Storage tank operator Royal Vopak has announced a 17% rise in net profit in 2008 to $274 million and expects strong interest for storage demand to continue.
The Dutch-based firm did not reveal performance for the first few months of 2009, but chairman John Paul Broeders is expecting an operating profit before depreciation and amortisation of at least $580 million, in line with forecasts.
''Despite uncertainties about economic developments we have confidence in the future,'' Broeders said in a statement.
''Although we are certainly not immune to any negative economic development, it has not had a material effect on our business up to now. We are still experiencing considerable interest in the storage of oil products and stable demand for tanks for storing biofuels.''
Last year, Vopak added about 5.3 million cubic metres (m³) of storage capacity to its network, bringing its total capacity to more than 27 million m³.
Projects under construction will add 2.5 million m³ of storage capacity between 2009 to 2011. These expansions were based largely on rental contracts already entered into.
"Projects under construction will add 2.5 million m³ of storage capacity between 2009 to 2011"
Some of Vopak's expansion projects include the addition of 200,000 m³ of capacity and an oil jetty in Rotterdam. It is also adding 380,000 m³ and 223,400 m³ for oil products in Fujairah and Singapore respectively.
Vopak Terminal Bahamas will expand by 429,000 m³ in 2009 and the company is building a new oil terminal of 250,000 m³ in Jakarta this year.
Strong demand for storage has allowed the company to have an average occupancy rate of 94.2% for its existing tanks worldwide, Broeders said.
Geographical imbalances in production and consumption, and the liberalisation of some previously closed economies such as in Indonesia, have boosted demand, the company said.
More countries were setting individual specifications for products such as gasoline, creating a need for blending services as well as separate gasoline storage.
There was also growing demand for environmentally friendlier fuels requiring the storage of more biofuels, the company said.
The Dutch-based firm did not reveal performance for the first few months of 2009, but chairman John Paul Broeders is expecting an operating profit before depreciation and amortisation of at least $580 million, in line with forecasts.
''Despite uncertainties about economic developments we have confidence in the future,'' Broeders said in a statement.
''Although we are certainly not immune to any negative economic development, it has not had a material effect on our business up to now. We are still experiencing considerable interest in the storage of oil products and stable demand for tanks for storing biofuels.''
Last year, Vopak added about 5.3 million cubic metres (m³) of storage capacity to its network, bringing its total capacity to more than 27 million m³.
Projects under construction will add 2.5 million m³ of storage capacity between 2009 to 2011. These expansions were based largely on rental contracts already entered into.
"Projects under construction will add 2.5 million m³ of storage capacity between 2009 to 2011"
Some of Vopak's expansion projects include the addition of 200,000 m³ of capacity and an oil jetty in Rotterdam. It is also adding 380,000 m³ and 223,400 m³ for oil products in Fujairah and Singapore respectively.
Vopak Terminal Bahamas will expand by 429,000 m³ in 2009 and the company is building a new oil terminal of 250,000 m³ in Jakarta this year.
Strong demand for storage has allowed the company to have an average occupancy rate of 94.2% for its existing tanks worldwide, Broeders said.
Geographical imbalances in production and consumption, and the liberalisation of some previously closed economies such as in Indonesia, have boosted demand, the company said.
More countries were setting individual specifications for products such as gasoline, creating a need for blending services as well as separate gasoline storage.
There was also growing demand for environmentally friendlier fuels requiring the storage of more biofuels, the company said.