Tata Power, India’s largest integrated private power utility, through its wholly owned subsidiary Trust Energy Resources (Trust Energy) in Singapore, named its first cape vessel ‘Trust Agility’ — a modern 181,000 DWT in Jinhae, Korea, at the world-famous STX shipyard. The ship will be delivered in May 2011, and has the latest environmentally friendly technologies.
Trust Energy was set up in 2007 to help integrate the coal supply chain to support the growth plans of Tata Power. It has already built a portfolio of a fleet of five cape vessels, in its first phase. It has purchased two new vessels — ‘Trust Agility’ and its sister vessel ‘Trust Integrity’ which is due for delivery in June this year, both built at STX shipyard, Korea. Further, it has long-term charters for three other cape vessels. Trust Energy will acquire and expand its fleet of ships in future based on the thermal coal requirements of Tata Power.
R Gopalakrishnan, chairman, Trust Energy , said, “This marks a new strength, and competency for the group — of owning and managing large ships to provide long-term value to our businesses that are dependent on overseas raw material sources, where ocean freight is a significant cost driver. The Tata brand is synonymous with trust, and agility is a core value of Tata Power, and ‘Trust Agility’, our first cape vessel, reflects the new speed with which Tata Power is integrating its fuel supply chain strategy.”
“In order to support the growth of thermal energy generation business at Tata Power, vertical integration into coal sourcing and overseas fuel logistics is critical. With this objective in mind, Trust Energy was set up to securitise coal supply and shipping of coal. Trust Energy has a vision of becoming a world-class dry bulk shipping company with global standards in its operations, generating trust, dependability and reputation,” added Anil Sardana, managing director, Tata Power .
Speaking on the occasion, the group director, international marine centre, Maritime and Port Authority of Singapore, Beng Tee Tan , said, “The Maritime and Port Authority of Singapore is pleased that Tata Power has chosen to base their shipping and coal logistics operations in Singapore under Trust Energy Resources, its wholly owned subsidiary. We are happy to welcome Trust Energy’s first cape vessel, MV Trust Agility, into the Singapore Registry of Ships. We look forward to building a closer and rewarding partnership with Trust Energy Resources.”
KV Rao, managing director, Trust Energy , said, “While we are focused on serving the needs of Tata Power, and supporting its growth, we are an integrated fuel supply chain company with relevant competencies, and an international team. We aim to provide fuel supply chain solutions in a seamless manner to potentially other power producers. We will also operate our ships to leverage market opportunities, while primarily serving coal transportation needs.”
Trust Energy’s core business is fuel logistics and fuel trading, mainly for Tata Power group. It aims to provide integrated coal supply chains from Indonesia, Australia and Africa to India. Singapore, with its location and operational advantages for shipping, provided the right base for Trust Energy to house its business, and has received much support from the Maritime Port Authority of Singapore.
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Source: Tata, May 9, 2011.