Kotug forms new towage partnership in Egypt

The news follows the now established pattern, reported previously in MJ, of major towage operators forming agreements with companies in other parts of the world to reap the benefits of local knowledge for new contracts providing both local input and at the same time provision of sophisticated tugs and operating experience that may not be available locally but in abundance with the larger operators. Kotug’s activities outside Europe include operations in: Russia, Asia, Australia, Africa and the Caribbean.

The signing of the agreement has led to the new joint venture company, to be known as Kotug Petro Marine (KPM) and will provide towing and other services including FSRU operations for Arab Petroleum Pipelines Company (SUMED) at its Aim Sukhna terminal in Egypt’s Red Sea. KPM is owned 80% by Kotug and 20% by Petroconsult and headquartered in Alexandria, Egypt.

Rotortugs are a popular choice for high-value terminal towage operations and two brand new Cheoy Lee-built examples, Sumed RT1 and Sumed RT2, each with 80tbp are now in operation servicing the contract providing maritime services to Egypt’s oil and gas terminals and other ports. In line with Kotug’s practice of supporting local content, both tugs will be operated by native Egyptians supported by local shore staff.

The Egyptian arm of Petroconsult was established in 1979 and is one of the oldest privately-owned petroleum, refinery and petrochemical equipment supply and engineering companies in Egypt and the Middle East. It offers a diverse range of services including an active marine division providing harbour and terminal towage services along with: offshore support, brokerage, shipbuilding and subsea installation activities. In 2008 Petroconsult joined forces with Dutch dredging contractor Baggerbedrijf de Boer – Dutch Dredging to form Egyptian Dutch Dredging Company (EDDC).

Ard-Jan Kooren, CEO of Kotug International said: “We are looking forward to cooperate with Petroconsult and to start activities with our new partner in a familiar sector in the Middle East. The partnership represents a strong alliance between two industry experts. KPM aims to leverage the impressive reputation, experience, technology, and practical “know how” of KOTUG International and Petroconsult.”

By Peter Barker