connections - Oiltanking...THE LONG WAIT IS OvER The first Oiltanking terminal in Brazil receives its first cargo. SOuTH AMERICA 4 CONNECTIONS CONNECTIONS 5 SOuTH AMERICA First cargo

THE WORLD OF OILTANKING VOL. 20/3 DECEMBER 2008

connections

E D I TO R I A L

CONNECTIONS2 CONNECTIONS 3

AS I A

Terminal equipment, such as pumps, valves, instruments and even tanks to

name but a few, needs proper maintenance and attention to guarantee a reliable and efficient performance. However, even the best maintained piece of equipment is useless if deployed or operated in an inappropriate manner. This also goes, if not more so, for less or non-tangible parts of our business. Well-trained and motivated professionals are therefore paramount. Regardless of what line of business you are in, the most crucial success factors are people. We would not be where we are today without the continuous dedication of our employees!

Oiltanking is constantly growing, as is the number of our colleagues. As a company operating on a global scale, the

people we recruit are as diverse as their cultural backgrounds. The diligent development of this “human capital” and nurturing their growth are vital aspects of our strategy and central to our corporate values. We plan with a cool head and a warm heart, fully aware that investing in the development and wellbeing of our employees is tantamount to investing in the future. As human beings take the center stage for us, you will see that the articles in this issue also have something of a “human touch”.

I hope I have made you curious enough — one very typical human characteristic, by the way — to read the latest edition and that we touch upon some interesting topics for you.

Gust SpaepenManaging Director Oiltanking GmbH

A cool head and a warm heart

BRAZIL First cargo welcomed

NORTH AMERICA Hurricane Ike hits Texas City and Beaumont 4 14

Highlights in this issue

MONACO EPCA

conference 30 34OT SPORT

Golf goes urban

A new company called Oiltanking-KNOC Yeosu Co., Ltd. will be formed through the joint venture agreement with Oiltanking holding a 34 percent stake and the rest being spread among its partners Korea National Oil Company (29%), Glencore International (15%), SK Energy Co., Ltd. (11%) and GS Caltex Corporation (11%). In order to build, own and operate the petroleum terminal facility, an engineering study is already being conducted.

The terminal will have a maximum storage capacity of 1,655,000 cbm divided into two phases and will be used for crude oil, clean and black products. A 320,000 dwt jetty with 3 berths is to be constructed with a natural draft of +/-20 m. The facility will mainly act as a trading center (arbitrage and blending) although the facility will also have an overflow function for the nearby GS-Caltex and other Korean refineries, which are all upgrading or expanding while suffering from a shortage of land. Commercial operations are expected to commence by the fourth quarter of 2011.

South Korea is a net exporter of petroleum products and dominated by the local refineries, which have begun to increase their production, with China and the Pacific West Coast as their main supply markets. Today, the country does not have an independent terminal that could compete with the size and features of the planned Oiltanking facility in

Yeosu. There are several criteria that make the port of Yeosu an ideal location: Firstly, it is a crossing point for East/West shipping routes linking Europe, Asia, and North America. Effectively a gateway connecting the economies of the Pacific Rim, Yeosu port (dwt of 20 m) is expected to act as a petroleum hub for North East Asia and become a much awaited addition to the shallow draft ports throughout Japan and along the North coast of China. Its proximity to the GS-Caltex refinery, not to mention the available land of KNOC

(20 ha) and its existing jetty (325,000 dwt), however, also add to the appeal of the Yeosu site.

Oiltanking branches out into South KoreaOn September 4, 2008, Oiltanking Asia Pacific signed an agreement to enter into a joint venture with four other parties to develop a new petroleum terminal in Yeosu, South Korea. The terminal is expected to serve as a hub for the North East Asia Region.

A DONE DEAL Young Won Kang, President KNOC, Jae Hoon Lee, Deputy Minister of the Korean Ministry of Knowledge & Economy and Rutger van Thiel, Managing Director Oiltanking Singapore, holding the signed contract (from left to right).

K O R E A

THE LONG WAIT IS OvER The first Oiltanking terminal in Brazil receives its first cargo.

S O u T H A M E R I C A


S O u T H A M E R I C A

First cargo welcomed

In the past, Santos used to be the main port for the export of ethanol in Brazil. Now, Brazil’s leading mining and logistics company CVRD (Compania Vale do Rio Doce) and Oiltanking offer a joint new export route via a rail network and the Vila Velha terminal located in neighboring Vitória.

After a construction period of sixteen months, the terminal, which has an actual capacity of 24,600 cbm, finally welcomed its first load on August 12, 2008. Two additional tanks are currently under construction and scheduled to be operational by April 2009, which will increase the total capacity to 34,600 cbm. The state-of-the-art terminal is

designed to receive ethanol and vegetable oil by railcar and truck, as well as load tankers for export to the international markets.

The ethanol rail export terminal in Vila Velha is the first Oiltanking terminal in Brazil. In light of the fact that the country is one of the world’s chief and most competitive producers of ethanol, the terminal makes for an ideal reference point; the company is also pursuing several other promising projects.

APLA — a glossy platform

ROSY OuTLOOK Without a doubt the Copacabana is definitely worth seeing but the business opportunities to be had there by our South American team during the APLA were equally of great importance.

On August 12, 2008 Oiltanking’s terminal in Vila Velha Brazil, received its first cargo, marking a memorable day on the company’s path to further progress.

While our colleagues in Europe were heading to glamorous Monaco to attend the EPCA (European Petrochemical Association Conference), “the” conference for the petrochemical business in Europe, their counterparts in South America were seen at the conference of APLA — in the by no means less fancy city of Rio de Janeiro, Brazil. Still and all there is no need to be green with envy! There was not so much time for our people to enjoy the spectacular views or sun themselves on the famous Copacabana Beach as their eyes were permanently glued to their busy agenda and their minds focused on customers.

The meeting of more than 500 South American representatives from petrochemical companies, traders and logistic service-providers allowed for an excellent

opening to exchange substantial information on ongoing projects, as well as discover new business opportunities and evaluate new investments. Moreover, it was also a good chance for Oiltanking to introduce its new terminal in Brazil and the two “new kids on the block” in its South American portfolio, namely the promising projects in Panama and Columbia. You will be able to read more about them in the forthcoming issues of connections!

Once again, Oiltanking was involved in the annual APLA congress (Petrochemical Association of Latin America) in November 2008, thus highlighting its mounting role as a serious service-provider on the South American market.

MOvING ON uP Oiltanking is continuously gaining a foothold

in the Brazilian market.

We Can, We Care

Within the Oiltanking terminals, there are various departments and each and every one of them is crucial for a smooth and satisfactory work process. Here, we take a closer look at what goes on in “Human Resources” — in Singapore.

According to Bessie Ng, Vice President (VP) Human Resources (HR) in Singapore, the work of an HR department is probably the same wherever you are as it more or less deals with the same kinds of issues, albeit in different magnitudes. Looking at the Singapore terminals is especially interesting as the HR department caters for a staff of 139 Oiltankers from all walks of life, culture and race. “There is never a dull moment” says Bessie, “and it is almost impossible to work for a single hour without someone calling you or walking into your room. We have to consider and deal with at least four different religions, each having its own rules, one of which might, for example, involve serving the right food. We also have to be very mindful of the dissimilar nationalities and mentalities of the people working at the terminal. Chinese, Malay, Indian, Dutch, German, Eurasian and even Bolivian nationals are employed here. You have to try to comprehend their culture and way of thinking in order to communicate with them more effectively. Reactions differ according to a person’s background. It is our job as an HR department to encourage mutual understanding between colleagues and help solve any problems that may arise”, explains Bessie.

P O RT R A I T


P O RT R A I T

THE LADIES from the HR department at Oiltanking Singapore: Bessie Ng, Irene Kang, Shendia Tan and Wong Shu Ping (from top).

Bessie is supported by three other colleagues: Wong Shu Ping, Irene Kang and Shendia Tan. Together, they cover the full spectrum of HR work — from finding the right candidates for vacant positions, drawing up contracts and promoting colleagues to dealing with the unions and securing the food supply etc. In addition, from the office in Singapore they also provide HR support for the other terminals in the Asian region, i.e. China, Indonesia and, in future, also Korea. Basically, each member of the HR staff is given his or her own portfolio of tasks, although they are expected to know each other’s jobs in order to cover when someone is away. Depending on the entry level, the educational requirements can range from a General Certificate of Secondary Education (GCSE) or high-school certificate to a degree and experience can vary from zero (junior position) to more than twenty years (as in the case of Bessie). According to Bessie, anyone interested in working in HR should keep their eyes peeled, their ears to the ground and their mind open; an interest in people is also a definite advantage.

