Westway's Port Allen LA terminal set for expansion
Jun 1, 2009 12:00 PM
Shermen WSC Acquisition Corp, which has agreed to acquire the bulk liquid storage and liquid animal supplement businesses of ED&F Man Holdings Ltd, announced that Westway Terminal Company Inc, an ED&F Man subsidiary being acquired by Shermen, has reached an agreement with an international petroleum company for storage of lube oils at its Port Allen LA terminal. This agreement is scheduled to begin August 1, 2009, for 73,000 barrels of existing tankage and October 1, 2010, for 95,000 barrels of new construction.
This new agreement provides for the expansion of Westway's Port Allen terminal, which currently has a capacity of 387,500 barrels. This will be Phase I of Westway's Port Allen expansion with plans for additional expansion to follow.
This new agreement is expected to add approximately $2,200,000 in annual revenue when completed.
Shermen has agreed to acquire ED&F Man's bulk liquid storage business, including Westway Terminal, and liquid animal supplement business pursuant to a transaction agreement dated November 25, 2008, and amended and restated as of May 1, 2009.
