DAILY COLLECTION OF MARITIME PRESS CLIPPINGS 2016 – 121newsletter.maasmondmaritime.com/PDF/2016/121-30-04-2016.pdf · At their March meeting, the Fed chose not to raise the interest

DAILY COLLECTION OF MARITIME PRESS CLIPPINGS 2016 – 121

Distribution : daily to 34.000+ active addresses 30-04-2016 Page 1

Number 121 *** COLLECTION OF MARITIME PRESS CLIPPINGS *** Saturday 30-04-2016

News reports received from readers and Internet News articles copied from various news sites.

The barge H541 loaded with the MONTROSE-A topsite passing Maassluis

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EVENTS, INCIDENTS & OPERATIONS

The POSIDON HELLAS navigating the port of Piraeus – Photo : Ko Rusman ©

MOL posts massive $1.51bn full year loss By Marcus Hand from Singapore

Mitsui OSK Lines (MOL) a $1.51bn loss of the financial year ended 31 March 2016, hit the costs of restructuring its dry bulk and container shipping businesses.The JPY170.4bn ($1.51bn) loss in for FY2015 compared to a JPY42.3bn profit in the previous year. Revenues saw a decrease in FY2015 to JPY1.71trn compared to JPY1.82trn in the previous year. The huge loss resulted from a previously announced JPY179.3bn loss taken in the fourth quarter of the related to the restructuring of its dry bulk and container shipping businesses, which includes the closing down of its MOLBC business in Singapore. Looking ahead MOL said outlook for the dry bulk was a “severe situation” with little prospect of an increase in iron ore cargo volumes, further declines in Chinese coal imports and a continuing oversupply of vessels.In the container shipping sector while cargo volumes on the transpacific are expected to be firm it also forecasts a further decline in spot freight rates. On Asia – Europe it said there was concern volumes could remain stagnant till the summer. On the Asia – South America corridor it is forecasting a “severe market environment”. Looking at the tanker market MOL is forecast a growing gap between demand and supply in the VLCC sector driven by newbuilding deliveries. In the product tanker sector it forecast comparatively firm cargo volumes, especially in the Pacific, but a worsening of the demand and supply situation “In consideration of these prospects, we will work to recover our business performance through various means including more stringent cost reductions through improvements in operation efficiency, strengthening of our cross-divisionally coordinated, global sales capabilities to better serve customer needs, and steady implementation of business structural reforms in the dry bulker business and

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containership business,” MOL said.The company is forecasting a JPY20bn profit for the financial year ended 31 March 2017, with revenues of JPY1.51trn. source: seatrade-maritime

27-04-2016 : research ship RICHARDSON POINT outbound in Vancouver harbour photo : Robert Etchell ©

HELLO TOMORROW – EMIRATES AIRLINES THIS NEWSLETTER IS MADE AT 38.000 FT WHILST ENROUTE FROM SINGAPORE VIA

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Asia Dry Bulk-Capesize rates to hold near 5-month high on stable cargo volumes

By Keith Wallis Freight rates for large capesize dry cargo ships on key Asian routes are likely to hold close to five-month highs next week, buoyed by stable cargo volumes and higher bunker prices, although the large number of idle ships could weigh on the market, ship brokers said."I think the market will stay at this level until the market sees clearer signs from other elements, including iron ore, coal demand and oil prices," said a Shanghai-based capesize broker said. Iron ore futures in China slipped on Thursday after hitting 502 yuan per tonne on Monday, its strongest since August 2014, while there was a severe shortage of coking coal and coke. At present, stockpiles of iron ore at Chinese ports are around 100 million tonnes, down from the 115 million tonnes stored at ports a year ago, ship broker Banchero Costa said in a dry bulk cargo report on Thursday. Iron ore and coal are the stable cargoes of capesize vessels which can each carry more than 170,000 tonnes of the two commodities.Rates for the Brazil-China route rose to $9.02 per tonne on Wednesday from $8.95 per tonne last week, that was close to $9.28 per tonne on April 18, the highest since Dec. 9. Owners were offering $9.50 per tonne on Thursday for a capesize iron ore cargo from Brazil to China, while charterers were countering with bids of between $8.50 and $8.90 per tonne, the Shanghai broker said. Capesize charter rates for the Western Australia-China route climbed to $4.37 per tonne on Wednesday, against $4.16 a tonne on the same day last week. Rates climbed to $4.51 per tonne on April 22, the highest since Dec. 1.Higher bunker prices which rose to $210 per tonne on Wednesday, the highest since Dec. 1, helped support freight rates, brokers said Shipowners with vessels on the spot market pay for their own fuel and add a bunker premium to freight rates if fuel prices move higher, brokers said.The rise in spot charter rates had fuelled an increase in the number of short-period time charters as owners locked in the higher daily earnings which are now above operating costs, brokers said. However, the number of idle capesize ships, which had fallen to around 40 from 70 earlier this year, would dampen sentiment, brokers said.Charter rates for smaller panamax vessels continued to climb with rates for a north Pacific round-trip voyage rising to $5,156 per day on Wednesday, from $4,927 per day last Wednesday, the highest since Oct. 29.Freight rates



in the Far East for smaller supramax vessels were "still flattish despite reasonable volume" of cargo, the Fearnley note said. The Baltic Exchange's main sea freight index rose to 715 on Wednesday, up from 669 the same day last week. Source: Reuters (Reporting by Keith Wallis; Editing by Sherry Jacob-Phillips)

The ASIA VISION seen anchored off Gibraltar photo : Francis Ferro ©

North American freight market a mixed bag in March

Shipment volumes grew 1.4 percent during the month, but expenditures declined 1 percent from February, according to the latest Cass Freight Index Report.

North American shipment volumes grew 1.4 percent in March 2016, but expenditures declined 1 percent compared with the previous month, according to the latest Cass Freight Index Report. Despite the slight improvement from February, shipments were still down 1.5 percent from March 2015, while payments fell 7 percent year-over-year.The logistics payment solutions provider said the tepid results in March were in line with the expected seasonal trend, as March shipment volumes have grown at a slower pace than in February for the last few years. The March 2016 index reading remains 6.2 percent lower than in December 2015, “indicating that the plummet in January is going to take quite some time to dig out of,” said Cass. The average reading for the first quarter of 2016 was down 3.0 percent from the same 2015 period. Cass noted railroad shipments picked up in March with a 22.2 percent rise in carloads and a 19.2 percent increase in intermodal shipments following double-digit declines in February.The negative growth in freight payments in March on the heels of a 6.3 percent bump in February, on the other hand, is a departure from the trend seen in recent years. “The decline capacity was not an issue for any of the modes in most places, so spot prices were flat or down,” said Cass. “Railroads instituted price increases often in 2015 — matching the need for their services — but have been slower to do so in 2016. Tariff rates for some goods are scheduled in increase on April 15th. Truck rate changes have been extremely moderate and most shippers are not expecting much of a change in the first half of 2016“Slow economic growth is not a good environment for rate increases,” it added. “After falling to the lowest

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levels in recent history in February, diesel prices are creeping back up, rising 4.6 percent in March.” Overall, Cass indicated the economy is sending mixed signals in terms of future growth.“By some measures the economy appears to be in good shape,” it said. “March employment figures were strong, especially for construction, which gained 37,000 jobs, and retail, which gained 48,000. Average hourly wages grew by 7 cents an hour, housing starts and home sales had moderate growth, inflation is low, and February exports were up 1.5 percent.“On the downside, consumer spending has been sluggish; business investment has been weak; unemployment went from 4.9 to 5.0 in March; new building permits declined in April; the dollar remains robust in world markets (hurting our export prices); and, finally, the Federal Reserve is divided on the next course of action. At their March meeting, the Fed chose not to raise the interest rate, but they have said they are planning two increases this year, timing TBD,” added Cass. “Global economic conditions are still weak and fragile in some economies, adding a level of uncertainty to the U.S. economy. 2016 is turning out to be difficult to predict. Anecdotally, however, many players in the supply chain remain cautiously optimistic for the rest of the year.” The Cass Freight Index is based on domestic freight shipments of hundreds of the company’s clients across a wide variety of industries. Cass Information Systems processes more than $26 billion in annual freight payables. Source; americanshipper

The ECLIPSE arrived in Gibraltar for bunkers (and presumably a short period of self-maintenance)

Photo: Francis Ferro ©

Due to travelling this week the newsclippings may reach you irregularly

DP World wins Limassol port concession deals DP World and the Government of the Republic of Cyprus have entered into two separate concession agreements for the commercialisation of activities within Limassol port, Cyprus. DP World Limassol has been awarded a 25-year exclusive right to operate the multipurpose terminal, whose activities include break-bulk, general cargo, ro-ro and the operation of the passenger terminal, said a statement from the company. Simultaneously, P&O Maritime Cyprus, a wholly-owned subsidiary of DP World Limited, has also been awarded a 15-year concession to exclusively provide a full range of port marine services including tugs and pilotage at the port of Limassol, it added.Both concessions will be awarded to a joint venture between DP World and G A P Vassilopoulos Public Limited, a logistics and services company, listed on the Cyprus Stock Exchange, it said.DP World shall hold 75 per cent of the share capital of each joint venture, as well as the management rights, said the statement.Sultan Ahmed Bin Sulayem , group chairman and CEO of DP World , said: “Having met President ‎ Anastasiades‎ last month, I expressed my delight that DP World, P&O Maritime Services and our local partner G A P Vassilopoulos have successfully secured two long term concessions in Cyprus, which is now the ninth country where DP World invests and operates within Europe.” “We believe in the long-term prospects of Cyprus and the potential for DP World, as a facilitator of trade, to maximise the potential of Limassol port. These new concessions demonstrate DP World’s ability to offer a range of port and maritime services, complementing our vision to be global leaders in world trade,” he added.A transition phase will follow during which the current Cyprus Port Authority will continue to operate the port whilst DP World and P&O Maritime Services undertakes activities required to effect a smooth transition. The takeover date of both concessions is currently envisaged to be January 29, 2017, it said. Dubai trade with Cyprus reached Dh325 million ($88.4 million) in 2014. Trade in the first nine months of 2015 reached Dh261 million ($71.06 million), it added. – TradeArabia News Service