Due to the fact that every country where Oiltanking has terminals has different legislations and cultures, each country develops its own HR policies by holding on to the Oiltanking culture and embracing the company’s corporate values. In order to keep in touch with colleagues from all over the world, they stay in close contact via e-mail and exchange their experiences during the annual HR meeting. You always have to keep yourself up to speed, as there are always changes — be it from a legislative,

economical or human point of view. Therefore, HR work is also constantly moving, which brings us directly to the HR term “Change Management”. This means bringing changes to the company. It is well-known that people (on the whole) are skeptical of change, especially when they are in their “comfort zone”. “Changing the mindset of staff members is very challenging,” explains Bessie. “You often hear comments like “but in the past …” or “but it is our culture here to do …” whenever things are done differently and are about to alter. This is where the HR department comes in to help implement and oversee new introductions in an employee-friendly manner and provide reassurance for our co-workers.

All things considered, HR work is quite versatile. Contrary to what people might think, it goes beyond the “paper work”, such as contracts and recruitments; the HR department plays a crucial role in creating a harmonious working environment and supporting employees in all kinds of issues. And, as Bessie points out, “at the end of the day, it is only employees who feel understood and supported that will enable the company to support new ventures. We try to not forget this in our HR work — every day.

… in “Human Resources”

H u M A N R E S O u R C E S


H u M A N R E S O u R C E S

Oiltanking (OT) recognizes that motivated and dedicated members of staff are one of its most essential assets and key to the company’s sustained commercial success. However, not only is Oiltanking aware of the need for qualified and enthusiastic managers and experts, but it also regards it as their responsibility to prepare them well for the future. Annual performance and potential appraisal interviews between superiors and personnel have been standard procedure for many years. Nonetheless, during the Spring Meeting of 2006, the results of feedback interviews conducted between seniors and so-called high-potential nominees triggered a noteworthy discussion at the High Potential Committee Meeting held for the first time back then. The committee conversed about the individuals before confirming and eventually selecting the chosen people for each group. This approach went on to spawn the

reputed Oiltanking Leadership Excellence Program (LEP), which started in March 2007. It reflects the Oiltanking spirit, the “can-do-attitude”: working on real life OT projects whereby incorporating theoretical input and a wealth of hands-on experience.

This development program means a great deal of extra effort on behalf of both the participators and their superiors — and not only time-wise. Nevertheless, Oiltanking strongly believes that the outcome will be well worth the combined endeavors: the gained knowledge will aid the candidates to assess their own (managerial) behavior, get them ready for more complex tasks in the future and at the same time fulfill both the individuals’ own personal goals and those of the company. In total, four categories have been distinguished:

Career opportunitiesOiltanking shows its commitment and engagement towards its employees in various ways. One of these is to support their career development and capabilities through its Leadership Excellence Program.

NEWCOMERS The first participants to be accepted onto Oiltanking’s HR development

programs “SLP” and “AMP” pictured with fellow colleagues.

The Strategic Leadership Program (SLP)The program is geared towards seasoned senior managers and focuses on strategy/leadership.

The Advanced Management Program (AMP)The aim is to learn management techniques through action learning as a preferred style on real life OT projects (work on solution/proposals, present results and implement ideas). The “SLP” delegates act as sounding boards for this group.

The Junior Management Program (JuMP)The program paves the way for colleagues for (potential) first leadership positions.

The Specialist Program (SP)The HR department is currently designing this additional program.

Each program is somewhat specific but a lot of common ground is covered. All of them are designed to enhance the international network by deepening the true understanding of Oiltanking’s core values and culture, as well as “the Oiltanking way” of doing business. Promotion of intercultural competence and encouragement of preparatory measures for international assignments and rotation is advanced. Moreover, they allow the people involved to reflect on their

own personalities and strengthen their appreciation for other peoples’ views and performances with a mind to reinforcing team collaboration. They also help to acquire, improve and apply management, business and technological acumen, along with basic management techniques, in conforming to the managerial/specialist competencies desired.

All the groups are given further input through internal and external guest speakers and work with self-styled “personality tools”. It goes without saying that internal and external seminars on areas such as HSSE, finance, marketing, etc. are provided for as and when necessary. The entire HR development program is conducted by trainers from Oiltanking’s partner, Change International, who is in close cooperation with the International HR Department at Oiltanking’s HR head office in Hamburg. It goes to great lengths to ensure that the LEP is planned according to the diverse requirements of Oiltanking and will continue to do so into the future.

H u M A N TO u C H

A day in the life at Oiltanking

Mostly, people tend to talk about “big business” and “big events”. However, the less glamorous duties that are often taken for granted are just as important if you want to succeed. unspectacular episodes can also have a significant impact in the end. With 2,170 Oiltankers around the world, naturally there is a wide variety of different menial tasks to be carried out. Here, we take a look at what some of our colleagues at some of our terminals experienced in just one day: Tuesday, October 14, 2008.

H u M A N TO u C H

LuCKY DAY Molleke, the “terminal cat” from OT Antwerp moves into

a loving home.


SPOTED A nudibranch with vibrant colors and stunning markings at the underwater world of Komodo Park.

THE PLACE TO BE The Kotka terminal welcomed a lot of

customers that day.

It was a sunny autumn day in

Antwerp (probably the last of the good weather for this year)

and the sunshine seemed to be a good omen. As a little thank you (!) for coming

into work despite her terrible cold, for once Lieve Demoulin, Human Resources Supervisor, did

not experience any traffic jams on the road! Koen Maene (Operations Support & Training Coordinator) and

Joan Oris (Customer Service Officer Custom Affairs) came by bike as usual. For Gunter Paulus (Operator), however, the

world would have been rose-tinted whatever the weather — he had just got married the previous Sunday and was off enjoying

his honeymoon. Fortune was also smiling on Saskia (Customer Service Client Affairs) — she was able to make the most of the nice

weather on her day off. Karin Meeussen (HSSE Administrator) was even better off: she was on vacation, stretched out on a beach in

Senegal and sipping a delicious cocktail. News also from Sabine Thierens (Administration Employee): she would be back by October 21

after having spent six months in the South of France. Delicious sandwiches for Stefan Broeckx (Customer Service Manager) and his visitors. Johan De Nijs (Sales Manager) was wearing a tie that day (!) for a meeting with potential customers. Sarah Fakhari (Sales Department) launched a new customer satisfaction survey. And finally, despite the fact that the phone did not stop ringing and Annette De Bruyn (HR), the receptionist, was experiencing some problems with the OTBE contacts database, the good mood was not to be dampened. In fact, looking at Caroline Landa’s (OPS Administration Employee) wedding pictures at lunch time put everyone in an even merrier mood.

For Managing Director Rein Männiste, the day proved that Murphy’s Law really does exist: He had to catch the ferry from Tallinn, Estonia, to attend a meeting with a client in Kotka, Finland. However, the ferry was 30 minutes late, just when he wanted to be in the office

extra-extra punctually … At the terminal, Janne Liinamaa, Terminal Manager, welcomed the clients and they started the

meeting, which incidentally went very well! It was to be a thrilling day for one of OT’s bank directors, who also came

to visit the terminal. Nina Kreander, Customer Service and Marketing Coordinator, showed him around. Later

on, one of the operators, Juha Smids, climbed up to the top of one of the tanks to grant the visitor

his wish. The director left the terminal with a big smile — as did the colleagues looking

forward to putting their feet up after a hectic day.

In stark contrast to the glorious weather in Antwerp, our colleagues in Devnya, Bulgaria were greeted by a foggy and gloomy morning. No wonder everyone in the office was still a bit sleepy and crept into the kitchen for a shot of caffeine first thing — some even started the day with two coffees at the same time! While the terminal manager Plamen Kolev and terminal engineer Radomir Georgiev were busy dealing with contractors outside the office, finalizing the latest details for the ongoing projects, the weather started to clear up. Hmm, lunchtime! Today, the new colleague, Radomir Gerogiev, was wearing the chef’s hat! He was keen on making tasty sandwiches. As tempting as they sounded, however, the ladies refused his kind offer, preferring to watch their waist-lines. However, there were some strange goings-on in the afternoon; one by one, the ladies snuck into the kitchen! Aha, their good intentions began to crumble and Milena Nikolova, accountant, was caught red-handed by someone else with exactly the same intention: to nibble at the sweets stored in the kitchen cabinet. But, as chocolate is said to be good for the nerves who can blame them! And as yet another day in the office drew to a close, even the sun was “smiling” and shone brightly.

It was hot and humid in Singapore. Outside, colleagues were “busy bees”, but inside the office building it all seemed so quiet and empty. Where was everybody? Thankfully, Jerlyn Tan, Corporate Affairs Manager, was in the know: Pele Wendt, Assistant Terminal Manager, Hendrick Ang, Maintenance & Repair Manager, and Keith Low, Operations Manager OTS, were cut off in the conference room for a week-long Hazop study for phase 10 and the SRC pipeline connection. And as Rutger van Thiel, President OTAP, Mauricio Prudencio, VP Business Development OTAP, Gideon Loudon, Business Development Manager OTAP and Sven Parztsch, VP Engineering OTAP, were on their way to Seoul, Korea, for a meeting, Rob Eijkholt, Terminal Manager OTS/OOTS, called from Bali to see what was happening in the office (he was just coming back from a diving trip where he checked out the fascinating underwater world of Komodo National Park, Indonesia.

TODAY’S CHEF Radomir Gerogiev treats his

colleagues in Devnya to some fine food.

