Vopak is expanding its Botlek terminal in the Port of Rotterdam with 63,000 m3 of storage capacity for Styrene and other hazardous chemicals.
The expansion will add 15 stainless steel tanks for Styrene, which is used in the manufacturing of a wide range of consumer goods including packaging, construction and automotive.
The new infrastructure will be fully isolated to allow for product temperature control and is designed to prevent any emissions to the environment. It will connect seaborne trade flows via barges, block-trains and trucks to the European hinterland.
It is expected to be commissioned in the second quarter of 2020.
Vopak’s quarter one update reports that its occupancy rate is 87% compared to 91% in the first quarter of 2017 due to lower rented capacity at oil hub terminals caused by a less favourable market structure. Other product market segments show stable demand for storage services.
It reports an EBITDA of €190 million.
It says in the update that its 2018 financial performance is expected to be influenced by currency exchange movements of primarily the USD and SGD and the less favourable oil market structure, impacting occupancy rates and price levels in hub locations.
Vopak adds that, given the current 3.1 million m3 expansion programme with high commercial coverage, along with its ongoing cost efficiency programme, it has the potential to significantly improve the 2019 EBITDA, subject to market condition and currency exchange movements.