General cargo ship WILSON TYNE in the Noordzee Canal at Buitenhuizen bound for Amsterdam

Photo : Patrick Deenik ©

Singapore's Port Authority revokes bunker licenses for two companies

Singapore's Maritime and Port Authority (MPA) revoked the sales and operation licenses of Seaquest Tanker and Vermont UM Bunkering because of erroneous record keeping on their tankers, according to an MPA press release on Thursday. The MPA took away the bunker craft operator license for Seaquest Tanker Pte Ltd and the operator and bunker supplier licenses for Vermont UM Bunkering Ltd, the statement said. The MPA conducted checks on Seaquest Tanker in 2015 and Vermont UM Bunkering in 2016 that led to the removals. The MPA took away the licenses after finding discrepancies and wrongful declarations in the records kept on board their bunker vessels, the statement said. "There were also separate incidences of transfers of bunkers between bunker tankers that were conducted without MPA's approval," the statement said. Vermont's revocation was effective April 27 while Seaquest's revocation was effective April 26. Telephone calls to the listed numbers for Seaquest and Vermont UM were not answered. Singapore is the world's biggest bunkering, or ship fuelling, port. Source :Reuters (Reporting by Roslan Khasawneh; Editing by Christian Schmollinger)

Philippines wants coordinated patrols to protect ships from rebels

By Manuel Mogato The Philippines has been discussing coordinated naval patrols on its southern maritime borders with Indonesia and Malaysia to protect shipping after attacks and kidnappings by Islamist militants, its foreign minister said on Thursday. Indonesia is trying to free about 14 of its citizens seized from tugboats by Abu Sayyaf rebels from the southern Philippines and has called for joint patrols. Four Malaysians seamen are also being held. The Islamist rebels, who are raking in tens of millions of dollars in ransom, decapitated a Canadian on Monday and are still holding 23 hostages. Citizens of the Netherlands, Japan, Norway and the Philippines are among them. Philippine Foreign Secretary Jose Rene Almendras said his country was only proposing separate but coordinated patrols to identify safe corridors where ships can travel. Indonesia last week called for joint maritime patrols with the Philippines and Malaysia. Joint patrols would involve ships from the three navies patrolling together and crossing into each other's territorial waters. Officials from the three sides are due to meet in Jakarta on May 5 to discuss cooperation "The issue is safety and security,"

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Almendras told Reuters after signing an infrastructure loan agreement with South Korea. "It's called coordinated patrols, we'll do our patrols and they will have their own patrols in their own territorial waters so there will be no more threats to the movement of ships, including the kidnapping of sailors." Two Indonesian coal ports have blocked ships from leaving to the Philippines and Malaysia's eastern Sabah state due to security concernsThe growing frequency of maritime attacks has affected coal trade between the Southeast Asian neighbours Indonesia, the world's largest thermal coal exporter, and the Philippines, which, relies on Jakarta for 70 percent of its coal imports. Abu Sayyaf, known for kidnappings, beheadings, bombings and extortion, is one of the most brutal militant groups in Muslim south of the largely Christian Philippines.Outgoing President Benigno Aquino has promised to devote his remaining days in office to crushing the militants. Fourteen rebels have been killed in bombing of the stronghold of Jolo island since Tuesday, a military spokesman said. Since 2006, the United States has provided nearly $200 million in military aid to strengthen naval forces of the three Southeast Asian countries to combat piracy and militancy. Source: Reuters (Reporting By Manuel Mogato; Editing by Martin Petty, Robert Birsel)

The 1990 built NLD flag and owned general cargo ship ANJELIERSGRACHT entering Valletta, Malta on Wednesday

26th April, 2016 to discharge 4 boats amongst them the former Montrose Port Authority Pilot Boat SOUTH ESK. Photo : Capt. Lawrence Dalli - www.maltashipphotos.com ©

ABS classed fleet grows 5% in 2015 By Marcus Hand from Singapore

The ABS classed fleet grew nearly 5% in 2015, while its orderbook witnessed even stronger growth of 15%. ABS said its fleet surpassed 230m gt in 2015 with 841 vessels added to the fleet bringing it to 12,614. The classification society’s orderbook saw even stronger growth with a 15% increase to 57.2m gt of vessels. Combined with a second consecutive of net positive class transfers, ABS said it was well positioned for the future. “We had a solid performance in 2015, earning the top position in global orderbook share based on gross tonnage and confirming our strong relationships with owners and shipyards around the world,” Christopher J Wiernicki, chairman, president and ceo of ABS said at its 153rd meeting. “Our continued growth shows that ABS is well-positioned for today and we are equally ready for tomorrow.”He highlighted a number of projects in which ABS is involved such as the world’s first CNG Carrier and the world’s largest and most advanced wind farm installation and offshore construction vessels. “Dedication to providing great classification services, demonstrating industry-recognized technology leadership, and being our clients’ trusted advisor in every environment are what fundamentally define the success of ABS,” Wiernicki said. Source; Seatrade-maritime

BW LPG announces a sale and leaseback arrangement and two timecharter–in agreements

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BW LPG Limited has concluded a sale and leaseback agreement with Nissen Kaiun Co. Ltd. for its last VLGC newbuilding under construction at Daewoo Shipbuilding and Marine Engineering, the company said in its press release. Concurrently BW LPG Limited has also agreed to timecharter-in two VLGC newbuildings to be constructed at Mitsubishi Heavy Industries from Nissen Kaiun Co. Ltd, with deliveries expected in 2020. All three timecharter-in agreements include purchase options.Commenting on the transaction, BW LPG CEO, Martin Ackermann said, “The benefits of the transactions are threefold: it allows us to renew our chartered-in fleet, enables us to offer our customers more flexible solutions and it further strengthens our relationship with Japan, which is one of the world’s most important LPG demand centres.”BW LPG is the world's leading and largest very large gas carrier (VLGC) owner and operator based on number of VLGCs and by LPG carrying capacity. BW LPG currently owns and operates 40 gas carriers with a total carrying capacity of over 3.1 million cbm. In addition, BW LPG has 5 VLGC newbuildings under construction in Korea. With more than 37 years of operating experience in LPG shipping and experienced seafarers and staff, BW LPG offers a flexible and reliable service to customers. BW LPG is associated with BW Group, one of the world's leading shipping groups. BW Group is involved in oil and gas transportation, floating gas infrastructure, environmental technologies and deep-water production. Source: Portnews

Koninklijke onderscheiding voor Paul Schaap

In zijn woonplaats Anna Paulowna is Paul Schaap, journalist en directeur van maritiem persbureau PAS Publicaties, benoemd tot Lid in de Orde van Oranje-Nassau. Deze koninklijke onderscheiding is hem toegekend voor de inzet die hij de afgelopen 25 jaar heeft getoond om in Den Helder Museumhaven Willemsoord op te zetten en in te richten alsmede de Helderse haven wijd en zijd te promoten. Na de officiële uitreiking van voornoemde onderscheiding is Paul Schaap in 't Schipperscafé in 'zijn' museumhaven ook uitgebreid gehuldigd. Foto: Marieke Schaap

Ocean shippers in rougher seas amid capacity glut

Earnings at Japan’s marine shipping companies continue to sink as the slowing global economy exacerbates an oversupply of cargo vessels, setting up another tough year for the industry.Nippon Yusen’s group pretax profit likely dived 31% to around 58 billion yen ($521 million) for the year ended March 31, missing even the 66 billion yen projected in a downgraded forecast in January. Sales apparently dropped 8% to around 2.2 trillion yen, while net