Just another routine day for the colleagues of the terminal in Texas City, Texas, who were still busy getting the terminal “back to normal” after the havoc wreaked by the disastrous Hurricane Ike. Jesman Devia donned his

waterproofs and got ready to float the tank 3749 to its foundation. The repairs to the electrical infrastructure were still in progress but were coming along nicely. Chuck Godin, Maintenance Supervisor, was checking

how the construction of the new maintenance building was going.

In Sohar, Oman, the board of directors of Oiltanking Odfjell Terminals & Co. LLC had its 10th meeting since the establishment of the company in 2005. It was

the first time the members had met since tank farm operations commenced in August 2008.

Our colleagues at the terminal in Malta have a habit of coming to the

office earlier to have a coffee together and get prepared for the day ahead. That day was no different and it did not take

long for Rachel Caruana (Logistics Manager) to start dashing around and “driving everybody crazy” (her own words!). It was the second Tuesday of the

month and Leddy Evangelista, CEO, had a management meeting at 9 a.m. As she was going to travel the same day, the meeting had to finish by 12 noon at the latest. In addition,

all purchase orders had to be signed before she left, so Janette Schembri (Administrative Officer) was given the job of making sure they were. Then Lorenz Joyce, HSSE Officer, came into the office

with friendly comments about everyone — he always brightens up the day (especially for the ladies …). There seemed to be a lot of noise throughout the day: either from the constant buzzing of the telephones

or the peals of blithe laughter from colleagues teasing and commenting on each other in the canteen during the lunch break.

H u M A N TO u C H


H u M A N TO u C H

JOCOSE LuNCH BREAK Lorenz Joyce (middle),

OT Malta, surrounded by his colleagues.

A DIFFERENT KIND OF ENDEAvOR Jesman

Devia, OT Texas City (left) together with

Alton Meador, Specialty Tank, floating a tank.

GET-TOGETHER (from left) Paul Shynett Jr,

Said Al Masoudi, Morten Albriktsen, Gerard

Reumer, Daan vos and Ashutosh Kaushik.

It might not be October 14, the day we picked to have a look at a “normal” day at some of our Oiltanking offices around the globe, but October 16, 2008, was still a special day and therefore worth picturing as our colleagues in Mumbai celebrated Diwali — the festival of lights. And so did Rashmi Surve, (Senior Executive Secretary MD).

07:30 hrs Oh my God, I’m late again and I’ll miss the bus now. How am I going to get a ride to the station? I also wonder why starting the day with a race happens to me everyday. But blessed are the Rickshaws (a three-wheel vehicle with a motor attached to it and a common form of transport in India). I manage to flag one down and have a pleasant ride through the colorful streets of awakening Mumbai with me adding even more color to it by wearing an eight-yard saree (the traditional dress) for our Diwali party at the office.

08:30 hrs After a bumpy one-hour drive, I finally reach the office. It is pretty hot outside and I feel exhausted even before I start my working day. It seems as if the scorching October sun has absorbed all the energy from my body and I long for an energy drink!

08:45 hrs I’m sitting at my desk (cooled inwardly by a refreshing drink and outwardly by the freezing (!) air conditioning) and it’s high time to check the mails. Of course, today I find a lot of “Good Morning” messages sent by dear old friends and colleagues expressing their holiday wishes. They’re quite inspiring and I appreciate them as I’ve a pile of things to take care of in my “IN” tray. I remember the golden secret from Rhonda Byrne‘s novel “The Secret”: “Think of an empty “IN” tray and the world as your genie will grant you what you have wished for!In the meantime, the telephone keeps on ringing. I wish I had four hands. Tick tock tick tock — the clock is ticking mercilessly and, while I get through the pending work as fast as I can, it’s almost 12.30 now. Actually, it’s lunchtime! Hooray! The office canteen food is always colorful and a feast for the eyes as well as for the stomach: salads with fresh cucumbers, carrots, tomatoes chopped vertically with white rice, yellow dal, red or orange colored vegetables in gravy etc., and a desert to end with. Heavenly, but I’ve still got to finish the work first.

15:30 hrs The buzz of the day seems to have disappeared and made way for a festive atmosphere and our Diwali celebration starts. We play a series of games: Kapil Jain (President) and his team wins at dressing up one of their members, Yogesh Chavan (Finance Executive), as a cook in ten minutes! Our colleagues from finance and business development are experts in the kitchen, too? Now that’s really something (and good to know!) And voilà, I won at golf! I can’t believe it: the ball just went into the hole like ice-cream sliding down your throat — that smoothly!

17:00 hrs As another stress-filled day draws to a close and we get ready to leave the office, there’s still time for a photo session for all of our female colleagues dressed in their beautiful sarees — and of course, it’s time for the rangoli (a form of sand painting decoration that uses finely ground white powder and colors or flowers and is one of the most popular art forms in India). We then head home to our families to celebrate the holiday; tomorrow all of us will be back in the office to meet our other “family” members in the office again as we get back to the grind. However, this does not mean that we won’t be able to enjoy ourselves and have a bit of fun!

Highlight

WHAT’S uP IN THE KITCHEN? During one game Kapil Jain, and his team Indrajeet Guha and J.Nampoothiri (from left) had to dress Yogesh Chavan as a cook as fast as possible.

vISuAL DELIGHTS Rashmi Surve (right) with her colleagues Sukhada Dagade, Ranjini Pillai, Jyothi Nair (from left) from the Mumbai office wearing beautiful sarees for Diwali.

Hurricane Ike was the third most destructive hurricane to ever hit the united States. On September 13, 2008, Ike made its landfall at Galveston, Texas, as a Category 2 hurricane, causing damage everywhere. The Oiltanking terminals in Texas City and Beaumont — both in the coastal areas of the Gulf of Mexico — were not spared, either.

Logbook entry: IKE

N O RT H A M E R I C A


Texas City Texas City, Texas, is located on the shores of Galveston Bay and is about 5 miles away from Galveston Island and the Gulf of Mexico. The city is protected by an 18-foot levee that was built after Hurricane Carla back in 1961. As a waterfront facility, Oiltanking Texas City (OTTC) is located on the waterside of the levee.

Preparations for the storm began several days before the expected landfall.

Following the news meticulously, the OTTC Hurricane Team, which consisted of ten employees ranging from electricians, machinists, operators, and managers, made the final decision to evacuate the terminal on Friday morning, September 12, as the forecast track of Hurricane Ike and the current high tides were not favorable for the northern Texas Gulf Coast. After several days of preparing and securing the terminal, the electricity was turned off and the gates were locked. At this point, the waters from Galveston Bay had already covered the barge docks and most of the north part of the Terminal, but the eye of Hurricane Ike was still 14 hours away. The hurricane team spent the next several hours at a hotel in the Houston area riding out the storm.

On September 13, around 12 pm, the hurricane team made its way back to the Texas City area to check on their homes and to do an assessment of the terminal. By 3 pm, the gates at OTTC were unlocked again and the assessment

began. At first glance, the terminal looked to be in good shape. Of course, there was trash and debris all over the place. However, after driving through, they noticed that most of the tank farm areas were full of water. This was the first indication of how high the storm surge was. They found out later that the official storm surge in the area was 12–15 ft above sea level. According to the debris line on the levee behind us, they estimated it to be 14 ft. To put that in perspective, the highest elevation here at the terminal is about 12 ft above sea level at the main office. Fortunately, the main office foundation is built up by about 3 ft and did not take on any storm surge water.

The water was anywhere from 6-8 ft deepat the peak of the storm.

The rest of the terminal was not so fortunate. In some areas, such as the truck rack, the water was anything from 6–8 ft deep at the peak of the storm. This meant that most of the electrical infrastructure had been exposed to salt water, including the switch racks, starters, breakers, and pump motors. There was also extensive erosion to the dike walls because of the storm surge and wave action, not to mention the additional wind damage: Metal buildings had lost their roofs, dock houses destroyed, the insulation separated from tanks. By the time daylight ran out, they realized that there was still plenty of work to be done!

On Sunday, September 14, the clean-up commenced. By Monday, September 15, 38 employees had arrived for


work to assist in this process. The rest would arrive back in the coming days. Most of the colleagues worked long hours while the maintenance staff worked many days without a day-off, performing tasks outside of their normal jobs without being asked. They were able to manage all of this and take care of things at home while being without electricity for 1–2 weeks. The loyalty and dedication of these Oiltankers was the reason for the successful and safe recovery. By Wednesday, September 17, most of the trash and debris had been picked up and deposited in roll-off boxes. There were a total of 32 roll-off boxes loaded and disposed of. This equaled about 1,000 cubic yards of trash and debris. The same day, the electrical contractor started working to restore power within the terminal. This would prove to be the long lead item, and the pump motors would be another. Oiltanking Houston was able to send their maintenance employees down to Texas City to start pulling salt-water soaked motors. Within three days, they had pulled and sent off 156 motors for repair or

replacement. Oiltanking Beaumont offered their assistance as well, even though they had their own hurricane damage to contend with.

There was plenty of work to be done.

