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July 2018 PROJECT CARGO FREIGHT & TRADING WEEKLY DOUGLAS A’BEAR … KEEPING MINES MOVING Electrification surge powers up sector Project cargo’s two top drivers

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Page 1: DAS A’AR KEEPING MS MVING - LIMAT Group › wp-content › uploads › 2018 › 07 › FTW... · 2018-07-23 · DAS A’AR KEEPING MS MVING Electrification urge power up ector Proect

July 2018

PROJECT CARGOFREIGHT & TRADING WEEKLY

DOUGLAS A’BEAR … KEEPING MINES MOVING

Electrification surge powers up sector

Project cargo’s two top drivers

Specialized Transport provides a solid and reliable long-distance road transport service. Our dedicated team represents many years of experience, ensuring that our clients receive the highest level of service at a competitive price.

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www.ftwonline.co.za

BEITBRIDGE BUCKLES

18

CONTENTS

July 2018 Project Cargo 1

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Editor Joy OrlekDeputy Editor Eugene GoddardAssistant Editor Liesl VenterJHB Correspondent Adele MackenzieJournalist Nicole JacobsPhotographer Shannon Van Zyl Advertising Yolande Langenhoven Lorraine Esterhuizen

Publisher Anton Marsh

CorrespondentsAfrica/Port Elizabeth Ed Richardson

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Douglas A’bear, director Abear Industries.Photo: Eugene Goddard Cover Design: Rebecca Kent

EnErgy and mining lEad thE chargE

NEW MULTI-PURPOSE ENTRANT

COMPLETING MASSIVE GLOBAL PROJECT

GENERAL NEWS2

4

ElEctrification surgE powErs up sEctor3

sulphur cap ratchEts up dEmolition 11

carriEr to grow projEct businEss

LOGISTICS6

projEct flEEt growing 9

‘don’t cut cornErs sEcuring cargo ‘11

OPTIMISTIC OUTLOOK FOR MPV SECTOR

10

75

PULLEY-LAG MANUFACTURER KEEPS

MINES MOVING

LUXURY HOUSEBOAT FROM ZIM TO NAM

8

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2 Project Cargo July 2018

Ed Richardson

Logistics companies participating in an FTW project cargo trends survey are optimistic about growth

in the sector over the short to medium term.

While opinions were evenly split over whether 2018 was proving better (40% said yes) or much the same (40%) as the same period in 2017, 80% believe that demand will grow in the next 12 months.

With responses coming from South Africa and neighbouring countries this is a vote of confidence that the economies of South Africa’s neighbours are starting to recover from the commodity downturn.

Comexas South Africa sales manager Sarah Walker says the company is optimistic “due to the increase in the oil price. We have already seen demand increase in the past months across Africa to oil-producing countries.

“Hopefully this will lead to an increase in availability of forex in oil-producing countries such as Angola and Nigeria.”

Other companies pointed to the resurgence of the mining sector in Zambia, Zimbabwe and the

Democratic Republic of Congo (DRC).

Energy-related projects rank alongside mining as having the highest potential over the short to medium term, followed by manufacturing, infrastructure, agriculture and drought relief.

Durban ranks as the most favoured port of entry among respondents (67%), followed by Beira (22%) and then Cape Town. The other harbours in the region were not ranked by the respondents as

preferred ports.A number

of respondents mentioned congestion in Durban, wind delays in Cape

Town and lack of connectivity and higher fees in Beira as deterrents for using the ports.

While not selected as preferred ports of entry Maputo, Richards Bay and Walvis Bay received favourable reviews.

“Richards Bay now has dedicated infrastructure thanks to large investments in road and weighbridges for specialised cargo transport solutions, and there are now low bridges that constrain movement by road,” said one respondent who requested to remain anonymous.

“The strength of Walvis Bay is that Namibia is a very easy country to do business with. Some shipping lines are including this port as a direct sailing, making freight pricing and transit time attractive.

“The developing Trans Kalahari Corridor, as well as the pricing, make Walvis Bay an attractive alternative to Durban.

“Another advantage is that there is less foreign currency risk due to the linking of the Namibian dollar to the rand,” says Walker.

Cross-border red tape was identified by respondents as the biggest obstacle to project cargo growth in the region, closely followed by poor roads and corruption tied in second place.

Keagan Moodley, managing director of Limat Group, believes

rail has a role to play in clearing the roads of container and other goods traffic, which would make the roads less congested and speed up the transit of out-of-gauge project cargo.

