Impala

FAQs

Who is Trafigura?

Trafigura is one of the world’s leading international commodity traders, specializing in the supply and transport of crude oil, petroleum products, renewable energies, coal, refined metals, ferrous and non-ferrous ores and concentrates. We are the world’s third largest independent oil trader and the second largest independent trader in the non-ferrous concentrates market.

Trafigura has an oil-trading office in Houston, Texas, and a metals and coal trading office in Stamford, Connecticut.

Who is Impala?

Impala is a wholly-owned subsidiary of Trafigura, one of the world’s leading international commodity traders.  Impala was formed in 2010 following the consolidation of Trafigura's bulk commodity, warehousing and logistics activities.  Impala currently employs over 700 people globally and has world-class expertise extending across the non-ferrous concentrates, refined metals, iron ore and coal sectors. Operations include the blending of metal concentrates in Chile, China, Mexico and Peru, iron ore operations in China and India, and coal operations in the U.S., China and Colombia. 

Impala also owns and leases 35 refined metals warehousing sites (both LME and non-LME registered) across 19 countries and is engaged in the transportation of copper from the Democratic Republic of Congo and Zambia to global export markets. Impala’s global growth strategy is ambitious - over 20 projects are currently under detailed evaluation – each one offering unique value and enormous shared benefit.

Why did Trafigura/ Impala buy the Burnside Terminal?

Through its wholly-owned subsidiary, Impala Warehousing, LLC, Trafigura acquired Ormet’s Burnside Terminal. The objective of the purchase was to capitalize on the lack of bulk handling capacity located on the lower Mississippi River.

The U.S. currently faces significant constraints in supplying coal, with terminal facilities across the country already running at full capacity. The development of Burnside, as one of the country’s biggest terminals, will create new opportunities to establish flows of coal, both in and out of the country.

The location of the terminal is perfect for Impala’s business: coal can be brought by barge from upriver or by train from across the U.S. The Mississippi River is a deep-water port allowing for ships up to about 45 feet draft to be brought to the terminal, enabling allowing Impala to handle a variety of bulk cargoes for import and export from the U.S. The ability to handle bauxite cargoes will also benefit Ormet's newly reopened alumina plant.

This is a long-term project that represents an enduring commitment to both Ascension Parish and the state of Louisiana. We plan to invest more than $100 million to refurbish and reopen the Burnside facility. In the long term, we believe the terminal will be good for the local economy, good for local jobs and good for the U.S. economy.

Isn’t the terminal closed now?

The terminal is currently being refurbished by Impala. The first inbound bauxite cargos are planned for late September 2011, the first outbound alumina shortly afterwards and the first outbound coal shipments due in Winter 2012.

What bulk cargos will be handled at Burnside?

Initially the focus is on inbound bauxite and outbound alumina from the adjacent Ormet alumina refinery. In Winter 2012, the first outbound coal shipments are expected.

What needs to be refurbished at the terminal?

When the terminal structure was originally built in 1956 it was seen as the ‘jewel in the crown’ for logistics in the lower Mississippi River region. Our plan is to restore it to that coveted position through upgrading the systems, equipment, mooring facilities, storage areas, security and rail facilities.

At the moment, we are still examining a number of options for creating the optimum facility. However, we have already started refurbishing the site and hope to have this work completed by the end of 2011.

What is the total investment in the project and will any of it be spent locally?

We plan to invest more than $100 million to establish a state-of-the-art major bulk terminal. The project will substantially increase business activity and economic benefits for Ascension and adjacent river parishes.

We are committed to utilizing local Louisiana-owned service companies and contractors where possible during the construction and maintenance phases of the terminal.

Approximately 200-300 temporary construction jobs and 100 permanent jobs will be created as a result of our activities. Furthermore, there will be a significant increase in indirect jobs created through expanded barge, shipping and rail operations.

How will employees be recruited? Will previous employees be rehired?

The Burnside project is in the early stages of development. We will be in a position to give greater clarity as to our future requirements very soon and will place all notices on this website.

Once fully operational, the terminal will have approximately 100 full-time employees. Some former employees are likely to have the skills and experiences we're looking for to build our business up.

What are the expected environmental impacts of the project?

We are committed to being a good neighbor to the people and businesses in the area. As with any project of this nature, the refurbishment and operation of the terminal will have an impact. The key, as we see it, is to ensure that that impact is a positive one. We will ensure that we abide by the letter and spirit of the tight legal parameters that exist for this type of business – from planning and design through to construction, operation and maintenance of the Burnside terminal.

How will the company address community questions or concerns about the project?

Keeping interested parties informed of the project’s progress is a top priority. Equally important is giving the community the comfort to know that those concerns raised will be responded to, and where appropriate, conclusively acted upon. As part of our commitment to engage with the community and to meet their expectations we are carrying out a public outreach program. That program involves regular updates to this website and continual engagement with state and local government representatives, community leaders and also their constituents.

Will there be dust and noise from the facility?

There will inevitably be some dust and noise created as a result of the construction and operation activities. We will work with the authorities, expert third parties and community members to minimize this impact as much as possible.

Will the bulk terminal cause additional traffic on local roads?

There will be an increase in the number of trucks on local roads, particularly during the construction phase of the Burnside terminal. On completion of construction, bulk cargos will be moved in and out by barge, ship or rail and as a result there will be decreased truck transportation to and from the Burnside facility.

Industry in Ascension Parish is booming – it is clear that this success has had a direct impact on local roads. We are sensitive to the concerns of the local community, particularly in relation to the level of traffic on Highway 44. We will continue to engage with local officials and the state Department of Transportation and Development regarding solutions to minimize the project’s impact on local roads.

Will there be increased railroad traffic?

This is possible. The Burnside terminal is on a railroad spur and we are examining how best to utilize the resource.

How big will the ships be that enter and exit the port? When and how many?

Vessels will typically be between 220 – 230 meters in length, with the capacity to carry up to 80,000 tons of cargo. The number of barges and vessels depend on the designed capacity, which we are currently evaluating. In the planning of the terminal, we are engaging in particular the Pilots Association, the Army Corps of Engineers, and the US Coast Guard. During the first phase it is likely to be one ocean going vessel visiting the terminal every three to four days and up to 10 barges per day. When fully operational we expect the terminal to be in use 24 hours a day, seven days a week. The terminal will operate in full accordance with all relevant requirements.

What kind of noise and light impact will Burnside have at night?

The land plots on which the terminal and storage areas sit have long been designated as industrial use zones. We expect the terminal will be in use 24 hours a day, seven days a week and, as with any industrial facility, some light and noise are expected. However, we will work hard to minimize impacts and inconveniences to the community in any way we can.

Does Impala have partnerships in place with local businesses / vendors / suppliers?

We will look to employ local Louisiana-owned service companies and contractors where possible during the construction and maintenance of the terminal.

We are in the early stages of project development. As part of our commitment to engage with local people about the Burnside site, we are carrying out a public outreach plan that enables potential future suppliers to contact us through our website www.burnsideterminal.com.

What effect does Trafigura anticipate the increase in ships will have on the value of local real estate?

There may be some additional employees that move into the area on a temporary and permanent basis. This may have an impact on the demand for housing but it would be impossible for Impala to suggest by how much.

Will any other markets/industries be affected, e.g. Casino Boats, Water Recreation or Fishing?

Our investment program is ambitious and, as a consequence, we believe that regional industries will be positively affected.