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profit is thought to have plummeted 60% to 20 billion yen. Mitsui O.S.K. Lines’ pretax profit apparently sank 42% to 30 billion yen.Shipping fees for bulk cargo such as iron ore, coal and grain have sunk below companies’ forecast rates. The Baltic Dry Index, an overall measure of the marine shipping market, averaged about 30% lower in fiscal 2015 than in fiscal 2014. The yen’s strengthening trend since the beginning of 2016 has stiffened headwinds further, as shipping fees are typically calculated in dollars.Changes in the movement of cargo often precede shifts in corporate inventories and consumer spending. Cargo rates on containerships, which carry such products as autoparts, construction materials and furniture, have stagnated amid China’s economic deceleration and other factors. Spot rates between Asia and Europe had tumbled to below $300 per standard 20-foot container by March from the $900 level at the beginning of the year.An ongoing glut of ships is behind the market’s woes. Shippers worldwide ordered a large number of vessels in anticipation of China’s economic growth. But slowing shipping demand — and thus vessel demand — has since created an imbalance with supply.Shippers are attempting to overcome the challenging market with streamlining efforts. Mitsui O.S.K. booked 179.3 billion yen in restructuring costs as an extraordinary loss for fiscal 2015. The company looks to sell off some of its own vessels and return a number of borrowed ships before their contracted dates, bringing its fleet of containerships to around 80 vessels compared with 99 at the end of 2015. Negotiations with ship owners are underway.Nippon Yusen booked 33.5 billion yen in impairment losses on bulk carriers and other unprofitable assets. Kawasaki Kisen, commonly called K Line, has booked 55 billion yen in extraordinary losses. The company reports falling 50 billion yen into the red on a net basis in fiscal 2015. Container shipping accounts for much of K Line’s sales. Rebuilding those operations could cause costs to swell further.The three shippers will announce fiscal 2015 earnings and fiscal 2016 guidance Thursday. Nippon Yusen is expected to see continued declines in both sales and profit this fiscal year. Streamlining looks likely to deliver Mitsui O.S.K. and K Line pretax profit growth in fiscal 2016. But earnings are expected to be low in absolute terms.The maritime shipping industry is undergoing global realignment. Cosco Container Lines, an affiliate of the world’s fourth-largest shipping company, China Cosco Holdings, in April entered into an alliance with shippers including France’s CMA CGM, the No. 3 player. Japanese companies’ exclusion from such endeavors could hinder the earnings recovery further.Long-lasting growth of dry bulk market adjusted plans of ship-owners concerning tonnage salesThe long-lasting growth of the indicator has already adjusted the ship-owners’ plans to sell tonnage. Information agencies reported that some companies had suspended negotiations with potential buyers of their Capesize type vessels.As a reminder, in the 1st quarter of 2015, sales of bulk carriers for scrap reached a record high – both in absolute terms and in relation to the existing fleet. According to Deutsche Bank, in January-March 2016, 145 dry bulk carriers with a total capacity at 12 Ml deadweight were sold for scrap. That was nearly 1.5% of the world dry bulk fleet, most of which were large vessels of Capesize type. Source: UkrAgroConsult

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UNION BEAR DEPARTED WITH MONTROSE-A TOPSITE FROM ROTTERDAM

The UNION BEAR seen from Rozenburg with the H 541 loaded with the MONTROSE-A topsite outbound from Rotterdam photo : Arie van Oudheusden ©

Photo: Hans van der Linden www.facebook.com/AerolinPhoto (c)

Rotterdam pilot Marijn van Hoorn having a “whale of a time” onboard the Heerema barge H 541

Photo : Nico Ouwehand ©

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China won't allow chaos or war on Korean peninsula - Xi

By Michael Martina China will not allow chaos and war to break out on the Korean peninsula, which would be to no one's advantage, Chinese President Xi Jinping told a group of Asian foreign ministers on Thursday.North Korea's drive to develop a nuclear weapons capability, in defiance of U.N. resolutions, has angered China and raised tension in the region. "As a close neighbour of the peninsula, we will absolutely not permit war or chaos on the peninsula. This situation would not benefit anyone," Xi said in a speech to a Conference on Interaction and Confidence Building Measures in Asia.North Korea conducted its fourth nuclear test in January and followed that with tests of various missiles that could deliver such a weapon.The isolated state is expected to conduct another nuclear test before a rare congress of its ruling party, beginning on May 6, at which young leader Kim Jong Un is expected to try to cement his leadership. China is North Korea's sole major ally but it disapproves of its development of nuclear weapons and backed harsh new U.N. sanctions imposed last month.China has long called for the Korean peninsula to be free of nuclear weapons. Nearly 30,000 U.S. troops are based in South Korea and the two Koreas are still technically at war after the 1950-53 conflict ended in an armistice, not a treaty.Xi also told the meeting China would safeguard peace and stability in the South China Sea, while at the same time maintaining its sovereignty and rights there.China claims almost the entire South China Sea, believed to rich in oil and gas deposits. Brunei, Malaysia, the Philippines, Taiwan and Vietnam also claim parts of the waters, through which about $5 trillion in trade is shipped every year.China has rattled nerves with its military and construction activities on tiny islands in the disputed waters, including building runways, though it says most of its activity is for civilian purposes.Chinese officials say the United States is pushing militarization and endangering stability with "freedom of navigation" operations by its military ships and aircraft in the South and East China seas.Chinese Defense Ministry spokesman Wu Qian told a regular press briefing the U.S. operations were "extremely dangerous" political and military provocations that could lead to maritime mishaps."Freedom of navigation has become an excuse for the United States to meddle in South China Sea disputes," Wu said.The United States says it conducts such patrols across the world in an effort to demonstrate that the international community does not accept restrictions set up by some countries in international waters.The Conference on Interaction and Confidence Building Measures in Asia involves 26 members, including Russia and many countries from central Asia and the Middle East. The United States and Japan are among eight observers. Source: Reuters (Reporting by Michael Martina; Editing by Paul Tait and Clarence Fernandez)

The COSTA SERENA seen outbound from a hazy Shanghai – Photo : Maarten Versluijs ©

Stena Bulk’s IMOIIMAX tanker Stena Imperative named in Hong Kong

The chemical and product tanker STENA IMPERATIVE was named at China Merchants Wharf in Hong Kong, the centre of the world’s most crowded trading and financial district. The vessel, an IMOIIMAX MR tanker, is wholly owned by Stena Bulk and was delivered a few days ago from the Chinese shipyard CSSC Offshore & Marine Engineering in Guangzhou.The traditional naming ceremony took place in a rainy Hong Kong attended by representatives of corporate management, the owner, customers, partners and shipyard representatives from all over the world. The happy and proud godmother is Kim Olsson, wife of Dan Sten Olsson’s son William. The STENA IMPERATIVE’s captain is Karan Bembey and on the first stage of her maiden voyage she will sail to Papua New Guinea. There, she will take on a cargo of vegetable oils and then continue on her voyage to Europe where she will discharge her cargo in Barcelona and Rotterdam.In conjunction with the naming ceremony, a donation was handed over to Guangzhou Shipyard Hospital,



which is located close to the shipyard in Guangzhou and where the shipyard employees as well as their families have access to quick and good care.With the IMOIIMAX concept, Stena Weco is able to easily switch between different markets. The vessel’s cargo flexibility and the ability to quickly clean the cargo tanks for different types of cargo means furthermore that her utilisation can be maximised.The STENA IMPERATIVE is the fifth of 13 tankers ordered by Stena Bulk (ten in 2012 and three in 2015 with an option on a further two).Four of the total of 13 vessels ordered, the Stena Impression, the Stena Image, the STENA IMPERIAL and the STENA IMPORTANT, were delivered in 2015 and delivery of the remaining eight vessels, after the STENA IMPERATIVE, will be completed in 2018. Three of the 13 IMOIIMAX tankers are wholly owned by Stena Bulk, six are owned together with GAR (Golden Agri Resources), two are owned by Stena Bulk’s sister company Concordia Maritime and two are owned by Stena Weco.The IMOIIMAX model is a further development of a well-established and successful concept with extra large cargo flexibility and even lower fuel consumption. Stena Teknik and the shipyard GSI were jointly responsible for the technical development of the IMOIIMAX concept. The IMOIIMAX tankers have 18 tanks in order to be able to transport both vegetable oils and chemicals such as oil and petroleum products.With offices in six countries, Stena Bulk is one of the world’s leading tanker shipping companies. The company controls a combined fleet of around 100 tankers. Stena Bulk is part of the Stena Sphere, which has more than 20,000 employees and sales of SEK 60 billion. Source : portnews

The 2013 built SGP flag bulker ALAM SETIA underway offshore Sicily bound to Suez Canal

Photo : Capt. Lawrence Dalli - www.maltashipphotos.com ©

Asia Tankers-VLCCs rates set to fall as tanker jams ease

By Keith Wallis Freight rates for very large crude carriers (VLCCs), hurt by slower-than-usual release of cargo, could slip further next week as more tonnage becomes available with the easing of recent tanker traffic jams in China, ship brokers said on Friday.Charter rates from the Middle East to Japan slipped to a six-month low on Thursday, falling by 12 Worldscale points or almost $14,000 since April 21.There are talks of a VLCC from Basra to Asia being fixed for a rate of W45, a Singapore-based supertanker broker said.This could not be confirmed, but if true, the rate would be the lowest since Sept. 2, according to data on the Thomson Reuters Eikon terminal."I don't believe we're at the bottom yet, but we should be close," the broker said. "Rates are under pressure. The delays in China have come off and a lot more ships have come available as a result of that," the broker added. Delays in loading and unloading oil at Basra in Iraq and ports in China, particularly in Qingdao, led to massive queues of tankers, with vessels waiting up to a month. Iraq, which typically cuts Basra exports whenever there is a backlog of ships waiting to load at its port, is seen shipping 3.085 million barrels per day (bpd) in May, versus 3.28 million bpd in April, trade sources said. "Cargo has just been trickling out. A reasonable amount of business is being done but it's not enough to mop up the tonnage. There are

