During the breaks between matches of the Football National League the athletes visited the grain and container terminals, as well as the tugboats of the Delo Group’s service company.

The company’s employees briefed the athletes on the history of the Group’s establishment, the specifics of operations and implementation of DeloPorts’ investment projects. The footballers observed the loading processes at the berths, the work of heavy machinery and tugboats.

“The visit of the Chernomorets football club to our terminals proves the interconnection between sports and business, when teamwork and striving for new heights stand in the first place. I expect that the example of the port workers will inspire the athletes to new accomplishments both on and off the pitch,” said Igor Yakovenko, General Director of DeloPorts.

“Above all, we are grateful for the unique opportunity to dive into the work environment at the port. The visit to DeloPorts’ terminals provided a glimpse of the impressive scale of the company, and allowed us to greatly appreciate the interaction and coherence of the employees at the berths. I believe that our athletes used this visit as an opportunity both to learn new things and also to appreciate the volume and efforts of investors in our work”, — said Maxim Ponomarev, General Director of Chernomorets Football Club.

FC Chernomorets was founded in 1907 under the name Olimpia. From 1992 to 2001, Chernomorets played in the Premier League. The sixth place in the 2000 season allowed the club to compete in the UEFA Cup of 2001/02. In 2002, Chernomorets was relegated and returned a year later. The 2003 season was the last for the club in the Russian elite. Since 2012, the team has been playing in Group 1 of the Professional Football League (PFL) Championship. In 2022, Delo Group became a sponsor of Chernomorets, and in 2023 the team returned to the First League.

Grain transshipment at KSC terminal in Q3 2024 grew by 15.0% YoY to 2.6 million tons. For 9 months, the transshipment volume increased by 20.1% YoY to 7.6 million tons. With grain exports on the rise, the terminal's unique infrastructure is in high demand, and transshipment growth was driven by the systematic implementation of investment and operational efficiency projects implemented over the past few years.

NUTEP terminal increased container turnover by 3.6% YoY to 126 thousand TEU in Q3 2024. At the end of 9 months, container turnover remained at the high level of 2023 and reached 453 thousand TEU (-1.6% YoY). The dynamics of the terminal's container turnover in 2024 was influenced by modernization works and delivery of new equipment to ensure a higher degree of service and further growth of cargo turnover in the future.

"The well-timed implementation of investment projects has allowed DeloPorts to strengthen its market position in the fast-changing environment in 2024, but also over the past few years to become a firm leader in container and grain transshipment in the Russian Federation. We recognize the longer-term potential of the market and intend to keep increasing capacity and offering our customers top-class service in integration with other assets of Delo Group,” said Igor Yakovenko, CEO of DeloPorts.

DeloPorts' consolidated results:

 Rounding adjustments have been made in calculating the operating data included in this release. As a result, the numbers and percentages shown in the table may not correspond to exact arithmetic sums.

 

	Q3 2024	Q3 2023	Change		9М 2024	9М 2023	Change
			Abs	%			Abs	%
Maritime container turnover
NUTEP (thousand TEU)	126	121	5	3,6%	453	460	-7	-1,6%
Marine cargo turnover of non-containerized cargoes
KSK (grain, mln tons)	2,6	2,3	0,3	15,0%	7,6	6,3	1,3	20,1%

 

 

Company background

Delo Group (Delo Group of Companies) is a Russian transportation and logistics holding company founded in 1993. It is a leader in marine transshipment and railway transportation of containers, as well as deep-sea grain transshipment in Russia. Companies of the Group provide cargo delivery across all stages of the multimodal transportation chain in both domestic and cross-border traffic. The Group operates 9 marine terminals and 47 inland terminals. The total capacity of the marine terminals is 3.9 million TEU and 9 million tons of grain per year, and 3.7 million TEU per year of the inland terminals. The Group operates a fleet of 41,000 fitting platforms and containers with a total capacity of 230,000 TEU, as well as its own fleet.

Starting this year, Delo Group is implementing a program that will enable the grain terminal in Novorossiysk to accept trucked freight via EBLs. Electronic waybills will be issued via mobile and web applications. This streamlines the process, reduces labor costs, and increases the transparency and manageability of operations across all stages of cargo circulation by enabling real-time tracking. As part of the pilot acceptance period, the technology systems of the terminal, consignor, freight forwarder and other process participants proved the reliability and availability of the digital document replacing conventional paper waybills.

"The quality of service for our customers is our paramount priority, and the adoption of digital products enables us to improve the standard of our offerings. Once the testing and finishing of the EBL system is completed, all customers will join it," said Alexander Trukhanovich, General Director of KSK grain terminal in Novorossiysk.

The pilot program on transition to the EBL cargo acceptance is implemented with Port Transit LLC, a technology partner. "Agroindustrial Corporation AST Company M", LLC, acts as an exporter.

This achievement solidified KSK’s leadership in Russia in terms of grain shipment volumes, accounting for 28% of the deep-water ports in the Black Sea basin.

In April 2024, the terminal set an all-time record by exporting 1.03 million tons of grain. No other terminal in the country has yet achieved such volumes. This operational speed was made possible by the consistent implementation of investment and operational efficiency projects over several years.

“Thanks to the professional and efficient work of our team and the timely expansion of KSK’s capacities, our terminal has once again confirmed its leadership and reputation as a reliable partner for Russian exporters. The new season lies ahead, with new goals, and we are committed to maintaining our high service standards”, noted Igor Yakovenko, CEO of DeloPorts.

The Delo Group has been transshipping grain in Novorossiysk since 2007. The KSK terminal was built from scratch, with investments exceeding $500 million. In a short period, it became the largest in the region. The group continuously expands the capacities of its terminals in southern Russia, providing new opportunities for Russian exports. As previously reported by the founder and Chairman of the Board of Directors of the Delo Group, Sergey Shishkarev, the throughput capacity of the grain terminal in Novorossiysk will be increased from the current 9 million tons to 10.5 million tons.

The previous monthly record was set this February when KSK processed 900,010 tons of grain. For the entire 2023, the throughput volume reached 8.2 million tons, marking a 37% increase over 2022.

This rapid pace was made possible by systematic upgrades to the infrastructure and expansion of capacities. Over the past few years, the terminal has increased the intensity of cargo reception, expanded its storage capacities to 220,000 tons, and at the end of 2023, a third ship-loading machine was launched at KSK.

“The record grain throughput is a logical result of the planned development of Delo Group’s grain terminal. Over these years, the facility has developed a sophisticated modern infrastructure that meets the most advanced industry demands. Of course, the foundation of our success is our team of professionals, each dedicated to their work and striving for a collective result. Our record is aimed at supporting long-term growth across the entire grain industry”, noted Igor Yakovenko, CEO of DeloPorts.

Delo Group has been handling grain in Novorossiysk since 2007. The KSK terminal was built from scratch with an investment of over $500 million and quickly became the largest in the region. The group is continually expanding the capacities of its terminals in the south of Russia, creating new opportunities for Russian exports. As previously reported by founder and chairman of the Delo Group board of directors, Sergey Shishkarev, the grain terminal’s capacity in Novorossiysk will be increased from the current 9 million tons to 10.5 million tons.

Now, grain arriving by truck will also be inspected outside the city – in Vladimirovka village. Thanks to this, the terminal will receive grain that has already been checked.

The new lab complements the main laboratory, which continues to work at the terminal. In them, the assessment is carried out on a number of factors, such as weight, moisture, presence of weed impurities, diseases and percentage of damaged grains.

Moreover, a “digital line” was previously arranged for grain trucks to access Novorossiysk, which minimized the load on the city’s road network by suspending vehicle traffic during peak hours and redirecting them to other parking lots.

“Additional grain quality checks outside of Novorossiysk residential areas will reduce the load on the city’s roads, making traffic freer and safer. And high-precision analysis and evaluation of products will significantly reduce the amount of low-quality grain on the market, thus protecting the interests of consumers”, said Igor Yakovenko, CEO of DeloPorts.

KSK grain terminal is the leader in grain transshipment in the Azov-Black Sea basin. Its capacity is 9 million tons per year, the terminal can handle vessels with cargo capacity of 100 thousand tons with draft up to 14.4 m. KSK has its own laboratory for grain quality control. Transshipment volume in 2023 amounted to 8.2 million tons, which is 37% more than in 2022.

Experts evaluated the terminal based on the volume and dynamics of cargo turnover, customer service, the range of services provided, financial performance, and investments.

Moreover, KSK grain terminal was awarded the best maritime stevedoring company in Rosmorrechflot’s “Industry Leader” contest. Held since 2013 among Russian commercial organizations in maritime and river transport, the contest features 17 categories.

“The achievements of Delo Group’s terminals have been recognized by the industry community, as evidenced by KSK terminal’s victory. We plan to expand the terminal’s capacity to 10.5 million tons, improve infrastructure and services, continuing to provide the best conditions for our clients”, noted Igor Yakovenko, CEO of DeloPorts.

Since 2006, when the KSK terminal was built from scratch, Delo Group has been handling grain transshipment in Novorossiysk. Over $500 million has been invested in its development, quickly making it the largest in the region. Last year, grain transshipment for export reached a record 8.2 million tons, 37% more than the same period the previous year. The group continually expands the capacities of its terminals in Southern Russia, creating new opportunities for Russian exports.

