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Vopak E.O.S., an Estonia-based joint venture in which Royal Vopak holds a 50 percent stake, says it is due to begin cost-cutting measures in response to recent changes in the marketplace.

In a statement, Arnout Lugtmeijer, CEO of Vopak E.O.S, said: "Over the past few years, the difficult business environment and increased competition from new Russian facilities have impacted throughput volumes at our terminals.

"At the same time, we have been able to promote the technological and logistical advantages of our facility to a broader group of customers, diversifying the cargo base which is now being increasingly delivered to the terminal by vessels. We have therefore initiated the process to align our organization with these developments.

"This process includes relocating and reducing staff where appropriate, decreasing overheads and optimizing both our maintenance costs and the capital expenditures at our terminal facilities without compromising on the high safety and service levels that Vopak E.O.S. is known for and which are appreciated and valued by our customers."

The process of realigning operations is due to be implemented in the course of 2014, Royal Vopak said.

Vopak E.O.S. operates four modern terminals - Termoil, Trendgate, Pakterminal and Stivterminal - with a total storage capacity of 1,026,000 cubic metres (cbm).

The terminals, which are directly connected to the international railway infrastructure, are located in Muuga Harbour - the main cargo harbour for the Port of Tallinn.

The proximity of Russia and Muuga enable Vopak E.O.S. to offer opportunities for the transportation of oil products by sea from Eastern Europe to Western Europe, America and Southeast Asia. Its wholly-owned rail subsidiary, E.R.S., manages all the company’s railway transportation and related logistics services in Estonia.

Vopak E.O.S. is the largest independent oil products terminal operator in the Baltic region. It is a joint venture of Royal Vopak and Global Ports Investments.