Dec

emb

er 2

008

page 4SMIT’s harbour towage services

expand in Eastern Europe

page 7Defending the Italian coast from persistent oil seepage

page 5Salvage tasks in the wake

of hurricane Ike

page 10‘Taklift 4’ tackles European

windfarm lifts

page 5New bunkering services

contract in Bahamas

page 15Rapid expansion of

SMIT Rebras fleet

More

On November 27 no less than three new 2810 ASD tugs were named in Rotterdam.

Well-positioned to thrive in the new environment 2

First 3213 class tugs join SMIT’s fleet 3

When connecting up is hard to do 6

Exploiting synergies between innovation and business

development 8

“L Class” newbuilding programme reaches completion 8

Windfarm schemes feature in transport workload 10

SMIT Marine Projects completes first phase of MOPUstor

installation 11

SMIT Subsea Europe progresses Cirrus gas development 13

SMIT Amandla Marine advances towards sustainability goals 13

SMIT Amandla Marine continues to invest in its people 14

New projects explore the frontiers of tug design 14

Making progress towards SMIT’s new SHE-Q standard 15

Busy schedule ‘Asian Hercules II’ 16

Three is a charm 16

www.smit.com

ColophonFor any information about specific activities,

equipment and services, please apply to:

SMIT

Waalhaven O.Z. 85

P.O. Box 59052

3008 PB Rotterdam

Tel + 31 10 454 99 11

Fax + 31 10 454 97 77

E-mail company@smit.com

Editor

SMIT Public Relations

Texts

TRS Public Relations

SMIT Public Relations

Design & production

Studio Clarenburg, Schiedam

Photography

SMIT Public Relations

Roderik van Nispen

Steven Snoep

Aerolin

and various SMIT colleagues

Printing

Schefferdrukkerij, Dordrecht

Copyright

Texts can only be reproduced after

permission from the editor.

SMIT continues to advance in

its core markets, despite the

world’s financial difficulties

and, at a more specific level,

the unwelcome attentions of

Boskalis. During the first half

of 2008 the Harbour Towage

Division contributed revenue

nearly double that achieved

in the corresponding period

of last year. Revenue from

transport activities also rose

strongly. Taken overall, the

Group’s operating result for

the first six months repre-

sents a record first half.

The financial crisis developed at a time when

SMIT is particularly well-positioned to weather

the storm. The world’s merchant fleet con-

tinues to operate and demands for harbour

towage and terminal services remain constant.

Furthermore, our long term contracts in areas

such as terminal support and transport

contribute to SMIT’s inherent strength and

resilience.

In such turbulent times it can be seen that

our strategy - based on organic growth and

the expansion of activities generating steady

income - is exactly what is required in today’s

arduous economic conditions. Stable income is

all-important in this new and challenging com-

mercial environment. At the same time, the

crisis in world markets is now accelerating the

long-term trend of consolidation. In this sense,

the new environment is creating fresh oppor-

tunities for SMIT to grow.

With this promising background in mind, we

reject the attempted imposition of a Boskalis

break-up of SMIT. There is some history behind

Boskalis’ pursuit of SMIT. There has been inter-

est on this front for many years. In February

2008 Boskalis made a public offer for our

terminals business. This was rejected, as the

Terminals Division is an integral part of our

service offering with lots of synergies with the

other Divisions in place.

In mid-September Boskalis came back with

an offer for the entire SMIT Group. They

announced that SMIT would be split into a

minimum of three sections, two of which

would be sold off. This was flatly rejected.

Boskalis has undervalued SMIT and, most

importantly, seeks to break up the business.

SMIT Harbour Towage would have been sold

to one or more unidentified parties. SMIT

Terminals would have been sold to Lamnalco

(the Boskalis/Rezayat joint venture) and SMIT

Salvage, SMIT Transport & Heavy Lift would

have been absorbed by Boskalis.

We remain firm in our belief in the inherent

value of the current four-Division SMIT struc-

ture. For these reasons, we are resolved to

maintain our close ties and strong relation-

ships with clients. For these reasons, we whole-

heartedly reject the break-up scenario. Our

position is rooted in the tremendous progress

made by SMIT over the past six years. We have

achieved steady growth and boosted share

value. Much of this success reflects the great

synergies existing between the four Divisions.

The vast majority of our shareholders recog-

nise what would be placed at risk in a break-

up. They remain loyal. I thank them for their

confidence in our vision of SMIT’s future. It is

true, naturally, that the global financial crisis

is imposing new strains and influences. Yet

it is also true that all past discussions with

Boskalis have ended with a clear view: no syn-

ergy exists between the groups. The events of

recent months have done nothing to change

that fundamental reality. SMIT and the world

of dredging are very far apart, in terms of busi-

ness approach and entrepreneurial spirit.

According to stock market regulations Boskalis

has to make public its intentions before

December 8.

Mid-year results Turning to SMIT’s reality, I was very encour-

aged at the first half year performance. We

saw a record outcome in terms of revenues

and net profit was unchanged, despite a sub-

stantial dollar downturn. The quality of first

half results was also very impressive. We fore-

casted a marked improvement for the second

half of this year. This means an improvement

in the 7-12 per cent range. In turn, this implies

an end-year result of around €100 million, as

against €105 million in 2007. This is impressive,

given the fall in the dollar and lower income

from the Salvage Division (which experienced

an extraordinary year in 2007). Above all, this

will demonstrate the effectiveness of a com-

mercial strategy based on steady income gen-

eration.

SMIT Harbour Towage performed well during

the first half, with a significant increase in

results. During February we concluded the

increase of our shareholding in URS to 100

per cent. Antwerp performed very well during

the first half. Developments elsewhere in the

world during the first half included the launch

of eight of a series of 18 newbuildings for the

joint venture SMIT Rebras in Brazil. Our target

for the Harbour Towage Division is a 50 per

cent increase in net result over the five years

commencing 2007.

SMIT Terminals achieved a satisfactory first

half result, given that this Division is the most

exposed to dollar influences. This negative

effect was fully compensated by the success-

ful renewal of a series of five contracts. We

also look forward to income from major new

contracts in Italy and Kuwait, which will begin

to contribute to results in 2009. We are now

on course towards our target: a 100 per cent

increase in the Division’s net profit over the five

years starting in 2007.

SMIT Salvage contributed extraordinarily well

to results in 2007, largely as a result of the

huge demand for salvage and wreck removal

services following hurricanes Rita and Katrina.

This year the Division’s contribution is likely

to be in line with the historical average over

the last five years. Even this figure should be

regarded as unusually high due to the impact

of the extraordinary results of 2007.

SMIT Transport’s result’s showed strong growth

in the first half. This success story is founded

on high vessel employment levels, servic-

ing long-term contracts. The smaller vessels

and barges are also doing well on the spot

market. As for SMIT Heavy Lift, results were

influenced by the rescheduling of a number of

projects. However, the opportunity was taken

to progress maintenance of the sheerlegs, in

readiness for a second half which saw all units

fully employed.

Looking ahead, our confidence in the future is

translating into expansion of our operations in

Latin America, Eastern Europe and the Far East.

During the first half, for example, we mobilised

tugs from Rotterdam and Antwerp to Ventspils

and Klaipeda, to reinforce the fleets in these

Baltic ports together with our partner, Towmar.

We also continued to develop our new harbour

towage services cooperation agreements in

Taiwan and China. We now have fresh oppor-

tunities to exploit synergies between the

Divisions and continue our advance in 2009.

Ben Vree

Chief Executive Officer

WELL-POSITIONED TO THRIVE IN THE NEW ENVIRONMENT

The first two in a series of four newbuild

3213 class ASD tugs will be delivered in the

second quarter of next year. These vessels,

designed in partnership with Damen, are

building at the Song Cam shipyard (Damen)

in Vietnam, Haiphong. The second pair of

3213 tugs will join the fleet in the third

quarter of 2009. These newbuildings are

expected to proceed to Rotterdam, for

service in the Maasvlakte.

