StocExpo 2007 review

With a slightly southward change of location and an upward change of size, March saw StocExpo 2007 go to the charming Belgian city of Antwerp for three packed days.

Home to Europe’s largest chemical cluster, Antwerp was a superb choice for the third StocExpo Europe. The event saw an exceptionally high rate of returnees in terms of exhibitors, visitors and conference delegates, and an impressive number of new faces, companies and nationalities

StocExpo 2007 saw conference delegate numbers hitting a record 250, and the show generating 1,800 visitors. The range of countries of origin and nationalities of attendees – 78 in total – is proof that StocExpo has become the bulk liquid storage market’s event of choice, offering a great opportunity to meet existing and new customers and suppliers, debate the big issues driving the sector, display and demonstrate new products and services and, crucially, network. With people travelling to Antwerp from as far afield as Australia, Brazil, Saudi Arabia and Serbia, StocExpo Europe has quickly become more of a melting pot than an enormous Belgian chocolate fondue, and everyone’s dipping in.

More positive contacts were made during this show than at any other time, with quite a few companies managing to get deals signed on the spot. One company which experienced particular success was UK-based tank equipment designer and manufacturer Emco Wheaton. The company is still busy contacting potential customers, having made 64 firm leads from the event.

France-based vapour recovery supplier CarboVac experienced similar results. The company says it gained good business opportunities and definitely sees StocExpo as a meeting point between itself and its international agents and customers. ‘It is very important that we participate,’ says Guillaume Heurteloup, commercial engineer at CarboVac, who hopes that a future StocExpo will be held in Latin America.

The quality of the visitors to StocExpo pleased a majority of the exhibitors so much so that over 50% of the present exhibitors have signed up for StocExpo Europe 2008. So with its increased floor plan, it is looking to be another sell-out show.

German-based fire prevention company Dr Sthamer is one of those which, after a successful show this year, will definitely be attending Rotterdam 2007 and is highly likely to attend the Singapore and Bahrain events later this year. ‘I am very happy with the format of the StocExpo show,’ says Jan Knappert, international sales director at Dr Sthamer. ‘The quality of the conference speakers and subjects are the big draw. I first attended Rotterdam 2006 (when I worked for another company), and decided that this show is a perfect vehicle to approach one of our target markets effectively.’

The company sees StocExpo as the perfect opportunity to meet clients in their comfort zone, and as such, received many enquiries from the event. Liquid Controls Europe, part of the IDEX group is expecting to return bigger and better next year. ‘We are planning to increase our presence at the next StocExpo with a larger stand, shared with other companies like Toptech Europe and Faure Herman, enhancing our attitude to be leader in pumping and metering solutions for terminals,’ explains Giorgio Magni, director of sales for Liquid Controls Europe.

The conference section of the event was equally successful. A two-and-a-half day halfday conference programme attracted a superb range of top-level speakers from both inside and outside the industry, presenting on commercial, regulatory and technical subjects. The first day was designed to set the scene and context for the rest of the programme, and the morning was ably chaired by Niels von Hombracht, chairman and CEO of LBC.

Following a welcome presentation from the Port of Antwerp, in which Xavier Vanrolleghem, commercial manager for Antwerp Chemical Cluster, offered an overview of the storage facilities in the port and a look to the future, the audience heard from Mark Reid, head of oil and gas at Fortis Bank, on the new players investing in the sector and the impact on the existing market structure.

High oil and gas prices, squeezed refinery capacity, further deregulation of some countries’ energy markets and the green energy drive, for example for biofuels, are fuelling opportunities in midstream infrastructure. Newcomers include hedge and pension funds, banks, asset managers, trading houses and other financial institutions, Reid said adding that ageing infrastructure ‘that allows market entry at a lower price ahead of building scale through acquisitions’ is also driving investment.

Keen to get a handle on the likely flow of crude and products through global storage hubs, delegates were riveted by a data-packed presentation on global oil market trends by Lawrence Eagles, head of the oil industry and markets division at the universally respected International Energy Agency (IEA). A key point he made was that geopolitical risks that have been moving markets so apparently, and often sharply, over recent years were ‘unlikely to diminish any time soon’, citing, in particular, major suppliers Iran, Venezuela and Russia as continual potential flashpoints.