On Friday, September 26, OTTC was able to make its first transfer by pipeline and, three days later on September 29, the colleagues started loading and offloading railcars. By October 1, the docks started coming back into service, while the rest of OOTC’s truck/rail rack came back on-line on October 7. Some of these activities were still on generator power, as the terminal did not yet have one hundred percent main line power. Some 24 days after Hurricane Ike, OTTC was able to provide service to all customers by all modes. As of Friday, October 24, all generators were turned in and the terminal was on main line power again.



FA M I LY A F FA I R S

Recipe for success

The Houston Livestock Show and Rodeo is both the world s largest livestock exhibition and the world s largest rodeo event. In 2008, for example, the attendance figures exceeded 1.8 million. The 20-day event features bull riding, livestock competitions, auctions, concerts, trail rides, and … a barbecue. While the rodeo competitors are honing their riding mastery and shining their buckles, several hundred other people are polishing their culinary equipment. Although the contest is full of fun and cameraderie, the judges mean serious business as various teams pit their wits against each other in the World Championship Bar-B-Que Contest. The food entered in the competition can be beef, fajitas, chicken or pork ribs. One of the 100 participating cooking teams was from Oiltanking, comprising Austin Bracewell, Bob Groves, Jackie Wooten, Mike Johnson, Luis Rodriguez, Daniel Rodriguez, Erik Malone (all Houston) and Paul Vargas (Texas City).

Although the event has been held for the last 26 years and Oiltanking has been competing for 12 years, this year was the first time that an OT cooking team was among the winners. The judges, who take “sight, smell, taste and overall presentation” into consideration, awarded the OT cooks 5th place for their smoked chicken recipe. The OT recipe for ribs also made it into the coveted top 25, eventually finishing 14th. The Oiltankers and their families attending this occasion were also full of praise for the cooks’ talent. Of course, coming home with a trophy was the icing on the cake but the 8 chefs also just enjoyed the cooking and doing something for a good cause. After all, a significant part of the Livestock Show and Rodeo is namely its mission to obtain money for education, such as granting and/or funding agricultural scholarships and educational endowments coordinated by the General Rodeo Fund.

WHAT’S COOKING IN THE KITCHEN Colleagues from OT Houston and Texas City impressed the jury in the cook-off with their recipes for smoked chicken and spare ribs.

There are still signs of Hurricane Ike at OTTC. Dike walls are still being rehabilitated, minor electrical work is ongoing, and the repairs to the wind damage are still in progress. As for the employees, they are returning to normal activities. They have electricity back at their homes. Those that were displaced are now back in their homes. Some are still making repairs but hopefully that will be finished soon.

BeaumontThe Oiltanking Beaumont terminal is located approximately 25 miles inland from the Gulf of Mexico and is situated along the Neches River. Transit time for vessels from the Gulf of Mexico to the terminal is approximately five to six hours. The terminal consists of two large terminals separated by two major highways. The shore-side terminal includes two vessel docks and one barge dock along with numerous tanks. The remote site terminal consists of tanks only.

While Beaumont went many years without experiencing any major hurricanes, it has now felt the wrath of two hurricanes (Rita in 2005 and Ike in 2008) in the last three years. In addition, Beaumont experienced two near misses with Hurricane Gustav on September 1 and tropical storm Edouard on August 5 of this year. Like Texas City, the Oiltanking employees began preparing for the storm several days before the expected landfall. The preparations were made easier because of the same routine practiced during Gustav and Edouard earlier that month. They included removing pumps from low-lying manifolds and relocating them to higher ground, tying down loading arms and other moveable equipment, renting diesel-driven water pumps and locating them in expected needy areas. A mandatory evacuation was ordered by the City of Beaumont on Thursday, September 11 for non-essential personnel. The Oiltanking employees made the final preparations on Thursday evening, turned off the power and left to take measures at their homes. Three employees returned and stayed during the storm in a secure

location. Having the employees on site allowed for a speedy assessment and recovery procedures of the terminal.

The eye of Hurricane Ike passed over Beaumont in the early morning of Saturday September 13. The shore-side terminal experienced an amazing storm surge of 12 to 13 ft, 25 miles away from the Gulf of Mexico. The surge stopped approximately 8 ft. from the office building, which is approximately 2,000 ft. from the river. Barge dock A was completely underwater. In addition to the trash and debris, most of the damage experienced by the Beaumont terminal was due to the storm surge submerging equipment. Beyond the storm surge, five tanks that were under construction were damaged by the wind. Each tank had either four or five metal tank rings without roofs. All the tanks were buckled by the wind and in need of extensive repair, delaying the construction schedule.

The loyalty and dedication of the Oiltankers were the reason for the successful and safe recovery.

On Sunday, September 14, the day after the storm, three more employees in addition to the three employees who had stayed during the storm began a general assessment and clean-up. On Monday and Tuesday, September 15 and 16, all crews which were scheduled to work checked-in and continued the clean-up operation. They also returned the pumps that had been relocated during the days before the hurricane. On Friday, September 19, six days after the hurricane, Beaumont received power in the shore-side terminal and made their first product movement. As experienced with Hurricane Rita in 2005, the dedication and loyalty of the Beaumont employees provided services to our customers sooner than other terminals in the area. Many employees experienced damage to their homes or were hindered due to a lack of electricity. Almost all of the employees’ lives are back to normal except for dealing with minor damages with insurance companies.

Colleagues from Oiltanking Houston and Texas City took part in the cook-off organized as part of the Houston Livestock Show and Rodeo in October 2008, thus helping to raise money and even bringing home a trophy in recognition of their cookery skills.

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On August 15, 2008, Indian Oiltanking signed agreements in Calgary, Canada, thus formalizing its landmark acquisition of Newsco Directional and Horizontal Drilling Services, Asia (Newsco Asia) from Newsco Canada.

Indian Oiltanking enters drilling business

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OvERvIEW of directional drilling.

REASONS & TYPES of directional drilling.

India’s Independence Day was also a historic day for Indian Oiltanking. Terry Cennon, CEO at Newsco Canada, and Jayanta Bhuyan, Managing Director at Indian Oiltanking, signed the acquisition agreements in Calgary, Canada, thereby bringing Indian Oiltanking (IOT) closer to its strategic plan to enter upstream services. The acquisition of Newsco Directional and Horizontal Drilling Services, Asia (Newsco Asia), a technically sound and highly reputed company with specialized domain expertise, gave IOT a major head-start. Newsco Asia brings rights to existing and future business in India, South East Asia and the Middle East to IOT, not to mention brands, Past Track Record (PTR), equipment, technology, know-how, research & development back-up and manufacturing facilities. Currently, Newsco Asia boasts an order book of over 40 million EuR.

In the exploration and production sector of the oil and gas industry, vertical wells are increasingly being replaced by directional wells to reach multiple downhole formations from a single location and substantially enhance productivity and minimize costs. Directional drilling has very attractive market opportunities in the region mentioned above. Because of its highly specialized technology and knowledge-driven nature,

there are serious entry barriers for new competitors, especially in these markets.

Newsco Canada has several crucial competitive advantages which have been acquired by Newsco Asia, mainly through a shareholding in and a comprehensive, legally binding services agreement with the newly created subsidiary of the former Newsco Services. The intellectual property rights to and patents for technology and products, manufacturing rights, research & development set-up, vendor contracts and development capabilities, maintenance & repair set-up and other support facilities have now been taken over by Newsco Services. Newsco Canada is one of

the few companies to have developed in-house Measurement While Drilling (MWD) technology, which is now owned by Newsco Services. The other important competitive advantages to which Newsco Asia has full access and rights are a strong base of highly experienced field personnel with domain knowledge to deliver superior customer services and dedicated tie-ups with motors and equipment suppliers, which ensures preferential treatment. Newsco Asia is the only company with two workshops in India that are capable of maintaining and repairing tools and equipments.

The strategic focus of Newsco Asia in the near future will be to expand the directional drilling business with a mind to

further growth in India and major participation in Indonesia and the Middle East, not to mention the acquisition of new technologies like Resistivity Tools, Rotary Steerable and Hot Hole Motors (for Geothermal Wells). The company is also set to enter into the lucrative onshore conventional drilling business.

SHALE

WATER

SHALE

SHALE

SALT

SAND

WATER

SHALE

SAND

A

A: Multiple Wells OffshoreB: Shoreline DrillingC: Fault ControlD: Inaccessible LocationE: Stratigraphic TrapsF: Relief WellG: Straightening and SidetrackingH: Salt Dome

Reservoir SealProducingFermation

B C

D E F G H

I N T E R V I E W

WHAT DID YOu WANT TO BE WHEN YOu GREW uP? I wanted to become a marine biologist until I realized that I wasnt comfortable with the ocean unless I was in a really big boat!