The new vessels, in the 85-90 tonnes bol-

lard pull range, are specially designed and

equipped for service at LNG terminals. LNG-

specific systems include remote closure of

engineroom and accommodation intakes

(from the bridge), gas detection systems and

external lighting.

The 3213 class is a modern concept combin-

ing power and high manoeuvrability. Damen

was responsible for the hull design, while SMIT

developed the deck and accommodation lay-

outs. The many innovative features include

equipment and machinery designed for low

maintenance. The tugs feature two main

engines and two azimuth units.

The 3213 design is focused on future service

needs at Rotterdam - Europoort’s Maasvlakte 2

LNG and container terminals. The 3213 class,

however, offers great flexibility. Potential

roles range from terminal duties and harbour

towage assistance to tug escort and coastal

towing. The equipment outfit includes a dou-

ble-drum render and recover forward winch,

for harbour duties, and a towing winch and

associated equipment at the stern deck. In the

harbour towage/terminal role the 3213 offers a

high level of tow safety, especially in the indi-

rect towing mode.

New orders placed by SMIT in recent months

include two new tugs for URS. These are to be

built by the Turkish yard Dearsan. These Robert

Allan 3200 series tugs, rated at 65 tonnes bol-

lard pull, will be delivered early next year.

During September Damen’s yard in Romania

completed the ‘Smit Schelde’, a 2810 tug with

a 60 tonnes bollard pull. This newbuilding

recently arrived in Rotterdam. September also

saw completion of the ‘Smit Bubyan’, built by

Strategic Marine Singapore. This 22 metre

crew/pilot vessel is for service in Kuwait.

Scheduled for delivery in November is another

2810 newbuilding from Damen, Romania,

also for service in Kuwait. This tug is the ‘Smit

Martinique’.

During December the Turkish yard of Bogazici

will deliver the 70 tonnes bollard pull ASD tug

‘San Nicola AT’ . This is one of four tugs in the

class ordered for service at the new Adriatic

LNG offshore facility, Italy.

FIRST 3213 CLASS TUGS JOIN SMIT’S FLEET

www.smit.com3

tug magazine

SMIT’s harbour towage services are now

commencing in Lithuania and Latvia, under

the banner of a new joint venture known as

Towmar SMIT. These operations focus on the

Lithuanian port of Klaipeda and the major

Latvian oil export port of Ventspils. Traffic

levels are rising at both ports and there is

substantial future growth potential, given

the huge Russian hinterland.

Loek Kullberg, Managing Director of SMIT’s

Harbour Towage Division, explains: “We have

known Towmar for some years, as a result of

our terminal support operations at Klaipeda.

Towmar approached us a year ago to discuss a

joint venture.

“We found there was much common ground.

Towmar wanted to grow and it sought a suit-

able partner. SMIT regards Eastern Europe as

a priority region for expansion, so as to follow

our global customers. This joint venture came

together on the basis of redeployment of a

number of SMIT tugs to Klaipeda and Ventspils.”

Towmar has a fleet of eight tugs - five based

at Klaipeda and three at Ventspils. Two of

the latter are bareboat charters and will be

replaced by the 2810 tugs ‘Smit Aruba’ and

‘Smit Mersey’ towards the end of the first quar-

ter of 2009. At that point ‘Smit Trinidad’ - cur-

rently at Ventspils - will redeploy to Klaipeda.

Loek Kullberg says: “Smit Trinidad’ is a new-

building. Ventspils was her first significant

deployment, following delivery from a

Romanian yard during the Summer period. The

joint venture began operations, in the formal

sense, during October. Towmar SMIT has an

ambitious development plan, based on har-

bour towage services provision in six ports in

Lithuania, Latvia, Estonia and St. Petersburg in

Russia.”

Growth in Latin AmericaDuring the second quarter of this year, in

Argentina, SMIT acquired the local tug opera-

tor Satecna Costa Afuera. Four tugs are now

operating at Bahía Blanca. They include the

‘Smit Antigua’. In addition, two tugs are oper-

ating in the north, at Buenos Aires - the ‘Smit

Jamaica’ and ‘Buni’.

Loek Kullberg says: “Business volume is increas-

ing at both ports. At Buenos Aires, for example,

a new customer in the container trades has

prompted us to plan for the deployment of

another 2810 at this port.”

Progress in AsiaExpansion is also continuing in the Far East

region. Recently, SMIT Harbour Towage con-

cluded a new joint venture agreement with

Kueen Yang Enterprise, a local tug operator

based at Taipei. Kueen Yang has a six-year con-

tract with the Taipei Port Authority to provide

harbour towage services.

Loek Kullberg says: “The new joint venture will

operate three ASD tugs and, in addition, the

4,000 bhp Voith-Schneider tug ‘Union 9’ (for-

merly based at Antwerp). Operations at Taipei

commence on January 1 next year. We plan

to deploy a second 4,000 bhp tug at Taipei

in January 2011. Furthermore, as from April

2009, the 5,000 bhp Voith-Schneider tug ‘Smit

Trafalgar’ (formerly based at Liverpool), will be

deployed at Taipei. This tug’s role would be to

assist very large container vessels.

“Elsewhere in Asia we recently signed a joint

venture agreement with the Port Authority of

Taizhou, China, for the provision of harbour

towage services. This will result in the deploy-

ment of the ‘Smit Puma’.”

The ‘Smit Trafalgar’ will not be replaced at

Liverpool. The Liverpool fleet will thus con-

sist of two 60 tonnes bollard pull tugs (‘Smit

Barbados’ and ‘Smit Donau’), together with

three Voith-Schneiders (‘Smit Liverpool’, ‘Smit

Collingwood’ and ‘Smit Waterloo’).

In Rotterdam, the 2810 new generation tugs

‘Smit Schelde’ and ‘Smit Hudson’ arrived during

the September/October period. The 60 tonnes

bollard pull newbuildings are equipped for

two-man operation. In addition, the ‘Smit

Portugal’ is departing Rotterdam for operation

on the spot market - with the eventual goal of

service in Indian waters.

During December two bareboat-chartered

Robert Allan 3200 series tugs will be deployed

at Antwerp. This charter agreement with

Globeco spans five years. Beyond the Globeco

charter, URS has also acquired two 65 tonnes

bollard pull ASD tugs from the Turkish yard

Dearsan. They will replace two existing URS

tugs, including the ‘Union 9’, currently operat-

ing in Taiwan.

SMIT’S HARBOUR TOWAGE SERVICES EXPAND IN EASTERN EUROPE

SMIT Terminals secured a new contract in

September relating to bunkering services

in the Bahamas. A new bunker barge was

constructed under a contract with Vopak,

to provide bunkering services at the Shell

terminal in the Bahamas. This Vopak-

operated facility is a six-berth terminal at

Grand Bahama Island. Three SMIT tugs serv-

ice this terminal: the 65 tonnes bollard pull

‘Smit Oneida’ and ‘Smit Missouri’ and the 45

tonnes bollard pull ‘Smit Abaco’.

The new bunker barge, the ‘Smit Inesita’, is

a double hull construction. Built in Orange,

Texas, the 35,000 bbls. capacity barge was

delivered in mid-November.

Loek Kullberg, Managing Director of SMIT’s

Terminals Division comments: “The bunker

operations contract in the Bahamas has a

five-year span, plus five one-year options. The

barge will service tankers calling at the Vopak

Terminal and, in addition, other vessels calling

at Grand Bahama to bunker. We are very proud

of this expansion of our services”.

Elsewhere in the world, SMIT Terminals

recently signed a contract requiring the provi-

sion of a 45 tonnes bollard pull ASD tug (KST-

built) for service at Port Qasim, Pakistan.