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plenty of ships to choose from," the Singapore broker said. Owners are now waiting for charterers to release fixtures next week for loading in the middle of May. Owners may look "for West African cargoes because of the light Basra program for the remainder of May," Norwegian ship broker said in a note this week. VLCC rates from the Middle East to Japan fell to about W48 on Thursday, down from around W60.25 the same day last week. Rates for VLCCs from West Africa to China dropped to about W55.50 on Thursday, against W64.25 last Thursday.There was more optimism about the tanker market for the rest of the year after European tanker owner Euronav posted its strongest first-quarter results in eight years, with a net profit of $113.5 million on revenue of $214.9 million. "Demand continues to expand, stimulated by a lower-for-longer oil price," Euronav Chief Executive Paddy Rodgers said in an earnings statement. Tanker demand has been fuelled by Middle East oil producers unable or unwilling to restrict output, coupled with rising imports to the United States and demand from China's so-called teapot refineries, said Ralph Leszczynski, head of research at ship broker Banchero Costa in Singapore. The International Energy Agency is forecasting crude oil demand growth of 1.2 million barrels per day for every year until 2020, the Euronav statement said. Rates for an 80,000-dwt Aframax tanker from Southeast Asia to East Coast Australia fell below W99 on Thursday, the lowest since Nov 17, from W110 last week on sluggish demand, brokers said. Source: Reuters (Reporting by Keith Wallis; Editing by Himani Sarkar)

BIFA SAYS TRADE REGULATION SET TO GET EVENT MORE STRINGENT

The British International Freight Association (BIFA), the trade association for over 1,500 UK freight forwarding and logistics companies, notes that HMRC is placing ever-increasing emphasis on compliance, with stricter enforcement being an inevitable outcome. BIFA reminds its members constantly of the risks that they run when undertaking certain types of business and the need to comply with regulation.One area that is causing considerable concern is VAT fraud and the forthcoming Union Customs Code (UCC), which is being introduced across the European Union (EU) on May 1st 2016, includes legislation that can be used to tighten up certain regimes. BIFA notes that in its latest annual report on the VAT Gap based on 2013 figures, the European Commission showed that the difference between VAT due and collected amounted to EUR168 billion. In real terms this amounts to a VAT shortfall due to fraud and evasion, tax avoidance, bankruptcies and simple miscalculation. BIFA Director General, Robert Keen says that in part the problem is that trade has moved on significantly, whilst regulators have reacted slowly to these changes. “In particular, what we will refer to as Internet Trading and the Onward Supply Relief regime seem to particularly lend themselves to fraud. Some overseas websites openly proclaim that they value all goods at a certain price to circumvent the “De Minimis” threshold.”Prior to Christmas 2015, Customs raided warehouses which it was believed contained goods supplied by overseas online traders that were being sold in the UK without VAT being paid or accounted for. Goods worth many hundreds of thousands of pounds were seized during the raids. Anecdotally, some BIFA members have become very suspicious of goods being imported under the Onward Supply Relief regime and concerned about their liability relative to VAT. Others are becoming very sceptical about internet-based trade, particularly where the declarant is based overseas. Some members have reported that the pattern of trade and vehicles supplied to move goods for exports from the UK to other EU Members States does not make sense to them.Large internet traders have been publically-scrutinised and questions have been asked in the House of Lords about the issue. Demands have been made that Amazon become liable for the unpaid VAT of thousands of customers and Customs have been heavily criticised for failing to take adequate steps to stamp out non-compliance. Part of the problem is that it is very difficult to identify who the buyer and seller are. Where the goods are received on a (Delivery Duty Paid) DDP basis and local taxes are invoiced outside the EU there is no guarantee that the VAT will be added to the value of the goods.Recently BIFA has been contacted by members, which imported goods on behalf of a party outside the EU on a DDP basis. All

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taxes including VAT were billed back to the origin and the monies never paid, leaving the forwarder out of pocket and goods in free circulation on which VAT had not been paid, undercutting legitimate traders by 20 percent. Then the situation for the import forwarders deteriorated even further as HMRC has demanded payment in full for the unpaid VAT. As there is no other representative in the EU or UK, the forwarder cannot claim the protection of being a Direct Representative, and at best they may be jointly and severally liable as an Indirect Representative, at worst they become Self Representing, with full liability for the Customs debt.Throughout the EU there is a move towards looking at whether third parties can be held liable for the VAT failings of their customers. Freight forwarders and logistics providers, due to their role, are obvious targets as they facilitate trade across frontiers, provide warehousing and clear goods through customs. Authorities increasingly consider that these providers have an obligation to be aware of the tax status of their customers. Keen adds: “BIFA always advises that forwarders should 'know their customer' and carry out reasonable checks on them. The Union Customs Code includes three elements which may be used by customs authorities as part of their clampdown. The first is that all warehouse keepers under the UCC will be required to provide guarantees on the import duty payable. The second UCC Article which re-enforces an existing requirement simply states that 'the declarant shall be based in the customs territory of the Union'. This has very significant consequences for the unwary. If there is no EU-based company to take responsibility for the import customs declaration the forwarder when clearing goods will have to carefully consider their liabilities because they will become fully responsible for the accuracy of the customs declaration and any debtsThirdly, under the UCC many companies will have to seek re-authorisation for current simplifications and regimes. All re-authorisations will need to be undertaken by the 30th April 2019, during this process there will much greater contact than normal between Customs and Trade and the former will as part of their role scrutinise processes and compliance.BIFA is now recommending that the following checks are carried out by forwarders on their customers:

- Always carry out due diligence checks on new customers including obtaining, where appropriate, VAT and Deferment numbers. For UK limited companies, their Companies House number should be obtained. All details should be verified using the appropriate website. It is essential to ensure that the declarant is an EU-based entity

- Always challenge the use of multiple EORIs by single entities

- Incorporate BIFA Standard Trading Conditions into any contract and it is highly recommended that the customers’ acceptance of the terms is confirmed in writing.

- Pay particular attention where business to customer imports are non-EU based online retailers using a fulfilment house model and/or where Customs Procedure Code 42 has been used

- Where possible ensure that all instructions are in writing

Keen concludes: “Business has and is continuing to change and it is very clear that the opportunity for fraud is rapidly increasing. Normal business relies heavily on trust that both parties are engaged in legitimate trade and that neither party is seeking to conduct business that will damage the others business. “However, it is clear that a minority of businesses are established to make money through fraud and other illegal activities. “Asking relevant questions will likely result in those engaged in fraud to look to less diligent partners with whom to conduct business.”

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CO2 footprint of maritime vessels to be recorded worldwide

By John Stansfield, The German Shipowners’ Association (VDR) endorses the resolution adopted by the International Maritime Organization (IMO) to make it mandatory in future for all vessels to record their CO2 emissions.“In Paris, the community of states reached a consensus in December on climate protection targets within national borders – now the IMO member states have adopted the same policy for vessels sailing the global seas,” said Ralf Nagel, Chief Executive Officer of the VDR. “The fact that all states on the IMO Marine Environment Protection Committee (MEPC) have adopted the mandatory CO2 data collection policy despite the controversial discussion involved once again underscores the ability of the IMO to act as a global legislator for maritime shipping.”CO2 footprint of maritime vessels to be recorded worldwide The resolution provides for shipping companies to transmit data on fuel consumption, distances travelled and the number of operating hours of their vessels via the respective flag state of the ships to the IMO in London for evaluation purposes. “It’s important first of all to have the CO2 data of all ships collected and analysed by the IMO. Only if we have sound, solid data does the discussion really make sense regarding suitable objectives and

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measures to reduce the already low CO2 footprint of maritime shipping even further,” said Nagel.The official acceptance of the addendum to the International Convention for the Prevention of Pollution from Ships (MARPOL) by the MEPC in October is considered to be a mere formality.Mandatory climate protection regulations already apply to maritime vessels today. According to the relevant rules, newbuilds will need to meet ever increasing efficiency standards step by step and will be using 30% less fuel per ton-kilometre from the year 2025. Additional factors are parameters laid down for energy-efficient ship operation.Maritime vessels are the most efficient means of transport available. With ships reflecting an average age of nine years (world fleet: 14 years), German shipping companies are reported to have one of the world’s most modern maritime fleets. Source: The German Shipowners’ Association

the MUSTAFA SOFUOGLU seen navigating the Danube river while passing the Damen yard in Galati (Romania).

Photo; Willem Ooms IB-OOMS ©

Crowley’s Brickman Inducted into Florida Customs Brokers & Forwarders Association Hall of Fame

Crowley's Jay Brickman, vice president of government and Cuba services, was honored last week with induction into the Hall of Fame of the Florida Customs Brokers & Forwarders Association (FCBFA), in recognition of his strong contributions to international trade, commerce and logistics.Brickman, who received his award at a gala FCBFA dinner, began his career with Crowley over 40 years ago and has served in various capacities, including vice president, Caribbean Division; vice president, marketing/pricing; vice president, Mexico, Colombia and Venezuela services; and general manager of Dominican Republic, Haiti and Cuba services. “I am honored and thankful for the Florida Customs Brokers & Forwarders Association’s recognition. Trade and logistics plays a crucial role in providing investment, jobs and partnership between Florida and the Caribbean,” said Brickman. “Our industry delivers the commodities that people in the U.S. and Latin America depend upon every day, and I am proud of the dependable, efficient services delivered by Crowley and the rest of our industry to support businesses and consumers. Trade here has been a passion, and it is gratifying to receive induction into the Hall of Fame.”During his tenure with Crowley, Brickman has