HOW DID YOu FIND OuT ABOuT OT? I was approached by a headhunter. HOW LONG HAVE YOu BEEN WORKING FOR OT? I’ve been with the company for 12 years now. WHAT IS YOuR PROFESSION? I’m the Human Resources Manager for Oiltanking North America. WHAT DO YOu LIKE ABOuT YOuR JOB? The people I see everyday and there’s something “new” every morning. HOW WOuLD YOu DESCRIBE YOuRSELF IN ONE SHORT SENTENCE? Someone who is dedicated to her family and friends and enjoys life! WHAT INSPIRES YOu? Defying all odds. HOW DO YOu RECHARGE YOuR BATTERY? A weekend with my husband and the occasional good martini. WHAT DO YOu DO IN YOuR SPARE TIME? I ve just started experiencing this … not sure yet … let me get back to you! DO YOu HAVE A HOBBY? I enjoy decorating my trailer (only for cowgirls), and is shopping considered a hobby? THREE THINGS YOu LIKE? Exhaling in freezing weather; conversing at the dinner table with my family; visiting my girl friends. THREE THINGS YOu DISLIKE? Bad news; mean people; housework. WHAT MAKES YOu LAuGH AND WHAT MAKES YOu ANGRY? Joking around with my boys makes me laugh. Also, looking at my husband s facial expressions when I tell him I want to learn to ride a motorcycle; Malicious intent annoys me. WHAT COuLD YOu NOT LIVE WITHOuT? The “Tomorrow”. WHAT WOuLD YOu DO IF YOu HAD THREE MONTHS VACATION? Cross some things off my bucket list, like dog sledding in The Great Tetons, whale-watching in British Columbia, overdosing

on lobster in Maine, Frontier Days in Wyoming. I m starting to sound like the travel channel, but as you can see I could fill a calendar.

Introducing …


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INGENIOuS “FALCONERS” Students of the “Maltese Falcon Racing Team” proudly present

their Formula SAE race car.

… this time Lisa Meche, Human Resources Manager for North America at Oiltanking Houston. Another colleague whose face can be seen in Oiltanking’s international advertising campaign “We Can, We Care”.

under the name of “The Maltese Falcon Racing Team”, the students recently knocked at Oiltanking Malta’s door in the hope of raising funds for their project called “Formula SAE”. The SAE*, an international body of mobility engineers serving the society, established the competition to give students the opportunity to apply their studies and develop new skills while still under the guidance of academic staff. The research involves the students having to design, test, build and then compete in single-seat, formula style racing cars. The contest assesses the design and cost of the vehicle according to regulations set by SAE. Tests are then carried out to ensure the safety of all competitors. The participating students, acting as an imaginary firm, are also obliged to make a presentation to SAE judges, who might be interested in manufacturing the car. In actual fact, while the design is evaluated for its marketability, the vehicle’s dynamic performance — acceleration, handling, autocross or sprint, endurance and fuel economy — are studied closely and graded by the experts. Then it is all left

up to the judges to award the much sought-after honors to the winning team, thus proving their worth as budding engineers.

Oiltanking Malta recognized the value of such experience for young students and proceeded to formalize an agreement that was signed on October 31, 2008. A small Oiltanking Logo will now appear on the Maltese Formula SAE racing car. Oiltanking’s real interest, however, lies in contributing to the future engineers’ research and development project and it wishes the Maltese Falcon Team every success in the competition!

In keeping with its policy of social corporate responsibility, Oiltanking Malta has signed a sponsorship agreement with engineering students from Malta university to help fund their participation in the 2009 rally organized by the Society of Automotive Engineers International (SAE) in the Formula SAE competition to be held in Maranello Turin, Italy.

* The organization carries out research and sets standards for vehicles and aircrafts (e.g. motor oil classification standards, SAE NET horsepower). It acts as a means for sharing information for the development and improvement of engines and their impact on the environment.

Fruitful formula

The “Ride for the Roses” was originally instigated by Lance Armstrong, who won the Tour de France seven times. Having recovered from cancer himself, he brought into being the event in Texas in 1997 in order to acquire money for cancer research. His initiative was followed in many countries, including the Netherlands. This year, the Dutch Ride for the Roses took place in the province of “Zeeland” in the area north of Terneuzen. That is where our co-workers from OT Terneuzen came in.

Early in 2008, some hobby cyclists there approached the management and suggested that they join in to promote the sporting element and support the cancer foundation with a financial contribution. The terminal manager, Marc Tesselaar, was enthusiastic from the word go, and agreed to enter a team of ten members of staff in the 100 km tour (there are also shorter routes of 25 and 50 km). For each entrant, the company consented to donate €125 to the cancer foundation along with an extra €250. On top of this, Oiltanking also kitted the group out with a jersey. Although the ten Oiltankers were in good shape, they wisely did some extra training seeing that the 100 km cycling tour was non-stop and the recommended speed was to be approximately 25 km/h.

August 31, 2008, the day of the tour, Tom Blommaert, Sandra

Bouma, Rianne de Bruyn, Eric de Bruyn, Patricia de Theije, Pascal

Pauwels, Robin Ploegaert, Rick van Driel, Rinaldo van Geersaem and Omer Verbist got up early as they were to meet up at Oiltanking

Terneuzen at 7.15 am and travel together to the starting point in Goes. Since there were so

many participants (… have you ever seen 14,000 people on bikes …?), they were directed to park their

cars a few kilometers from the starting line and make their way to the starting area by bike. There, every company had its own area to “park” their bicycles before the race. In the main building of the “Zeelandhallen”, a healthy breakfast was served up for all. The allotted starting time for the Oiltanking team drew closer and they finally set off at 11.00 am — well-prepared of course — not only mentally and

physically but also with good bicycles and equipment, not to mention sufficient food and water.

Despite the fact that the advised speed was around 25 km/h, the team cycled a lot faster, especially during the first section (about 33 km in the first hour). Riding in groups went very well, apart from the odd occasion where there was a hold-up due to too many cyclists. The route covered a large part of Zeeland, taking in two bridges between the islands. Cheering crowds of spectators lined the entire length of the course where they added to the very special atmosphere and gave the cyclists an extra boost to keep going, even when the going got tough.

As always, the last leg of the tour proved to be the most difficult. After about 80 km, the OT group members were no longer with each other and some started to lag behind. Nevertheless, they all managed to reunite shortly before the end and eventually had to cross the finish line on foot! In the end, it was simply too overcrowded with bicycles, which made it impossible to ride through. The team completed the 100 km tour in three and a half hours at around 2.30 pm with an average speed of 28 km/h. Not too bad for a bunch of amateurs!

After the event, everybody enjoyed a well-deserved lunch and a few drinks. Finally, the really good news was announced at the closing of the day: a total of €1.1 million had been collected for the Dutch Cancer Society (KWF), an all time record! Whilst the race might have been hard-going at times, the OT line-up is already looking forward to engaging in the next Ride for the Roses.

OT S P O RT

Ride for the Roses


OT S P O RT

On August 31, 2008, the so-called “Ride for the Roses” was organized for the eleventh time in the Netherlands. A team of ten colleagues from Oiltanking Terneuzen participated in the demanding cycling tour to raise money for cancer research.

BRIDGING THE GAP About 7000 cyclists participated in the 100 km tour, which included crossing two bridges between the islands in Zeeland.

CYCLING FOR A CANCER FOuNDATION Top row,

from left to right: Robin Ploegaert, Rinaldo van

Geersaem, Eric de Bruyn, Rianne de Bruyn, Omer

verbist. Bottom row, from left to right: Pascal Pauwels,

Tom Blommaert, Sandra Bouma, Patricia de Theije,

Rick van Driel.

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Rescue project

When Oiltanking Brazil started to develop its first terminal project in the city of Vila Velha located in Brazil’s state of Espirito Santo, it inevitably came into close contact with the local community. In order to compensate for the impact on the people living in the vicinity of the future terminal during the construction of the product pipelines, the company was requested by the authorities to sponsor a social responsibility program for the community.

Oiltanking’s social commitment is firmly anchored in its corporate values. What may sound like a burden on Oiltanking has in fact been a regular and rewarding practice ever since. Now the only question was how Oiltanking Brazil could help in the best possible way. In order to find out, the company invited the community leaders to put forward proposals for a project focusing on a subject of common interest and considering the main needs of the local people. In early 2007, a project based on the idea of forming a football club for children aged seven to fifteen was selected. The purpose of “Rescue” — as it is called — is to motivate the children through the game and develop positive personal and social skills. The project also focuses on monitoring the headway of the participants’ education at school. Apart from the football coaches, the program is also supported by a team of professors, a psychologist, a social assistant, and a doctor.

The scheme also requires the involvement of the children’s parents, as they constitute the main pillar of their children’s education. As for Oiltanking, the company supervises the progress of the complete plan through contacts and reports presented by the organization Instituto de Ação Comunitaria do Barrio Paul (IACBP), which is responsible for the project.

Even though the program’s most important achievement is to teach values to future citizens, it is encouraging to hear that the “Rescue” teams have been competing successfully in different tournaments with other teams from the region. In addition, according to the neighbors, the program has been a roaring success and the main objectives have been achieved during its first year. Finally, Oiltanking happily completed the work in the public area without incident and enjoys a most harmonious relationship with the local community.

At the beginning of 2007, Oiltanking Brazil sponsored a social project called “Rescue” in the city of Vila Velha — thus helping children as well as the neighboring community.

