Mitsuaki Arito, Head of Representative Offices of Marubeni Corporation in Russia’s Far East: “Implementation of Vostochny Port’s project is running smoothly”

Almost a year ago transnational giant Marubeni supplied 100 million dollars’ worth of equipment to Vostochny Port OJSC. The details of the transaction and the current status of the project are covered by Mitsuaki Arito, Head of Representative offices of Marubeni Corporation in Vladivostok, Khabarovsk and Yuzhno-Sakhalinsk, in his interview with IAA PortNews.  

— Marubeni is one of the world’s largest trading businesses supplying a wide range of products. What is the segment of Russian ports’ equipment in Marubeni activities? 

— As you know, our company supplies different types of equipment and production lines all over the world. Our activities in port sector cover not only supply of equipment for coal handling terminal of Vostochny Port OJSC but also different equipment for other ports of Russia. 

— Could you, please, tell about coal specialization of Marubeni Corp. and cooperation with Russian companies like Kuzbasrazrezugol in particular.

— Our company handles 15-16 mln t of coal per year (coke and thermal coal) but, unfortunately, we have no joint business with coal suppliers in Russia including Kuzbasrazrezugol. On the other hand, we have close business relations with this company on supply of off-the-road tires for their mining equipment.

— Please, tell about the contract signed between Vostochny Port OJSC and Marubeni Corp. on June 7, 2014. What is its background? How did the company select its partners in Japan? What are the crucial factors of the transaction?

— As far as 40 years ago, our partner, Mitsui Miike Machinery Co. Ltd, used to supply equipment for the first line of Vostochny Port OJSC and it is still in operation. Marubeni supplied belt conveyors for the second line. However, these historical facts have nothing to do with the latter contract. We were informed by Vostochny Port OJSC about its plans on the expansion of its export coal terminal through the construction of the third line. Following the participation in the tender and negotiations we signed the contract. Mitsui Miike Machinery Co. Ltd is a responsible company with a long history and extensive experience in production of coal handling equipment. That is why it was chosen for Vostochny Port’s project.

 — According to the Port’s press center, the contract value exceeds $100 mln. The Port expects its annual coal throughput to boost through modernization from the current 18 mln to 39 mln within a four-year period. What kind of equipment, how much of it and when is it to be delivered?
 
— We will supply 2 wagon dumpers, 2  reclaimers, 4 stackers, a conveyor system and other necessary equipment throughout a year starting from June 2015. The installation works will commence in July 2016. The launch of the new terminal is scheduled for July 2017. Our equipment can be seen at the website of Mitsui Miike Machinery Co. Ltd.

— What is the current status of the contract implementation? 

— We have neared the final phase of design documentation discussion between the specialists of Vostochny Port OJSC and Mitsui Miike Machinery Co. Ltd.

— How does the negative economic situation in Russia affect the joint project? 

— We do not feel any negative impact. Everything is running smoothly, according to the project schedule. On the other hand, there are a number of similar projects in the Primorsk Territory we would like to participate. Yet, amid the current economic situation, financial arrangements are more difficult for those new projects. Nevertheless, we will look for ways implement them.

Interviewed by Yevgeny Pankratyev