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helped spearhead the company’s role as one of the most diversified shipping and logistics companies in the Caribbean and Latin America, and his expertise has made him a resource for others supporting and studying trade. Brickman has co-written a book, “Cuba: It Matters,” and he frequently speaks at conferences involving Cuba because of his experience.Currently based in Fort Lauderdale, Brickman’s experience leading shipping and logistics initiatives includes working in Managua, Nicaragua; Panama City, Panama; San Juan, Puerto Rico; Caracas, Venezuela and Mexico. Brickman initiated and directed Crowley's operations in the Eastern Caribbean, Dominican Republic, Haiti, Mexico, Colombia, Venezuela and Cuba. In the case of Cuba, he has managed Crowley’s liner service since 2001. He has lived or worked in Latin America for over 40 years.In addition, Brickman is Crowley’s contracting officer for U.S. Transportation Command for the Department of Defense, and a member of the Voluntary Intermodal Sealift Agreement Executive Working Group. He worked with U.S.TRANSCOM to formulate and implement the private sector’s initial unified response plan to the 2010 Haiti earthquake and with the Defense Logistics Agency on the Northeast recovery after Hurricane Sandy in 2012.He is a recipient of the Thomas Crowley Award for Outstanding Achievement, Crowley’s most prestigious award. Brickman reports to Steve Collar, senior vice president and general manager, international services Besides his leadership at Crowley, Brickman has been a member of the Latin American Trade Committee of the U.S. Department of Commerce. At the University of Florida, he has worked with the Center of Latin American Studies and is a Millennium participant for the Cuban program. He is a founding member of the Cuban Studies Fund and serves on the Cuban Studies Program Advisory Group of the David Rockefeller Center at Harvard University.Studying Latin American affairs and international economics at both the undergraduate and graduate levels, Brickman received his bachelor’s degree from the University of Florida and his master’s degree from the School of Advanced International Studies of Johns Hopkins University. He also studied Spanish and Iberian studies at the Universidad de las Americas in Mexico The recognition of Brickman’s accomplishments follows the 2014 Hall of Fame induction of Nelly Yunta, now vice president of Customized Brokers, Crowley’s Miami-based subsidiary specializing in Customs clearance of all U.S. imports.In 2009, the Florida Customs Brokers & Forwarders Association (FCBFA) started its “Hall of Fame” to honor those individuals who have demonstrated exceptional dedication and commitment to the growth and development of Florida’s trade, commerce and logistics industry.The FCBF is committed to fostering communications between the trade community and the federal agencies in order to expand Florida’s trading communities at the local, state, and national level. The organizations provides critical input for the development of international trade policies through constant communication with various state and federal agencies. FCBF offers a wide variety of opportunities, such as export/import networking that helps generate for Florida businesses potential new client leads that add growth.

Shipping: The Business of an Industry The shipping industry is a collection of thousands of businesses operating around the world carrying a huge variety of cargoes across the oceans and in the seas and rivers that separate the land masses where populations live. Raw materials and commodities of all types are shipped efficiently from the source countries to consumers that manufacture finished goods, which in turn are shipped to other consumers. Energy products such as oil and gas and the chemicals they produce are shipped to consumers who cannot exist without them. Food products are also moved across oceans today and many form a fundamental part of the consumers’ daily diets. Up until the middle of the 20th century these shipping services were provided by large Liner companies and certain smaller companies serving specific trades mainly in the dry cargo markets. They were mostly located in the developed countries of Europe, Asia and the USA and certain fleets were directly owned by energy suppliers. Greece and its nationals were a rising factor following the transfer of a large number of WW2 ships from the USA and have grown today to have the largest fleets of independent owners, most of whom are private companies. The creation of containerization, started by Malcom Maclean, changed the whole shipping picture as the large liner companies failed to respond to this fundamental change and the de-colonisation of the UK’s and other European countries changed the trading patterns of world trade. These factors, combined with the acceptance of Flags of Convenience, now called Open Registries, opened the door to Independent owners who could be located anywhere and trade anywhere, thus creating a new competitive environment. Today there are thousands of shipping companies, mostly private, operating globally except in certain cabotage trades such as the US Jones Act.The second-half of the 20th Century also saw the enormous growth of the ship-building industry in Asia. Japan, Korea and China, which is today where some 90% of all cargo ships over 1000 dwt are built.Crewing has also been revolutionized away from the old developed countries, and crews can now be found in the Philippines, India, China, the former Soviet countries of Eastern Europe and elsewhere, and serve with no restrictions on Open Registered ships. Thus entering the 21st Century we had a huge industry serving profitably the growing interests of world trade, with very few companies trading in the public capital markets.



If there is any weakness to this revolution it is the failure of the Open Registries to have any form of licensing, with required evidence of operating competence, experience and financial viability, of the owners who register their ships there. The ship’s condition is arguably monitored by Classification Societies that were created by the Insurance industry, and have rules for ship-construction and inspection of the ships’ condition. This is done on a regular basis and ships cannot trade without a valid current Class certificate. Additionally the introduction of Port State controls has added another layer of certification which is under-funded and far from comprehensive.However now we have entered a period of financial distress for the shipping industry, the issues of ship’s condition, quality of service and financial viability loom ever larger.The 21st Century has been a time of enormous change particularly in the demand for shipping services, the growth of the ship-building industry and the arrival of new investment capital from venture capitalists and the public equity markets.These factors were all driven by the unpredicted and enormous growth of the Chinese industrial markets and their demand for shipping services, both importing and exporting cargoes.China initially paid a huge price for shipping it’s cargoes for a period of nearly 5 years from 2004, until its stated focus of carrying a majority of its cargoes in Chinese controlled tonnage, took effect.Unfortunately most of the new investment capital came into shipping on the false assumption that the high freight rates of the recent past would continue and ship values would rise as well.A visit to Chinese history would show how China has valued its shipping interests for centuries past and used them to expand and develop its trade and commerce. A visit to the events of the early 1400s and later to the 18th and 19th centuries evidences some of China’s shipping history.We now have an industry full of insolvent and bankrupt shipping companies that have a fleet, in excess of demand of more than 30% in some sectors, whose revenues do not meet operating expenses and whose ship values have greatly reduced.The shipyards of China and Korea are in serious financial trouble and have shut down much of their capacity. This can be easily re-instated as the Chinese economy stabilizes and they seek to control the freight costs of trade.It is time for the Industry to restructure itself by consolidating into large, well capitalized companies focused on developing long-term charters and contracts of affreightment with cargo interests. Source: Article by Paul Slater, First International Corporation, as arranged on behalf of Hellenic Shipping News Worldwide

Loading STL section for Martin Linge field Oil and gas loading elements produced in Energomontaż-Północ Gdynia were placed onboard the HAPPY ROVER heavy load carrier. Buoy and turret will be installed on Martin Linge oli Feield at North Sea. Energomontaż-Północ Gdynia accomplished construction of oil and gas loading elements for Norwegian client – NOV APL. The diameter of elements is 15 m and the height is 18 m. Total weight is over 500 tones. Elements of STL system are similar to the devices of the earlier order from the same client which were delivered by EPG in February this year. The Submerged Turret Loading (STL) system represents the state-of-art-technology within offshore loading. The STL technology offers a flexible and cost-effective solutions for oil loading tankers and Floating Storage and Offloading. The construction can be classified as first-class offshore structures. Fabrication of the structures required advanced machining in order to meet strict dimensional tolerances.Energomontaż-Północ Gdynia has vast experience in construction of subsea structures. In recent months the company was delivered among others: STL structures for Gina Krog field, Single Anchor Loading elements for Greater Stella field and turrets for Hebron field. Martin Linge is an oil and gas field located in the North Sea, at a water depth of 115 meters. The gross recoverable reserves are estimated at 190 million barrels of oil equivalent. The field was discovered in 1975 and development plan was approved in 2012. First oil is scheduled for 2018. Source: Offshore News



The LADY MARTINE in Southamptom – Photo : Peter Hollands ©

High-speed Wireless Internet Offered on Celebrity Cruises

By Dana Lawson Celebrity Cruises has just announced its latest modern news-celebrity-internetluxury experiential offering: the addition of “Xcelerate” – cutting-edge, high-speed internet capability – across its entire fleet. Xcelerate will make it easier for

guests to stay connected while on vacation, with higher-speed internet at sea that will allow for faster web browsing, accelerated page loads, and more dependable video streaming capabilities.

Left: the CELEBRITY CENTURY outbound in vancouver harbour Photo: Robert Etchell ©

Xcelerate provides the type of wi-fi access that modern luxury travelers have come to expect. With the improved capability, guests on

Celebrity’s ships now will be able to easily access some of their favorite technology for staying connected, such as Facebook, FaceTime, Skype, YouTube, Netflix, and more.“Xcelerate is going to give our digitally connected guests a new opportunity to share their amazing travel experiences with the world in real time, whether docked in Europe’s sought-after ports-of-call or gliding through the ocean on all of our large ships, anywhere in the world,” said Lisa Lutoff-Perlo, Celebrity Cruises CEO and president. “We know that this is what our guests expect – it’s what we expect when we travel, too – and we are thrilled to be answering that expectation with Xcelerate, which offers some of the fastest access at sea.” Celebrity CruisesXcelerate is available on CELEBRITY REFLECTION and soon will roll out to the remainder of the premium cruise line’s large ships. (Celebrity Xpedition — the 100-guest ship sailing year-round in the Galápagos Islands — is not scheduled to receive Xcelerate.) Xcelerate is yet another incentive for travelers to take advantage of Celebrity’s signature “Go Big, Go Better, Go Best!” offer, which includes the opportunity to enjoy free unlimited streaming internet onboard.Celebrity offers numerous Xcelerate packages, all of which can be pre-booked before departure or purchased onboard for the same rate. Xcelerate’s streaming features are well-suited to the unlimited package, which starts at $140 per person for five to nine days and $199 per person for 10+ days. Source ; cruise-addicts