Loek Kullberg says: “In addition, the third quar-

ter of the year saw commencement of SMIT’s

four-year contract with Kuwait Oil Company

(KOC) to support vessels calling at KOC ter-

minals in Kuwait - both onshore terminals

and SPMs offshore. The contract began in

November. A total of 10 vessels are required,

including five tugs. The latter include the

70 tonnes bollard pull ‘Smit Africa’ and ‘Smit

Europe’.”

The start date for another major SMIT Terminals

contract - support for the Adriatic LNG offshore

terminal - has been deferred until next March.

The four 70 tonnes bollard pull newbuildings

required for this contract were delivered during

the final quarter of this year. They secured

short-term work in Italian waters, pending the

commencement of the LNG contract.

NEW BUNKERING SERVICES CONTRACT IN BAHAMAS

Extreme weather events continue to con-

tribute to the SMIT Salvage workload. This

year, so far, has seen severe storms in North

West Europe and Asia, together with hurri-

cane Ike in the US Gulf. Each event produced

casualties among vessels proceeding in the

affected areas.

Abel Dutilh, Managing Director of SMIT’s

Salvage Division, says: “The aftermath of

hurricanes Rita and Katrina involved major

programmes of salvage and wreck clearance

spanning a period of three years. Our teams

were still working on Katrina - related projects

this year. Then, in the third quarter, hurricane

Ike struck the US Gulf. While the damage was

not as great as some anticipated, the hurricane

left over 10 offshore rigs in a damaged condi-

tion and requiring salvage assistance.

“Tasks following hurricane Ike included the

Lloyd’s Open Form salvage of the bulk carrier

‘Antalina’. This vessel lost power during the

hurricane. SMIT Salvage was also contracted

to remove the wreck of the jack-up ‘Pride

Wyoming’, situated in the shallow waters of

the Gulf. ‘Taklift 1’ has been mobilised for this

assignment.”

During the course of the year to end-Septem-

ber SMIT Salvage secured some 20 Lloyd’s

Open Forms, although these cases were not

of a major character. There was good news

from South Africa. SMIT secured an extension

to its standby salvage contract with the South

African Maritime Safety Authority (SAMSA),

a service provided through the deployment

of the Cape Town-based salvage tug ‘Smit

Amandla’.

This year saw further progress in the removal

of the wreck of the container vessel ‘MSC

Napoli’, beached off the Devon coast in

early 2007 in order to prevent her sinking.

Subsequently, SMIT Salvage removed bunkers

and more than 2,000 containers. Abel Dutilh

says: “Operations were suspended for the

winter period, following the removal of around

3,000 tonnes of the vessel’s structure.”

SALVAGE TASKS IN THE WAKE OF HURRICANE IKE

Crew/pilot vessel ‘Smit Failaka’ - as well

as sister vessel ‘Smit Bubyan’ - will be

deployed for the KOC contract in Kuwait.

‘Smit Amandla’ responding to a vessel in distress.

Harbour tug ‘Smit Jamaica’ attending to a container vessel in

the port of Buenos Aires, Argentina.

Harbour tugs ‘Smit Donau’, ‘Smit Collingwood’ and

‘Smit Barbados’ assisted cruiseship ‘Queen Elisabeth 2’

at arrival, berthing and departure from Liverpool, UK.

Sheerlegs ‘Taklift 1’ was mobilised for the wreck removal of

platform ‘Pride Wyoming’ in the Gulf of Mexico.

Multipurpose vessel ‘Smit Al Kout’ was delivered by Neptune Marine Services, the Netherlands.

The vessel will be deployed for maintance work at the SPM buoys in Kuwait for SMIT Terminals.

The newly built bunker barge ‘Smit Inesita’.

SMIT Harbour Towage assisting the semi-submersible drilling

rig ‘Blackford Dolphin’ during tests at Europoort, in Rotterdam.

www.smit.com5

tug magazine

Lloyd’s Open Form (LOF 2000) cases for

SMIT Salvage in the second half of this year

included ‘DINA Barge’ and her cargo of 12

river barges. This vessel was on a voyage

from the Far East to Europe when the tow

was lost in a violent storm. ‘DINA Barge’

eventually grounded on the Indian west

coast, at a location around 90 kilometres

south of Mumbai.

With LOF 2000 agreed, two tugs were dis-

patched from Dubai. The 120 tonnes bollard

pull ‘Matsas Star’ and 82 tonnes bollard pull

‘Seacor Valor’ reached the casualty and found

‘DINA Barge’ to be inaccessible, at a position far

into the shallows.

SMIT Salvage has a solution to such difficulties

- the use of Dyneema synthetic towing wire.

These towing wires have a strength equivalent

to steel but have only one fifth of the weight.

Lightweight synthetic towing wire makes it

possible to rig a long-distance tow connection,

using small craft working in the shallows or

even, in some cases, helicopters.

‘DINA Barge’ was out of reach in terms of a

conventional tow connection. She was also

distant enough to test even the Dyneema

solution. Nevertheless, SMIT Salvage mobilised

two Dyneema towing wires which, together,

produced a single towing wire of the required

length of 1,900 metres. The towing wires,

flown in from Rotterdam and Cape Town, were

loaded onto ‘Seacor Valor’ for the voyage to the

grounding location.

The salvage contract was agreed on August 12

and, subsequently, the two tugs connected to

‘DINA Barge’ by the ultra-long synthetic towing

wire. They succeeded in refloating the casu-

alty on August 31. This was the first use of a

Dyneema towing wire of such length. The key

to success here was detailed preparation. As a

result, the operation to connect up the towing

wire took just four hours. At this stage, it was

important to avoid an excessive bow in such

a long towing wire, so permitting the tugs to

pull as straight as possible. The connection to

the two tugs were made by means of a trian-

gular plate.

This was a challenging project in many ways,

extending beyond the inability to rig a con-

ventional towing wire. For example, there was

no scope for lightering this vessel. Success,

therefore depended on being ready for the

only spring tide available until the end of the

monsoon season. Failure to meet this deadline

would have condemned the ‘DINA Barge’ to a

lengthy stay on that Indian beach.

Saving ‘Peonia’SMIT Salvage operations in the third quarter

also included the freeing of the 28,978 DWT

chemical/oil tanker ‘Peonia’ from her ground-

ing position north east of Isla de Maio, Cape

Verde, during July.

This vessel was proceeding on a voyage from

San Lorenzo, Argentina, to the Algerian port

of Bejaja when the grounding occurred on

July 1. This was a LOF 2000 salvage requiring a

substantial mobilisation. A salvage team flew

in from Rotterdam and tugs were dispatched

from West African waters. Lightering ton-

nage was arranged, for mobilisation from the

Mediterranean. This vessel was required as a

salvage inspection had led to the conclusion

that refloating necessitated the discharge of

fuel and cargo, to lighten the vessel.

Things then took a different turn. The most

immediate threat was damage caused by the

casualty’s excessive movement in the heavy

swell. With this in mind, plans were changed

and preparations were made for an early

refloating attempt, prior to the arrival of the

lightering vessel.

In the event, the salvage team succeeded,

refloating the ‘Peonia’ on July 9. This casualty

was then towed by the tug ‘Malika’ to Isla de

Santiago. Subsequently, a ship-to-ship transfer

to the lightering tanker ‘Alice’ was performed in

Porto Grande Bay.

The ‘Peonia’ salvage ended in success due to

SMIT’s flexibility of approach. Recognising the

inherent dangers of excessive movement, the

Salvage Master and his team responded with

new tactics to save vessel and cargo and safe-

guard the environment.

This year also saw a second season of work on

the wreck of the container vessel ‘MSC Napoli’,

off the UK’s Devon coast. This vessel was delib-

erately beached in January 2007, in order to

prevent her sinking. During 2007 SMIT Salvage

removed bunkers and over 2,000 containers.

Work on the wreck removal progressed this

year, with the removal of some 3,000 tonnes

of steel.

