Chemtrade sells petcoke business after Marsulex acquisitionBy The Canadian Press | The Canadian Press – July 1, 2011 1:15 PM
TORONTO – Chemtrade Logistics Income Fund (TSX:CHE.UN) says it has sold the petcoke cutting and handling operations acquired in the recent $419.5 million takeover of pollution cleanup technology company Marsulex . The buyer is privately owned American firm Savage Companies and terms of the sale were not disclosed.
Chemtrade, a producer of chemicals widely used in industry, said Friday that when it closed the Marsulex deal last week it said it expected to sell some non-core assets. Marsulex acquired the so-called petcoke business in 2006 for US$27 million.
The business provides in-refinery petroleum coke cutting and bulk handling services to major oil refineries in the U.S. Gulf Coast and West Coast and Venezuela.
Chemtrade supplies sulphuric acid, liquid sulphur dioxide and sodium hydrosulphite to industrial, textile, chemical and other sectors, and also processes spent acid.
Savage, started in Utah 65 years ago, designs and operates supply-chain systems for material handling. The company’s customers include oil refiners, oil and gas producers, coal producers, power generators, sulphur consumers, railways, and chemical companies.
The company, with 2,000 employees, moves and manages a variety of bulk materials, using truck, rail and marine systems.