Ahok to replicate Port of Rotterdam in Jakarta Bay

By; Callistasia Anggun Wijaya



Save the environment – Environmental activists stage a peaceful rally against the reclamation of Benoa Bay in Bali recently. City admits negligence over illegal construction on reclaimed isletJakarta Governor Basuki “Ahok” Tjahaja Purnama will go ahead with a plan to construct a port resembling the Port of Rotterdam on reclaimed land in Jakarta Bay, with construction expected to begin in 2017. The governor said he would discuss the plan with President Joko “Jokowi” Widodo, particularly the possible unification of Islet N with the planned islets O, P and Q.Islet N has been constructed by Tanjung Priok Port operator PT Pelindo II. Islet O will be developed by PT Jakpro, while P and Q islets will be reclaimed by PT KEK Marunda.Ahok plans to invite Port of

Rotterdam management and the central government to hold shares in the Port of Jakarta. “We plan to invite the government to hold 30 percent of shares in the Port of Jakarta and we hope the management of the Port of Rotterdam might have 60 percent of shares in the Port of Jakarta,” Ahok told journalists at City Hall.The city administration hopes to get further clarity about a moratorium on the reclamation projects agreed on by Ahok and two ministers. Ahok added that such a decision needed to be officially ruled through a regulation such as a presidential decree.Reclamation projects have been in the spotlight since the arrest of city councilor Mohamad Sanusi by the Corruption Eradication Commission ( KPK ) in late March for allegedly accepting bribes from PT Agung Podomoro Land, one of the concession holders of the reclamation projects.The arrest of Sanusi, who is linked to the deliberations of the two reclamations bills, has caused a halt in the deliberation of the bills by the City Council. ( bbn ) source; THE Jakarta post

CASUALTY REPORTING

Passenger vessel runs aground

A TRANS-ASIA vessel ran aground for two hours as it left the port of Nasipit, Agusan del Norte for Cebu City on Tuesday evening. But MV TRANS ASIA 8, which was carrying 124 passengers and 51 crew, was allowed to proceed by Coast Guard authorities in Nasipit. It safely arrived in Cebu City’s Pier 5 at past 9 a.m.. Cebu Coast Guard Station Commander Agapito Bibat ordered the MV TRANS ASIA 8, captain Oliver Alguno to file a marine protest before the Maritime Industry Authority (Marina 7). He also recommended that the vessel be subjected to underwater hull inspection to ensure its seaworthiness. Marina 7 information officer Jose Cabatingan said the vessel was cleared to resume its normal operation after the underwater survey conducted by Marina-accredited underwater surveyor.The underwater inspection was also witnessed by Marina 7 safety engineer, said Cabatingan.“Walay damage ang iyang hull, so makapadayon ra siya sa paglarga,” Cabatingan said. It was the management of the vessel which asked for the underwater inspection after the incident in Nasipit port.Petty Officer 3 Jonard Abcede of the Philippine Coast Guard Nasipit confirmed that Trans Asia 8 ran aground when it left the port at 8 p.m. on Tuesday. Abcede said the incident happened when the vessel maneuvered out of the port. Source;: cebudailynews.inquirer

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NAVY NEWS

The Danish support vessel ESBERN SNARE in Plymouth Sound. 6300 tons. Side and stern ramps can handle up to 46 vehicles but she is armed heavily enough ( including Harpoon missiles) to sometimes be referred to as a frigate. ESBERN SNARE was a celebrated 12th Century Danish warrior Photo: Raymond Wergan Devon.(c)

No Slouch: Crimean Shipyard Can Build Mistrals A shipbuilding plant in Crimea is capable of building large Mistral-class helicopter carriers, the region’s Industry Minister Andrei Vasyuta told RIA Novosti news agency.“The Zaliv plant in Kerch is a one-of-a-kind facility with slipways and a dry dock you won’t find anywhere else in Russia. The whole issue of Mistral orders would have never come up if we had a plant like this five years ago,” Vasyuta said. The 360mx60m dry dock is big enough to build several ships all at the same time. The plant can also construct large ships like Mistrals. “All we need is the knowhow and concrete projects to work on,” the Minister added. Andrei Vasyuta said that the local shipyards had suffered from neglect when Crimea was part of Ukraine, and needed a serious upgrade.“There’s been a great deal of wear and tear during the 23 years the peninsula remained part of Ukraine. These enterprises suffered from technological degradation, falling orders and a dangerous brain drain as many qualified specialists had left looking for better-paid jobs elsewhere and started getting back only after Crimea reunited with Russia in 2014,” Vasyuta added. A traditional builder of naval frigates, the Zaliv plant has in the past two decades switched to the construction of bulk carriers, offshore oil rigs and engaged in repair work The plant is currently fulfilling construction orders for two rescue ships and as many oil tankers. Work on two aluminum-hull passenger ship is slated to start shortly. Source; sputniknews

Sittard weer strak in de lak It was a sad sight to read last week in shippingnewsclipping that the former HMS BRONNINGTON has lost the fight against the elements. One of her Dutch 'sisters', the SITTARD, a former minesweeper (M830) that served in the Royal Netherlands Navy until 1996 is still going strong at the age of 60. She has been in drydock for the past 4 weeks to get her ready for the coming season.

De afgelopen weken is hard gewerkt om de ex-Hr.M SITTARD weer klaar te krijgen voor het komende vaarseizoen. De SITTARD (ex- M830) is een schip van de Dokkum klasse en heeft dienst gedaan voor de Koninklijke Marine van 1956 tot 1996. In 1997 is de SITTARD naar Harlingen gekomen als korpsschip van het Zeekadetkorps Harlingen. Sindsdien zijn vrijwilligers vanuit het zeekadetkorps en liefhebbers van deze mijnenvegers bezig om de Sittard in de vaart te houden.Vanaf 4 april heeft zij op de werf van Damen Shipyards Harlingen gestaan waar een grote groep vrijwilligers (zeekadetten, ouders, korpsleiding en vrijwilligers) bezig is geweest met het schuren van de houten romp, het vervangen van enkele

stukken van de huid en natuurlijk het schilderen van de gehele romp. Hiervoor zijn we dank verschuldigd aan een



aantal bedrijven in de buurt, waaronder Damen Shipyards Harlingen, Sleepdienst Tuinman, Icon Yachts, Steemar Harlingen.Het zeekadetkorps Harlingen is altijd op zoek naar gemotiveerde vrijwilligers, zowel leidinggevenden in de jeugdvereniging als (ex) varend personeel. Voor meer informatie zie: www.zkkharlingen.nl Op dit moment zijn in Nederland nog 5 schepen over van de Dokkumklasse, waarvan 3 zelfs nog regelmatig varen: De NAALDWIJK (ex M809), de NAARDEN (ex M823) en de SITTARD (ex M830). De Naaldwijk heeft tegenwoordig haar ligplaats in Haarlem en is in gebruik bij de Zeeverkenners Prins Willem, de Naarden heeft als ligplaats Delfzijl en is daar in gebruik bij het Zeekadetkorps.Ook de ROERMOND (ex M806) is nog volop in gebruik bij het Zeekadetkorps in Lemmer en de HOOGEVEEN (M827) heeft een ligplaats bij het Marinemuseum in Den Helder.De meeste van de genoemde schepen maken deel uit van het "Platform Varend Erfgoed Koninklijke Marine" https://www.facebook.com/PVEKM/

Indian Naval Ships Veer, Nipat to be decommissioned

Indian Naval Ships VEER and NIPAT, serving under the illustrious 22nd Killer Squadron, A are decommissioned in Mumbai on Thursday. Both the ships, which are 1241 RE class missile vessels, have completed 29 and 28 years of commissioned service respectively. These ships are the first of Veer Class of ships to be decommissioned from the Indian Navy. After Army and Air Force, seven women officers of SSC granted permanent commission by Indian Navy During their splendid service, the ships have participated in numerous operations and successfully completed many deployments. To ensure security of valuable assets off Gujarat coast, VEER and NIPAT have been forward deployed off Gujarat and International Maritime Borderline on numerous occasions. A Defence statement has assured that the Navy has executed re-basing of some ships to ensure that adequate force levels are maintained in the West Coast of the country. Source: ANI

SHIPYARD NEWS

Yangzijiang Shipbuilding's Q1 net profit down 37%

Shipbuilder Yangzijiang Shipbuilding reported a 37 per cent drop in first-quarter net profit to 448 million yuan (S$93.12 million).The mainboard-listed Chinese firm's revenue for the three months to March 31 dropped 11 per cent to 2.71 billion yuan, compared with the same period a year earlier.The shipbuilding business' revenue contribution fell 13 per cent to 2 billion yuan, even though more vessels were delivered in the first quarter - 15 vessels, compared with 10 vessels a year earlier. The firm said this was because the "vessels delivered were of relatively smaller sizes". t experienced higher volumes, which meant that revenue from trading business rose from 355.5 million yuan to 429.7 million yuan.Quarterly earnings per share were 11.69 fen, down from 18.45 fen a year earlier, while net asset value was 580.6 fen as at March 31, up from 568.9 fen as at Dec 31. Source: straitstimes.