WHEN CONNECTING UP IS HARD TO DO

SMIT Salvage assignments during the first

six months of this year included a challeng-

ing project to remove all oil residues from

the accommodation block and engineroom

of the wreck of the Very Large Crude Carrier

(VLCC) ‘Haven’.

This VLCC was lost off the Italian coast in the

1980s, following a catastrophic explosion. It

was known that this wreck’s cargo tanks were

empty. Most of her cargo was consumed in

a fire of huge proportions, at the time of the

loss. In recent times, however, the Municipality

of Genoa became increasingly concerned at

the threat of persistent oil seepage from the

‘Haven’. This threatened tourist beaches and

the concentration of oyster and mussel fisher-

ies in the area.

Accordingly, the Municipality awarded a con-

tract to SMIT Salvage calling for the systematic

search of spaces and the recovery of all residues

from the accommodation and engineroom.

The project spread mobilised included SMIT’s

MINI SAT saturation diving system. SMIT’s

diving team worked in depths of up to 75

metres. The spread also included a barge with

four-point moorings, acting as a surface plat-

form for the project team.

The work was progressed

from the top down by

surface demand divers and

from the bottom up by the

saturation diving team.

A total of 115 spaces were

checked and subsequently

certified as oil free. The oil

residues were removed

by vacuum tools. Tank

residues were recovered by

means of pumping from

hot-tap stations estab-

lished on the wreck’s hull.

Other oil removal opera-

tions this year included

work on the pusher-tug

‘Norsul Vitoria’, which

capsized at Ilha de Sao

Francisco do Sul - together

with the barge ‘Norsul

12’ - at the end of January.

The barge was laden with

9,000 tonnes of steel coils.

The work method here

involved hot-tapping and

skimming. Around 160

cubic metres of oil was

recovered.

Future work Another pollutant recovery assignment will be

undertaken in the New Year by SMIT Salvage.

The project calls for the removal of 300 tonnes

of Intermediate Fuel Oil (IFO) from the wreck

of the general cargo vessel ‘Ice Prince’, lost

recently in the English Channel when her

timber cargo shifted. The ‘Ice Prince’ IFO recov-

ery will be a diverless operation, utilising the

remote-operated ROLS hot-tap/pumping

system.

There are also prospects for more salvage

and wreck removal work in the aftermath of

hurricane Ike, which struck the US Gulf Coast

in September of this year.

The SMIT floating sheerlegs ‘Taklift 1’, with a

full salvage spread, responded to the ‘Pride

Wyoming’. This platform was left virtually sub-

merged following hurricane Ike and is now the

subject of a wreck removal. Underwater activi-

ties will involve work as deep as 160 feet.

Many more rigs require salvage attention

following this hurricane. A number can be

expected to develop into major wreck removal

projects.

DEFENDING THE ITALIAN COAST FROM PERSISTENT OIL SEEPAGE

A saturation diver leaves the diving bell at 75 metre waterdepth.

The interior of the compression tank in which the saturation

divers were accommodated in between dives to the wreck.

A diving bell took SMIT’s saturation divers to a depth of 75 metres.

Barge ‘Ilma’ served as surface platform for the salvage team during the ‘Haven’ oil recovery project.

The salvage of ‘DINA barge’ required a towing wire of nearly

2 kilometres.

SMIT Salvage refloated tanker ‘Peonia’, which grounded off

Cape Verde.

www.smit.com7

tug magazine

SMIT Salvage established its Innovation &

Business Development Department in order

to integrate four main areas of interest for

the longer term development in the Salvage

Division. This department is about much

more than R&D. Naturally, innovation - as

a product of R&D - forms part of the remit.

At the same time, however, the business

development aspect is devoted to the inves-

tigation of new markets for SMIT Salvage

expertise and services that aim to prevent

pollution and protect the marine environ-

ment. In addition, it is of great importance

to provide continuous development and

training of SMIT’s naval architects and, last

but not least, to retain and transfer tech-

nical expertise and knowledge within the

organisation.

SMIT’s Innovation & Business Development

Department is an unusual concept in the world

of salvage. Manager Bert van der Velden com-

ments: “Salvage, of course, has its inherent

uncertainties. At first glance it may be difficult

to see how one can actually shape business

development. There are trends in the market,

however, which now provide more scope

for securing a greater proportion of steady

income from salvage and pollution prevention

services. The most significant influence, natu-

rally, is the continued growth in environmental

concern.”

The department, while part of SMIT’s Salvage

Division, provides innovation and business

development services in a broader sense. It is

manned by a dedicated team of naval archi-

tects, business developers/consultants and

technical specialists. The department has the

resources and assets to look beyond tomorrow.

In considering today’s market, there are some

apparently conflicting trends. The number of

vessels trading continues to increase and a

larger proportion of these vessels are big ships.

At the same time, new technology and other

factors have made vessels safer. Nevertheless,

there is still an acute shortage of qualified crew

at the global level.

There is clear statistical evidence that the

number of vessels requiring salvage assist-

ance is in decline and this may well continue.

On the other hand, salvaged values now are

much higher. Salvage operations are becoming

larger and more complex. Furthermore, as the

number of casualties declines, it becomes ever

more important to secure these assignments,

in order to stay at the forefront of marine sal-

vage and wreck removal.

The results of SMIT’s analysis suggest that,

overall, the market for salvage and wreck

removal services is likely to grow, at least in

terms of value. The challenge now is to reduce

the business uncertainties that stem from the

unpredictability of casualty salvage. One way

forward is to package salvage-related ser-

vices that generate a greater volume of steady

income. In turn, this requires the development

and expansion of our environmental care offer-

ing and the forging of long-term relationships

with clients.

New initiatives include developing new joint

services with regional partners, so increasing

geographical spread. One notable example is

the cooperation agreement reached during

the second quarter of this year between SMIT

Salvage and Alpina Briggs. This is for the provi-

sion of front-line marine emergency response

services to the maritime sector in Brazil. Under

the agreement SMIT Salvage provides emer-

gency response, bunker and cargo recovery

and wreck removal services, while Alpina

Briggs is responsible for spill prevention

and response. Alpina Briggs, a joint venture

between Brazilian Alpina Ambiental S.A. and

British Briggs Marine Ltd, has been active in

the market for the past eight years. It is now

responsible for the operation of more than

45 Environment Defence Units in Brazil and

abroad, supplying services and equipment for

oil spill response. The company strengthens its

activities abroad by promoting and organising

drills and exercises simulating spills involving

oil and oil derivatives, technical training pro-

grammes, environmental planning and consul-

tancy work, as well as supplying equipment.

SMIT’s and Alpina Briggs’ services are fully

complementary, so providing added value to

the customers in total turnkey solutions.

Another development is the provision of

standby salvage services involving ETVs, or

Emergency Towing Vessels. More countries

are now receptive to the ETV solution. SMIT

intends to expand its involvement in standby

salvage arrangements and ETVs, also for the

oil & gas industry.

Much of the department’s innovation work-

load centres on new challenges arising from

the entry into service of ever larger vessels,

including container vessels in the 14,000 TEU

class and new, mega LNG carriers. SMIT has to

be ready to face the challenge of a container

vessels casualty around four times larger than

the ‘MSC Napoli’. Many of the problems are

logistical, as groundings often happen at very

remote locations. There is also the need for

specialised equipment. SMIT has taken the

initiative here. It is looking into the feasibility

of an emergency discharge system for ultra-

large container vessels. At the same time, it has

taken important steps in the area of knowl-

edge management. SMIT Salvage wants to

ensure the structured transmission of expertise

from one generation to the next. As always, the

organisation looks beyond tomorrow.

EXPLOITING SYNERGIES BETWEEN INNOVATION AND BUSINESS DEVELOPMENT

foundations required for the Rodsand II wind-

farm in Danish waters.”

