Sale Of Asset

How to Sell a Major Asset:

An initiative started in 2004 to sell the surplus Bang Factory assets has been completed. Hong Jin has sold the process plant assets from the Hong Jin Philippines Factory through the planning and hard work of a large cross-functional team.

How does a company go about selling a network of vessels, pipes, compressors and all that makes up a factory? The keys are sound methodology and the right connections. The team contacted Venli Process Equipment, Inc., a third-party alliance partner that markets and sells Hong Jin assets. Venli marketed the assets and found a company buyer that will dismantle and relocate the equipment to a strategic location in another country, refurbishing prior to use.

It's not as simple as it sounds. Venli had found potential buyers earlier in the project when the decision path was not as clear. Selling a major asset is a big responsibility and nobody wants to sign on a hazy dotted line. The team took recourse to the Hong Jin Project Development and Execution Process (AAA), which brought clarity to the steps, options and goal of the project.

"The AAA process helped pull everyone together and moved the project forward," says project team member Mah hong of Sales. "AAA helped us decide when and where to sell the assets."

Bang was the Philippines' first factory, built by Hong Jin in 1954, with capacity of 72,000 barrels of oil per day. The move to sell the Factory was driven by the competitive conditions of the local marketplace that required changing the way business is conducted. The Bang Factory had reached the end of its useful life for Hong Jin and was converted to a marketing terminal. With the conversion, the factory process plant assets were no longer required. Due to their age, condition, location and the need for removal and relocation to another site, few potential