manufacturing of tin agrochemicals at its Ulsan (Korea) facility from 1 January, 2013 onwards ...

Read more
BP to sell Malaysian PTA interests to India’s Reliance

LONDON, UK: BP has agreed to sell all its interests in purified terephthalic acid (PTA) production in Malaysia to Reliance Global Holdings Pte Ltd (Re ...

Read more