New deliveries for SMIT’s expanding transport

fleet during the first quarter of next year will

include four 84-metre barges from the yard of

Jiangmen Nanyang Ship Engineering. These

barges are required for operations in the North

Sea region.

Recent new orders include two DP2-equipped

“L Class” vessels, required by the joint venture

Ocean Marine Services of Egypt. These vessels,

due for delivery in 2010, will contribute to fleet

renewal.

Abel Dutilh says: “There is more work in pros-

pect in Brazil. Forthcoming projects requiring

heavy lift services include the ‘P.56’, a semi sub-

mersible type FPSO, building at Brasfels.”

In the heavy lift sector SMIT sheerlegs are experi-

encing an intensive programme of work, follow-

ing a relatively quiet first half. Asian Lift is also

exceptionally busy, with its sheerlegs achieving

extraordinarily high levels of utilisation.

Abel Dutilh says: “Looking at our deployments

worldwide, ‘Taklift 7’ continues its assignment

at the Yemeni port of Balhav, where a new LNG

terminal is under construction. This sheerlegs

is providing heavy lift support for main con-

tractor Muhibbah of Malaysia. This series of

jacket lifts is nearing completion.

“’Taklift 4’ is undertaking a large number of

short duration projects in North West Europe,

while ‘Taklift 6’ is continuing to play a major

role in the removal of the wreck of the bulk

carrier ‘New Flame’, at Gibraltar. Meanwhile,

‘Taklift 1’ is engaged in salvage support work in

the US Gulf.”

Other Division activities include the recently

commenced transportation of aggregates

for the construction of a new LNG facility in

Angola, completion of the first phase of SMIT

Marine Projects work associated with the

installation of the MOPUstor platform in the

Norwegian sector of the North Sea - with a

second phase of works to start in the New Year

- and a new, five-year contract for SMIT Subsea,

to provide diving support for Qatar Petroleum

at two locations.

“L CLASS” NEWBUILDING PROGRAMME REACHES COMPLETION

‘Smit Laisa’, the final vessel in a series of

seven “L Class” newbuildings to be deliv-

ered, joined the SMIT fleet in July. All

“L Class” vessels are now committed to

long-term work programmes in Gabon and

the Middle East (on behalf of Saudi Aramco).

Abel Dutilh, Managing Director of SMIT’s

Transport & Heavy Lift Division, says: “The first

of the “L Class” vessels, ‘Smit Lombok’, is near-

ing the completion of a three-year contract in

Saudi Arabia. A new contract has been con-

cluded for another three-year period, but on

this occasion for operation in South East Asia.

Meanwhile, SMIT Transport has secured the

renewal of a contract to support the offshore

mining operations of De Beers in Namibian

and South African waters. Activities centre on

Port Nolloth, on the north west coast of South

Africa, close to the Namibian border. The con-

tract requires two supply crafts. This is a five-

year renewal, together with three one-year

options.

SMIT’s “B Class” vessels also continue to enjoy

exceptionally high rates of utilisation. Abel

Dutilh adds: “We are also increasingly involved

in windfarm-related work. The submersible

barge ‘Smit Anambas’, for example, is about to

start a one-year transport contract for turbine

Sheerlegs ‘Taklift 4’ unloading hulls of

inland vessels in the port of Rotterdam.

SMIT Marine Projects commenced transportation

of aggregates from Dande to Soyo in Angola for

the construction of a new LNG facility.

SMIT Heavy Lift previously installed modules onto

several new Petrobras FPSOs and FSOs in Brazil.

SMIT Transport’s ‘Smit Bever’ and “B Class” vessel

‘Smit Bronco’ assisted in the installation of the second

transformer station for Robin Rigg windfarm.

SMIT Salvage provides emergency response services to the maritime sector in Brazil, under a cooperation agreement with Alpina Briggs.

www.smit.com9

tug magazine

The MOPUstor was positioned with assistence of four anchor

handlers and installation vessel ‘Polar Prince’.

Semi-submersible barge ‘Giant 4’s second

half 2008 projects included a three-

month assignment for Bard Engineering

GMBH, centred on the German port of

Wilhelmshaven. The big barge’s role was

to act as the offshore lifting platform

for installing turbines for the Hooksiel

Windfarm project. For the purposes of

this contract, the 24,000 DWT vessel was

equipped with a very large mobile crane

(DEMAG CC6800).

The beginning of the final quarter saw sister

vessel ‘Giant 3’ performing the first transport

in a new series moving river barges from New

Orleans to the Parana River, near Buenos Aires.

The client is Interbarges S.A. This is the first

of two voyages. ‘Giant 3’ is no stranger to the

Parana River. Over the past year, the semi-

submersible has transported hopper barges

and tugs for the Km171 Parana River project. In

this case the client was Louis Dreyfus division

Urugrain S.A.

In addition, Interbarge of Houston has shown

interest in ‘Giant 3’ for another two voyages

from New Orleans to Buenos Aires. Over

the past two years ‘Smit Anambas’ has com-

pleted six such voyages, including four for

Interbarge’s account. These assignments reflect

the strong demand for barge tonnage for serv-

ice on the Parana River, required to carry car-

goes such as iron ore and soya.

Meanwhile, ‘Giant 2’ has completed its project

for Swiber Offshore of Singapore, involving

the transportation of two jackets from Batam

to location offshore Indonesia. This barge was

redelivered in late September. This assign-

ment followed a lengthy contract with J. Ray

McDermott, calling for the transportation of

piles from Jebel Ali to Kakinada, on the east

coast of India.

‘Smit Anambas’ demobilised from its series of

barge transportation voyages to the Parana

River in August. Next January 1 this vessel

will commence a 330-day charter for Danish

contractor Per Aarsleff. The contract is for the

transport of turbine foundations required for

the Rodsand II windfarm development, off the

Danish coast. The foundations will be lifted off

by ballasting down the barge.

‘Smitbarge 2’ is committed in Angola until

2010. The vessel is transporting aggregates

required for a new LNG terminal at Soyo. This

contract is with Bechtel.

SMIT’s four 84 metre newbuildings -

Smitbarges 5, 6, 7 and 8 - will be delivered by a

Chinese yard at the end of this year. They are to

be towed to North West Europe, where there

are good prospects for these vessels.

‘Smit Kamara’, under charter to Shell for five

years as an offshore platform maintenance

vessel, has completed two years free of lost-

time incidents.

WINDFARM SCHEMES FEATURE IN TRANSPORT WORKLOAD

Windfarm developments in North West

Europe are providing a series of tasks for

SMIT’s 1,600 tonnes lift capacity sheerlegs

‘Taklift 4’. Moving on from completion of

heavy lifts for a windfarm project in German

waters, the sheerlegs proceeded to the UK,

for a similar project in the Irish Sea.

‘Taklift 4’ installed a jacket and topsides for the

German Bight development during the third

quarter. This project is the Doti Alpha Ventus

windfarm. The lifts were performed on behalf

of the German joint venture between Hochtief

and Bilfinger Berger.

The 500 tonnes

jacket was

picked up at

Wilhelmshaven.

‘Taklift 4’ then

sailed with the

jacket in the hooks

for the 80 miles

voyage to location.

Subsequently, the

700 tonnes top-

side was loaded

onto a barge at

Wilhelmshaven

and towed to

Eemshaven.

‘Taklift 4’ then lifted

the topside, pro-

ceeded to location and installed the structure

onto the jacket. This project was completed by

late September.

‘Taklift 4’ then made for Rotterdam, to mobi-

lise for the Robin Rigg project off Barrow, UK.

This contract was awarded by MT Højgaard. It

called for the installation of an equipment deck

on the eastern substation for the Robin Rigg

windfarm. The transformer station weighed in

at 400 tonnes. This lift took place during slack

tide conditions in October.