Eagles also forecast global biofuels growth from 780,000 barrels per day (b/d) in 2006 to 1.5 million b/d in 2011. But he noted actual growth could be even higher as projects underway represented close to 2 million b/d. Nevertheless, biodiesel and ethanol remain a ‘marginal source of supply’.

In an excellent and complementary presentation entitled ‘European petrochemical industry- a time of change’, Linda Naylor, senior editor at ICIS, offered the outlook on chemicals. With rationalisation the watchword, Naylor highlighted a move by some producers away from traditional commodity petrochemicals towards speciality chemicals, signifying potential for storage operators to diversify in order to handle less familiar products. New investment remains focused in east Asia, home to $421 billion (€310 billion) worth of new projects between 2005 shortages and packed contractor order books are leading to some project delays and rising costs, Naylor added.

Attention then turned to site security, crisis and reputation management and dealing with a major incident. In a paper entitled ‘Let the consultants do the scaremongering, what is the reality?’ Rik Verhaegen, deputy port security officer of the Antwerp Port Authority, discussed the possible scenarios involving ports and terminals.

While attacks using vessels were unlikely, a more feasible danger could be the use of mobile rocket launchers, able to be operated from outside the control perimeter of a port facility. ‘This constitutes a possible threat and a weak spot in securing the vessel and the terminal,’ Verhaegen warned.

Continuing the theme during the afternoon, after an introduction by session chairman Richard Kellaway, MD of Kaneb Terminals UK, the podium once again belonged to LBC’s Niels von Hombracht, giving an animated and thoughtprovoking presentation examining ‘Reputation management in the frontline of the chemical industry’. Von Hombracht examined the links between reputation and company identity, the importance of managing reputation for those in hazardous industries, and ways to bridge the communication gap.

Von Hombracht examined social, financial, product, recruitment and safety images, all contributors to a solid, or shattered, reputation. ‘Reputation comes from within and is shaped by actions and expressions over time,’ von Hombracht told his audience. ‘Consistent messages and experiences support a reputation, inconsistency kills it.’

In a complementary paper, Paul Robertson, a senior consultant with Marsh and McLennan, then talked the audience through crisis management and ‘What to do if the unthinkable happens’.

In a paper that offered practical approaches to formulating emergency response, crisis management and business continuity plans, Robertson emphasised the need to be proactive rather than reactive, and to plan for the worst-case scenario, ‘as anything else will be easier’.

Before the session continued on this theme, the audience benefited from a highly informative presentation on the ‘Relevance of stockpiling in the 21st century’ from Bernd Schnittler, secretary general of the Union Pétrolière Européenne Indépendante (UPEI), an association of independent European oil traders. Schnittler spoke about the different stockpiling models and systems employed in different countries, the pros and cons of such and the capacity used and available. He also updated listeners on the relevant regulations governing stocks, including European Parliament motions to raise the minimum 90 days requirement to 120 days, and on the resultant opportunities for the independent storage sector.

Taf Powell, Buncefield investigation manager, was unfortunately unable to travel to give an update on the investigation findings and impact on the wider industry, owing to illness, but Niall Ramsden, project coordinator of the LastFire project, was able to offer his own experience and views on the subject, as well as update on the latest LastFire project news.

The day closed with a thought-provoking panel discussion, with some of the afternoon’s speakers being joined by Klaas Winters, GM of Aircraft Fuel Supply, which supplies kerosene for all aircraft at Amsterdam’s huge Schiphol Airport. The panel took questions on the best approaches to incident prevention and handling, whether fire, terrorist or accidents, and mitigation of impact on both business and reputation.

After such a packed first day, an evening reception at Antwerp’s magnificent City Hall – hosted by the Port of Antwerp and the Belgian tank operators’ association BATO – was very much enjoyed by all who took the opportunity to network in the incredible Gothic surroundings. Most people’s evenings were then continued in one of Antwerp’s numerous restaurants packed along the streets in the old town, against the majestic backdrop of the Our Lady’s Cathedral.