Borders are no obstacle to logistics companies providing project cargo services.

The countries in which the respondents to the FTW survey on project cargo are active include the whole of the South African Development Community (SADC) region, Indonesia, Ghana, West Africa, Ivory Coast and Europe.

The biggest markets at present are South Africa and Zambia (about equal), followed by Mozambique, the Democratic Republic of Congo, Zimbabwe and Tanzania.

Loading, stowing and discharging breakbulk cargo are delicate operations which demand both experienced personnel and purpose-built equipment. Whatever your breakbulk needs, WW Ocean can supply the equipment necessary to ensure that your cargo is handled in the safest and most efficient manner possible

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Energy and mining lead the charge for project cargo growth

80%The number of respondents who believe demand will grow in the next 12 months.

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July 2018 Project Cargo 3

www.breadbox-shipping.com • [email protected] • Mobile +27 66 225 6928FTW8402

Africa’s future lies in its electrification and governments

across the continent have realised that there is no time for talking.

According to Africa House project specialist Duncan Bonnett, there has been a significant increase in power projects on the continent with just about every country investing in a project of some kind – be it small or large.

“Power is critical to every country’s development and there is an essential understanding and realisation in every African government that in order to progress and to have industry you need power – and it has to be reliable,” he said.

A recent survey by auditing company PwC found that companies and sector stakeholders across Africa were optimistic about a range of key African electricity issues. At least 67% of respondents indicated that ageing or badly maintained infrastructure was of

high concern, but encouragingly predicted that this was changing.

According to Bonnett this is very much the case judging by the number of ongoing projects across sub-Saharan Africa.

“With Africa being rich in energy sources we are seeing countries develop and build what they have and that is why the projects are coming to fruition,” said Bonnett. “The projects range from refurbishment of existing power infrastructure to new power plants. The energy sources range from thermal and hydro to solar and wind.” There is a much broader approach to the types of power thanks to the range of technologies available as well as the various financing options.”

He said in West Africa there were several big power projects under way including the world’s fourth-largest solar photovoltaic power plant near the Takoradi port in Ghana.

“What has been very exciting is the West African power programme covering 19 countries that is being backed financially by the US.”

Bonnett said plans were in place to build $1 billion worth of renewable energy

projects in the region to bring power in the next three to four years to 40 million people.

“The importance of power in the project sector can be seen in countries like Angola where 159 hydro sites have been identified for development,” he said.

In East Africa projects such as

Ethiopia’s $4-billion hydroelectric project, the Grand Renaissance Dam, were more than 65% complete while gas finds in Tanzania were starting to see an uptake in projects.

In Tanzania, the World Bank recently approved a $455-million

credit for the construction of critical

high voltage transmission

infrastructure to support electrification.– Liesl Venter

Electrification surge powers up project sector

The projects range from refurbishment of existing power infrastructure to new power plants.– Duncan Bonnett“

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www.ftwonline.co.za

4 Project Cargo July 2018

Mining and power projects around the world are moving

millions of tons of ore with conveyor belts running on South African technology.

Innovation and improvement in the manufacturing and supply of traction products for heavy-duty conveyor belts, mainly used by mines and power plants, have propelled the products of Abear Industries onto centre stage of this specialised industry.

The relatively young company was started after its founder, Douglas A’bear, came up with a prototype machine for “automating the surface preparation process of pulley manufacturing”.

But demand from prospective clients for the actual lagging or rubber gripping ‘that fits onto conveyor belt pulleys prompted the mechanical engineer to augment his business strategy.

Boosted by a R4.3-million investment from the Gauteng Enterprise Propeller (GEP), and following a period of tooling made from A’bear’s custom machine designs, the business commenced with production in December 2016.

Since then, in a relatively short space of time, Abear Industries has accumulated some 40 clients,

mainly pulley makers who apart from exporting to leading African economies and SADC members, sell around 70% of their conveyor belt rollers to countries as diverse and distant from one another as Denmark, Kazakhstan, Italy and Israel.

“Our lagging is used in some of the remotest corners of the world,” said Abear.

He’s quick to simplify things, saying that his products are “a bit like tyre tread.

“It gets bonded onto conveyor belt pulleys to provide all-important traction. We don’t make the shoe, we make the sole.”

And yet it’s far more complicated than that.