The big sheerlegs’ next assignment was in

Norway. During mid-November ‘Taklift 4’ com-

menced the lifting programme required for

decommissioning the large jacket from the

Frigg Field, in a fjord near Stavanger. This struc-

ture was cut into sections, which were then

lifted and transported to a nearby scrap facility.

Meanwhile, ‘Taklift 7’ continues its programme

of work in Yemen for Muhibbah Engineering.

This project involves the placing of jackets for

a new LNG terminal. Work on site will be com-

pleted in December. At that point, ‘Taklift 7’ will

demobilise and return to North West Europe. In

addition, ‘Taklift 1’ is engaged in a wide range

of salvage and wreck removal works in the US

Gulf, primarily as a result of damage to offshore

installations caused by hurricane Ike.

‘TAKLIFT 4’ TACKLES EUROPEAN WINDFARM LIFTS

SMIT MARINE PROJECTS COMPLETES FIRST PHASE OF MOPUSTOR INSTALLATION

During the European Summer period SMIT

Marine Projects successfully completed the

first phase of the transport and installation

of the MOPUstor production and storage

facility, in the Norwegian sector of the

North Sea.

This new structure is being installed in the

Yme Field, in the Egersund Basin at a position

around 110 kilometres off Stavanger. Water

depth on location is 93 metres.

The MOPUstor consists a three-leg produc-

tion jack-up (the MOPU, or Mobile Offshore

Production Unit), mounted on a substructure

comprising a storage tank, caisson, columns

and bracings. The substructure provides capac-

ity for the subsea storage of 300,000 bbls of

produced oil and also serves as the gravity

base foundation for the jack-up.

SMIT Marine Projects’ first task called for the

transport and installation of the substruc-

ture. This was fabricated by MMHE Malaysia

and transported dry to North West Europe by

heavy lift vessel. Outfitting was carried out in

Keppel Verolme yard, Rotterdam and subse-

quently finalised in Westcon’s yard, Ølen Fjord

in Norway.

The SMIT project team assembled in Norway in

early August. Two large anchorhandlers were

deployed to tow the substructure to location.

The towout commenced at the end of August,

however upon arrival in the field the installa-

tion was postponed due to weather that dete-

riorated beyond the conditions forecast. Due

to the persistent severe weather the substruc-

ture was brought into shelter at Amøyfjorden

near Stavanger. When a high pressure sud-

denly developed above Norway resulting

in calm seas the convoy left Stavanger on

September 12 and the day-long tow to loca-

tion was completed without incident.

With additional vessel assistance on-scene,

comprising of another two anchor handling

tugs the substructure was hooked up into

the prelaid moorings. With the substruc-

ture corners connected to the stern of the

anchor handlers and their bows connected

to the prelaid moorings, the tension in the

wires was increased for fine-positioning. The

DP-equipped installation vessel ‘Polar Prince’

was connected up to the custom built MEM

(Mechanical Equipment Module) which was

installed by SMIT on the MOPUstor substruc-

ture prior towout.

When all necessary preparations and tests

were completed, remote-operated ballasting

commenced, by means of links between ‘Polar

Prince’ and the MEM. All underwater opera-

tions were continuously monitored by means

of ROVs. The substructure made the controlled

descent onto its 3.5 metre skirts and ballast

was then added to obtain penetration of the

seabed. Pumps were reversed to create suction

and pull the substructure and skirt

One of two ROVs deployed during

the installation of the MOPUstor.

The custom-built MEM.

Towout of the MOPUstor.

‘Taklift 4’ with the equipment deck for the eastern Robin Rigg

windfarm transformer station.

Sheerlegs’Taklift 4’ was involved in the construction

of the Doti Alpha Ventus windfarm in Germany.

‘Giant 3’ loaded with hopper barges and tugs for

transport to the Parana River, near Buenos Aires.

‘Smit Kamara’, deployed as offshore platform

maintenance vessel for Shell, has completed

two years free of lost-time incidents.

Semi-submersible barge ‘Giant 4’ was deployed

as offhore lifting platform for the Hooksiel

Windfarm project in northern Germany.

www.smit.com11

tug magazine

DSV ‘EDT Protea’ at the Shell L9-FF platform in the North Sea.

further into the seabed. With maximum pene-

tration achieved, the void space was filled with

low density grout, pumped from a large grout-

ing plant mounted at the stern of ‘Polar Prince’

and operated subsea by two ROVs.

It took around nine days on site to complete

the offshore works, comprising the tow, hook

up, ballasting, suctioning, grouting, final valve

handlings and then demobilise. Everything

went very smooth thanks to extensive prepa-

rations, a highly motivated project crew and

high quality of project equipment and vessels.

The job was completed well ahead of schedule.

The project team looks forward to phase 2 in

2009.

The second phase of work, planned for the

summer of next year, provides for the trans-

port and installation of the MOPU. This will be

towed by two anchorhandlers to location in

the Yme Field. On arrival, a third anchorhandler

will connect up aft. By tensioning the moor-

ings, with the aft deck connection exerting

back pull, the MOPU and its three long legs will

be manoeuvred into position. Two ROVs will

be used to monitor the critical phase as the

legs are guided into “catchers”. With all three

engaged in the catchers, the legs will be low-

ered, to enter the substructure. The platform

will then be jacked up into the required posi-

tion.

Removing ‘P14-A’Another SMIT Marine Projects team completed

the removal of the ‘P14-A’ gas satellite platform

during June and July. This redundant platform

was located in the Dutch sector of the south-

ern North Sea. The removal was undertaken on

behalf of Wintershall Noordzee B.V. SMIT’s con-

tract covered decommissioning, removal and

disposal. The topside is to be refurbished for

further service, while the drill deck and jacket

is to be scrapped.

SMIT’s team mobilised for ‘P14-A’ in late May

with the 1,600 tonnes lift capacity sheerlegs

‘Taklift 4’ deployed from Brazil, on completion

of its lengthy programme of module and com-

ponent lifts for FPSO newbuildings.

‘Taklift 4’ was required for the first phase of

work, which prepared the topside for removal

in one lift. These preparations involved the

installation of a new pad-eye on the topside,

weld inspections to confirm the integrity of

existing pad-eyes and the cutting of risers and

cables, in preparation for the separation of the

deck structure (topside and drill deck) from the

jacket.

The big sheerlegs was positioned along-

side the platform jacket, with team transfer

to and from the platform by means of the

Ampelmann access system. ‘Taklift 4’ returned

to Rotterdam for the installation of the 30

metre jib required for the main lift. On the

sheerlegs’ return, the rigging was connected

to the pad-eyes and the big lift followed pre-

tensioning and cutting of the legs. The total

weight of the main lift was 740 tonnes.

‘Taklift 4’ held the topside in the blocks for

the voyage to Rotterdam, where the structure

was transferred to a SMIT Transport barge. The

drill deck was separated from the topside in

the Waalhaven. The drill deck was scrapped

and the topside was transported to the NAMI

yard, for refurbishment and re-use for another

Wintershall project.

Back on location, the project team then pre-

pared the jacket for removal. The first stage of

this work involved airlifting and the removal

of soil plugs from inside the jacket legs. The

jacket legs were cut at positions 6 metre below

the seabed, using an abrasive cutting system.

This lift required pin-drilling, as the existing

pad-eyes had insufficient strength to bear

the weight of both jacket and foundation

piles. Lifting pins were installed at the top

of the jacket and lifting slings then rigged.

The jacket and foundation piles, with a total

weight of 855 tonnes, was lifted clear of the

seabed and transported to Rotterdam, with

the assistance of a SMIT tug. On arrival in

Rotterdam, a second sheerlegs was used to

topple the jacket, prior to loading onto a SMIT

Transport barge for the voyage to a scrapyard

at Flushing.

SMIT Subsea Europe’s recent projects

include the first round of diving and ROV

operations required for the M1/M7 develop-

ments in the Dutch sector of the North Sea.

