Odfjell Terminals (Rotterdam) posts Q4 2012 results
EBITDA of USD 17 million reflects both a continued weak chemical tanker market and still significant losses at Odfjell Terminals (Rotterdam), company reports.
In fourth quarter, with the exception of Odfjell Terminals (Rotterdam) (OTR), the EBITDA for Odfjell tank terminals remained on par compared with previous quarter. In December Odfjell announced that company had signed of a Letter of Intent with Lindsay Goldberg LLC to expand the existing joint venture to essentially include all of Odfjell tank terminal business. The proposed transaction will significantly increase the capitalization of the tank terminal division and will enable Odfjell to jointly embark on an ambitious and accelerated growth strategy.
OTR has reached agreements in principle with the Unions and the Works Council with the objective of finalizing the negotiations regarding downsizing and reorganisation of the work force.
The re-commissioning project at OTR is slightly delayed relative to earlier plans. 717,000 cbm is approved for usage per end of January 2013. Odfjell now expects 1.2 million cbm to be available for commercial use by end of Q2 2013.
The chemical tanker market improved seasonally towards the end of the year. Volumes shipped remained on par with the previous quarter. Earnings on a time-charter basis were up 7.8% compared to third quarter. Freight rates per tonne shipped increased by about 10%. The average price on bunkers purchased in the quarter remained high.