One of the biggest challenges is dealing with the immense tension created in the pulling and letting go of raw

materials moved by conveyor belts.And yet pulley manufacturers

are increasing relying on the tested traction provided by Abear Industries’ rubber-backed ceramic lagging.

A’bear explained that compared to ordinary rubber lagging which the company also supplied, “ceramic lagging is very expensive.

“Unlike rubber lagging, it has a much better coefficient of friction in that it creates much stronger traction

than rubber-on-rubber lagging.”Currently, local competitors are

still supplying lagging that involves embedding the ceramic tiles in an epoxy paste – “a time-consuming, rigid, and outdated method”, according to A’bear.

Elaborating on his flagship product, he said that “by putting the ceramics in a rubber backing they are able to flex and move with the contraction of the conveyor belt as opposed to being stuck in a paste that makes conveyor belts less flexible.”

In addition, A’bear has come up with a cut-to-size solution to an old problem: non-versatile, size-specific lagging.

Essentially it means pulley manufacturers can buy rolls of lagging from Abear Industries that they can cut and fit themselves as per their clients’ pulley specifications.

In the past this has often led to conveyor belt downtime as pulley manufacturers scurry around looking for the right size of lagging to repair

damaged or destroyed conveyor belt surfaces.

Speaking at the time of announcing the GEP fund for Abear Industries, Gauteng MEC for Economic Development, Lebogang Maile, confirmed the transformative effect of the company on the market.

”Importing stock is usually more expensive, has much longer lead time, and the quality is harder to regulate – hence the initiation of this black-owned business.

“This factory would mean a reduction in the frequency of conveyor system downtime related to excessive conveyor belt wear and pulley lagging failure.”

Ultimately, success is determined by the standard of service they render through innovation and insight, A’bear said.

“We’re always aware of concerns such as the potential for lagging to tear. That’s why we use 3D digital printing and finite elements analysis to give our clients peace of mind.” – Eugene Goddard

FTW3943SD

Around 70% of our conveyor belt rollers are exported to countries as diverse as Denmark, Kazakhstan, Italy and Israel.

–Douglas A’bear

Pulley-lag manufacturer keeps mines and power plants moving

Workers at Abear Industries prepare to apply lagging to industrial conveyor belt pulleys.

Phot

o: E

ugen

e G

odda

rd

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July 2018 Project Cargo 5FTW4158SD

Adele Mackenzie

Since its entry into the South African market in November last year, Breadbox Shipping Lines is set to establish

a long-term presence in the country by leveraging off the increasing demand for project cargo, breakbulk and heavy lift ocean freight, according to the company’s founder and managing director, Joris Bakker.

“Breadbox specialises in these types of freight movements and the African continent has countless projects on the go in the mining,

oil and gas, and large civil works sectors,” he told FTW. And while projects were often delayed and postponed, there remained “huge scope” for growth, he added.

“The idea is to complete the multipurpose (MPP) service package for the West African market offering an MPP sailing out of Europe, intra-Africa and now out of South Africa,” explained Bakker. He said this was part of

an overall strategy where Breadbox would link South, East and West Africa.

He conceded that the South Africa (SAF) to West Africa (WAF) route was currently not sufficiently stable

to warrant the deployment of vessels on this route permanently. “We believe there is growth potential and hope to eventually expand the current charter service we offer.” He added that Breadbox covered the full range of load ports in South Africa and Namibia.

“We cater for breakbulk shipments, bulk shipments, heavy lifts, project cargo as well as IMO and SOC containers,” he said. The company’s growth strategy included “being reasonable” on margins and rather looking at long-term cooperation with clients, versus short-term gain on higher margins, he added.

“We are in it for the long-run and will rather be patient and wait for the tough times to turn around.”

New entrant focuses on long-term presence

Breadbox covers the full range of load ports in South Africa and Namibia.–Joris Bakker“

Phot

o: E

ugen

e G

odda

rd

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6 Project Cargo July 2018FTW8404

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Adele Mackenzie

The container vessel MSC Innes – which was badly damaged in the massive storm that hit the Port of

Durban in October last year – is finally back in operation, according to national commercial director of the Mediterranean Shipping Company (MSC), Glenn Delve.

He told FTW that there had been extensive damage to the hull after high winds grounded the massive ship near the port’s entrance canal. “The port is also fully operational now and we have not experienced any berthing delays,” Delve added, reiterating earlier statements that Transnet Port Terminals (TPT) and Transnet National Ports Authority (TNPA) had managed the unprecedented event “well under the circumstances”.

