AbstractA particular type of distribution problem (bulk transfer of finished product linked with collection of raw materials) is described. A multistage model is proposed, part of which is a special case ofk-elliptic optimization. The coordinate geometry necessary to carry out the analysis of a distribution network is described in detail. This is used in a heuristic to identify feasible regions in two-dimensional Euclidean space. A further heuristic is then developed to optimally locate variable points with respect to those regions.