Since 2005, ASTP, by the mandate of the federal agency for maritime and river transport (Rosmorrechflot), has been holding the “Best Stevedoring Company” competition. The goal is to identify Russian stevedoring companies that achieve the best performance in their work and to share their experience with other port stevedoring companies in Russia.

Reference

Delo Group, established in 1993, is a prominent Russian transportation and logistics holding company. The Group is a leader in sea container transshipment, railroad transportation of containers, and deep-sea grain transshipment in Russia. Our companies are dedicated to ensuring seamless cargo delivery across all stages of the multimodal transportation chain, both domestically and internationally. The Group proudly boasts nine marine and 47 land terminals, with marine terminals having a total capacity of 3.9 million TEUs and 7 million tons of grain annually. Our land terminals handle 3.7 million TEUs annually. We also operate a fleet of 40,000 fitting platforms and containers, with a combined capacity of 234,000 TEUs, in addition to our own fleet.

The transaction had previously received all necessary regulatory approvals.

“Roll-up of 100% of KSK shares is in line with Delo Group’s development priorities, as the grain business is one of the key Group’s businesses. The terminal established in Novorossiysk in 2006 has become a leader in grain export transshipment volumes within a few years. Now we keep implementing projects enhancing its capacity and plan to increase it up to 10 million tons in the next few years,” said Ekaterina Lyakhova, CEO of Delo Management Company LLC (the Group’s parent company).

Delo Group has been involved in grain transshipment in Novorossiysk since 2006, when the KSK terminal was built from scratch. The terminal has an annual capacity of 8.5 million tons and can handle vessels with cargo capacity of 100,000 tons and draft of up to 14.4 meters. KSK has its own laboratory for grain quality control. Transshipment volume in 2023 was 8.2 million tons, which is 37% more than in 2022.

In March 2022, the KSK grain terminal, part of DeloPorts, the stevedoring asset of Delo Group, broke several records related to the transshipment of grain cargo through its capacities.

Compared to the March record of a last year, the increase in cargo turnover at the terminal in March this year amounted to 47%, almost 500 thousand tons were transshipped, the increase - more than 266 thousand tons. This achievement is the result of a whole list of record indicators in some areas of KSK operations.

Specifically, during the twelve-hour shift on March 27-28 this year 112 carriages with grain were unloaded – it is 5 carriages more than the previous record set in 2021. During the same shift on March 30-31 this year 410 cars passed through the laboratory acceptance and cargo quality control (sighting) (the previous record of last year - 383 cars).

Thus, for a month, almost 3.5 times was broken in terms of received for unloading of grain trucks – more than 12 thousand against 3.5 thousand in March last year. Accordingly, the volume of grain cargo delivered has increased, 324 thousand tons and 91.4 thousand tons respectively.

In March this year terminal accepted a record 27 grain carriers for handling, 25 of them were loaded and discharged this month, two more are about to finish loading.

Commenting the achievement, Alexander Trukhanovich, CEO of KSK, said: “On the one hand, the current difficult geopolitical situation has changed the grain supply logistics chain in the South of Russia and shifted a part of the additional cargo flow to our terminal.

But we took this increase easily - the capacity of the terminal is designed for such large loads or even more. On the other hand, our work team, as it usually happens in difficult time, mobilized, and demonstrated their best qualities - cohesion and professionalism. First of all, March records in all areas of activity are its merit, as well as indicators of sufficient capacity reserve and excellent condition of KSK industrial equipment”.

 

About the Company

DeloPorts is a holding company that owns and operates stevedore assets of Delo Group in the port of Novorossiysk. DeloPorts consolidates NUTEP Container Terminal, KSK Grain Terminal and Delo Service Company.

Delo Group is the largest transport and logistics holding in Russia, managing sea container terminals in the Azov-Black Sea, Baltic and Far Eastern basins, a network of railway container terminals, a fleet of containers and fitting platforms. The parent company of the Group is LLC MC Delo, 70% owned by the founder of the Group, Sergey Shishkarev, and 30% is owned by State Atomic Energy Corporation Rosatom.

 

The Group's stevedoring business includes DeloPorts holding and Global Ports, a leading container terminal operator. The transport and logistics business of the Group is made up of the multimodal transport operator Ruscon and the intermodal container operator TransContainer that owns and operates the largest fleet of containers and flatcars over the entire 1520 standard railway network.

KSK ranked first among terminals in the Black Sea basin with its share reaching 30%. The maximum monthly transshipment volume was recorded in March 2023, when KSK shipped a record 801.5 thousand tonnes of grain for export. Delo Group invested over 9 billion roubles in the development of the grain terminal created from scratch. At the decision of Sergey Shishkarev, Chairman of the Board of Directors of Delo Group, the Group continues to expand the terminal's capacity and upgrade machinery and equipment in order to meet the growing grain export volumes. "We expect that due to well-coordinated efficient work and organization of the terminal's operational activities next season we will be able to surpass the achieved transshipment figure while maintaining a consistently high level of customer service," said Igor Yakovenko, DeloPorts Director General. Delo Group started grain transshipment at the KSK terminal in the port of Novorossiysk in 2007. The terminal's unique infrastructure allows for the transshipment of bulk, general and ro-ro cargo. Vessels are handled at three berths, including the deepest in the Azov-Black Sea basin, which can accommodate vessels with a cargo capacity of up to 100,000 tonnes and a draft of up to 15.9 meters. The terminal has its own certified laboratory, with its specialists checking the quality of grain for export

KSK Grain Terminal handled 801,500 tons of grain, exceeding the March 2022 figure by 68% and the previous record set in January 2023 by 11%. In the first quarter of 2023, KSK handled 2 million 48 thousand tons of grain, 72% more than in the same period in 2022.

NUTEP container terminal also set a record in March 2023, handling 70,100 TEU, a 6% increase over the previous record (January 2023). Compared to March 2022, the volume of container transshipment doubled. In total, 185.2 thousand TEU were handled in the first quarter of 2023, 31% more than the result of the first quarter of 2022.

Commenting on the March 2023 results, DeloPorts Director General Igor Yakovenko said: "In light of the ongoing reorientation of cargo flows and development of services through the ports of Southern Russia, DeloPorts terminals took on additional volumes, provided by the synergy of work with other assets of Delo Group, among other things. Previously implemented infrastructure modernization projects allowed us to form a reserve to increase cargo turnover, and the invariably high quality of service allowed us to create comfortable conditions for our clients".

The winners were announced at the annual ASOP conference in St. Petersburg on March 30, 2023.

KSK terminal was named the best among grain handling stevedoring companies. KSK Grain Terminal in 2022 handled a record 5.972 million tons of grain for export, 24.2% more than the previous year.

VSC, located in the port of Vostochny in Primorsky Krai, won in the category of container transshipment stevedoring companies. 

ASOP hosts the Best Stevedoring Company contest on behalf of the Federal Agency for Sea and Inland Water Transport (Rosmorrechflot). The goal of the contest is to determine best performing Russian stevedoring companies and to share their experience with other stevedoring companies operating in Russian ports. ASOP experts evaluate marine terminals by volume and dynamics of cargo turnover, customer relationship and range of services, financial indicators, investments, and other criteria.

Thus, 11 000 employees can take advantage of the support measures in all regions of Group presence, from Kaliningrad to Vladivostok.

The unified corporate standard to stimulate the birth rate in employees' families, improve the quality of life and support employees with children meets the goals of the Demography national project and was developed at the initiative of Sergey Shishkaryov, Chairman of the Board of Directors of Delo Group.

The standard provides for progressive amounts of benefits and their drastic increase with the birth of the third child, including payment of 1 million rubles for the birth of the third and subsequent children. In addition, a set of measures includes additional payments during maternity leave, additional sick leave benefits during pregnancy and upon early return from maternity leave, compensation for kindergarten and children's camp trips, expansion of the voluntary medical insurance program for employees and others. The Group companies have introduced a “social manager” position to organize work with employees in terms of the corporate program, as well as to inform them about the system of state benefits.

Commenting on the implementation of the Group’s demographic project, Alexander Osipov, HR Director of Delo Management Company, said: “We see the demand for the program among employees. In the second half of 2022, 880 employees of TransContainer took advantage of various support measures, and eight families with many children received financial aid of one million rubles. We expect that the adopted standard will become an effective tool to help improve the demographic situation in the country.”

Due to previously implemented investment projects, capacity expansion and the use of modern technology, the terminal is systematically increasing the volume of throughput in view of grain exports growth. In 2022 a record 5.97 million tons of grain were handled (+24.2% compared to 2021).

NUTEP Container Terminal also set an absolute monthly record volume of cargo in its history in January 2023, reaching 66 186 TEU, +28.4% compared to January 2022 and +2.7% compared to the December 2022 record (64 445 TEU).

"We set new records at both terminals in Novorossiysk thanks to our coordinated and smooth operation, clear organization and competent work planning. Understanding the growing needs of the market and the difficult situation related to the restructuring of logistics, we are focusing our efforts on further development of infrastructure and increasing the efficiency of operations," said Igor Yakovenko, CEO of DeloPorts.

         Under a comprehensive investment project for the reconstruction of NUTEP and KSK terminals (2015-2021), the total investment of the Group amounted to 335 million dollars of its own funds, with no involvement of state funds. While expecting further container and grain cargo traffic growth, DeloPorts plans to implement a number of projects aimed at increasing the capacity of KSK and NUTEP terminals.

 

This was announced after the results of the negotiations between Rosselkhoznadzor and the People's Republic of China General Administration of Customs were summarized.