FIRST OFFSHORE WIND SERVICE VESSEL FROM ULSTEIN VERFT LAUNCHED

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The first vessel within the renewable energy segment, and also the first with the newly-developed X-STERN™ hull line design, has been launched from Ulstein Verft. The service operation vessel for the offshore wind industry is one of two being constructed for Bernhard Schulte Offshore, and will be working for Siemens. CLICK at the photo ! The vessel will be servicing the Gemini offshore wind park offshore the Netherlands. Both vessels are based on the SX175 design from ULSTEIN, and are equipped with the hull features X-BOW and X-STERN in order to improve the sea characteristics when the vessels are positioned alongside the wind turbines during transferral of service technicians from the vessel through a heave compensated gangway. The vessels have accommodation for 60

persons in single cabins, of which 40 cabins are dedicated to technicians. The final detailed arrangements and equipment for the vessels have been developed and specified in cooperation with WINDEA Offshore GmbH & Co. KG, which is the Bernhard Schulte Offshore’s affiliate for offshore wind projects.The offshore wind industry is a growing industry. The strong, consistent winds sweeping over the oceans are invaluable resources to potentially supply large quantities of renewable energy.Sustainable growth is an essential part of the ULSTEIN vision. Ulstein Group has previously delivered ship designs for the renewable energy segment, but the Bernhard Schulte Offshore vessels are the first offshore wind service vessels to be constructed at Ulstein Verft.The ship design and shipbuilding contract on the two SOVs were signed in 2015.

Fleetway Inc and Irving Shipbuilding Announce $15 Million Contract for Bluedrop Training & Simulation

Under the National Shipbuilding Program Fleetway and Irving Shipbuilding announced a $15 million contract to Halifax-based company Bluedrop Training & Simulation for the design of the training and simulation software for the Arctic Offshore Patrol Ships (AOPS) vessels under Canada’s National Shipbuilding Strategy. “By investing here at home, Irving Shipbuilding can help ensure Canadian companies who are engaged in the shipbuilding industry remain competitive for years to come.” Tweet thisTo date, over $1 billion in AOPS contracts have been delivered to over 190 Canadian companies creating jobs and economic impact across Canada, including over $405 million in contracts to Nova Scotia companies. The AOPS vessels, currently under construction at the Halifax Shipyard, are the first ships to be built under the combat vessels package of the shipbuilding contract.“This contract with Bluedrop provides a significant investment in Nova Scotia, creating jobs and economic spin off in the province,” said Kevin McCoy, President of Irving Shipbuilding. “By investing here at home, Irving Shipbuilding can help ensure Canadian companies who are engaged in the shipbuilding industry remain competitive for years to come.”Bluedrop is a 100% Canadian owned small business with over 35 years of experience working with Canada’s Armed Forces. Their Halifax based facility, with its unique proximity to the Royal Canadian Navy and military bases, as well as universities, make it an ideal location for collaboration, field-testing and industry validation.Currently, Bluedrop’s Halifax office has 25 full and part-time employees dedicated to work on the AOPS project, including eight positions that were created as a direct result of the National Shipbuilding Strategy (NSS) contract. “Bluedrop is proud to be a part of this important project for Canada,” said Jean-Claude Siew, Vice-President, Technology and Simulation with Bluedrop Training & Simulation. “Our state-of-the-art virtual training and simulation centre here in Halifax is the only facility of its kind in Canada and will ensure our Navy has access to leading edge training technologies to prepare and train the future fleet.”The NSS is designed to create a future of certainty for Canada’s shipbuilding industry and the companies that support it. Over the life of the shipbuilding contract, Irving Shipbuilding is committed to investing in the greater marine industry across Canada to develop and grow National industry standards and capacity More information on contracts awarded to date can be found at www.shipsforcanada.ca Bluedrop helps civilian and military personnel around the world perform at their highest possible level through the design and development of advanced courseware and state-of-the-art training technologies. The Training & Simulation division meets the demands of today’s industry - providing blended training solutions from the classroom through to simulated virtual environments aimed at improving safety, productivity and efficiency. We boast a dynamic team of instructional systems designers, systems engineers, programmers, simulation developers,

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graphic designers and technical illustrators. We also employ leading subject matter experts in the Air Force, Army, and Naval domains who understand the complexities of delivering highly effective operational training. Bluedrop offers customized support at our state-of-the-art virtual Training and Simulation Centre in Halifax, Nova Scotia, the only facility of its kind in the country.Irving Shipbuilding Inc. (ISI) is part of the J.D. Irving, Limited Group of companies which includes operations in Agriculture, Construction & Equipment, Consumer Products, Energy, Food, Forestry & Forestry Products, Retail & Distribution and Shipbuilding & Industrial Fabrication. ISI’s primary site is Halifax Shipyard, with four other locations in the Maritime Provinces. ISI was selected in 2011 as Canada’s Combatant Shipbuilder under the merit-based National Shipbuilding Procurement Strategy and is in the early stages of a 30-year military shipbuilding program.

Shipbuilding Company Almaz launched self-propelled floating crane of Project 02690

In mid-April 2016 Shipbuilding Company Almaz launched its SPK-46150 self-propelled floating crane (Project 02690, Sr. No.906), the shipyard says.The self-propelled floating crane was placed at the shipyard wharf wall for further fitting-out.Joint Stock Shipbuilding Company "Almaz" was founded in 1933 as a shipyard of the USSR Coast Guard. Today

St. Petersburg headquartered Almaz is a modern enterprise with a long shipbuilding tradition specializing in the construction, conversion, outfitting and repair of high-speed coast guard border patrol vessels and boats, of large and small tonnage ships, of multipurpose hovercrafts, ships and yachts for civil sector both for Russian and foreign customers. The company has two floating docks of capacity 2,500 to 3,000 tonnes.source: portnews

two big cruise ships getting refits at Victoria Shipyards

BY CARLA WILSON Two big cruise ships getting refits at Victoria Shipyards

First to arrive is the 965-foot CELEBRITY MILLENNIUM, which sailed in Tuesday for a 14-day refit, a process similar to a tune-up for a vehicle.Back-to-back cruise ships are pulling into Esquimalt Graving Dock, providing work to hundreds of trades employed by Victoria Shipyards. When that job is finished, the CRYSTAL SERENITY will come in for a 10-day refit.

The 820-foot SERENITY will become the largest cruise ship to cross the Northwest Passage when it makes the voyage in August. It will be carrying 1,000 passengers and 700 crew members on its trip from Anchorage, Alaska, to New York. MILLENNIUM is delivering work for 350 to 400 Victoria Shipyards workers and local subcontractors, such as scaffolding and waste-treatment firms, said Joe O’Rourke, Victoria Shipyards general manager. About the same number of workers will be needed for the Serenity’s refit, O’Rourke said. All the paint on Millennium’s hull will be blasted off and it will be repainted while here.This kind of job is done about every 15 years or so, O’Rourke said. As paint ages, it can slow down a ship’s speed and increase the amount of fuel used.In this case, robots attached to the side of the ship by magnets will blast paint off the hull using water. When it’s time to paint, robots will be back crawling up and down the hull, spraying paint.The robots will be directed by an operator with a joy stick, O’Rourke said.But because robots can not operate on the ship’s curvature, workers holding wands with nozzles will fire paint at 30,000 pounds per square inch for those areas, he said.Another high-pressure water retrieval system will suck up the water and paint debris as it comes off the vessel, he said.Refits on the two cruise ships also require steel work. A new internal staircase for the Millennium will be installed. Serenity’s steel work will smooth out the hull.On Tuesday, there were about 400 workers at the yard, and that number will rise now that the Millennium is here. The yard has just wrapped up a five-year modernization project on five frigates.Two New Zealand frigates are expected to arrive under a modernization deal as well, with the first anticipated to be here sometime next year, O’Rourke said.Victoria Shipyards has spent years focusing on winning cruise ship refit business. Ideally, the yard would work up to three or four of



these vessels per year, he said.Cruise ship refits are lucrative contracts for the shipyard. A 10-day refit in December was valued at $4 million to $5 million.source ; The Vancouver Sun

Incat Crowther supplying design and aluminum kits for monohull crewboats

Incat Crowther signed a contract with the shipbuilder Astinave EP of Guayaquil, Ecuador for the supply of vessel design services and aluminum component kits for a pair of 22.5m monohull crewboats which are currently under construction for an undisclosed client. The vessels will operate in support of Ecaudor’s state-owned oil and gas company, Flota Petrolera Ecuatoriana (Flopec), Incat Crowther said in a press releaseThe 20-knot crewboats feature modern styling combined with a robust and simple-to-build structure. Propulsion is enabled by two Cummins QSK19 marine engines rated at 750 bhp @ 1800 rpm driving Teignbridge fixed pitch NiBrAl propellers. Electrical power is supplied by two Cummins 55MDDCM generator sets each rated at 55 ekw @

1800 rpm. Tank capacities include 11,000 liters of fuel oil and 7,000 liters of potable water.The crew accommodations resting ahead of the engine room features private staterooms for three (3) crew, with each a locker cabinet for storage. A galley, mess area and washroom complete the crew accommodations. The main deck includes a generous 40m2 cargo deck covered in hardwood planking and a passenger cabin featuring twenty five seats, two water closets, luggage shelves, two PFD storage lockers, and a deck locker. On the upper deck sits the pilothouse complete with forward and aft facing helm positions and a chart table. Two inflatable life rafts are aft of the wheelhouse and are arranged for easy launching.The supply of the aluminum kits represents another capability of Incat Crowther outside of its proven vessel design capabilities. The kits were processed by US-based suppliers and shipped sea-freight from Houston to Guayaquil. Completion of the vessels is scheduled for October. Source : Portnews

