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Royal Vopak seeks more Asian investors

Royal Vopak, a Dutch oil and chemical storage giant, is widening its investor base, which will include more Asian investors. The company’s chief financial officer Jack de Kreij met with interested investors in Singapore and received positive feedback from prospective investors from Australia, Japan, Hongkong and Singapore.
Kreij spoke of his company’s keen interest in Asia, calling it “a very critical region on our radar screens. ” He said that Asia accounts for 38% of Royal Vopak’s global earnings. Kreij said that Asia currently accounts for 25% of the company’s global storage capacity, which is expected to increase to 30% by the end of 2014, based on several ongoing projects:

  • The Banyan terminal, one of Vopak’s four terminals in Singapore, is being expanded by 100,000 cu. m. for chemicals to service a nearby plant.
  • A terminal for crude oil and oil products will be built in Yangpu, Hainan, under a joint venture. The terminal, with an initial capacity of 1.35 million cubic meters and two jetties, has room to expand to 5.3 cubic meters.
  • In Malaysia, Vopak will join with Dialog Group to build and operate a bulk liquid storage terminal in Johor, with an initial capacity of 1.3 million cubic meters, expandable to 1 million cubic meters. The terminal will provide storage, blending and distribution services for crude oil and clean oil products, with an initial capacity of 1.3 million cubic meters, which can be expanded by 1 million cubic meters.

Kreij said it is now time to include Singapore as Vopak’s regular capital market and make it a regular stop for its roadshows and meetings, in line with rising investor interest across the region. (November 14, 2012)