The foreign agency approved a list of Russian companies planning to ship wheat, barley, soybeans, corn, rice, and rapeseed to the PRC. The export of such crops from Russian regions to China became possible after the signing of agreements to protocols on wheat and barley with the Chinese government. The signing ceremony took place on February 4, 2022.

Alexander Trukhanovich, the CEO of KSK Grain Terminal commented: “We are pleased to see that our investment decisions and compliance with all the approved phytosanitary requirements allowed the Terminal enter the list of the companies - elevators.

Nowadays China is a key trade partner of Russia, thus our terminal's inclusion into the list of elevator storages for grain exports to China is not only a reason to be proud and a marker of high-quality services, but it also imposes responsibility for food safety of friendly countries on us”.

WRT-1 was made in August 2022 in Belgorod, it has a tractive force of up to 10 cars. The main feature of this equipment is the use of Russian-made components. The assembly from Russian details will avoid difficulties with the purchase of spare parts for its maintenance.

 Igor Yakovenko, CEO of DeloPorts, commented: “The purchase of the Russian-made motorized freight carrier made of locally produced components is both a planned company technical component update and a step towards our autonomy in the technological issue. 

Currently WRT-1 has no competitors with such tractive force among the locomotives produced in the Russian Federation. Thus, we will solve all shunting-related production issues more quickly, saving customers' time and further increasing the throughput capacity of the Terminal ”.

DeloPorts is one of the largest stevedore assets in the South of Russia, uniting assets of Delo Group in grain and container segments in Novorossiysk port. 

The vessel was loaded on the deep-water berth 40A, which was put into operation a year ago. The loading passed in a normal operating condition. The Agroindustrial Corporation ACT Company M, one of the key customers of KSK and one of the largest grain exporters in Russia, acts as a consignor.After loading SABAEK went to Iran.

Igor Yakovenko, the CEO of DeloPorts, said: “We see that the investment project of KSK deep-water grain berth launching, implemented by Delo Group, justifies the investment. We are committed to providing the best possible experience for our customers. Given the importance of the Southern Transport Corridor, we aim to develop this direction, considering the needs of the export market”.

The main component of this success is the operation of a new deep-water grain berth No. 40A. On July 20, 2022, the Company celebrated a one-year anniversary of the launch of the deepest grain berth on the Black Sea at KSK.

During its operation, a gross tonnage of vessels handled at KSK has increased from 22.6 thousand tons per day in the season 2020/2021 to 24.5 thousand in the season 2021/2022. The transshipment directly via the berth has exceeded 3 million tons. After putting in operation the berth 40A, KSK set several records and some of them unique.

For example, in January 2022, the first in history of Novorossiysk, NORAH grain carrier with a cargo capacity of 120,000 tons was loaded at this berth.  The vessel took on 95,800 tons of cargo, exceeding the previous record for a single grain shipment by more than 23,000 tons. In addition, in March 2022 KSK handled 27 vessels at berths 40 and 40A, breaking the previous record by 5 units.

Roman Antipov, the Technical Director of DeloPorts highlighted: “The berth 40A was put into operation a year ago. It is the only deep-water berth for Russian grain loading onto vessels with deadweight up to 100 thousand tons. Such projects as these increase transshipment capacity in the Azov-Black Sea basin”.

Igor Yakovenko, the CEO of DeloPorts, outlined: “Now Novorossiysk has a well-developed port infrastructure that provides cargo transportation at the highest world level. Implementation of such large-scale projects is part of the Russian transport infrastructure development. By launching the berth 40A, Delo Group opened new promising markets for Russian grain in Southeast Asia and the Middle East”.

About the Company

DeloPorts is a holding company that owns and operates stevedore assets of Delo Group in the port of Novorossiysk. DeloPorts consolidates NUTEP Container Terminal, KSK Grain Terminal and Delo Service Company.

Delo Group is the largest transport and logistics holding in Russia, managing sea container terminals in the Azov-Black Sea, Baltic and Far Eastern basins, a network of railway container terminals, a fleet of containers and fitting platforms. The parent company of the Group is LLC MC Delo.

The Group's stevedoring business includes DeloPorts holding and Global Ports, a leading container terminal operator. The transport and logistics business of the Group is made up of the multimodal transport operator Ruscon and the intermodal container operator TransContainer that owns and operates the largest fleet of containers and flatcars over the entire 1520 standard railway network.

 

The team came to Krasnodar region to participate in OLIMPBET Final4 of the Russian Women's Handball Cup – 2021-2022. The Cup will be held in Krasnodar on April 9-10. The best teams of Russian Cup - ‟CSKA”, ‟Rostov-Don”, ‟Kuban” and ‟Zvezda” will take part in the competition.   

After arrival in Novorossiysk, the athletes laid flowers at the monument ‟Port workers of Novorossiysk”, built on the initiative of the Delo Group. Afterwards, the team went on a tour of the DeloPorts holding terminals and talked with their employees.  

The sportswomen got a chance to get acquainted with the facilities and see how the containers and grain are handled at the terminals. The CEO of DeloPorts Igor Yakovenko told the team about how the holding had become a leader in the market, about investment projects which the Group had implemented in last 7 years: construction of unique deep-water container and grain berths for ocean-type vessels, purchase of own modern tugboats that are an important part of the uninterrupted work of terminals. 

Igor Yakovenko, in a dialogue with the handball players, noted: ‟These days DeloPorts is one of the most advanced divisions of the Group and the most advanced in southern Russia. The second place we are no longer interested in, because if we fight, we fight till the end - as well as you. Handball plays an important role in our corporate culture, and we are really happy to support ‟CSKA” and thereby contribute to the development of sports in Russia. 

On April 9-10 in the Cup of Russia I wish you exactly this - to fight to the bitter end, and we, DeloPorts, NUTEP, KSK, SC Delo employees will go to Krasnodar to cheer for you”.  

For two members of the team, the visit to the terminals was not the first. Olympic champions of Rio 2016 Yekaterina Ilyina and Olga Akopyan by the sea tradition earlier became godmothers of two tugboats of ‟Delovoy-3” and ‟Delovoy-4” Service Company respectively. 

After this tour the ‟CSKA” team captain Daria Dmitrieva addressed to the employees and shared her impressions of her visit to the terminals: ‟It was very interesting for us to visit your city. The city where the Group was founded, and to see how DeloPorts terminals work. We have a high regard for the profession of port workers and we are very thankful for the opportunity to perform at one of the best clubs in the country that your work gives us. Thank you for rooting for us. We, the meantime, will try to live up to your trust and strive to always be first as you do”.

 

About the Company

DeloPorts is a holding company that owns and operates stevedore assets of Delo Group in the port of Novorossiysk. DeloPorts consolidates NUTEP Container Terminal, KSK Grain Terminal and Delo Service Company. 

Delo Group is the largest transport and logistics holding in Russia, managing sea container terminals in the Azov-Black Sea, Baltic and Far Eastern basins, a network of railway container terminals, a fleet of containers and fitting platforms. The parent company of the Group is LLC MC Delo, 70% owned by the founder of the Group, Sergey Shishkarev, and 30% is owned by State Atomic Energy Corporation Rosatom.

The Group's stevedoring business includes DeloPorts holding and Global Ports, a leading container terminal operator. The transport and logistics business of the Group is made up of the multimodal transport operator Ruscon and the intermodal container operator TransContainer that owns and operates the largest fleet of containers and flatcars over the entire 1520 standard railway network.

Compared to the March record of a last year, the increase in cargo turnover at the terminal in March this year amounted to 47%, almost 500 thousand tons were transshipped, the increase - more than 266 thousand tons. This achievement is the result of a whole list of record indicators in some areas of KSK operations. 

Specifically, during the twelve-hour shift on March 27-28 this year 112 carriages with grain were unloaded – it is 5 carriages more than the previous record set in 2021. During the same shift on March 30-31 this year 410 cars passed through the laboratory acceptance and cargo quality control (sighting) (the previous record of last year - 383 cars).

Thus, for a month, almost 3.5 times was broken in terms of received for unloading of grain trucks – more than 12 thousand against 3.5 thousand in March last year. Accordingly, the volume of grain cargo delivered has increased, 324 thousand tons and 91.4 thousand tons respectively.

In March this year terminal accepted a record 27 grain carriers for handling, 25 of them were loaded and discharged this month, two more are about to finish loading. 

Commenting the achievement, Alexander Trukhanovich, CEO of KSK, said: “On the one hand, the current difficult geopolitical situation has changed the grain supply logistics chain in the South of Russia and shifted a part of the additional cargo flow to our terminal. 

But we took this increase easily - the capacity of the terminal is designed for such large loads or even more. On the other hand, our work team, as it usually happens in difficult time, mobilized, and demonstrated their best qualities - cohesion and professionalism. First of all, March records in all areas of activity are its merit, as well as indicators of sufficient capacity reserve and excellent condition of KSK industrial equipment”.

The vessel was moored to the new deep-water berth 40A, which was launched in the summer of 2021. Specifications of the berth are fully conform to grain carriers of such class. According to plans, 95 thousand tons of grain will be loaded into NORAH for delivery to the Middle East.

The Agroindustrial Corporation ACT Company M, one of the key customers of KSK and one of the largest grain exporters in Russia, acts as a consignor.

Igor Yakovenko, the CEO of DeloPorts, commenting on the event, noted: “We were aiming at this result carrying out such a difficult and expensive reconstruction of the KSK Grain Terminal. 

