April 19, 2013 [HES Beheer] - Noble Netherlands B.V., a subsidiary of Noble Group Limited, and H.E.S. Beheer N.V. have today reached final agreement on HES Beheer’s acquisition of Noble Netherlands’ 50% interest in Botlek Tank Terminal B.V. (BTT).
As from 19 April 2013, BTT is wholly owned by HES Beheer. The purchase price is €21.7 million, which HES Beheer can fund from its own resources. HES Beheer previously announced that 50% of its profit for 2012 is to be distributed in shares instead of cash; together with its annual cash flow surplus, its available cash reserves are sufficient to cover the purchase price.
With the doubling of its interest in BTT, HES Beheer has taken a significant step forward in its strategy to become a more prominent player in the liquid bulk market. The acquisition is also consistent with its strategy to expand its product range. After the transaction, liquid bulk will account for around 14% of HES Beheer’s consolidated revenue. Noble Group will continue to be one of BTT’s major customers.
BTT underwent a complete metamorphosis in the period 2009-2011, transforming itself from a dry bulk terminal into a state-of-the-art liquid bulk terminal with ample deepwater berths and facilities for the transhipment and storage of a wide range of liquid bulk products, such as mineral oils, ethanol, edible oils and biofuels. BTT was able to end 2012, its first year of operation as a liquid bulk terminal, in profit.
BTT’s 420-metre sea jetty is capable of handling two seagoing vessels of up to 115,000 DWT and two tank barges simultaneously, 24 hours a day, seven days a week. BTT also has blending facilities. A new train loading/unloading station, which can fill or empty six wagons simultaneously at a rate of 400 tonnes per hour, entered service on 2 April, since when eight trains have been loaded. The existing terminal, consisting of 34 storage tanks with a combined capacity of 200,000 m3, is one of the most environment-friendly tank terminals in the world and meets the most rigorous safety and environmental requirements.
Preparations for the next phase of the construction project are in full swing. The environmental permits for the proposed extension were obtained in mid-2012. Reclamation of part of the Botlek harbour adjacent to the existing site, which has been commissioned by the Port of Rotterdam, is currently in progress. The reclaimed site, which is currently scheduled for partial hand-over in mid-2013 and completion in mid-2014, will double the size of the existing terminal and allow storage capacity to be increased from 200,000 m3 to around 750,000 m3. The additional 550,000 m3 of storage will in all probability be built in phases, depending on the outcome of negotiations with customers and banks.
