Delivering a creative solution in a tight spot
The ports of Amsterdam, Rotterdam and Antwerp (ARA) in the Northwest Europe refining hub market are in high demand when it comes to oil storage, due to their close proximity to the refineries. Our client was not unique in their need to store product and had exhausted their usual storage options and therefore looked to us as their broker and long-term partner for a solution.
Our team set to work to develop a new concept, never before offered. As well as renting a storage tank at the terminal in ARA, we added in an inland barging agreement which allowed the client to load the storage tank and deliver further cargoes to any counterparty as part of the charter. In summary, the creative solution minimised costs for the client and allowed them to deliver cargo quickly, which might otherwise have been sold to other charterers.
As the leading inland barging broker in the world, we have forged strong relationships with all terminals in the ARA which enabled us to secure the tank storage option. Furthermore, due to our large presence and network across Europe, the barging team were able to pull together a barge storage option to complement the more traditional solutions.
"Our creative solution minimised costs for the client and allowed them to deliver cargo quickly."
Our team researched this solution and presented the client with the costs, logistics and terms and conditions from both the terminal and the barge owner in a single overview report. Storage options are usually arranged directly by the terminal, so our bespoke solution was unique and under normal circumstances would not have been achievable. The knowledge and insight we were able to bring to the table in this instance ensured the client had full visibility of the moving parts and the answers they needed to make a decision and quickly move forward with an effective solution. The end result was a happy client – we resolved their tank storage, fixed the barge movements and provided extension opportunities.
The success of this fixture prompted us to open a new end-to-end service offering for clients bringing product into Europe. The Barging team can now arrange a coaster or barge (depending on the final destination) as well as tank storage. For clients, this proves attractive, allowing them to deal with a single point of contact, keeping communications and logistics smooth and efficient.