And today we are the first and so far the only asset in Russian Federation which can receive grain vessels of such carrying capacity - 100 thousand tons and more.

The NORAH mooring to 40A deep-water berth and the start of its loading were conducted in a regular mode, which means that we are ready to receive these vessels on a regular basis.

Thereby, we are absolutely prepare to provide our customers with the opportunity to use a large-tonnage fleet, taking into account the needs of the grain export market from the Russian Federation”.

The visit to the terminal was organized at the request of the North Caucasian Directorate of Traffic Management of the branch of Russian Railways, it took place within the framework of familiarizing students with places of potential employment at the facilities of the Novorossiysk railway junction. Future railway workers studied the features of organizing operational work on the access roads of the port territory, the railway equipment used by the terminal, the technology of receiving and unloading wagons with grain. According to the students, a visual demonstration of the practical work of the port railway junction helped to consolidate the theoretical knowledge and to understand the importance of the railway infrastructure for the port's operation.

General Director of KSK Alexander Trukhanovich said: «At the request of our partners from Russian Railways, we conduct such tours on a regular basis. It seems that future young railway specialists should not only master their main specialty, but also think comprehensively. We give them the opportunity to get acquainted on field with the role and place of the railway infrastructure in ensuring the operation of our terminal and the port in general, to show the importance of continuous and clear interaction between port workers and railway workers. We hope that this practice will allow our specialists in the future to better understand each other, the aspirations of both transport sectors and promptly solve all emerging issues».

In general, for two months of the new grain season, the KSK terminal handled 914.5 thousand tons of grain cargo for export, and by this indicator it outstripped all competitors in the region of presence.

Commenting on the achievements, Chief Executive Officer of the terminal, Alexander Trukhanovich, noted: “In July of this year, a new deep-water berth KSK No. 40A was put into operation, the construction of which completed a large investment program for the reconstruction of the terminal. As we can see, investments immediately began to have an effect, the start of the grain season went well, and we hope to end the year with a new record.

In contrast to the beginning of the last season, cars prevail in this one among the transport vehicles. To prevent the formation of a queue, further improvement of the process of their unloading was required. The technological scheme was corrected and due to the improvement of the working method the number of vehicles processed every day surely exceeds the figure of 600 units ”.

 

About company

DeloPorts is a holding company that owns and operates stevedore assets of Delo Group in the port of Novorossiysk. DeloPorts consolidates NUTEP Container Terminal, KSK Grain Terminal and Delo Service Company.

Delo Group is the largest transport and logistics holding in Russia, managing sea container terminals in the Azov-Black Sea, Baltic and Far Eastern basins, a network of railway container terminals, a fleet of containers and fitting platforms. 

The Group's stevedoring business includes DeloPorts holding and Global Ports, a leading container terminal operator. The transport and logistics business of the Group is made up of the multimodal transport operator Ruscon and the intermodal container operator TransContainer that owns and operates the largest fleet of containers and flatcars over the entire 1520 standard railway network.

The berth was constructed as part of a major investment project “Reconstruction of KSK Grain Terminal”, the cost of the work amounted to about USD 68 million of the Group's own funds. At the end of 2020 and the first half of this year, the KSK terminal ranks second in Russia in terms of transshipment volumes.

The depth near the berth has been brought to 16.9 meters, which makes it the deepest in the Azov-Black Sea basin. This allows to receive vessels with deadweight up to 100 thousand tons and maximum draft up to 14.4 meters. Prior to its commissioning, KSK Grain Terminal could receive grain carriers with a maximum carrying capacity of up to 50 thousand tons. With the launch of the berth, the planned capacity of KSK increased to 7 million tons per year.

The launch of a modernized port infrastructure facility of this scale has not only regional but also federal significance. The opening was attended by Deputy Minister of Agriculture of the Russian Federation Oksana Lut, Deputy Head of Rosmorrechflot Konstantin Anisimov, representatives of federal executive authorities, the leadership of Krasnodar Krai and its districts, other subjects of the Southern Federal District, Novorossiysk, the second shareholder of the KSK company “Cargill”, central offices of credit institutions, business structures, their regional offices, and the largest clients of the terminal.

Speaking at the opening ceremony, the head and owner of Delo Group Sergey Shishkarev noted: “Today we are not just opening a new modern port infrastructure facility. We mark the completion of a major comprehensive investment project launched in 2015 for the reconstruction of the NUTEP and KSK terminals. The total volume of investments made by the Group in this project amounted to USD 335 million of its own funds alone, without attracting government investments.

Nevertheless, all our investment projects are always calculated taking into account the implementation of the strategic objectives of the state and national projects. The development of logistics for Russian agricultural exports will strengthen the role of Russia in the world grain market, open new sales markets for Russian farmers in Southeast Asia and the Middle East. The group has always associated itself with the economic system of our country, its principle is "Developing with the economy, developing for the economy."

According to Oksana Lut, about 90% of domestic grain exports go by sea, mostly through the Azov-Black Sea ports. Taking this into account, Novorossiysk remains one of the most important transport arteries - in the past season, a third of the total volume of supplies passed through this port, with more than 10% accounted for by the KSK terminal.

As the Deputy Minister noted, the industry plans to increase grain production every year. The long-term strategy for the development of the grain complex assumes a significant increase in the harvest in the next 10 years. "Projects like this are very important from the point of view of further increasing exports and improving transport accessibility," - said Oksana Lut.

Most of the speakers noted that the successful implementation of such large investment projects in our difficult times testifies to business confidence in the steps of the Russian leadership to develop the country's economy and to a definite support for them by the business community.

During the festive event, a symbolic launch of the grain loading of the first vessel moored at the new berth - the Belfuji bulk carrier with a deadweight of 63.5 thousand tons was given.

 

About the Company

DeloPorts is a holding company that owns and operates stevedore assets of Delo Group in the port of Novorossiysk. DeloPorts consolidates NUTEP Container Terminal, KSK Grain Terminal and Delo Service Company.

Delo Group is the largest transport and logistics holding in Russia, managing sea container terminals in the Azov-Black Sea, Baltic and Far Eastern basins, a network of railway container terminals, a fleet of containers and fitting platforms. The parent company of the Group is LLC MC Delo, 70% owned by the founder of the Group, Sergey Shishkarev, and 30% is owned by State Atomic Energy Corporation Rosatom.

The Group's stevedoring business includes DeloPorts holding and Global Ports, a leading container terminal operator. The transport and logistics business of the Group is made up of the multimodal transport operator Ruscon and the intermodal container operator TransContainer that owns and operates the largest fleet of containers and flatcars over the entire 1520 standard railway network.

The mooring operations for placing Belfuji to the berth, carried out by tugboats of Delo Service Company, were carried out in the normal mode.  Grain will begin to flow into its holds on July 20 during the launching ceremony of the reconstructed KSK terminal.

Deep-water berth No. 40A, with a depth of 16.9 meters, was specially constructed for vessels of this class and more (with deadweight up to 100 thousand tons and maximum draft up to 14.4 meters). Prior to its commissioning, KSK Grain Terminal could receive grain carriers with a maximum carrying capacity of up to 50 thousand tons.

Commenting on the arrival and mooring of Belfuji, Igor Yakovenko, Chief Executive Officer of DeloPorts, noted: «The positioning of the vessel for loading at the new berth of KSK went smoothly, confirming all our calculations on the berth parameters and once again showing the high professionalism of the tugboat crews of Delo Service Company. In fact, this is the first sign of the opening of the path to new markets and new opportunities. It is symbolic and logical that Belfuji will be received with the grain of our reliable business partner and the second shareholder of KSK «Cargill».

It is officially allowed to conduct border, customs and other types of control at the new deep-water berth No. 40A of KSK, which is a part of DeloPorts, a stevedore asset of Delo Group,from July 14, 2021. . This procedure, in accordance with the decision of the Government of the Russian Federation, will remain in effect until the official entry into force of the normative act of the Ministry of Transport of Russia on the opening of a sea checkpoint across the state border of the Russian Federation in the seaport of Novorossiysk within the territory of KSK, determined by the Interdepartmental Commission held on July 6, 2021.

The ceremony of commissioning the deep-water berth No. 40A, built as part of the major investment project "Reconstruction of KSK Grain Terminal", is scheduled for July 20, 2021.

«From that moment on, all legal issues related to the organization of these types of control at the berth have been resolved, it has actually been put into operation. It remains for us to work out the interaction with the regulatory authorities in the port and the procedure for accepting commissions for the implementation of all types of control. Everything will be done before the first vessel is received for loading at berth No. 40A», - said Alexander Trukhanovich, Chief Executive Officer of KSK Grain Terminal.

 

About the Company

DeloPorts is a holding company that owns and operates stevedore assets of Delo Group in the port of Novorossiysk. DeloPorts consolidates NUTEP Container Terminal, KSK Grain Terminal and Delo Service Company.

Delo Group is the largest transport and logistics holding in Russia, managing sea container terminals in the Azov-Black Sea, Baltic and Far Eastern basins, a network of railway container terminals, a fleet of containers and fitting platforms. The parent company of the Group is LLC MC Delo, 70% owned by the founder of the Group, Sergey Shishkarev, and 30% is owned by State Atomic Energy Corporation Rosatom.

