Stolthaven tankage will increase in 50%

Stolthaven Santos, a company specialized in liquid bulk, will increase their capacity in 50% at the Port of Santos in the next five years. The company’s bet is that there will be a resumption of exports of Brazilian ethanol – currently at low speed due to the collapse of the sugar cane harvest in the Midwest last year, and the contest of raw material with a heated market. Lately, Brazil has imported the product to the United States to fill the tanks of cars fueled by alcohol, more numerous here.

The recovery of ethanol exports, after the 2008/2009 crisis, has been much slower than the estimated by the port sector. It was expected an immediate and firm resumption. But it did not materialize to the extent that entrepreneurs review their plans to build facilities aimed at the bulk liquids industry in which the product was emerging as the future leader of movements.

One of the most experienced engineers in the area of bulk liquids and chemicals in the world, the general manager of Stolthaven in Santos, Mike Sealy, followed the recent transformation of the Brazilian trade balance. Stolt has worked with 60% capacity geared towards exports, based on ethanol. Today, this amount is no more than 30%.

“There was a world crash. The market has become conservative and the expected large volumes of ethanol did not happen. Because of the growth of the Brazilian domestic market, we see that Brazilian imports began to increase”, said Sealy.

Projects

Despite the discouraging numbers, faith in a recovery of exports in the coming years is the fuel of the investments. Taking Stolt as an example, we can have an idea of that. If their park now has 89 tanks, this total will reach 138 in five years.

If the current static capacity is 133 cubic meters, the plan is to reach 200 cubic meters by 2017. “We hope that, between 2014 and 2017, Brazil will be a great competitor on the matter of ethanol and we are preparing ourselves for it,” said Mike Sealy. The expected contribution of $ 190 million will be allocated to the further expansion of the pipeline (connecting the tanks to ships) and the expansion of the administrative building.

The trust can motivate even investments of major consequence, as in a new terminal. Considering the amount of grant usually paid by marine terminals at the Port of Santos – offers easily pass the $ 100 million – you can get a sense of confidence in the size of the Brazilian production of alcohol fuel. “We look for other areas to invest in Brazil. We know the need of the country if it continues with sustainable growth of 5% per year …” – The end of the sentence, he left in suspense.

Critics

The projects grow, but in some respects, come accompanied by criticism. In the case of Santos, the complaints will inevitably flow into the road system. The region of Alemoa (where the Stolthaven terminal is located) at the entrance of the complex, is strangled by daily excess of trucks. In accesses and internal roads, the average speed is very low, unlike the patience necessary to traverse the area.

“The government does not work at the speed we need, especially in port access, the flow of traffic. In 2011, there was a period when everything was stuck”, Sealy said.

One of the promises, reminded the Stolt manager, was done by the Santos mayor, João Paulo Papa. He said that by the end of his administration, he would “deliver Alemoa finished”. This includes, in Sealy’s view, the completion of the drainage system, the infrastructure for truck drivers and access to the neighborhood. There are 11 months to the end of the term. There is still time.