

Borouge, a leading provider of innovative, value creating plastics solutions, has signed a service contract with CWT Logistics Pte Ltd Singapore to establish the Borouge South East Asia (SEA) Logistics Hub.
The hub will provide local logistics services for Borouge’s customers in Asia for a duration of 10 years with effect from its operational start-up date in 2010.
Following the contract win, CWT Logistics will undertake the design, development and construction of a packaging facility, together with providing dedicated existing state-of-the-art warehouse facilities at the Singapore Commodity Hub for the storage of Borouge products.
In addition to the storage facilities, CWT Logistics will also be providing packaging services and an integrated container depot so as to handle a total annual volume of approximately 330,000 tonnes of polyolefins dispatched by Borouge from Abu Dhabi to the SEA logistics hub.
Abdulaziz Alhajri, CEO of Borouge Abu Dhabi Polymers, the manufacturing company, explained: “The South East Asia logistics hub is the third logistical hub to be awarded by Borouge in the Far East. The hubs will provide storage and logistics support for our operations close to our customers. It will enable us to provide a fast, flexible delivery service to our customers for all of Borouge’s high-value product lines, especially more so for our customers in South East Asia, Australia and the surrounding regions as Singapore represents an unrivalled transshipment hub in the Far East”.
Alhajri observed that CWT Logistics was an established long-term logistics provider in Singapore with a strong knowledge of the region and the local logistics market. He commented that Borouge viewed the award of services as a very positive step forward in its growth in South East Asia and the Far East and similarly saw this growth being enhanced by CWT’s capabilities as a partner in the endeavour.
Eric Herman, CEO of CWT Logistics, noted: “At CWT Logistics, we continually strive for service excellence through our people, our well-designed processes and our professionalism. We are able to generate synergies from expertise within the group so as to arrive at a solution that is efficient, cost effective and tailored to our partners.
Borouge’s current production capacity in the UAE is 600,000 tonnes of Borstar polyethylene per year. With the ongoing Borouge 2 project expansion, this capacity will increase to 2 million tonnes per year by the middle of 2010 and will add polypropylene to the product mix. Construction of the Borouge 2 facility is progressing and consists of a 1.5 million tonnes ethane cracker, the world’s largest olefins conversion unit (with a capacity of 750,000 tonnes), two Borstar polypropylene plants with a total capacity of 800,000 tonnes and a 540,000-tonne Borstar polyethylene plant.
Meanwhile, Borouge inaugurated officially the Guangzhou Logistics hub.
The contract was signed in Abu Dhabi on October 19th 2008 with Enpro Supply Chain Management Limited to build the Borouge Guangzhou Logistics Hub in the Nansha area of Guangzhou, China. The Guangzhou hub will ensure local logistics services for Borouge’s customers in Asia for 10 years with effect from the start up date of Borouge 2 in 2010.
The Borouge Guangzhou hub will supply and distribute a total volume of approximately a 246,000 tonnes of value-added polyolefins annually.