The Group's stevedoring business includes DeloPorts holding and Global Ports, a leading container terminal operator. The transport and logistics business of the Group is made up of the multimodal transport operator Ruscon and the intermodal container operator TransContainer that owns and operates the largest fleet of containers and flatcars over the entire 1520 standard railway network.

Over the period since the previous record, KSK Grain Terminal, operating in conditions of serious competition and reconstruction of its facilities, has significantly increased its share in the transshipment market. Now it has 24.7% (2017/2018 season - 20.6%) among the TOP-5 grain terminals in Russia, 13.2% (11.3%) - in the Azov-Black Sea region and 11.6% (9, 3%) - in the total volume of transshipped export grain. At the end of 2020, KSK set a personal annual record, handling 5.1 million tons.

Commenting on the achievement, Igor Yakovenko, Chief Executive Officer of DeloPorts, noted: «We consider this and other records of KSK as a direct result of the efforts and investments aimed at an increase of volume of transshipped and income. In a week, deep-water berth No. 40A will be put into operation, the design capacity of the terminal will increase to 7 million tons per year. The reconstruction of KSK is going on. Today we build the terminal for tomorrow. It’s for tomorrow competition challenges, for necessities of a tomorrow market. Towards new records and new higher indicators are waiting for us». 

In June 2021, DeloPorts, a stevedore holding of Delo Group, increased the capacity of the power circuit of its KSK and NUTEP terminals. From January 1, 2022, it is planned to use “green energy” on these terminals supplied from the wind power plants of Atomenergopromsbyt (a part of NovaWind, the wind energy division of Rosatom State Corporation).

For these purposes, the modernized transformer substation No. 30 was launched, as a result, the capacity of each of the two transformers increased to 400 kW. This work was carried out in anticipation of the commissioning of the deep-water berth No. 40A and other facilities constructed within the framework of the major investment project “Reconstruction of KSK Grain Terminal”.

«Using electricity generated from wind power energy is a new practice for our terminals. The successful implementation of this project, an agreement on which we signed in April this year with the partner of Delo Group, the state corporation Rosatom, will help to promote such an initiative that is absolutely important for the ecology of our country. Taking into account this and the planned commissioning of the facilities of the reconstructed KSK Grain Terminal, the energy circuit of DeloPorts assets has been reinforced with new modern equipment, the power reserve of which will be enough to solve all the tasks at hand», - commented Igor Yakovenko, Chief Executive Officer of DeloPorts, on the launch of new power capacities.

 

About the Company

DeloPorts is a holding company that owns and operates stevedore assets of Delo Group in the port of Novorossiysk. DeloPorts consolidates NUTEP Container Terminal, KSK Grain Terminal and Delo Service Company.

Delo Group is the largest transport and logistics holding in Russia, managing sea container terminals in the Azov-Black Sea, Baltic and Far Eastern basins, a network of railway container terminals, a fleet of containers and fitting platforms. The parent company of the Group is LLC MC Delo, 70% owned by the founder of the Group, Sergey Shishkarev, and 30% is owned by State Atomic Energy Corporation Rosatom.

The Group's stevedoring business includes DeloPorts holding and Global Ports, a leading container terminal operator. The transport and logistics business of the Group is made up of the multimodal transport operator Ruscon and the intermodal container operator TransContainer that owns and operates the largest fleet of containers and flatcars over the entire 1520 standard railway network.

On July 6, 2021, KSK (hereinafter referred to as KSK, the Company), which is a part of DeloPorts, a stevedore holding of Delo Group, held an interdepartmental commission (hereinafter referred to as IAC) to verify the compliance of the marine cargo-passenger permanent multilateral checkpoint through the state border of the Russian Federation in the seaport of Novorossiysk, reconstructed within the territory of KSK, design documentation for construction.

The IAC was formed at the request of DeloPorts to the Ministry of Transport of Russia on the eve of the launch of the reconstructed KSK Grain Terminal in the second half of July this year. It included representatives of the Border Guard Service of the FSB of Russia, FCS of Russia, Rospotrebnadzor and Rosselkhoznadzor.

In the process of work, the IAC checked the compliance of the checkpoint within the Company with the design documentation for construction, its reconstruction, installation of modular (mobile) complexes, equipment and technical equipment of buildings, premises and structures necessary for organizing border, customs and other types of control.

Based on the results, the IAC recognized that the checkpoint across the state border of the Russian Federation, reconstructed within the KSK, meets the requirements of the design documentation for construction and can be opened for operation. The decision of the IAC is formalized in the corresponding protocol.

Assessing the results of the work of the IAC, Chief Executive Officer of KSK, Alexander Trukhanovich noted: «I am grateful to all members of the commission for their high professionalism and constructive approach during the inspection. Realizing the importance of carrying out control measures at the checkpoint across the state border of Russia, KSK fully complied with all the requirements for its reconstruction. And today the commission confirmed that the checkpoint within our terminal is ready for work. This is one of the most important decisions on the eve of the commissioning of deep-water berth No. 40A, completing the set of measures for the state registration of the erected facilities».

 

About the Company

DeloPorts is a holding company that owns and operates stevedore assets of Delo Group in the port of Novorossiysk. DeloPorts consolidates NUTEP Container Terminal, KSK Grain Terminal and Delo Service Company.

Delo Group is the largest transport and logistics holding in Russia, managing sea container terminals in the Azov-Black Sea, Baltic and Far Eastern basins, a network of railway container terminals, a fleet of containers and fitting platforms. The parent company of the Group is LLC MC Delo, 70% owned by the founder of the Group, Sergey Shishkarev, and 30% is owned by State Atomic Energy Corporation Rosatom.

The Group's stevedoring business includes DeloPorts holding and Global Ports, a leading container terminal operator. The transport and logistics business of the Group is made up of the multimodal transport operator Ruscon and the intermodal container operator TransContainer that owns and operates the largest fleet of containers and flatcars over the entire 1520 standard railway network.

The deep-water berth No. 40A with a total area of ​​7686.9 sq.m. and the coastal conveyor gallery No. 11, the length of which, as a result of modernization, increased from 364.8 to 614.8 meters and the area - from 2880 to 4425.2 sq.m. have been registered. 

Commenting on the completion of the registration, Alexander Trukhanovich, Chief Executive Officer of KSK, said: «Today we have completed the legal formalities that mark the transfer of the new capacities of the reconstructed KSK terminal from the category of just reinforced concrete structures to objects that can be legally operated. This means that the terminal is ready to be put into operation and brought up to the planned load. We expect to do this in the second half of July».

The celebrations were timed to coincide with the professional holiday of port workers - the Day of workers of the sea and river fleet.

Representatives of the City Administration and the City Duma of Novorossiysk, the Cossacks, heads of DeloPorts and KSK Grain Pier made speeches and congratulations to the forty-five "old-timers" of KSK. Each of the employees devoted to the enterprise was presented with a letter of gratitude, a cash prize was paid, and songs of the creative team of the city of Novorossiysk - the People's Vocal Ensemble of the Cossack Culture Center "Rodnaya Stanitsa" under the leadership of Natalia Gennadievna Masyarova, were sung in their honor.

It is symbolic that the festive event took place on the eve of the opening of berth No. 40A of the modernized KSK Grain Terminal, constructed as part of a large investment project "Reconstruction of the grain terminal with an increase in cargo turnover to 4 million tons." Many veterans of production stood at the origins of the KSK terminal, saw it developing and modernizing, and now they will work at new facilities.

“Today we have seen the golden fund of our company, five people have been working at KSK for twenty years and more, the rest - for 10-15 years. They are experienced employees you can rely on in any situation. It was they who became the backbone of their work collectives, which faced the difficult task of working in a pandemic, and it was brilliantly solved. Very soon we will commission new terminal facilities, a new deep-water berth No. 40A. And we will entrust the work on the modern equipment installed there, its output to production facilities, we will entrust our most experienced - our old-timers. On behalf of the entire management of DeloPorts, I would like to sincerely thank them for their work and wish them health and success”, - said Alexander Trukhanovich, Chief Executive Officer of KSK Grain Terminal at the ceremony.

The qualifying round of the competition, in which 57 children of KSK employees took part, was held from April 27, 2021, in three age groups. As a result, 30 semi-finalists were selected, 10 from each group.

The final of the competition was a big children's party. Especially for this the parents of the participating children were given a day of rest by the management of KSK. In the park the guests were greeted by life-size figures of famous movie characters and animators, who not only entertained the children, but also offered them educational games and entertaining activities.

Deputy Chairman of the City Duma of Novorossiysk Sergey Savotin organized an exhibition of ancient Cossack weapons, as well as weapons and equipment of the modern Russian Army.

As a result, the jury selected 15 finalists, 5 from each subgroup, among which three winners and prize-winners were determined.

The winners in the age category 4-6 years old were Tonya Shilo (winner), Kira Merkulova (2nd place) and Sofya Tyurina (3rd place); in the age category of 7-10 years old - Olesya Kolesnikova (winner), Ksyusha Datsenko (2nd place) and Anya Kucherenko (3rd place) and in the age category of 11-14 years old - Maria Kucherenko (winner), Maria Gaeva (2nd place) and Trofim Sparikhin (3rd place).

The winners and prize-winners were awarded certificates of the specialized shop "Parta", where children can prepare for the new academic year, or "Parta-artist", specializing in goods for creativity. 

After summing up the results of the competition, an excursion to the grain terminal of the company called "My parents work at KSK!" was organized for all its finalists. 