Conference proceedings turned more technical from the second day, the morning of which was chaired by Luis Sala, MD of Spain’s Terminales Portuarias (Tepsa). Presentations from Tebodin senior consultant Maurice Houben on ‘New terminal planning and design’, from HMT’s international business development group director Andy East on ‘Roof drain selection’, and from Eric Borst, piping engineer with Royal Haskoning, on ‘The use of 3D engineering and laser scanning’, were lively, informative and invaluable.

After coffee, delegates heard from Tyco Thermal Controls’ Jean Lacroix, who spoke about reduction of the risk of critical tank scenarios through the application of carbon-enriched polymers for leak detection. Antonio Bellinvia of Idrabel then closed the morning presenting on the subject of reducing VOC emissions, odours and tank explosion risk.

The afternoon, when HMT’s Andy East returned to the stage but this time as chair, started with a real jolt and set the bar for keeping the audience alert and engaged in what the conference trade terms the graveyard slot. BP’s Bradley Chapman, the oil major’s global prevention manager, and an engaging speaker, kept delegates on the edge of their seats with an eye-opening (and earsplitting!) presentation on the issue of environmental liabilities, including a bulk terminal case study. Complete with some great music, Chapman stunned the audience and left them with plenty to think about, not least the long-term costs, environmental and financial, they might incur if they leave maintenance to chance.

Another natural public speaker, Control Systems International’s David Fleming, spoke about approaches to terminal automation integration, including a look at classic integration problems and the results of a successful integration: improved safety, information and profit.

Mircea Taiss, chief of the development department at Romania’s Port of Constanta, gave an interesting insight into current developments at the fast-developing hub, including an overview of Romania’s role in storage and transshipment, investment trends in the sector and regulatory developments. He then talked about the plans and rationale for expansion at Constanta, before detailing the port’s criteria and methodology for partner selection. Keep your eyes peeled for new contract announcements soon.

As the IEA’s Eagles pointed out, biofuels have seen massive growth in recent years, and new products always bring new concerns and challenges to storage operators. Ekke Oosterhuis, consultant engineer at Royal Haskoning, and Dale Bohman, marketing manager at FMC Technologies, dealt with the subject in complementary papers examining market potential, political incentives, upgrading a terminal to handle biodiesel and ethanol and issues such as blending and measurement practices.

Day three continued the pace with a full morning of valuable papers, all capably chaired by Peter Mackay, editor of Hazardous Cargo Bulletin and another StocExpo regular. Presentations by Marc Schindler, MD of C&S International, and Professor Ibrahim Banat of Northern Ireland’s Ulster University complemented each other well.

The former examined the risk sources associated with tank cleaning and discussed the enforcement of HSE practices and legislation in Europe, before presenting one possible solution. Professor Banat – clearly used to engaging lecture theatres full of students and leaving them wanting more – then commanded the stage with his lively and detailed delivery of an innovative method for residual tank bottom sludge cleaning using biological surface-active agents.

The next presentation, from Toni Käsbeck of Endress+Hauser, was invaluable in its analysis of the benefits of web-based systems in tank farms, examining the security advantages, cost savings and additional benefits of using web browsers in place of proprietary software.

The pace did not slow after the morning’s coffee break, with presentations from Rob O’Brien of Mixing Solutions on side-entry mixers, and on selecting the right aluminium dome roofs from Robert Baillie of Australia’s Baillie Tank Equipment.

The last slot of any conference programme is never the easiest for any speaker to fill. Fittingly for an event that brings terminals and suppliers together, the conference was superbly rounded off by ‘Measurement and the terminal’, the paper by Tom Clark, president and CEO of Brodie Meters. This examined the importance of a successful relationship between terminals and their suppliers, whether supplying a whole new tank or half a dozen valves.

‘Communication and teamwork is key,’ he said.

With this in mind, representatives from terminals and suppliers alike enjoyed a very pleasant and informative afternoon boat trip courtesy, once again, of the Port of Antwerp and BATO. The Jan Plezier II took in the vast expanse that is Antwerp Port, giving excellent views of storage facilities owned by Noord Natie, Vopak, Oiltanking and others. The Port Authority’s deputy GM Jan Burvenich provided knowledgeable commentary.