However, there were congestion and other operational inefficiencies before the storm hit and Delve said Mozambique’s port of Maputo was increasingly becoming more attractive for project cargo customers.

“There’s no chance that Maputo will become the preferred port of choice but it could take business away and local port authorities should be

aware of that.” Delve described MSC’s project cargo outlook as “fantastic”.

According to Delve, it’s a common misperception that container vessels cannot carry bulkier items for projects. “There are always ways around it. Equipment can be carried on deck – and the MSC group is looking to grow its project cargo business in line with the growth of the sector in South Africa,” he said.

MSC looking to grow project cargo business

The MSC Innes is now back in operation.

The delivery of project cargo for the R9.4-billion XiNa

Solar One renewable energy project in Pofadder Northern Cape was all in a day’s work for freight forwarding company Global Logistics Alliance (GLA).

“GLA was involved from the start of the project in 2015 and we are still doing the repair and maintenance shipments for this site,” said GLA’s Robyn Sampson. The cargo was transported from various points of departure in Europe to the Port of Cape Town. “The abnormal cargo was sent to the port of Luderitz in Namibia and we also received smaller abnormal cargo at the ports of Cape Town, Port Elizabeth and Durban,” said Sampson.

GLA has handled a total of 11 local and international solar projects to date –

Local logistics player completes massive global project

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July 2018 Project Cargo 7

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including Khi Solar One and Kaxu Solar One – and was therefore well prepared for the XiNa project. “Building on our accumulated experience we were able to mitigate any potential problems before they arose,” Sampson said.

He pointed out that the XiNa, Kaxu and Khi Solar One projects would collectively generate 250 MW of renewable energy power to Eskom over the next 20 years.

“XiNa Solar One and Kaxu Solar One are South Africa’s first solar thermal plants which use parabolic troughs – making up the largest solar platform in sub-Saharan Africa,” said Sampson.

The project was an association between Spanish company Abengoa, the Public Investment Corporation (PIC), the Industrial Development Corporation (IDC), and the XiNa Community Trust. – Adele Mackenzie

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Minister of Energy Jeff Radebe (left), pictured with Duane Lakey, director of Global Logistics Alliance, at the recent XiNa Solar One launch.

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8 Project Cargo July 2018FTW8351

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Liesl Venter

It’s no secret that African project cargo is not for the faint-hearted.

However, a lot is being achieved on the continent thanks to the critical thinking, deep local knowledge and abnormal load expertise of local logistics service providers – all of which was on display when Manline Mega, a division of Barloworld Logistics, successfully moved a 33-metre-long luxury houseboat from Harare in Zimbabwe to the Chobe River in Namibia.

Built in 2017, the African Dream is a three-decked luxury houseboat that nowadays offers 5-star cruises on the Chobe and Zambesi rivers for 16 guests at a time – but to do that it had to be transported via truck from Harare where it was constructed, through Botswana on to Namibia before launching on the Chobe River.

Pulling this off called for dogged perseverance and

determination long with expertise and consummate skill.

According to Blake Ferguson, COO of the transport division of Barloworld Logistics, the team faced several challenges.

First off the first 15km of the journey was to traverse a stretch of road that had not yet been approved by authorities.

This, said Ferguson, resulted in a two-week dispatch delay causing havoc to an already tight schedule.

The next big hurdle came at the Botswana border where they were denied permission to enter the country or even travel through it.

With the convoy standing at the border, three surveys were undertaken as quickly as possible. Only one turned out to be an even remotely possible option. It meant turning around and returning to Harare before heading to Makuti, taking the boat down the infamous escarpment.

“This meant notorious hairpin bends and steep descents would

have to be navigated,” said Ferguson.

“The team and vehicles were put to the test at the very first bend,” said Ferguson. “Arguably the most treacherous, it set the tone for what lay ahead. Just as important to note is that the route survey proved to be accurate to within a few millimetres.”

The driver inched his way down slowly – but having successfully manoeuvred the 220-tonne metric load down the mountain and with only 10km to go, the entire project nearly came crashing to a halt.

“For the journey from Makuti to the lake shore, a 10km temporary road was constructed within 48 hours to allow the convoy the space required to travel to the shore side.”

