Chemical Businesses News

International energy logistics group MISC Berhad announced that it is to merge its chemical fleet with the clean petroleum products (CPP) fleet operated by its wholly owned petroleum subsidiary, AET. Under the new arrangement, AET will take over the 13 chemical vessels and one LPG tanker currently owned/operated by MISC and combine them with its own fleet of eight CPPs to create a new, single entity. Announcing the move, MISC President/Group CEO, Yee Yang Chien, said, “There are significant synergies to be gained from merging the two fleets and creating a consolidated products business. “The integration will also allow us to continue to expand our customer base and develop a range of long-term partnerships in the sector,” he added.

Exxon Mobil Corporation today announced estimated full-year 2014 earnings of $32.5 billion compared with $32.6 billion a year earlier, reflecting the strength of its integrated business model in a lower price environment. “ExxonMobil’s results illustrate the value of our proven business model that integrates upstream, downstream, and chemical businesses,” said Rex W. Tillerson, chairman and chief executive officer. ExxonMobil completed a record eight major Upstream projects during the year, including the Papua New Guinea liquefied natural gas project, and achieved its full-year plan to produce 4 million oil-equivalent barrels per day. Fourth quarter earnings were $6.6 billion, or $1.56 per diluted share, down from $8.4 billion in the year-ago quarter.

Ashland Inc. (NYSE:ASH) completed the sale of its global marine services business, known for many years as Drew Marine, to J. F. Lehman & Co. for approximately $120m before tax. Ashland will use the net proceeds to reduce debt. With revenues of approximately $140m a year, the Drew Marine business has approximately 325 employees, 28 offices and 98 stocking locations in 47 countries. The business is a recognized global leader in providing technical solutions, high-value products and services to the global marine industry. Ashland and J.F. Lehman & Co. expect to produce a smooth transition with no disruption in customer service or supply. Summarizing the sale, James J. “We are extremely excited to now own the Drew Marine business and we welcome their employees to the J.F. Lehman & Co.

On June 22 Ashland Inc. (NYSE:ASH) announced it has signed a definitive agreement to sell its global marine services business, known for many years as Drew Marine, to J. F. Lehman & Co. in a transaction valued at approximately $120m before tax. Ashland’s after-tax proceeds will be used to reduce debt. “This transaction will be a win for all parties,” said James J. O’Brien, Ashland chairman and chief executive officer. “For Ashland, this reflects our strategy to strengthen our core specialty chemical businesses while reducing our investment in non-core or non-strategic businesses. For J. F. Lehman & Co., the acquisition of Drew Marine represents an opportunity to acquire a leading global brand with strong market positions and prospects for growth.