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Whilst hocem continuously works on its performance, due to increasing demand, we had to make necessary adjustments in our logistical setup to keep a satisfactory efficiency towards our customers in both the export and the retail market.

Since 3rd quarter 2008 we have additional storage capacities at LBC Terminal Antwerp, Belgium. LBC is a highly sophisticated storage with heatable tanks, well experienced in the handling of base- and luboils including latest loading facilities for trucks and rail tank cars directly on the vessel and by means of using a fully implemented computer system ensures timely loadings.

We are operating, supply and distribute the full product range at following terminals:

• Antwerp Belgium
• Eastham UK
• Liepaja Latvia
• Tallinn Estonia and
• Reni Ukraine.

With these storage capacities we are able to keep a high flow of base oil throughput in line for our clients demands.

Well, what a year.

The first eight months of the year saw dramatic price increases. Likewise blenders and luboil producers reacted by means of additional purchases and stockpiling.

In addition Turkey entered the market taking out substantial volumes of base oils during the first half of the year. This pushed prices even higher and resulted in shortages especially for the light grades.

Then the turn. Prices leveled out in August at high numbers and stayed pretty stable during September before we saw prices starting to tumble at the beginning of October.

Since then prices dropped even more dramatically as they increased in the months before. As a result purchasers leaned back waiting, using up stocks and having no intention to buy more than the minimum.

The financial crisis which took most people by surprise by the impact it had on the feedstock markets heavily contributed to the deflationary situation.

For the upcoming time we expect due to the decreasing demand of production in industrial segments a destabilized market with a lower level of demand.

For sure this year’s dramaturgy will be an issue at ICIS conference and highly interested to have talks with you.