ROUTE, PORTS & SERVICES

MacGregor signs RoRo access systems orders for four car carriers in Japan

MacGregor, part of Cargotec, has received orders from two Japanese yards to deliver comprehensive RoRo access equipment packages for four car carriers. The equipment will be delivered during Q3 in 2017. The orders are booked into the first quarter 2016 order intake.The car carriers are built at two shipyards; two 7,400 CEU pure car/truck carriers (PCTCs) at Shin Kurushima Dockyard and two 3,000 pure car carriers (PCC) at Nakai Zosen Corporation. MacGregor shapes the offshore and marine industries by offering world-leading engineering solutions and services with a strong portfolio of MacGregor, Hatlapa, Porsgrunn, Pusnes and Triplex brands. Shipbuilders, owners and operators are able to optimise the lifetime profitability, safety, reliability and environmental sustainability of their operations by working in close cooperation with MacGregor.MacGregor is part of Cargotec. Cargotec's sales in 2015 totalled approximately EUR 3.7 billion and it employs almost 11,000 people. Source : Portnews

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East Coast Ports to See Muted Boost From Panama Canal Expansion

The opening of the Panama Canal’s new wider, deeper locks, isn’t likely to to send a wave of new cargo to the East Coast, industrial real estate brokerage CBRE Inc. said in a report. The expansion, which is set to open in June, would allow for larger ships, potentially reducing the cost of transporting goods from Asia to ports from Houston to New York. But carriers have been shifting their routes to eastern ports for years, and the widened canal is unlikely to entice many more to take the plunge, CBRE said. West Coast ports claimed 52% of U.S. container volume last year, down from 54% in 2014 and 57% in 2010, according to CBRE. The shift accelerated last year as shippers had to reroute their cargo amid labor strife at West Coast ports, helping East and Gulf Coast ports, including those in Savannah, New York, New Jersey and Charleston, to capture most of the 4.6% increase in U.S. container traffic in 2015, the report said. The change in volumes “is going to be pretty minor,” said David Egan, head of industrial research in the Americas for CBRE. “Most of what we thought was going to happen has already happened.” Rather, East Coast and Gulf Coast ports are likely to see a gradual increase in container volumes from Asia over many years, Mr. Egan said.“Shipping freight to most U.S. regions is both quicker and more cost-effective through the West Coast ports than it is through the [Panama] Canal,” the report said. Though post-Panamax ships are expected to narrow the cost gap between coasts, the decision to shift cargo from one side of the country to the other involves a complex calculation of everything from proximity to population centers, fuel costs, and time. Gerry Wang, chief executive of Seaspan Corp., which charters large container ships to shipping lines, said carriers are looking at sending bigger ships through the canal to the East Coast but remain wary about the ability of the ports to handle the vessels.“The infrastructure, the port facilities will have a challenging time to deal with those new arrivals,” Mr. Wang said in an earnings call with analysts. He said some carrier executives have told him they plan to send smaller vessels of 7,000 to 8,000 twenty-foot-equivalent, or TEU, containers at first, “just to see how things work.” “So, it is a question mark literally raised by every operator to me when I speak to them and we’re just as curious as anybody else,” Mr. Wang said.Still, other long term factors will slowly make the East Coast more compelling, Mr. Egan said. East Coast ports are investing to catch up to their West Coast counterparts in terms of infrastructure, and manufacturing is moving west as costs in China rise. “Low-cost manufacturing is going to seek the cheapest place possible…[and] China is not necessarily the low-cost choice anymore,” he said.When the point of production moves toward India and Africa, “going through the Pacific may not be the best choice,” he said. But that, too, is a shift that will take “quite some time.Source: Wall Street Journal

Davies Turner debuts at Multimodal 2016 this year

Davies Turner – the UK’s leading independent freight forwarder – is looking forward to making its debut as an exhibitor at the forthcoming Multimodal 2016 event. Philip Stephenson, Group Chairman of Davies Turner, said: “We have decided to make our debut at this year’s event as we have so many developments in air cargo, surface freight and logistics to discuss with visitors. Multimodal 2016 gives us the ideal opportunity to network and discuss the freight forwarding, supply chain management and logistics solutions that we have to offer. “As we look forward to our 150th anniversary, we will be ramping up of our sales, development and marketing activities and visitors will be most welcome at the Davies Turner stand. It’s a golden opportunity to meet our team.Alan Williams, Davies Turner and Co's national sales director, adds: “In order to create the most cost-efficient use of visitors’ valuable time, we are offering the opportunity to pre-arrange a meeting at Multimodal 2016. Just drop us an email to [email protected] to book an appointment.”Davies Turner will be presenting its ever-growing range of international freight services and supply chain solutions at the event and using it to highlight the company’s products and logistics solutions, as well as showcasing the careers it is able to offer, including its annual apprenticeship scheme for A-level school-leavers and graduates, which is now in its seventh year. Davies Turner will be on Stand 1560 and attendees to Multimodal 2016 are invited to visit and ask any questions about the company’s services and new opportunities.

London P&I Club warns of dangers arising from carriage of Indonesian coal




The London P&I Club has issued a warning about continued problems associated with the carriage of Indonesian thermal or ‘steam’ coal, following a number of recent incidents involving owners and charterers. Indonesian coal has a propensity to self-heat and/or emit methane. If uncontrolled, self-heating can lead to serious cargo fires, and an accumulation of methane can explode. The IMSBC Code states that coal with such characteristics should not be loaded if the temperature of the cargo exceeds 55ºC, and that the atmosphere in the holds is monitored at least daily on passage. The oxidisation process that can lead to self-heating can be detected by checking the hold atmosphere for rising levels of carbon monoxide (CO) and falling oxygen (O2) levels. Methane levels can be measured directly.The IMSBC Code recommends that the ship carries a means of measuring cargo temperature, and requires that the ship is fitted with gas sampling ports (normally on the side of the hatchcovers), and carries an instrument capable of measuring O2, CO and methane.Cases recently reported to the club have highlighted the need for thermometers and gas sampling equipment to be regularly serviced and calibrated in accordance with the manufacturer’s instructions. In one case in which the club was acting for charterers, the club-appointed surveyor arrived on board more than a week after the commencement of loading, only to find that a dispute over safety to load had in part been based on readings from equipment which did not have a valid calibration certificate.London Club Loss Prevention Manager, Carl Durow, says, “Care should be exercised in interpreting methane measurements carried out in the low O2 concentrations often found in unventilated cargo holds. Typically, manufacturers advise that methane readings will be meaningless if the O2 level falls below 10 per cent. But the club has seen evidence of ships’ staff relying on methane readings even when O2 levels have fallen to negligible levels (one per cent or less). “In order to obtain meaningful information, measurements should be made via an approved sample point. The club has seen samples drawn through hold access hatches, which undermines the reliability of the measurements. “The atmosphere in the space above the cargo should be regularly monitored – and this may mean that measurements continue after arrival at the discharge port, particularly when discharge is slow. The club has seen problems with both self-heating and methane release worsening markedly during interrupted unloading.” www.londonpandi.com

Princess Cruises bestelt opnieuw 2 nieuwe schepen voor wereldwijde groei

Princess Cruises heeft bekend gemaakt dat er overeenstemming is bereikt met de Italiaanse scheepsbouwer Fincantieri om twee nieuwe schepen te bouwen, die in 2019 en 2020 in de vaart zullen komen. Dit is de uitkomst van een eerder overeengekomen contract tussen het moederbedrijf van Princess Cruises: Carnival Corporation en Fincantieri, om vijf nieuwe schepen te laten bouwen, waaronder de nieuwe Princess Cruises schepen. Als ‘s werelds grootste reis- en vrijetijdsbedrijf heeft Carnival Corporation een bestaande vloot van 100 cruiseschepen en worden er in totaal nog 16 nieuwe schepen afgeleverd tussen 2016 en 2020. Het contract is begin april getekend bij een ceremonie waarbij ook de Italiaanse minister van infrastructuur en transport Graziano Delrio aanwezig was. “We zijn enorm trots en opgewonden dat we deze twee schepen aan onze formidabele vloot kunnen toevoegen,” zegt Jan Schwartz, President van Princess Cruises. “Met deze nieuwe schepen zal Princess Cruises verder groeien en haar reputatie als de rederij met het grootste aanbod aan bestemmingen in de premium markt verder uitbouwen.” De twee schepen, waarvan de namen nog bekend gemaakt worden, zullen het vierde en vijfde schip van de zogenaamde Royal Class schepen binnen de Princess Cruises vloot zijn. Er wordt voortgeborduurd op de Royal Princess, Regal Princess en nieuwe Majestic Princess die in 2017 in de vaart komt. Hun bruto tonnage bedraagt 143,700 ton en er kunnen 3.560 passagiers mee. De nieuwe Princess schepen zullen met de voor deze rederij bekende kenmerken worden gebouwd, waarmee de rederij haar goede naam met gastvrijheid heeft

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verworven: een adembenemend atrium, gelijktijdige keuzes voor diner en entertainment, een openluchttheater; en 80 procent van alle hutten beschikken over een balkon. En natuurlijk zullen er spraakmakende vernieuwingen komen om de gasten een onvergetelijk verblijf te geven. Hier zal de rederij in de komende periode meer over bekendmaken.

…. PHOTO OF THE DAY …..

The Kooiman Group built ZWERVER II in the port of Rotterdam – Photo : Arie Boer ©

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Documents

DAILY COLLECTION OF MARITIME PRESS CLIPPINGS 2016 – 121newsletter.maasmondmaritime.com/PDF/2016/121-30-04-2016.pdf · At their March meeting, the Fed chose not to raise the interest