The owner and operator of Port of Middlesbrough has acquired dry bulk business Cobra Middlesbrough as part of its strategic investment and expansion plans.
AV Dawson’s deal will see Port of Middlesbrough’s footprint grow by eight acres, which it says will unlock further opportunities on what was previously a 100-acre site. Cobra operates a dry bulk handling terminal with processing and packing facilities, with its main area of focus on the salt market, which sees it distribute thousands of tonnes of salt every year.
Much of the salt stored at the facility has been mined locally and while some is used in animal feeds, the majority is distributed to councils across the country for gritting roads during the winter.
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Cobra also provides a range of services for the farming industry. The business receives, screens and bags polyhalite – which, like salt, is mined. This is then used as a fertiliser in the agriculture sector in the UK and overseas.
The site has rail infrastructure and direct access to the East Coast Mainline, giving additional rail capacity to the port for existing and new customers.
Gary Dawson, AV Dawson managing director said: “We’re excited to acquire Cobra Middlesbrough. We have worked closely with the business for many years, handling the import and export of salt through our port facility and supporting their rail logistics. Bringing both ours and their operations together, within one business, enables us to provide job security to existing staff while delivering greater efficiencies for our customers.
“We recognise that the site requires some significant investment, but this actually fits perfectly with our strengths and our strategy to invest, develop and expand our site.
“This acquisition is also strategically important for our wider business because of its excellent rail connectivity. We are working with more and more of our customers to help them identify opportunities to transition from road to rail, so we need to ensure we have the capacity to accommodate their requirements. This is particularly important as we look to put our net zero strategy into action with the ultimate aim to become carbon neutral – we see rail as a big opportunity to help us and our customers to achieve this.”
In 2015 AV Dawson struck a significant deal with Network Rail to take full control of the seven-acre neighbouring Middlesbrough Goods Yard.