According to Alexander Trukhanovich, Chief Executive Officer of KSK, caring for the younger generation and especially for the children of the company's employees, is the main part of the Company's social responsibility program. 

He stressed: “We must not forget that a person's worldview is formed in childhood and adolescence. The environment in which he grows, what he feels around him, ultimately depends on what person he will eventually grow up to. We make every effort to make a person grow up into a good human being”.

The implementation of the investment project will allow KSK to increase the terminal's capacity to 7 million tons of grain per year.  At present, the construction of a deep-water grain berth No 40A has been completed in Novorossiysk. Commissioning is scheduled for July 2021.

 The funds are provided as part of the interest rate subsidy program approved by Decree of the Government of the Russian Federation of April 26, 2019 No. 512 "On the provision of subsidies from the federal budget to Russian credit institutions, international financial institutions and the state development corporation “VEB.RF” to compensate for lost income on loans issued to agricultural producers that have entered into agreements on increasing competitiveness ... ". 

The size of the subsidy to Alfa-Bank reaches 90% of the key rate of the Central Bank of Russia.

Igor Yakovenko, Chief Executive Officer of DeloPorts, commenting on the agreement with Alfa-Bank, said: “Feeling the support of the state in the implementation of investment projects that are so important not only for us, but for the entire Russian economic system, we understand that we are part of it, and we do the right thing, we get additional confidence in the timely successful completion of the project.  We thank our partners from Alfa-Bank and look forward to further mutually beneficial cooperation with them".

“Alfa-Bank has been an active participant in Government programs to support Russian manufacturers for many years. We always strive to use every opportunity to support our clients' target projects. We are pleased to contribute to the development of the port infrastructure of DeloPorts for the transshipment of domestic agricultural products” - said Denis Kutasov, Director of Corporate Clients at Alfa-Bank.

KSK, which is part of DeloPorts, a stevedore asset of the largest Russian transport and logistics holding of Delo Group, set an absolute annual record for grain transshipment on December 28, 2020, which exceeded 5 million tons.

Such a significant indicator is associated, first, with the effective organization of the production process in KSK and the measures taken to save the life and health of employees during a pandemic. Thanks to this, the team successfully copes with the high flow of export cargo caused by the increased demand for cereals around the world. 

During the second half of 2020, KSK has already set records for daily unloading of wagons and monthly grain transshipment. Therefore, the record achieved is a natural result of the well-coordinated work of the entire team of the grain terminal.

Commenting on the achievement, Alexander Trukhanovich, General Director of KSK, emphasized: “Throughout the year, the continuously changing situation forced often, just on the go, adjust our plans. But, as we can see, the constant readiness for changes has brought its positive results - we have implemented a number of fundamental operational solutions that have significantly increased the efficiency of the terminal and achieved record performance."

In October 2020, the laboratory of KSK JSC (hereinafter referred to as KSK), the grain terminal of DeloPorts LLC, which is part of the largest transport and logistics holding in Russia Delo Group, took part in the second round of voluntary circular tests of The Grain and Feed Trade Association (GAFTA), following which it confirmed its right to be in its register.

This year, 332 participants from 54 countries took part in the tests. Having successfully passed the tests, the KSK laboratory confirmed the company's compliance with high international standards. Potential clients of KSK can not only quickly find a society, thanks to the freely available digital register GAFTA, but also be confident that the business follows current best practice in the provision of technical services in international agricultural trade. In addition, the GAFTA certificate of conformity is quite a weighty argument in the event of disputes between business entities.

The next round of GAFTA voluntary circular trials, in which the KSK laboratory will take part, will take place in the spring of 2021.

In September 2020, KSK Grain Terminal of DeloPorts, the part of Russia's largest transport and logistics holding Delo Group, set a new record for the monthly gain handling - 661758 tons.

Precarious record of 567 783 was set in October 2017.

CEO of KSK Alexander Trukhanovich commented on the achievement: “The main components of such success are reasonable decision-making, well-coordinated team-work, competent and careful operation of the new KSK’. And surely, the favorable conjuncture of the grain market and the high harvest in Russia helped us achieve this record. "

At the same time, the management of the company implemented a successful commercial policy at the start of the grain season. Manually assembling a good customer base and organizing cooperation with partners in the provision of loans.

The logistics component for grain delivery by road has been revised. An agreement with the customers to use different auto terminal with a larger capacity and with a more rational organization of vehicle turnover was reached.

In the midst of grain handling season, the management of KSK had to make a number of operational corrective decisions. Due to a smaller harvest in the nearest southern regions of the country, the flow of grain carriers decreased, but the number of applications for receiving railroad trains with grain increased sharply, reaching peak values for the entire operation of the terminal. In this regard, the method of handling the wagons was not only revised, but also brought to the best practices since the existence of KSK: from 125 wagons per day in early August to 188 wagons in the middle of September.

With such a responsible and competent approach, achieving a transshipment record was only a matter of time. However, the KSK team is not going to stop there. Additional traction equipment has been ordered for the railway segment. The equipment has already been introduced and is undergoing practical testing. It is intended to automate, respectively, to reduce the production of technological procedures - weight control, sampling grain samples and a number of others. The total investment in the modernization of KSK is about USD 68 million.

A record number of 155 wagons were handled at KSK Grain Terminal on the 6^th of August, that was achieved thanks to new technological solutions. 

Previously, the grain terminal could handle 120 wagons per day.

KSK CEO Alexander Trukhanovich commented on the achievement of record results: “This agricultural year we have adjusted our priorities focusing more on the railway reception. Due to the poor harvest in the south of Russia, the automobile reception of grain gave way to the railway one. We had to look for new solutions to increase the wagons handling speed. We switched to unloading wagons in two grain storages simultaneously, which allowed us to reduce the number of technological operations by 30%, and now we use three locomotives instead of two.”

In the near future, the terminal will be equipped with the automatic samplers and the in-line sampler, which will save the time required for determining grain quality. In addition, the unified operations control center will be created for traffic control at NUTEP Container Terminal and KSK Grain Terminal. This will allow us to use railway tracks and diesel locomotives efficiently, excluding their downtime.

The construction of the additional silos for 102 thousand tons allowed KSK to increase grain storage capacity up to 220,000 tons were completed as a part of KSK investment program, developed until 2021. As well as the additional grain reception lines from railway and road transport. The speed of cargo reception was increased and the own laboratory was expanded. Currently, the construction of the deep-water berth No. 40A is underway, it will allow KSK to receive Post-Panamax vessels with a deadweight of 100 thousand tons and to increase exports to the South-East Asian countries.

According to the Memorandum, the grain terminals will refuse to unload grain trucks that exceed the allowed weight by more than 2 percent starting from the 15^th of September 2020.

“As a conscientious market participant, KSK Grain Terminal supports the prevention of deliberate weight and size standards violations in the grain crops transportation, and we are always ready for the prompt cooperation with the state regulatory authorities. The regulatory compliance is an integral part of our company’s policy”, - said KSK CEO Alexander Trukhanovich.

The idea of the Memorandum was brought on by the ongoing rules violations in loading and transportation of grain by trucks. This situation continuing the negative consequences. The Memorandum should solve several problems, including the growing risks to life and safety of drivers, the violation of fair competition in price assessment for the transportation services, the premature wearing of the road surface and corruption violations increase. Thus, the trucks’ overload is a particularly significant factor that hinders the economic development of the agricultural transportation market. 

United Grain Company (JSC UGC), ASTON, PJSC "NGP", Glencore Agriculture IGC are among the signees of the Memorandum.

The Memorandum was sent to the Association of Conscientious Agroindustrial Complex Market Participants after the signing. 

 

The State Expert Evaluation Department of the Russian Federation issued a positive decision following the audit of verification of the estimated cost for the reconstruction of KSK Grain Terminal (stevedore holding DeloPorts in the port of Novorossiysk, a part of Delo Group).

The terminal’s project capacity will be increased from 2 to 4 million tons per year after the completion of the investment program. The operational capacity of the terminal will reach 6 million tons. A comprehensive program for DeloPorts terminals development for 2015-2021 includes the investment program for KSK Grain Terminal. The construction of a deep-water grain berth will be completed at KSK by 2021: the terminal will receive vessels with a deadweight of 100 thousand tons.

“The audit from the State Expert Evaluation Department showed that the cost calculation in the estimate documentation complies with all standards. Despite the restrictions caused by the pandemic, all work is proceeding according to the plan. We regularly adhere the strongest quarantine security measures at the terminal to ensure the health security of the employees”, - said KSK CEO Alexander Trukhanovich. He explained that the development includes construction of the deep-water berth No. 40A and dredging operations within the investment program til 2021: “We have already completed the construction of the additional silos of a volume of 102 thous. tons that allowed us to increase grain storage capacity up to 220,000 tons. As well as the additional grain reception lines from railway and road transport were constructed, speed of cargo reception was increased. The terminal capacity will reach 7 million tons per year in 2021. The total investment in the project - 68 million USD.”

KSK Grain Terminal (part of the DeloPorts; located in Novorossiysk) is planning to complete the construction of a deep-water berth next year. It will allow receiving vessels with a deadweight of 100 thousand tons compared to the current 45 thousand tons. CEO of KSK Alexander Trukhanovich told in an interview with Argus about the infrastructure development plans, a transshipment forecast and the impact of Covid-19 on the transshipment complex operations.

How strong the pandemic impact is? And how the restrictions affect the terminal operations?

