Thu 2 Apr 2009, 14:48 GMT

World Fuel Services completes TGS acquisition


TGS Petroleum acquisition is part of WFS strategy to expand its wholesale distribution business, says COO.



World Fuel Services Corporation has announced today that it has completed the previously announced acquisition of select assets of TGS Petroleum, Inc.

TGS, based in Chicago, Illinois, with 2008 volume of over 100 million gallons, is an authorized branded distributor for CITGO Petroleum Corporation and Marathon Petroleum Company, LLC and a licensee for Clark Brands, LLC.

TGS distributes gasoline and diesel fuel under long-term contracts to over 160 retail petroleum operators.

Commenting on the news, Michael J. Kasbar, president and chief operating officer of World Fuel Services said “The TGS acquisition is another step in our strategy to expand our presence in the branded wholesale distribution business. The integration of TGS into our land segment will create immediate synergies and expands upon our presence as the largest independent wholesale motor fuel distributor in the state of Illinois.”

This transaction is expected to be $0.03 to $0.05 accretive to earnings in the first full year.

Last year, World Fuel Services, Inc. enhanced its position in the 180 billion gallon ground-based fuel market when it acquired assets of Texor Petroleum Company for a purchase price of approximately $104 million.

Texor is the largest independent motor fuel marketer in Illinois. It distributes gasoline and diesel fuel under long-term contracts to over 250 retail petroleum operators in northern Illinois and northwest Indiana and is also a significant supplier to industrial, commercial and government accounts.


Skipanes vessel. E-methanol-ready ro-ro vessel delivered to Smyril Line  

190-metre vessel is built for year-round North Atlantic operations and designed for future e-methanol conversion.

Belgium flag. Sunoil Biodiesel secures approval to supply biofuels in Belgium  

Dutch biofuel supplier expands its European footprint with Belgian market entry.

Tacoma Maersk naming ceremony. Maersk takes delivery of dual-fuel methanol-capable Tacoma Maersk in China  

9,000-TEU vessel is one of six mid-sized dual-fuel ships joining Maersk's fleet.

Asuka III vessel. NYK Cruises’ Asuka III cuts annual CO₂ emissions by 1,300 tonnes through LNG fuel use  

LNG-fuelled Asuka III avoided emissions equivalent to 530 households annually, says cruise firm.

Elandra K2 naming ceremony. Naming ceremony held for first VLCC in Hanwha Shipping's new fleet  

320,000-DWT alternative-fuel-ready Elandra K2 is first of three VLCCs built at Okpo Shipyard.

Fourth 5,900-TEU methanol dual-fuel container vessel. Tsuneishi China delivers fourth methanol dual-fuel 5,900-TEU boxship  

Zhoushan yard expands portfolio of alternative-fuelled vessels with handover of Maersk container ship.

Hong Kong skyline. IBIA to host marine fuels forum during Hong Kong Maritime Week  

Event to explore the practical and commercial realities surrounding a range of alternative fuels.

Andreas Enger, Höegh Autoliners. Höegh orders six LNG-fuelled Aurora-class vessels with future-fuel provisions  

9,100-CEU ships equipped with ammonia- and methanol-ready notation and designed to operate on LNG and low-sulphur fuel oil.

Puerto Rico flag. Puma Energy confirms bunkering operations in Puerto Rico  

The development has been known to regional industry players for several weeks.

Singapore waterfront skyline. Koch Minerals & Trading seeks bunker procurement intern in Singapore  

Successful applicant to work under the mentorship of KM&T’s senior bunker procurement coordinator.