DRESS FOR SuCCESS The boys

of the “Rescue” team eagerly await the

distribution of their colorful football kits.

IOT bags prestigious EPC contract

According to the contract, Indian Oiltanking (IOT) will provide Engineering Procurement and Construction (EPC) services, including fabrication, erection and commissioning services for the offsites and utility facilities of the Residue Upgradation Project at IOC s largest and most complex refinery in Baroda. It reinforces IOT s reputation as the top offsite and utilities EPC company in India established by its successes at the Panipat and Mathura refineries.

The order for the Viramgam Terminal from Cairn Energy is to build crude oil buffer storage tanks and associated facilities. Cairn Energy is a leading exploration and production company in India with three proven fields in Rajasthan — M a n g a l a , Bhagyam and Aishwarya. To evacuate large quantities of heavy, waxy crude oil from the Mangala field, Cairn Energy is building a 600 km heated

pipeline from the terminal at Barmer to a coastal location near Salaya in Gujarat. This 24″ insulated heated pipeline will traverse Viramgam, which will have an intermediate pumping station. The terminal facilities at Viramgam are critical for delivering crude to IOC s refineries at Panipat and Mathura.

Indian Oiltanking recently won two Engineering Procurement and Construction (EPC) contracts from Indian Oil Corporation (IOC) and Cairn Energy in the Western Indian state of Gujarat, thus underlining once again its excellent reputation.

AT THE vIRAMGAM SITE Completion of an anti-corrosive layer of a crude

oil buffer storage tank.

The five terminals are an integral part of the Hindustan Petroleum Corporation’s (HPC) new 1,048 km cross-country, multi-product white oil pipeline from Mundra in Gujarat to Bahadurgarh in the National Capital Region of Delhi. The terminals, having a total storage capacity of around 600,000 cbm, had progressively been commissioned by Indian Oiltanking (IOT) over the last few months to cater to the product requirements in Gujarat, Rajasthan, Haryana and Delhi. The operations & maintenance contract has an initial term of five years with the option to renew for a further five years. With these additions, IOT now owns/operates 17 terminals with a capacity of 1.1 million cbm. Consequently, IOT is continuing on its unique growth path as India s leading terminal company.

After the contract was won on a nomination basis following extensive persuasive efforts and negotiations, the most formidable challenge was to recruit, train and retain over 100 operations professionals to fill positions at various levels. Since IOT s terminals run with lean staff, only ten percent of the workforce could be generated internally. With only one month allowed under the contract, IOT s HR team arranged walk-in interviews at Ahmedabad, Kandla, Baroda, Jaipur and Delhi on a crash basis. In all, over 600 people were interviewed by IOT s seasoned team of selectors. Due to the paucity of professionals having understanding of the oil industry, however, only twenty percent of the requirements, mostly at senior levels, could be filled with suitable candidates who had oil/chemical

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THE RIGHT CANDIDATES Pradeep Bhatt training new recruits at the HPC terminal in Mundra.

All these terminal locations have very interesting histories ...

Mundra, is located at India s largest and fastest growing private port, Mundra Port and Special Economic Zone, promoted by the Adani Group. It is close to Gandidham, a city established to settle refugees after the partition of India and creation of Pakistan by the British in 1947. Mundra survived the massive earthquake that devastated the area in 2001.

Palanpur, situated on the northern border of Gujarat, was the capital of a princely state. It is the ancestral birthplace of the majority of India s diamond-trading families, known as Palanpuri Jains. The temple of the 23rd Lord of Jainism, Lord Parswanath, is situated here.

Ajmer, also known as Ajayameru, was ruled by the famous Prithviraj Chauhan. It is located in the heart of Rajasthan. Renowned for its fort, the city is bordered by a large lake. Ajmer is home to the famous Dargah Shareef (tomb) of the most revered Sufi saint, Moinuddin Chisti. An annual camel fair is held here at Pushkar near the lake bearing the same name. The well-known 14th century temple of Brahma, the Hindu god of creation, is also located near Ajmer.

Jaipur, popularly referred to as the Pink City, is the capital of Rajasthan and was also the capital of the former princely state of Jaipur. Founded in 1727 by Maharaja Sawai Jai Singh. Jaipur is famous for its forts, palaces, gardens, the Jantar Mantar Observatory, not to mention countless gems and savouries.

Bahadurgarh is a part of the National Capital Region (NCR) centered around the historic city of Delhi. It is renowned for its decorated war heroes.

storage experience. Thus, there was no option but to recruit the remaining seventy percent from competent professionals that had sound work background in other fields but the right attitude and aptitude, and then provide extensive training to make them suitable for their new responsibilities. The remote geographies of Mundra, Palanpur and Ajmer also made it difficult for IOT to attract competent people. Continual, structured training in operations management was conducted diligently at all locations covering, amongst other things, standard operating procedures, HSSE

practices, product loss control, quality management, and customer services. IOT s team of knowledgeable and highly capable operations professionals, which included the likes of AG Khan, EP Esteves, S Mundle, Sanjay Dawar and Pradeep Bhatt and the active support of Nawin Chandra and Sunil Bhatt from HR, rose to the occasion as usual and successfully managed this Herculean task. All five terminals have overcome most of their teething problems and the selected teams are now managing stable operations with confidence.

Herculean task

Indian Oiltanking reinforces its position as the preferred and leading storage and logistics provider in India by

winning an operations & maintenance contract for five terminals from the Indian public sector giant, Hindustan

Petroleum Corporation.

Project 307–399The decision to build the tanks for Project 307–399 was based on the growing market demand for middle distillates in Northwest Europe. The market has also shown a significant shift from neighboring ports to Antwerp as the preferred location for distribution and trade. Project 307–399 started in early 2007 and is actually a combination of two similar expansion projects due to be completed in two different phases. It includes the construction of eleven mild steel cup tanks with a total capacity of 399,000 cbm and two new jetty loading arms.The first phase will begin operations in December 2008. This phase consists of eight tanks with a total capacity of 307,000 cbm. The second phase includes the construction of three additional tanks with a capacity of 92,000 cbm, to be operational in the second quarter of 2009. The tanks will be equipped with all the necessary systems for the storage and blending of middle distillates. Moreover, because of OTSA’s connection to the Central European Pipeline System (CEPS), some of the tanks will be specially equipped to handle jet fuel. The cup tank structure was chosen for all tanks because it offers many optimization features over regular tanks. These include better utilization of land, higher flexibility of non-compatible products in the same tank pit, reduced emissions from tank-breathing, improved protection against heat, reduced fire surface, and individual containment in the case of a tank rupture.

Methanol ProjectThe Methanol Project is the result of a long-term contract with a large methanol producer, whereby Antwerp will become

their major hub in Northwest Europe. The product streams will mainly come from their new production plant, which is now under construction in Egypt. Earlier this year, the building work for the Methanol Project commenced and will continue over two phases until the first quarter of 2010. The project consists of four mild steel cup tanks (with an internal floating roof) with a total capacity of 153,500 cbm. Aside from that, two jetty loading arms, two truck loading racks, and one railcar loading rack (with three loading positions) will be added.These spectacular expansions of the OTSA terminal require a lot of coordination. Once finished, both projects together will amount to an impressive storage capacity of 552,500 cbm, which means doubling the storage capacity by 2010 as it rockets to over 1.1 million cbm. And, with new, exciting projects on the way, OTSA will continue to be a builder’s paradise in the future. Just watch this space!

M I D D L E E AS T

A builder’s paradise


E u R O P E

When you enter the Oiltanking Stolthaven terminal (OTSA) in Antwerp, Belgium, you can hardly miss the cluster of massive steel cup tanks, which dominate the landscape. The impressive structures are a combination of two large expansion projects: Project 307–399 and the Methanol Project.

Facts & figures project 307–399

A large project such as this requires a substantial number of resources. Here are just a few interesting facts about the project:• Total land used: 8.2 hectares• Total steel: 12,300 tons• Total length of pipeline: 33 km• Total number of piles: 7,987• Total length of piles: 112 km• Contractors on site: 11• Languages on site: 9• All 11 tanks stacked on top of each other would make the list of the world’s 50 tallest buildings (at nearly 300 meters tall!)

At the end of September 2008, Oiltanking Odfjell Terminals & Co. (OOTO) completed the first construction phase of its state-of-the art tank terminal in Sohar, Sultanate of Oman. So far, 322,000 cbm has been put into operation to cater for the storage and handling of clean petroleum product and chemicals. By the end of this year, however, an additional 216,700 cbm will be commissioned, while the final completion of the facility is envisaged for the first half of 2009. With a total capacity of 842,500 cbm, it is the largest terminal that Oiltanking has constructed within a 24-month timeframe. There are also other superlatives. It is the first independent bulk liquid storage facility in Oman and the first example of “outsourcing” in the Sultanate. Part of OOTO’s capacity will be dedicated to the storage and handling of feedstock and run-down products for Aromatics Oman Ltd, the world-scale aromatics plant which will be commissioned in Sohar in Q2 2009. The location of the terminal is very strategic. Sohar Industrial Port is situated in the Gulf of Oman, just outside the Strait of

Hormuz and in the vicinity of major international shipping lanes. International traders and producers have great interest in this location, which resulted in long-term storage contracts for the capacity currently commissioned. The terminal’s infrastructure offers its customers excellent flexibility, quick turnaround times for vessels and added capabilities such as truck-loading, blending and the injection of additives. The terminal also has multiple direct pipeline connections to the 116,000 bpd refinery located in the same port. OOTO continues to pursue various other possibilities and several other projects are already “in the pipeline”. This development underlines Oiltanking’s central role in transforming Sohar into a major liquid hub in the region.