Covid-19 had a short-term and targeted impact on the Russian grain logistics market. When the quarantine measures were introduced in the Krasnodar Krai, the grain delivery to Novorossiysk became the burning issue. Our terminal was affected immediately as more than a half of the cargo arrives to KSK by road. The obtaining of the transport permit took a while; we had to turn to the region’s leaders. We were discussing the issue of trucks passing to the terminal daily. The region’s authority helped us, so we limited the inconvenience by 2-3 days and this situation did not affect KSK significantly.

What is the share of the automobile delivery in the total transshipment volume?

The ratio of automobile and rail transport is approximately 60 to 40. KSK has a direct access to the federal highway M4 “Don”, this is our competitive advantage compared to other terminals in Novorossiysk. And this explains a certain roll towards the automobile transportation. But we plan to increase the share of rail delivery to 45–46% in the future.

What market trends did KSK prepare for 2020, excluding Covid-19?

In the first half of spring, the market is always influenced by the future harvest forecast. This indicator is more important than the current prices and trends. Farmers primarily focus on it. In 2020, the Ministry of Agriculture of Russia predicts the gross grain harvest at 125.3 million tons, a 3.3% growth year on year.

The export FOB prices for wheat, set at the end of April, were record: $228-230 per ton for deep-sea ports of the Black Sea. These are the top prices for the 2019-2020 agricultural season; they favor grain export. In 2017, the prices were at the level of $185 per ton, in 2018 - $213 per ton, in 2019 - about $219 per ton. The plans to limit the grain cargo export by the Governments of Ukraine, Romania and Russia influence significantly on the quotations growth.

Did the export restriction increase competition with the other grain terminals in Novorossiysk?

The assignment of quotas [at the end of March, the Government of Russia set a quota for grain export at 6.9 million tons by June 30] caused primarily a strong competition among grain exporters. The export quota was reached very fast; the Ministry of Agriculture planned it by mid-May but this happened in 25 days of April. The exporters almost did not have time to include the terminals in the competition - perhaps stevedores would respond with offers that are more attractive for the clients like the reduced rates in exchange for the guarantees of certain volumes. However, the actions of the market looked hasty, and now there is no precise information about between whom and to what extent the quota is distributed.

Overall, we certainly feel the influence of the large players who are neighboring us in the Novorossiysk transportation hub. With VTB entering the grain market, the competition has increased significantly. However, as usual we are actively working on the expansion of our market share.

What are you doing at your terminal to increase the competitiveness?

Firstly, KSK did not stop its work for a single day during the pandemic - neither for technical reasons, nor for competitive ones.

Secondly, we are systematically reconstructing our terminal without affecting our core business. We have a large multi-stage investment program. We completed the regular stage at the end of 2019, almost doubling the silo fleet [grain storage volume] up to 220 thousand tons from 116 thousand tons, what allowed us to increase the intensity of grain reception. However, the season is not over yet, so it is difficult to see the full influence of this change on the terminal’s operation. I think that such results can be summed up by the end of the 2020-2021 season.

At the end of last year, we increased the automobile grain reception capacity: the handling speed increased to 600 cars per day from 400. We expanded the railway infrastructure, and this allowed us to increase the handling to 150 wagons per day from 100.

In mid-2019, we started a large project to construct the deepest grain berth in Novorossiysk. It will allow us to receive vessels with a deadweight up to 100 thousand tons (now the terminal receives vessels with a deadweight of up to 60 thousand tons). We plan to launch it in 2021. Immediately after that, we will begin dredging at the existing berth, what will increase the maximum deadweight there up to 80 thousand tons.

In addition, we plan to expand the loading capacities: currently its speed is about 1,600 tons per hour; we plan to increase it to 2,300 tons per hour in the nearest future.

We cannot announce the total investments now, but these are billions of rubles.

How did the new infrastructure affect the terminal throughput?

According to our estimates, KSK will handle about 6-6.5 million tons per year taking into consideration the ongoing modernization. An initial design capacity is 2.5 million tons per year.

Along with the technical solutions, we look rather liberally at our customer portfolio. We are ready to work both with large companies, and with smaller ones, which can export only two or three shiploads per season. Not all terminals can take such a step; we consider that it is our competitive advantage.

What crops besides wheat are transshipped at the terminal?

Wheat takes 95%. Then there are small volumes of corn, and we have an expertise to work with barley. We are ready to work with different crops, but we expect that the share of wheat will remain at the current level.

Do you have plans for general and Ro-Ro cargo transshipment at KSK?

We look into the transshipment of such cargo but strictly not to cut down our core business. KSK is still a specialized grain terminal. Now we are able to transship Ro-Ro cargo successfully without affecting the grain business. This year we will work closely with Subaru (Japan) and we also receive cars from China. We plan to transship about 4 thousand cars in 2020. In 2019, there were 3935 cars.

What volumes of transshipment does KSK expect in 2020?

As we are working in the framework of the agricultural seasons from the 1^st of July to the 30^th of June, I can say that we plan to handle 4.4-4.5 million tons of grain in the 2019-2020 season. We are aiming to increase our share in the segment of deep-sea grain transshipment to 24-25% from the current 21%. Talking about the calendar year 2020, it is difficult to predict the exact numbers taking into account the pandemic and its impact on the economy. But we expect to handle about 5-5.2 million tons, excluding Ro-Ro cargo.

Alexander Trukhanovich
In 1997, Alexander Trukhanovich graduated from the Moscow Military Institute of the Federal Border Service of the Russian Federation and the Naval Academy named after Admiral F. Ushakov in 2010.

He began his career at the Novotorik Maritime Agency as an Expert advisor in 2002 after serving in the Russian military. From 2003 to 2005, Alexander Trukhanovich worked at LUKOIL-Chernomorye. From 2006 to 2012, Mr. Trukhanovich held executive positions in Novorosnefteservis – the Advisor to the CEO and the Head of the Commercial Department.

From 2012 to 2018, Mr. Trukhanovich worked in Novorossiysk Oil Transshipment Complex (was a part of Delo Group), which he headed in 2015-2018 after the purchase to Gazpromneft Marine Bunker. Starting from 2018, he holds the CEO position in KSK.

KSK Grain Terminal (until 2014 - “Kombinat “Stroykomplekt”) is a terminal for the transshipment of grain, general and Ro-Ro cargo in Novorossiysk (the Krasnodar Territory). It specializes in agricultural cargo. KSK is a part of DeloPorts of Sergey Shishkarev. The volume of grain transshipment in 2019 amounted to 3.57 million tons, decreasing by 25.4% compared to the previous year. Net profit, adjusted for the difference in exchange rates, decreased in 2019 by 46.9%, to 2.14 billion rubles.

Source - Argus dated 22.05.2020

The Grain and Feed Trade Association (GAFTA) conducts round tests 2 times a year (spring, autumn).

In October 2019 GAFTA held the second round of international lab tests and the Laboratory KSK Grain Terminal received the certificate.

According to the test results the Laboratory KSK has consistently ranks among the 35 best laboratories of the GAFTA association for the seventh consecutive year.

333 participants from 55 countries enrolled for GAFTA tests this year.

KSK Grain Terminal is a member of GAFTA since 2012.

On April 11, 2019, AO KSK conducted a training session on localization and liquidation of an emergency in accordance with the Plan of measures for localization and liquidation of emergency situations at the Elevator hazardous production facility operated by AO KSK, with the involvement of personnel on duty shifts and dispatchers, the fire department of AO KSK and the Municipal Budgetary Institution of Public Services “Rescue Service” of the municipal entity, the city of Novorossiysk.

The objectives of the exercises were divided three-fold.

For management:

• development of skills for the organization of work on the localization and liquidation of the accident at a hazardous production facility.

For personnel:

• training and readiness testing to rescue people and localize accidents;

• elimination of the accident at the initial stage;

• fire-fighting emergency drill;

• personnel actions check.
  

For attracted forces and means:

• readiness inspection for the fire-fighting departments of AO KSK to extinguish a fire with 4 people and 1 fire engine;

• readiness inspection of the Municipal Budgetary Institution of Public Services “Rescue Service” for rescuing people with 8 personnel and 2 units of special vehicles;

• timely provision of pre-hospital medical care by the staff of the first aid station of AO KSK and the training of employees.
  

Exercises at AO KSK are held 2 times a year annually.

As a result of the exercises, the goals were successfully achieved. Managers, shift workers and dispatchers gained the skills to organize work to protect personnel from accidents and their consequences.

Annually KSK laboratory affirms its expertise in GAFTA (Grain and Feed Trade Association) round tests. In March 2019 GAFTA held the first round of international lab tests and the Laboratory of Ksk Grain Terminal received the certificate.

322 participants from 56 countries enrolled for GAFTA tests this year.

KSK Grain Terminal is a member of GAFTA since 2012.

Overall Russian sea port terminals handled 47 mln tonnes, a 12% growth compared to 2017.

KSK’ share in Russian sea port terminals handling volumes is 20.6% in 2018 and its share in the grain export – 10.2%.

Alexander Trukhanovich has been appointed to the position of Chief Executive Officer of KSK grain terminal.

Mr. Trukhanovich, previously CEO of LLC ‘Gazpromneft Marine Bunker’ in Novorossiysk, has been working in the transport industry since 2006 and has extensive experience in managing stevedoring assets. From 2006 to 2015, Alexander Truhanovich held executive positions in Novorosnefteservis LLC and Novorossiysk Oil Transshipment Complex LLC (until 2013 they were part of the oil segment of Delo Group).