The work began in the M7 Field, with SMIT

Subsea delivering the DP3 Diving Support

Vessel (DSV) ‘EDT Protea’. The DSV, operated

by SMIT Subsea Europe, is fitted with a dedi-

cated surface demand diving system and an

inspection class ROV system. SMIT’s client

for this project is the independent oil com-

pany Cirrus Energy Nederland B.V. The M7

development is centred on a new monopile

installation, tied back to the NAM Shell plat-

form L9-FF. NAM will process the M7 gas.

The scope of work this year included the

installation of a riser, followed in October

by the installation of spool pieces.

As part of the contract with Cirrus, SMIT

Subsea is also providing diving and ROV ser-

vices on board of the construction jack-up

‘Seafox 7’. Working from the ‘Seafox 7’, the M7

monopile platform is to be installed.

Assignments this Summer for SMIT Subsea

Europe also included the disconnection of

the FPSO ‘Uisge Gorm’ in the UK sector of the

central North Sea, close to the UK/Norwegian

border. This contract was awarded by

Bluewater Energy Services/Amerada Hess.

Once again the DP3 DSV ‘EDT Protea’ was

mobilised. The scope of work included discon-

nection of the flowline, umbilicals and risers,

together with mooring lines. The work was

undertaken with divers and the ROV on board.

During several phases of the work the ‘EDT

Protea’ was moored alongside of the FPSO.

One particular feature of this project was its

fast-track character. The contract was awarded

in early July, with just three weeks for prepara-

tion. Diving activities focused on operations

beneath the FPSO’s turret. Hoses were lowered

to the seabed and chains were released. All

work offshore was completed during August-

September.

SMIT SUBSEA EUROPE PROGRESSES CIRRUS GAS DEVELOPMENT

Preparations are under way to provide

services under a major contract extension

for marine support in Durban. Earlier this

year, SMIT Amandla Marine signed a new

agreement with SAPREF (Southern Africa

Petroleum Refineries), a joint venture

between BP and Shell, for refinery terminal

management services in Durban.

SMIT’s existing contract with SAPREF expires at

end-2010. This will roll into a new contract with

a span of 10 years, plus options. The new con-

tract is to be serviced by a newbuild terminal

support vessel.

Paul Maclons, Managing Director of SMIT

Amandla Marine, says: “We are pleased that

this important renewal secures SMIT’s ter-

minal activities in Durban for a decade or

more. September also saw the renewal of our

PetroSA contract for terminal operations at

Mossel Bay. In this case, the span is three years,

plus options.

“Looking ahead, our five-year contract with

DEAT expires in late 2010. This involves vessel

management services for a substantial fleet of

nine vessels, operating in the fisheries protec-

tion and research, offshore patrol and Antarctic

supply roles. These vessels perform vital tasks.

In the fisheries control sector, for example, the

vessels monitor the key parameters - such as

salinity and water temperature - which are

used to set quotas. We intend to put together

an attractive bid for contract renewal.”

Meanwhile, SMIT Amandla Marine has

secured a one-year renewal of its contract for

standby towage services with the National

Department of Transport. Under this com-

mercial arrangement, the tug ‘Smit Amandla’

is tasked to respond to vessels requiring emer-

gency response assistance and so protect the

South African coastline. The current contract

expires this December; the interim renewal

covers 2009. Paul Maclons says: “We are

already thinking about the pending tender for

long-term renewal, commencing 2010. Here,

there is the possibility of a large ETV newbuild

- which would be a major opportunity for the

South African shipbuilding sector. This contract

is likely to be placed in September of next year.

“We believe this vessel can be built in South

Africa. The present tug ‘Smit Amandla’ was

South African-built, as was our recently deliv-

ered bunker barge ‘Smit LiPuma’. There can be

no doubt that an order such as this would give

a major boost to local shipbuilding.”

SMIT AMANDLA MARINE ADVANCES TOWARDS SUSTAINABILITY GOALS

In August, the contract for the Operations and Management

of PetroSA’s Mossel Bay Multi Loading Facility (MLF) in

Voorbaai was awarded to SMIT Amandla Marine for

a period of three years plus options.

The ‘Smit Amandla’ is the standby tug on the South African

coast on contract to the National Department of Transport.

Following the platform’s topside, SMIT Marine

Projects removed the remaining jacket.

Together with another sheerlegs, ‘Taklift 4’ toppled the jacket

prior to its transport to a scrapyard in Flushing.

SMIT Marine Projects removed Wintershall platform

‘P14-A’ from the North Sea.

www.smit.com13

tug magazine

SMIT Amandla Marine is reinforcing its

programme of investment in its employees

through employee assistance and recogni-

tion. One initiative on this front concerns

the Employee Trust, which represents a 12

per cent stake in the company.

Paul Maclons, SMIT Amandla Marine’s

Managing Director, explains: “We want our

employees to really feel that they belong

to SMIT’s family. One way forward here is to

increase understanding of the Employee Trust

and demonstrate its real value to each benefi-

ciary.

“With this in mind we have produced an

Employee Trust Handbook, which sets out in

clear terms the significance and purpose of the

Trust. We have also taken an additional step

which, in appropriate circumstances, allows

the employee to access the value of his or her

stake in the Employee Trust.”

In South Africa there has been a history of

companies making loans to employees. This

is no longer permitted under the recently

promulgated Credit Act. Paul Maclons says: “In

SMIT’s case, employees occasionally face spe-

cial financial demands. For this reason we hope

to establish a Compassionate Fund. In 2009,

the Employee Trust will move into surplus. A

Compassionate Fund would allow this surplus

to be put to the best possible use.”

In an associated move, SMIT Amandla Marine

is to provide employees with access to inde-

pendent financial planning advice. This pro-

gramme element is to be run in association

with Alexander Forbes.

Another employee assistance initiative focuses

on awareness of the consequences of addic-

tive behaviour, including alcohol abuse. Paul

Maclons adds: “We operate a policy of zero tol-

erance regarding drugs and alcohol. However,

we believe we have a wider responsibility to

raise awareness of the health and social impact

of such problems. We are concentrating on the

impact of excessive use of alcohol, by provid-

ing employee briefings. We are providing these

information sessions in an open format, involv-

ing employees and their families.”

Many SMIT Amandla Marine employees have

been with the company for many years. Long

service warrants due recognition and this year

saw SMIT Amandla Marine make some signifi-

cant changes in this area. Paul Maclons says:

“Rather than the informal presentations of the

past, we now present Long Service Awards

in the more formal setting, at a dinner given

immediately following a Board meeting. We

use an external venue, providing entertain-

ment and a sit-down dinner. This new arrange-

ment, which began in October, offers us a

much better opportunity to express our appre-

ciation of long service.”

In a new safety initiative SMIT Amandla Marine

has commissioned a well-established safety

consultancy to provide safety coaching. The

objective is to accelerate a shift in safety

culture towards personal engagement and

accountability. Paul Maclons says: “It is impor-

tant that everyone understands exactly what

is expected, at the individual level, under our

safety management system. This programme

began with our safety coach delivering induc-

tion briefings for all managers. The second

phase of the programme will use gap analy-

sis to identify key issues requiring response

action.”

SMIT AMANDLA MARINE CONTINUES TO INVEST IN ITS PEOPLE

SMIT is now engaged in two innovation

projects looking at future tug concepts.

The emphasis is on “green performance”,

combined with operational flexibility. Peter

Kortekaas heads the project teams. He says:

“The tug sector is fundamentally conserva-

tive. We have seen no really profound devel-

opments in tug design over the past decade,

but this may be about to change.”

Environmental priorities are beginning to influ-

ence tug design. Certainly, this has been taken

into account by the E3 Group - a cooperative

venture between SMIT Engineering (the lead

partner), tug builders Damen and Alewijnse

of Eindhoven, specialists in, amongst other

things, vessel power and energy management

systems.

