Algeria becomes terminal operator in Augusta
Sonatrach takes over Esso Italiana refinery and gains the company's concession on port quays
Augusta port is getting ready to welcome Sonatrach, Algerian state-owned corporation that will shortly become a concessionaire ex art. 18 by taking over Esso Italiana refinery.
Shareholders assembly has recently approved an agreement negotiated with Sonatrach, Algerian state-owned oil company, to sell the company's business branch which encompasses Augusta refinery, oil storage facilities of Augusta, Palermo and Naples, as well as the related pipelines.
As confirmed Ship2Shore by Sea Port Authority of Western Sicily and reported on their website, the Algerian group will also gain port Esso port concession in Augusta, namely “Pontile oleodotto 1, Pontile oleodotto 2, port areas, infrastructures and harbour areas”.
The two quays are supplied with 7 moorings capable to accommodate up to 150,000 tons ships and handle overall 1,000 ships per year (plus 1,000 road tankers per month).
The refinery covers 2.2 million square metres area and reaches 8 million tons technical capacity per year, while its storage capacity stands at 3 million square metres, being equipped with 273 shoretanks.
Once the take-over will be sealed – it's been scheduled by late 2018, after all involved authorities will give the required green light - Sonatrach will succeed Esso in the management of these structures and the related concessions, finally becoming a terminal operator in Augusta.
The agreement sealed between Esso Italiana and Sonatrach envisages that, pursuant to the existing regulation governing the sale of a business branch, Algeria state-owned corporation must also take-over Esso Italiana workforce (overall 660 workers).
The two parties will negotiate multi-annual commercial and technical contracts covering oil supply, operational and development activities as well as the opportunity to utilize Augusta, Palermo and Naples storage facilities.
“The decision was taken after an attentive evaluation”, stated Gianni Murano, President and Managing Director at Esso Italiana.
“Our commitment in Italy, where we've been operating for over 125 years, hasn't dropped. Esso Italiana and the other subsidiaries will continue serving the market and their customers”.
“We determined making our first international investment in the refining business in Italy and particularly in Augusta”, illustrated Abdelmoumen Ould Kaddour, Chairman and CEO of the Algerian company.
“We'll be committed to maintain the existing workforce, management continuity, operational expertise and high health, safety and environmental standards. We target establishing long-term relations with workers, authorities and the whole community”.