Petroplus Holdings AG (SIX: PPHN) today announced that through a wholly-owned subsidiary, it has entered into an agreement with Eurotank Belgium B.V., a wholly-owned subsidiary of Vitol Tank Terminals International B.V., part of the Vitol Group of companies (Vitol) for the sale of Petroplus Refining Antwerp N.V. and Petroplus Refining Antwerp Bitumen N.V (the “Antwerp processing facility”). The net purchase price, excluding hydrocarbon inventory is expected to be approximately $25 million in cash proceeds and the sale is expected to close in the fourth quarter. The current net asset value of these facilities is approximately $40 million which will result in a non-cash impairment charge of approximately $15 million in the third quarter of 2009.
Commenting on the sale, Jean-Paul Vettier, Chief Executive Officer of Petroplus, said “This sale will further allow the Company to focus on our core refining business and results in a reduction in Petroplus’s sustaining capital expenditure of $55 million over the next four years. During the transition process, the Company will continue to safely operate the facility and we are committed to a smooth transition with consideration for the welfare of all employees and with our strategic partners on the site. ”
The conclusion of the sale is subject to, amongst other things, regulatory approvals.