But, despite best efforts, the road was unable to withstand the weight of the vehicle causing the surface to crumble. Determined to see their precious cargo in the water, the team decided to build a 20m road out of timber lengths that were initially intended for the off loading procedure – and the African Dream finally made it to the lake.

Luxury houseboat takes circuitous route from Zim to Namibia

A major hurdle came at the Botswana border where they were denied permission to enter the country or even travel through it.

– Blake Ferguson

The 33-metre-long African Dream en route from Harare to Namibia.

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July 2018 Project Cargo 9

Demand for project carriers is on the increase

as volumes improve and competition softens, according to Susan Oatway, senior analyst for multipurpose and breakbulk shipping at Drewry.

“The project carrier f leet has grown almost 2% per year for the period 2017 to 2019 while the smaller, simpler multipurpose vessel f leet will contract by 2.8% over that period.”

She said most of the vessels currently being demolished were the simpler, smaller vessels with a deadweight of less than 10 000 tonnes.

“Demolitions have been at historically low levels for the past few years and so far in 2018 only 165 000 deadweight has been sent for recycling. Just over half of those were the smaller vessels in the sector. On the other hand, there have only been six vessels delivered this year and only two new orders

placed, but 67% of these have heavy lift capability and are in the project carrier sector.”

She said over 80% of all newbuilds in 2017 were classed as project carriers.

Increased volumes were supporting this growth.

Oatway said despite the multipurpose share of dry cargo volumes decreasing in 2017 expectations were that improved volumes would see a significant shift in the market that would see demand increase.

“We estimate that dry cargo volumes over 2018 will grow 2% compared to 2017,” she said.

This would see many of the competitors in the multi-purpose sector – including container lines – return to their traditional business,” she said. “We consider general cargo to be what is left when the specialised ships have taken their share. Drewry expects containerised cargo to grow strongly in the medium term mainly as a

result of the continued containerisation of breakbulk cargoes.”

She said this would further move container lines back to traditional and higher-paying cargoes. “We don’t see a significant rise in absolute non-containerised general cargo volumes for the short term.”

The multipurpose sector share of general project breakbulk cargo has dropped to about 15% in the past few years compared to a high of 20% pre-2010. The current multipurpose share of dry bulk cargo is about 17%.

“We expect to see some stability over the medium term – along with a suspension of that erosion of market share. The multipurpose share of the dry cargo market is going to rise

by a few points going forward which will equate to about 1.4 billion tonnes of cargo per year.”

She said while the total MP fleet – heavy lift and non-heavy lift capable – would contract by 1% in 2018 and another 0.5% in 2019 following trends set in 2017, demand growth would increase with the project carrier fleet growing by at least 2% per year.– Liesl Venter

FTW4159SD

Project carrier fleet on a growth path

Demand for commodities such as lithium and cobalt are expected

to continue to rise as electric vehicle (EV) battery manufacturers expand their production.

Batteries for EVs contain a combination of commodities including lithium, cobalt, graphite and nickel.

According to Christopher Thomas, an economist at FocusEconomics, this is good news for countries like

the Democratic Republic of the Congo (DRC) where two thirds of the world’s cobalt output originates.

“Booming demand from the automotive sector has pushed up prices and, with it, production. Cobalt prices are currently riding near a one-decade high – and are expected to continue rising over the next few years – but have not yet climbed high enough to induce

long-term infrastructure investment among all producers,” he told FTW. “Supply, on the other hand, appears far more precarious, as political stability in the DRC has long been elusive and this year’s elections could bring about bloodshed and even greater uncertainty. The re-election of longtime president Joseph Kabila would certainly ensure some stability and likely safeguard the continued

output of the country’s mines.”However, his victory, said

Thomas, let alone his participation in the election, was still far from certain. “Kabila aside, the roundup of candidates currently eyeing the country’s top job could prompt instability given the many unknowns of a new regime in the long shadow of two decades of Kabila family rule.”– Liesl Venter

Electric vehicles rev up commodities demand

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10 Project Cargo July 2018

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Liesl Venter

The growing number of projects in the renewables sector combined with the improved oil price has led

to the strengthening of the project cargo sector which is good news for the global multipurpose vessel fleet (MPV).

According to Susan Oatway, senior analyst for multipurpose and breakbulk shipping at Drewry, the demand for project carriers is increasing and expectations for the sector have improved significantly in the past 12 months.

