Deer Park’s 2009 customer satisfaction survey identified a major service issue: long vessel waiting times and the resulting demurrage – or fines – assessed on Vopak customers
by ship owners.

Dock expansion means better service to Vopak customers

For the short term, Vopak has managed this issue by increasing dock throughput via more efficient planning and pre-berthing preparation. Although these changes improved vessel turnaround time, growing business volume continues to drive increased dock utilization. Vessel wait times have risen as dock utilization levels escalate. According to Stephen Mackay, “To achieve our two major strategic goals of Customer Leadership and Business Growth, we realized we had to address the demurrage issue more effectively.”

Three new docks to be completed by 2011

Deer Park decided the best long-term solution would be to increase the number of ship docks servicing Vopak customers by expanding and enhancing Ship Dock 3. “The scope of this project is to add two new jetties and alter Ship Dock #3 by constructing two extensions to the existing ship dock -- one to the east side and one to the west,” explains Mackay. “Extensions will be constructed for optimal safety and efficiency with hose towers, cranes, vapor recovery systems, associated piping, valves and advanced equipment needed to prepare us for a more fully automated terminal in the future.”

In addition, another barge dock (BD2) will be built along the shoreside of the new Eastern Dock. The new configuration allows a maximum of four ships and eight barges, compared to the current maximum of three ships and seven barges. Complete construction will take a full year, but one dock will be brought into service by approximately 4Q-2010. Overall completion is slated for early 2011.

 Other advantages afforded by the new ship dock include:

• Improved dock capacity (from 3 to 4), which is expected to save up to $30 million per year in customer demurrage charges;

• Faster turnaround capability, which will promote the business potential for existing customers, and drive greater terminal throughput; and

“The design we selected will also enable us to handle larger cargoes,” says Mackay. “This will enable us to  volume products such as fuels and ethanol, and realize our long-term strategy to do more with less.”