Oiltanking Odfjell Oman starts terminal operations

Successful commissioning of first independent bulk liquid storage terminal in the Sultanate.

SuPERB STRATEGIC LOCATION The industrial port of Sohar, Sultanate of Oman, is ideal for trade to the western and eastern global markets.

“To be an ambassador for the Oiltanking brand and make our presence felt, not to mention get first-hand information on the latest developments on the market”. Stanley Teo, OT Odfjell Singapore

“It is the platform for the Eu and almost all the important market players are present. It is all about networking, and project marketing for tomorrow’s locations.” Reza Adami, OT Corporate Center

“Especially with the current market conditions and signs of a slowdown in production, it was important to talk to our customers about their business to gauge if and how we would be affected.” Huib Jansen, OT Ghent/Terneuzen/Stolthaven Antwerp

What does the EPCA offer over other conferences?“The EPCA is quite efficient because it offers the unique occasion to meet a concentration of customers in a short period of time. The number of customers we meet at the EPCA in the space of just a few days would take a few months to do individually.” Luc Jorissen, OT Ghent/Terneuzen/Stolthaven Antwerp

“Everybody prepares for the event in such a way that actual results can be achieved. It is also held at the right time of year: after the summer break and before winter hibernation.” Sebastian Sira, OT Tallinn

What was the best part of the EPCA?“The networking opportunities.”

Martijn van Koolwijk, OT Corporate CenterWhat was your meetings schedule like?”Three days in a row of contact 24/7 — what more can a sales guy ask for? The schedule was choc-a-bloc from beginning to end, and even with some overlaps in the middle. It was very hectic; I walked a marathon everyday going from one meeting point to the next.” Erwin Mortelmans, OT Ghent/Terneuzen/Stolthaven Antwerp

“About four meetings a day. Most of the time was spent networking at functions and around the lobbies of the EPCA hotels.” Martijn van Koolwijk, OT Corporate Center

“Monday and Tuesday were the busiest days. There were new meetings every hour from morning until evening.” Boris Martynov, OT Sonmarin Kotka What are some of the success stories?“We are hoping that the leads will soon become success stories.” Chin Hao, OT Odfjell Singapore “There were some constructive meetings where new business was obtained and ongoing agreements were prolonged.” Sebastian Sira, OT Tallinn

“We received a lot of market information and could feel the pulse of the industry in the midst of the financial crisis. Some of the leads we took back home may develop into contracts.” Johan De Nijs, OT Ghent/Terneuzen/Stolthaven Antwerp


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If you mention the abbreviation “EPCA”, you can immediately feel the blood pressure of some our colleagues rise as they become excited. So why is the annual European Petrochemical Association Conference such a big deal?

E u R O P E

Walk this way

The end of September 2008 marked the 42nd annual European Petrochemical Association (EPCA) conference, which took place in the small, yet charming, Principality of Monaco. This year’s event attracted over 2000 delegates from around the world, including eleven Oiltanking participants. Although the thought of having a conference in Monaco may seem like a vacation, in reality the event is anything but a walk in the park. The EPCA is Europe’s largest chemical conference and brings together major chemical players from around the globe and representatives from every industry involved in the chemical supply chain. It plays an important role as far as customer contact, industry exposure and new networking opportunities are concerned. The event itself lasts four days and is packed with presentations, workshops, networking/social events and, of course, running from one meeting to the

next. So do not forget to wear the right shoes! When asked some questions about their experiences at the EPCA, our Oiltanking partakers were happy to give their comments.

What was the main reason for attending the EPCA?“At the EPCA you can meet all kinds of different people related to the petrochemical industry, from producers and traders to consumers. You get the opening to share information, explain new OT developments, and check on the customer‘s new product flow, all in both informal and formal conversations. And although most of the formal meetings happen during the day, luckily there is also a chance to talk more informally in the evening.” Johan De Nijs, OT Ghent/Terneuzen/Stolthaven Antwerp

BEING ALL SMILES Oiltankers attending the EPCA were quite

satisfied with there outcome.

HuSTLE AND BuSTLE The EPCA in Monaco attracted over 2.000 participants.

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H u M A N TO u C H

Nobody’s perfecctWhat do you do when you make a mistake? Read on to find out how you can make the most of your blunders.

What does the term “workload” make you think of? Do you imagine a mountain of documents on a desk? Maybe you picture someone carrying a load on their head — a practice that is commonplace outside Western Europe and North America. What about a typical Nepalese porter? On average, these men and women can bear 93 percent and 66 percent of their body weight respectively. While doing so, however, they use up less energy per pound than a backpacker would need to shoulder half the weight. For instance, porters in Katmandu Valley travel 100 km along rugged footpaths (and not exactly wearing the best footwear for the job, either), climb eight vertical km and descend about 6.5 km to reach Nachme Bazaar, a town located at an altitude of 3,441 m in the shadows of Mount Everest — only to run back home for more cargo!The most reasonable explanation for the superhuman

strength of these porters is their ability to pace themselves by making frequent stops. They regulate their heartbeat and energy expenditure by resting the load on a T-headed stick (tokma) every two to three minutes and periodically resting the load on platforms (chautaras) for longer recovery periods. When on the move, Nepalese porters sometimes pause more than they walk. unfortunately, this practice will not help you to minimize your workload but a walk in the fresh air certainly will not do you any harm.

THE MOST EFFICIENT HuMAN HAuLERS Nepalese “sherpas” expend less energy than other people would

require for the same amount of work.

Food for thought It has been widely acknowledged in common parlance for many

years, not to mention confirmed by researchers, that: nuts are food for the human brain. From the most regular nuts, such as walnuts

— which incidentally look remarkably like the human brain — almonds, hazelnuts, cashews and peanuts to the more exotic nuts: you name it, they all contain a lot of protein and vitamins. Each of them can improve mental health in its own way. Besides being an excellent source of nourishment for the human nervous system and encouraging clear thinking, they can also lift your mood. Isn’t that simply nuts?

strengthuper(hu)man

“A man who has committed a mistake and doesn‘t correct it is committing another mistake.” Confucius (Chinese philosopher, 551-479 BC)

“To err is human”, as Seneca once said back in Ancient Rome. According to Professor Dr. Michael Frese, a contemporary psychologist from the Justus-Liebig university in Giessen, Germany, every human being makes anything between two and five errors per hour. Unfortunately, especially in your professional life, little to zero tolerance for mistakes is the order of the day. However, mistakes are extremely important. They are often a source of promising innovations and new developments. The crucial question is how people deal with their faults. Nobody likes to admit having made a mistake, but burying a proverbial head in the sand or passing the buck is not the way to successfully overcome your mistakes. Forthrightness and sincerity are paramount to damage control. “It’s vital that employees aren’t afraid of making mistakes”, says Karin Kreutzer, an Austrian communication consultant. A positive attitude towards the mistake, performing an error analysis, adopting a constructive approach to dealing with it, and the determination to learn from it all help to overcome the problem. Of course, it is easier said than done. So how can you implement this in real life situations? Maybe the following instructions could prove helpful in the future:

• Draw three columns on a piece of paper. Note the mistakes you made in the first column.

• In the middle column, write down what you did and what you thought after you realized you had made a mistake (be honest!).

• Initially, you may tend to justify the mistakes with explanations such as: “but I just did …”; “I did everything right, I overlooked that one, tiny thing, that’s all.” Comments like these mostly reveal what you could do better next time.

• Write down what you intend to improve in the future in the third column. Keep those guidelines close at hand and you will be well prepared for the next “oops”.

F re! On a chilly Friday evening on

September 12, 2008, all eyes were on the 22 sporty football players of Oiltanking and Mabanaft, who were no less international and ambitious than their professional counterparts. Keeping in line with tradition, the teams met to mark the annual get-together for colleagues from different locations and subsidiaries at the head office in Hamburg, Germany. Around 250 enthusiastic “fans” came to cheer their team on, combining their shouts of encouragement with ear-shattering fire-crackers. In the end, there were two winners: While the Oiltanking “Greasers” were once again the proud winners (2:1), they

shared the prize for the best fan club with the Mabanaft “Pirates”. A relaxed party in the clubhouse afterwards provided the perfect end to the convivial meeting.