Alexander Trukhanovich graduated from the Moscow Military Institute of the Federal Border Service of the Russian Federation with a degree in jurisprudence and the Naval Academy named after Admiral F. Ushakov, specializing in the organization of transportation and management in transport (maritime). 

"Alexander has the knowledge and skills necessary for the head of the stevedore asset and is well informed about the specifics of the Novorossiysk transportation hub. I wish Alexander success in his CEO position at one of the leading terminals of the Group. I am confident that his experience will contribute to the further increase of KSK effectiveness”, - commented on the appointment Igor Yakovenko, Chief Executive Officer of DeloPorts.

In 2017 KSK handled 4.2 million tonnes which set an annual record for the grain terminal.

Growth of KSK grain handling volumes by 27% compared to 2016 due to record harvest volumes. 

In 2017 KSK demonstrated a positive dynamics in transshipment volumes.

In October 2017, KSK grain terminal handled more than 560 thousand tonnes which sets a new monthly record for the terminal.

On 19 October 2017, representatives of Damen Shipyards Group (Damen) visited stevedoring assets of DeloPorts and Aleksino shipyard belonging to Delo Group.

During the meeting the president of Delo Group Sergey Shishkarev and the owner of Damen Kommer Damen discussed plans for strategic cooperation of companies in the south of Russia.


At the moment, a number of cooperation agreements have been signed between Delo Group and Damen. According to the agreements, three tug boats will be delivered to SC "Delo" until the end of 2017, the delivery of the fourth tug boat is scheduled for 2018. Within the framework of the agreement on intentions, it is planned to establish a service hub in Novorossiysk at Aleksino shipyard to expand the existing customer base and improve the quality of service.


Damen Shipyards Group is the largest shipbuilding group that unites shipbuilding and ship repair yards all over the world.

In October 2016, KSK handled more than 420 thousand tonnes which sets a monthly record for the grain terminal. In January - October 2016 KSK loaded more than 1.5 mln tonnes.

Please be informed that since 7 April 2015 the name (type) of KSK grain terminal has been changed to AO "KSK"

KSK Board of Directors has approved the directions of terminal development up to 2017. The project is expected to increase the throughput capacity of the terminal up to 5.0 million tonnes.

The project’s characteristics will allow to moore two Panamax vessels at the same time at berths with depths of up to 14.1m. It is planned to launch additional auto and rail reception, four additional silos and a new laboratory.

Implementation of the programme will allow
• to increase grain storage capacity up to 155,000 tonnes
(+45,000 tonnes)
• to handle vessels of more than 60,000 DWT
• to reduce total time on shifting vessels
• to increase the speed of rail and auto reception from 400 to 550 trucks per day
• to increase grain throughput and improve the quality of service

Construction works are scheduled to be launched in 2016. The project is expected to be completed in 2017.

In January –September 2014 KSK grain terminal handled 2,075 thousand tonnes of grain which is a 224% increase vs. 9M13.

The key growth driver was the increase of grain throughput by the terminal launched in the middle of 2013 after complex reconstruction.

The Company informs you that starting from the end of April until the middle of June certain cleaning works have been performed near berth №40 of ZAO “KSK”. The majority of the works were completed in the first days of May. Various foreign objects which previously impaired the conditions for mooring at berth were lifted from the bottom. As a result, we managed to reach the depth of 12.4 meters which corresponds to the passport depth of the berth against 12.0 meters previously. On 11th July 2014 the Captain of the port of Novorossiysk by way of a decree №ВК-23-р confirmed the maximum draft of vessels at berth №40 of ZAO “KSK” of 11.8 meters with the maximum length of 225 meters, which is 0.4 meters deeper than previously permitted drafts. We ask you to take into consideration these positive developments when planning your activities at ZAO “KSK”.

With the new grain season still about to start, KSK has already handled its first million tons of grain in 2014. Ro-Ro operations added another 13.9 thousand tons so far in 2014. 

Please be informed that as of 11 April 2014 the name and legal status of the grain terminal have been changed to ZAO KSK (Russian - ЗАО «Зерновой терминал «КСК»).

After completion of the terminal construction in 2013, the name was brought in accordance with the company’s profile.

In the first quarter of 2014, KSK handled 661 thous. tons which sets a quarterly record for the grain terminal.

KSK also recorded third consecutive quarterly throughput growth regardless of seasonal fluctuations in grain exports.

Construction of the grain terminal was completed last year with introduction of railway grain reception (in addition to atuo reception), which improved terminal’s infrastructural accessibility. 12 silos allow simultaneous storage of 116 thous. tons of different grain.

In March KSK loaded a 57 000-ton Post-Panamax “Silver One” with corn.

It was the second shipment for KSK of this amount, in both cases the cargo was shipped for Outspan.

Post-Panamax bulk carriers are rarely handled in Novorossiysk, because technical specifications of local grain terminals do not allow mooring of such large vessels.

The length of berths at KSK allows to handle ocean-type vessels. Moreover, the depth of berths is sufficient for the entire shipment loading. Total length of two deep-sea berths (№40, 41) – 379 m. Depth – up to 12.4 m. Two band conveyors and ship loaders provide loading speed of 1 600 tons per hour. Thus, KSK offers loading equipment, silos and moorage wall for effective Post-Panamax vessels handling in limited time.

DELOPORTS LIMITED sold 25% plus one share in OJSC «Kombinat «Stroykomplekt» (KSK) to Cargill – leading producer and supplier of foods, agriculture, industrial and financial products and services.

KSK is a modern grain terminal, located in Novorossiysk, with annual throughput capacity of 3.5 mln. tons. KSK has both auto and rail reception, its silo park is able to simultaneously store up to 116 thous. tons of grain. The terminal uses modern and efficient loading equipment and deep-water berths. The terminal construction was completed in Q2 2013, with over 1 mln. tons of export grain cargoes already loaded in the new harvest season from 1st July to 12 December 2013.

«We welcome our strategic partnership with Cargill, - says Mr. Timofey Telyatnik, CEO of Deloports. Introduction of a strategic partner in an asset which we built greenfield, is a logic conclusion of the investment stage of the terminal at this moment. We completed a thorough technical and legal due diligence and received a quality and monetary appraisal of our investments. Partnership with Cargill will allow KSK to implement best global corporate governance practices. KSK has always been positioned as an independent terminal and it remains available for business with all potential clients. We value this status and as a majority shareholder we will ensure high quality service for all existing and future clients of the terminal. New strategic investor will only reinforce the KSK presence in the market» - he added. Morgan Stanley acted as financial advisor and Herbert Smith Freehills acted as legal advisor to DELOPORTS.

DELOPORTS LIMITED announces that OJSC «Kombinat «Stroykomplekt» (KSK) raised a $51.9 mln loan from VTB. The proceeds will be used to repay loans previously provided by Sberbank for the construction of the terminal.

«We completed the investment stage of KSK development, - says Mr. Timofey Telyatnik, CEO of Deloports. Pre-payment of investment loans validates all our project assumptions and demonstrates high credit quality of Delo group of companies. We are pleased to launch our cooperation with VTB and highlight their flexibility».

«The terminal has become fully operational and is generating stable cashflows, - added Mr. Andrey Bubnov, CFO of Deloports. Refinancing allowed to align key terms and conditions of the borrowings with the new profile of the terminal. As such, KSK share pledge was released and covenants were significantly improved. We appreciate the support that Sberbank has been providing throughout the construction stage and look forward to executing new projects in the future».

KSK laboratory has successfully passed GAFTA (The Grain and Feed Trade Association - II Round 2013) round tests. Over 228 participants from 43 countries enrolled for GAFTA tests this year.

In 2012 KSK laboratory won GAFTA first prize (in moisture determination criteria) out of 306 candidates. The laboratory was launched in 2011, it is supplied with modern high –precision technological equipment from leading global manufacturers: Chopin, Foss Analytical, Rationel Kornservice.

In 2013 DELOPORTS completed expansion of the grain terminal (KSK) throughput capacity to 3.5 mln. tons per year. In August 2013 after carrying out land restoration works, the Group launched an auto handling complex on its vacant territories. For this purpose a special berth for Ro-Ro cargo and storage area, able to handle 1 565 cars simultaneously, were constructed. Annual throughput capacity of the new Ro-Ro complex exceeds 50 thous. cars.

In August the first ferry carrying 399 cars was handled in the test mode.

In September the new Ro-Ro complex was put into operation according to the project schedule. On September 9th UECC Autopremier ferry with 756 cars on board was moored at the terminal's specialized berth, the vessel left Derince port (Turkey) on September, 6th. Further deliveries will be handled on a weekly basis.

In May 2013 a new rail link was commissioned at KSK grain terminal, which completed the 2nd stage of its investment program. Construction of railroad reception increased throughput capacity by 1.5 million tons to 3.5 million tons per year. KSK thus currently has reception of automotive and rail grain deliveries and is able to simultaneously handle 1 600 tons per hour of grain delivered by rail and 500 tons per hour of automotive grain deliveries.

Rail link was constructed in 2013 and is owned by DELOPORTS. The Company has dedicated usage of the rail link and is able to control its maintenance.

The rail reception is directly linked with the Novorossiysk rail station.

KSK grain terminal is well positioned to handle growing grain exports in the Russian Black Sea region and has a substantial capacity expansion potential.