Company Cargill and Risoil have agreed to build a grain terminal in the SE Ilyichevsk (Illichivsk) Sea Commercial Port (SCPI, Odessa region, Ukraine), Kommersant Ukraine reports today.
Cargill and Risoil have signed a letter of intent, the companys’ joint statement said. The terminal project is reported to be completed in 2013. Other parameters of the project were not disclosed.
Meanwhile, according to the former head of the state-owned enterprise Gennadiy Skvortsov, program development of the port included the construction of two grain transshipment terminals of total storage capacity of up to 300,000 tons. He estimated investments in each of the terminals at $ 50-70 million.
If the project is implemented the terminals might attract grain traders. Currently, there has been a shortage of grain handling facilities in Ukraine for a total of about 5 million tons annually, said the president of Ukrainian Agrarian Confederation Leonid Kozachenko. "Because of this, prices for grain handling in Ukrainian ports on average are twice as much of that of the EU and the U.S." he said.
Cargill is an international manufacturer and supplier of food, agricultural, industrial and financial products and services. In 2010 fiscal year, the company’s revenue has reduced to $ 107.9 million (a year-over-year 6-percent drop), net income fell 22%, to $2.603 million.
Risoil S.A. (Switzerland) is the agri-products trader and port operator. The company holds a 50-percent stake in Illichivsk Oil Extraction Plant CJSC.
Cargill and Risoil have signed a letter of intent, the companys’ joint statement said. The terminal project is reported to be completed in 2013. Other parameters of the project were not disclosed.
Meanwhile, according to the former head of the state-owned enterprise Gennadiy Skvortsov, program development of the port included the construction of two grain transshipment terminals of total storage capacity of up to 300,000 tons. He estimated investments in each of the terminals at $ 50-70 million.
If the project is implemented the terminals might attract grain traders. Currently, there has been a shortage of grain handling facilities in Ukraine for a total of about 5 million tons annually, said the president of Ukrainian Agrarian Confederation Leonid Kozachenko. "Because of this, prices for grain handling in Ukrainian ports on average are twice as much of that of the EU and the U.S." he said.
Cargill is an international manufacturer and supplier of food, agricultural, industrial and financial products and services. In 2010 fiscal year, the company’s revenue has reduced to $ 107.9 million (a year-over-year 6-percent drop), net income fell 22%, to $2.603 million.
Risoil S.A. (Switzerland) is the agri-products trader and port operator. The company holds a 50-percent stake in Illichivsk Oil Extraction Plant CJSC.