October 12, 2012 [SeeNews] - Dutch oil storage firm Royal Vopak continues to expand in China, which is a long term growth market, SNS Securities said, citing the "very ambitious plans" of the port of Qingdao.
The port of Qingdao intends to extend its current port facilities to be able to handle vessels with a depth of up to 20 metres (65.5 feet), while the overall twenty-foot equivalent unit (TEU) handling capacity of the port is set to increase to over 30 million TEU.
SNS also pointed Vopak has already signed a memorandum of understanding (MoU) with the port authority with the aim of constructing and operating two chemical terminals with total capacity of 600,000 cubic metres (21.2 million cubic feet).
According to analysts of the Dutch bank, the financial impact of this expansion plan is not material but it is a showcase on how Vopak uses its political connections in order to advance its own operations.
