During the St. Petersburg International Economic Forum, Acron and Ultramar signed a transshipment agreement and warehouse leases in Ust-Luga port.
Acron Group, a leading vertically integrated mineral fertiliser producer in Russia and globally, and logistics company Ultramar signed a long-term agreement to transship over 1.2 million tonnes of mineral fertilisers annually.
The two companies also executed a lease agreement for four warehouses in the Russian port of Ust-Luga with a capacity of approximately 140,000 tonnes of mineral fertilisers, scheduled for commissioning in the second half of 2021.
Chairman of Acron’s Board of Directors Alexander Popov commented, “Acron Group continues to steadily develop its export potential around the world. Cooperation with Ultramar is in line with Acron’s strategy to redirect transshipment of our product flows to Russian ports, which will help increase the Group’s contribution to the Russian economy and ensure reliable supplies to our customers”.
Under its redirection strategy, last year Acron Group started to transship its products through Murmansk Bulk Terminal, owned by EuroChem, and signed a long-term agreement on mineral fertiliser transshipment with European Sulfur Terminal, which owns a modern transshipment complex at the Ust-Luga commercial seaport.
Ultramar’s CEO Andrey Bonch-Bruyevich said, “Ultramar is implementing a large-scale project to construct a new 12-million-tonne mineral fertiliser transshipment terminal in Ust-Luga port. Once commissioned, this terminal will eliminate the shortage of port transshipment capacity in the Russian northwest, provide conditions for redirecting all Russian fertiliser cargos to Russian ports, create new jobs, and put fresh energy into economic development in Leningrad region. We believe that the terminal’s maritime infrastructure (the length, draft and loading standards of accommodated vessels) will help shippers save significantly on freight and efficiently participate in global trade. We are glad that the long-standing cooperation with Acron Group, a sustainably developing Russian producer, has transformed into an agreement that is important for the implementation of our project and in line with the long-term programme to develop Russian ports. We thank Acron Group for working with us and hope that our cooperation on the new project will create opportunities to increase Acron’s export sales using our terminal. We will do our best to successfully implement these plans”.