OT S P O RT


It is an annual tradition for the commercial departments of Oiltanking Antwerp, Ghent and Terneuzen to organize a surprise “sales uitje” (sales outing) for the whole group. This year’s event was both a sporting and unique team-building exercise in the city center of Ghent, Belgium, featuring a new sport called “urban golfing”. In principal, urban golfing is the same as regular golf, but with a few exceptions:

The aim of the game: to hit the ball within a one meter radius of a designated “hole” using the fewest number of strokes, for example, a bronze statue.The course: seven holes in the middle of the city of Ghent with plenty of obstacles: pedestrians, bikes, cars, buildings, rivers, bridges, etc ... .The rules: no more than six swings for each hole, hitting pedestrians incurs penalty points, and bonuses are awarded for exceptional shots.

You are probably thinking: What downtown? Is that not dangerous? And you would be right! However, the event coordinators were smart enough to provide soft golf balls instead of real ones. Since the sport is quite new, not many people have played or even heard of urban golfing. Therefore, it is hardly astounding that the Oiltankers immediately attracted a crowd of spectators — their apprehensive looks included. Even the press was present.

This year, Sarah Fakhari was the winner of the event with only twenty-four swings. “It was a lot of fun and the perfect way to see the city,” she commented. At the end of the day, the successful team building program concluded with tasty food, wine and even karaoke!

OT S P O RT

IN THE ROuGH Johan De Nijs, Jo verellen, and Luc Jorissen (from left) attempt a shot across the river.

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A fair game

Social surge Oiltanking Malta has always been involved in numerous

social and charitable activities. At the top of the list of beneficiaries is “Razzett”, an organization that supports children with disabilities and their families. Throughout the year, OT sponsors it in various ways. Last June, for example, eight colleagues from the terminal and two of their children jumped in at the deep end and participated

in a swimathon to raise money. Oiltanking Malta donated 50 euro cents for each lap they completed. Admittedly, there was not exactly a Michael Phelps in the team and the Oiltankers “only” swam 400 laps. However, a lot of fun was had by all and, more importantly, they acquired money for a good cause. Every little bit helps, after all!

PERSEvERING PERFORMANCE OT colleagues show they still have enough puff left in them despite the cold water.

Golf goes urban

H u M A N TO u C H

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Telling

Hard to swallow? Spinach contains a lot of iron! This myth was born in 1890 when dried spinach was examined and its high iron content — which we now know to be greater than that of fresh spinach — was wrongly allotted to its fresh counterpart. However, spinach does contain a lot of vitamins and minerals that make it a healthy vegetable and it can still make you strong — as long as you consume more than 1 kg of it every day!

We would also like to shed some light onto the following matter: Reading in bad light ruins your eyesight! Granted, reading by torchlight is quite wearing for the eyes and may be something of a strain, but it’s more your beauty sleep that will suffer if you can’t put a book down. However, reading by twilight won’t do any permanent damage. Just don’t forget to buy new batteries.

Sweet news! Eating chocolate doesn’t give you spots! (Better watch out for anabolic agents). The all clear for chocolate means you can indulge in it as much as you like without a care in the world — except maybe for the hips!

And “cut”! Frequent haircuts stimulate hair growth! unfortunately, regardless of how often you cut your hair, shave or let you hair down, it will only grow a maximum of 0.35 mm per day. This is because the roots remain untouched by threatening scissors.

If you repeat something often enough, it soon starts to sound true. You don’t think so? Have a look at some of the common misconceptions that people have been taking at face value for years:

the truth !

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Laughter is one of the most human activities there is and part of the universal human vocabulary. Its therapeutic value has been thoroughly and scientifically researched in the past and its physical benefits proven. Dr. Madan Kataria, an Indian family physician, seized upon these facts and developed laughing yoga in the mid-90s. This sort of yoga, also called Hasya yoga, is a physically oriented technique that uses a blend of simple, playful, empowering, “tension-releasing” laughter exercises. With gentle breathing and stretching exercises, rhythmic clapping and the chanting of Ho Ho Ha Ha Ha in unison, simulated laughter soon turns into real laughter. A typical laughter yoga session lasts about 20–30 minutes. Performed on a regularly basis, laughter yoga can reduce stress and increase productivity, as American and Indian studies prove. So why not start your own laughing session right now with some jokes?

Technical support asks: “Do you have any windows open right now?” The customer answers: “Are you crazy? It s twenty degrees below outside ...”

Two men have to carry a piano to the tenth floor. One says to the other: “I’ve got some good news and some bad news. The good news is that we’re already on the seventh floor. The bad news is that we’re in the wrong building!”

Two friends are admiring an exhibition. Suddenly, one of them says: “This picture doesn’t really belong in this abstract art exhibition! The landscape looks so natural!” The other one comments: “True, it isn’t a painting; you’re looking out of the window!”

H u M A N TO u C H

No joke!

Are you qualified to be a professional? Try our “serious” quiz that consists of four questions and see for yourself:

How do you put a giraffe into a refrigerator?Open the refrigerator, put in the giraffe and close the door.(This question tests whether or not you approach simple things in a complicated way)

How do you put an elephant into a refrigerator?If you thought open the refrigerator, put in the elephant and close the door, you would be wrong.unfortunately, the correct answer is open the refrigerator, take out the giraffe, put in the elephant and close the door. (This question tests your foresightedness)

The Lion King is hosting an animal conference. All the animals attend except one. Who is absent?The elephant — it is in the refrigerator! (This tests if you are capable of comprehensive thinking)

OK, if you did not answer the last three questions correctly, this is your last chance to test whether or not you are qualified to be a professional:There is a river that is known to have many crocodiles in it. How do you cross it?Simply swim across. All the crocodiles are attending the animal meeting!

T E S T

Are you professionally minded?

Pearl pleasure While Oiltanking’s operators were playing basketball

together, the HSSE Manager was feeding his baby daughter and other “Oiltankers” were going for goal on the football field or chatting away about what was going on in Nanjing, China, on October 18, 2008! A fabulous event had been organized in Pearl Spring Park, where the entire Oiltanking team from the Nanjing terminal and their families were able to enjoy their first Family Day since coming aboard. Koen Verniers, General Manager of Oiltanking Nanjing, seized the opportunity and delivered an inspiring speech in appreciation of all the support the employees and their

families had given to the company. Filled with fun-packed teambuilding games, a prize draw and plenty of chances for private exchanges, the one-day social event simply flew by. The two months of elaborate preparation had paid off as the gathering demonstrated perfectly the family culture Oiltanking is so proud of. It was also an ideal moment to encourage colleagues to share the vision of Oiltanking Nanjing’s brilliant future, not to mention offer their family members some reassurance.

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R E A D E R ’ S C O R N E R

... and action!Try to solve our riddle and don’t miss the chance to win! Please send your entries to: [email protected], or contact us by post:Oiltanking GmbH, connections Team, Admiralitaetstrasse 55, 20459 Hamburg, Germany or by fax: +49(0)40 370 99 499.

C O N G R A T u L A T I O N S

Quiz solution

N E W Q u I Z

Teamwork

Breaking the spell cast by last summer’s magic quiz was no mean feat. Nevertheless, some of you found the magic words and sent us the right solution — see opposite. Many thanks to all of you! Our congratulations go to Elvira Kaiser, Oiltanking Germany, Hanau terminal. The new broomstick – sorry, the new Oiltanking silk scarf is on its way!

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FA M I LY A F FA I R S

REMEMBER? Zachary Eugene, the cute little

Texan Oiltanker of Terry Elliot (OT Houston) and

husband Jason.

! M I L L S M A G I C

S U M M E R

-= 7 8 6 6 1

7 9 0 8 2

1 5 7 7 4 3

We are watching two painters at work. The master needs four hours to paint a room; his assistant paints the same room in six hours. How long would they need if they worked together? Maybe you would also like to solve this riddle with someone’s help? In any case, just make sure you specify to whom we should send the Oiltanking relaxing set if the entry is correct and wins. Good luck!

Here we are! Are you curious to see our youngest Oiltankers and would like to know who said “yes, I would” and when and where? Kindly send us your pictures and read all about it in the next issue.

SHOuLDER TO SHOuLDER Even the youngest Oiltankers demonstrated their common bonding during the family day.

A misunderstanding occurs when what was meant and what was understood do not coincide. The consequences can range from being trivial, tragic or even funny. Misunderstandings form the basis for

novels; they can wreck relationships or wreak havoc. In a nutshell, they represent a common disturbance in communication, and human beings are prone to it. Misunderstandings are everywhere and timeless! At long last, the Museum for Communication in Berlin, Germany, was the first institution to dedicate an entire exhibition

to the topic. From April 23 to October 5, 2008, “Misunderstandings — Stepping-stones to

Communication” presented a broad range of famous and less well-known examples from

past and present. One of the exhibits showed a kangaroo. Legend has it that

when Captain James Cook landed in Australia in 1770 and first saw these

strange animals hopping around, he asked the native Australians

(aborigines) what they were called. The reply was “Kan ga roo” meaning “I don’t understand”! The explorer, however, assumed that this was the animal’s name!

Misunderstandings!

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Documents

connections - Oiltanking...THE LONG WAIT IS OvER The first Oiltanking terminal in Brazil receives its first cargo. SOuTH AMERICA 4 CONNECTIONS CONNECTIONS 5 SOuTH AMERICA First cargo