“This time last year we were cautiously optimistic, but I think we are now happy optimistic,” she said when asked about the general outlook for the sector over the next five years. “Project cargo has been a big driver of the recovery in the MPV sector. A

large part of this can be attributed to the recovering oil price as a higher oil price is directly linked to more investment in projects.”

She said last year there had been a lot of talk about the oil price going to $70 per barrel for real project

investment to kick off again. “And it has done so this year so we are very optimistic for the project sector and the MPV sector in general. Renewables, of course, are just as important and are the mainstay.

Renewable power is expected to grow three times faster in the next 15 years than it has done in the past 15.”

As of June this year, the global MPV fleet as defined by Drewry

(including heavy and non-heavy lift capabilities) stood at 3191 vessels with a combined total deadweight of 29 500 million tonnes and average age of 16 years.

“This is a decrease since our last report as demolitions have outstripped new deliveries causing a contraction in vessel numbers,” said Oatway. “However, more larger vessels are being delivered than demolished so in deadweight terms the fleet is stable.”

She said project carriers were now forming the majority of newbuilding deliveries, while vessels being demolished were by far the smaller, simple multi-purpose ships with less than 10 000 deadweight.

“At least 45% of the total MPV fleet in

deadweight terms is now classed as project carrier or heavyweight with some 900 vessels with a lift capability in excess of 100 tons. Of those 340 have lift of over 250 tons and 25 have

lift of over 1000tons.”

Optimistic outlook for multipurpose sector

Project cargo has been a big driver of the recovery in the MPV sector.– Susan Oatway“

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July 2018 Project Cargo 11

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Poorly secured cargo has been identified as a leading cause

of loss or damage – particularly in the project cargo sector.

“Valuable cargo and project cargo can be exposed to extreme external influences and the use of traditional ratchet and strap tie-down securing systems can lead to a risk of slippage under such circumstances,” managing director of securing specialist Cargo Lash, Pooven Moodaliar, told FTW. “Additionally, cargo that has not been properly loaded and secured may break free and move in transit which, in the case of large trucks, can throw a vehicle off balance resulting in an accident.”

In addition project cargo was more difficult to secure than general cargo as it came in different or abnormal shapes and sizes such as heavy lift, breakbulk and out of gauge cargo, he added.

“This is why the lashing and

securing needs intense and proper planning and management in order to mitigate the risk of damage, he said.

Inadequately secured cargo could result in an insurance claim against the cargo, a liability insurance claim and potentially delay the project for which the cargo was destined.

However, he said that these risks could largely be mitigated through careful planning.

“Cargo Lash works in partnership with customers to provide advice and solutions – whether transporting dangerous chemicals or fragile artefacts – by carefully examining the unique needs of every project,” he said. “We insist on comprehensive and accurate cargo information.

“And only after conducting a physical inspection of the cargo do we supply lashing and securing plans to the client.”– Nicole Jacobs

‘Don’t cut corners when securing cargo’

The International Maritime Organisation (IMO) decision

to implement a 0.50% sulphur cap on marine fuel from 2020 is likely to increase the demolition rate of older vessels in the multipurpose fleet.

This is according to Susan Oatway, senior analyst for multipurpose and breakbulk at Drewry Maritime Research, who says the sulphur cap is top of the agenda in the shipping industry at present.

She describes it as arguably one of the industry’s most defining moments since the shift away from coal. The current global sulphur cap is 3.5%, while the average sulphur content of today’s heavy fuel oil (HFO) bunkers, which is by far the most common type of marine fuel burned, is around 2.7%. Only vessels that equip themselves with exhaust gas cleaning systems (scrubbers) will be able to continue burning

these same bunkers from 2020.“Vessels in the project carrier

and multipurpose sector are far more likely to opt for lower sulphur fuel than to put scrubbers on,” said Oatway. “The likelihood of scrubbers being put on ships is not high due to the extra cost involved and we believe they are much more likely to go the low sulphur fuel route.”

