Aegean Marine Petroleum Network Inc. (NYSE: ANW) announced plans to expand its global network for the physical supply of marine fuel by establishing operations in Hong Kong.
The Port of Hong Kong is one of the largest container ports in the world, serving as an economic gateway to mainland China. The port, which also provides ferry services to nearby islands as well as cities in southern China, generates a total of approximately 5 million metric tons in annual marine fuel sales volumes. Aegean expects to initially deploy one double-hull bunkering tanker to its new service center in Hong Kong from Singapore by September 30, 2012.
Nikolas Tavlarios, President, commented, "We are pleased to once again expand our global network for the physical supply of marine fuel by strengthening our strategic presence in the Far East. The Port of Hong Kong is a major transportation hub serving critical global and intra-Asia shipping routes as well as passenger ferries. With this important addition to our integrated marine fuel platform, we have enhanced Aegean's ability to meet the needs of its creditworthy customers that operate on a worldwide basis and increase utilization as we further scale our business. We plan to take advantage of our modern delivery fleet and strong brand recognition to drive future performance in Hong Kong. We also intend to achieve notable synergies with our existing service center in Singapore, enabling Aegean to realize greater operating efficiencies while minimizing incremental capital expenditures."
Mr. Tavlarios added, "Including Hong Kong, combined with our recently announced expansion plans in Barcelona, we will have increased our global reach to 21 markets covering approximately 60 international ports, as compared to 5 service centers at the time of our IPO in December 2006. As we continue to expand our global market share and leverage our high-quality logistics infrastructure, we expect to further strengthen Aegean's industry leadership and increase the Company's earnings power."
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