The Netherlands-based oil and petrochemical storage provider Vopak is increasing storage capacity in South America.
Vopak Brazil is expanding its Alemoa (Santos) and Aratu port terminals.
At Alemoa capacity has grown by 37,200 m3 or 30%, the additional volume being distributed in 12 tanks of 3,100 m3 each.
In addition Vopak also purchased 20,000 m2 of land next to the terminal, which will serve to expand the tank farm.
At Aratu 13 more tanks that cater for chemical companies in the region will increase capacity from 26,300m3 to 64,300m3 representing an increase of 41%, due to come online in March 2011.
Both terminals store petroleum, chemicals, gases, vegetable oils and biofuels.
Simultaneously, the company began a process of upgrading its industrial units in the area of Terminal 1 Aratu. The goal is to streamline and modernise the operation of the 36 tanks.
We believe in the Brazilian economy, a reality that clearly affects the expansion of international trade and strengthens the enormous Brazilian potential for exports. The reflection of this scenario is the increase in customer demand for storage. Vopak's investment follows this trend and also cover the strong potential for export of Brazilian ethanol , Frank Wisbrun , CEO of the company says.
There is also promise of an ethanol boom. Brazilian ethanol is extremely competitive worldwide and market participants are moving to make all announced investments in production and marketing. The local market and domestic production of ethanol are growing and there is potential for increased exports from the growth of use of ethanol in petrol in other countries, concludes Wisbrun.
Vopak has announced a series of new global investments involving 1.6 billion by 2012, when it will reach a capacity of 31.3 million m3. Today it has 13 terminals in South America contributing to its 80 around the world with a current storage capacity of more than 28 million m3.