She said while this would also have some cost implications it would in all probability be passed on to the receiver.– Liesl Venter

Sulphur cap will ratchet up vessel demolition

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www.ftwonline.co.za

12 Project Cargo July 2018

Advanced Customs Solutions .............5Amfi Freight International .................7BLT Projects ........................................ 11Breadbox Shipping ..............................3Cargo Lash and Trading ....................10Concord Cranes Group ........................6

Cornelder de Mozambique ................7Gijima Heavy Machine ...................... 11GLA Freight ..........................................9Lalgy Transportes ..............................10Leschaco ...............................................6MACS Maritime Carrier Shipping ......1

Manica Group Namibia .......................4Maputo Intermodal Container Depot (MICD) .....................8MSC Shipping ................................... IBCNamgola Logistics ...............................7Nucleus Mining & Africa Logistics ..IFC

Port of Maputo ................................ IBC

Prestmarine ..........................................6

ShipShape Software ............................7

ST Specialized Transport ............... OBC

Wallenius Wilhelmsen Ocean .............2

THE FTW ADVERTISERS’ INDEX

Eugene Goddard

A project cargo undertaking of rare specifications, unusual both in scale and

scope, has seen the transport of two smelting furnaces and their tilting frames from Witbank to the Highveld and on to Durban before Höegh Autoliners shipped them to Surubaya.

The furnaces had been decommissioned by Transalloys, a global silico-manganese supplier in Mpumalanga at the time they were sourced and bought by Gulf Manganese, an Australian mining consortium working in Kupang on the Indonesian island of West Timor.

The first hinterland leg of the asset relocation involved moving the furnaces and their tilting frames to industrial sites in Springs and Nigel for refurbishment by Xram Technologies.

The project presented a complex set of challenges for logistics company Themba Dry Cargo. “It was one of the most unique projects we have worked on since the inception of our company about 12 years ago,” general manager, Eurika du Plessis, told FTW from their West Rand offices.

Her colleague, marketing executive Wanda Blignault, added that just moving the equipment to the respective refurbishment sites in Ekurhuleni “was a major exercise”.

Once Xram had completed its part of the project some 18 months later, Themba Dry Cargo used the same company it had contracted to bring the furnaces to Gauteng, Jacobs Transport, to get it down to Durban.

“All of these assets were out-of-gauge items and required careful

cooperation with the relevant authorities to move it down to port,” said Blignault.

She added that when she had been told it could take five days she had listened in disbelief, “but it literally did take that much time to move it down the N3.”

Finally, with Durban’s harbour in their sights, there was a height discrepancy with one of the trailers “and we couldn’t pass underneath a bridge.

“Authorities had to close a section of the highway at three in the morning so we could reverse the entire operation onto another section of road.”

Part of the challenge, said

Blignault, was getting the right shipping company.

“We contacted a couple but because of the out-of-gauge

proportions of the assets we were turned away by all but one – Höegh Autoliners.

“They were literally the only one that could help.”

William Hepplewhite, Höegh’s head in Africa, explained

that it had taken some careful manoeuvring to fit the items into the main deck of the Osaka as everything was “over-width by at least a metre or more.”

The two tilting frames weighed 18 000 tons a piece and each extended two metres over the shipping platforms onto which they were lashed.

The furnaces weighed even more, 21 100 tons each, and were 1.35m over-width.

“But it’s the type of cargo our vessels are designed to handle,” Hepplewhite said.

He added that it was also the type of cargo Höegh was aiming for because “we’ve looked at the breakbulk cargo market and have identified a growing need for big-ticket cargo projects”.

Interestingly, the Osaka, with about 45 400 sqm of space for some 5 400 cars, a ramp width and weight of 8m and 100t respectively, and a maximum cargo height of 5.1m, is not one of the biggest vessels in Höegh’s f leet of some 40 roll-on roll-off vessels (ro-ros).

According to Hepplewhite, Höegh currently has six of the world’s biggest ro-ros in its f leet, vessels that can take up to 8 500 car equivalent units, has a ramp strength of 375t, and a maximum cargo height of 6.5m.

“It’s a totally new type of vessel, geared towards enabling the kind of capacity, and more, of the kind of items we shipped for Themba Dry Cargo.”

Blignault has meanwhile said that Gulf Manganese has indicated it will require another six furnaces and tilting frames for the same smelting works outside Kupang over the next five years.

The two furnaces were shipped directly to the Indonesian port of Surubaya.

Ancillary parts, comprising nine 40-foot containers of smelter components and structural steel as well as hydraulic power plants and two large transformer units, were separately shipped on board the Maersk Sheerness to Singapore, from where the cargo was transhipped to its final location.

Companies dig deep to enable smelter relocation

We’ve looked at the breakbulk cargo market and have identified a growing need for big-ticket cargo projects– William Hepplewhite.

Harbour marshalls manoeuvre into position one of the manganese smelting furnaces that Höegh shipped to Indonesia.

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