E3 signifies “Environment-friendly, Efficient

and Economically viable”. The group first got

together during mid 2007. Peter Kortekaas

says: “Our first move was to measure. We

measured emission levels from existing tugs,

together with fuel consumption, operating

profiles, engine rpm and so on. This phase is

now largely complete. Consequently, we now

have a benchmark to work with.”

“Using this data we are developing and engi-

neering an E3 tug. The next phase will include

establishing the engine layout and building

a small-scale prototype of this configuration.

While our work is still in its early phases, there

is no doubt that this project will have its influ-

ence on the future character of SMIT’s fleet. We

are examining many options to increase fuel

efficiency and reduce emissions.”

The second innovation project involves a joint

group including SMIT Engineering, WorldWise

Marine Engineering and an IJmuiden-based

tug operator. This group is focusing on the

development of the H3T, the Hydrogen Hybrid

Harbour Tug.

Peter Kortekaas comments: “In contrast to

E3 - where we retain an open mind on con-

cepts - the H3T project already has a firm direc-

tion to pursue. As envisaged, the H3T will use

its hydrogen system for routine operations,

then switch to its conventional engine when

engaged in heavy work demanding high pull

forces, manoeuvrability and speed.”

“Both E3 and H3T have attracted state support,

in recognition of their potential significance for

future tug design.”

NEW PROJECTS EXPLORE THE FRONTIERS OF TUG DESIGN

SMIT’s corporate Safety, Health, Environ-

ment and Quality (SHE-Q) department

is undergoing expansion. Steering this

change is SHE-Q General Manager Sageed

Kunhiraman. He says: “We want a corpo-

rate SHE-Q organisation with the necessary

resources to interact to the full with around

30 of our SHE-Q “champions” at locations

around the world. We also want to invest in

behavioural safety, to make it a key com-

ponent in the company’s organisational

culture”.

Behavioural safety is only one aspect of a new

and comprehensive SHE-Q strategy, but it is

an important element. Sageed Kunhiraman

explains: “Behavioural safety is all about

safety at the personal level. It is founded on

care - for yourself and for others. Our CEO,

Ben Vree, after observing a dangerous occur-

rence, summed it up in a telling phrase: “What

if the AB on deck was my son?” This says it

all. This comment had a deep impact on me.

Previously, I tended to think of people solely in

a professional context. Today, that is no longer

enough. We all have wider responsibilities. We

must regard our colleagues not just as col-

leagues, but also as family. One of my most

important tasks, as SHE-Q General Manager, is

to spell out what this really means in practice.”

Expansion of corporate SHE-Q involves not

only recruitment but also specialised training

for department personnel, both new and exist-

ing. Sageed Kunhiraman says: “In recruiting

our new people, we are looking for industrial

experience - preferably in the marine sector -

together with SHE-Q-specific knowledge and

expertise. In addition, we want personalities

strong enough to motivate, convince and “sell”

SHE-Q best practices.

“Gender is not an issue here. SHE-Q posts are

open to suitably qualified men and women. In

fact one of our successful recruits was a female

seagoing officer. She has since decided to take

her career in a new direction, becoming SMIT’S

first female Assistant Salvage Master. A sound

SHE-Q background is a good platform for

future management aspirants and, of course,

for SMIT.”

The new, enlarged Corporate SHE-Q depart-

ment has three sections:

Technical: responsible for inspections,

audits and investigations, with staff here

primarily involved in gauging the condition

of the various fleets and their management

organisations.

Management systems: the expanded

department will have the capacity to

manage routine administrative tasks but,

more importantly, tackle special projects.

Already, for example, it is engaged in

the certification of SMIT’s Tugmaster

Programme. In the long run, this section

will work towards standardisation of SMIT’s

management systems and knowledge man-

agement.

Behavioural: the function of this section is

to keep the organisation informed and moti-

vated, through training and promotional

activities. New initiatives, such “Greening

SMIT” and behavioural safety campaigns,

will arise from here. The department is also

considering structured SHE-Q training for all

levels of SMIT’s staff around the world.

Sageed Kunhiraman adds: “Our priorities now

include establishing a new SMIT Standard -

SHE-Q benchmark for all SMIT operating units.

In the past the Standard was more of guidance

whereas in the revised version the elements

become a performance requirement. We plan

to have the SMIT Standard in place during the

first half of next year.”

MAKING PROGRESS TOWARDS SMIT’S NEW SHE-Q STANDARD

Late October saw the twelfth in a series

of 18 newbuildings for fast-growing SMIT

Rebras enter service. The delivery of the

‘Smit Tupinamba’ is a milestone. It marks

the completion of the 45 tonnes bollard pull

Robert Allan RA 2500 newbuilding pro-

gramme for SMIT Rebras - a 50:50 joint ven-

ture between SMIT and a Brazilian partner.

The next phase in the newbuilding programme

concerns six larger ASD tugs, with a 65 tonnes

bollard pull. The first of the Robert Allan RA

3000 tugs will join the SMIT Rebras fleet in

early December. The larger tugs are required

primarily to assist large bulk carriers calling at

Brazilian ore export terminals.

Mauro Sales, General Manager of SMIT Rebras,

says: “We are now operating at four locations.

We began in February of this year at Santos,

a major port for many trades, including bulk,

chemicals and containers. We are now operat-

ing four tugs at Santos.

“We are also operating four tugs at Sao Luis.

This is mainly a bulk port, including ore, alu-

minium-related cargoes and grain. We began

work at Sao Luis in May of this year.”

Two SMIT Rebras tugs are now working at

Paranagua - a major centre for the Brazilian

grain trade. The tugs were deployed in

September at this port, which also has con-

tainer berths. Meanwhile, a further two tugs

are at work at a fourth location: Sepetiba, south

of Rio. This is a port spread over a large area.

Facilities include the Petrobras oil terminal, ore

terminals and container berths. There are plans

to reinforce the two tugs at this location.

Mauro Sales adds: “We are now looking for-

ward to operating at a fifth port. This location

is Vitoria, a significant ore port. We will deploy

four tugs - including some of the 65 tonnes bol-

lard pull vessels during the first quarter of 2009.

“Meanwhile, the 2500 class tugs are perform-

ing well, both operationally and commercially.

These tugs are fully equipped for firefighting

and marine salvage. These capabilities were

put to the test this year, with a number of

minor assistances and rescue tows. There was

also, however, a major emergency response at

Santos in February, when a car carrier caught

fire. All four SMIT Rebras tugs based at Santos

responded. In fact, the fourth tug only arrived

that night from the build yard. It went straight

into action. The tugs fought the fire success-

fully and this vessel was rescued. There is no

doubt that the deployment of our new tugs

at Brazilian ports has done much to reinforce

firefighting and salvage capabilities at these

locations.”

RAPID EXPANSION OF SMIT REBRAS FLEET

For every job, safety is a priority.

SMIT Amandla Marine holds “Wellness Days” in all of its

key operational bases. Here one of SMIT Amandla Marine’s

employees in Port Nolloth gets his blood pressure tested.

SMIT Amandla Marine’s team in Mossel Bay

attend a Drug & Alcohol Awareness briefing.

NVIRONMENTALLY FRIENDLY

CONOMICALLY VIABLE

FFICIENT IN OPERATIONS

NVIRONMENTALLY FRIENDLY

CONOMICALLY VIABLE

FFICIENT IN OPERATIONS

www.smit.com15

tug magazine

3,200 tonnes lift capacity sheerlegs, ‘Asian

Hercules II’, was mobilised from Singapore

to the Gulf of Thailand to lift and install two

platforms ‘Jasmine D’ and ‘Ban Yen A’ in the

Jasmine Field, approximately 129 kilom-

eters from the coast of the Satahip district.

Asian Lift Pte Ltd, a joint venture between SMIT

and Keppel in Singapore, was engaged by Thai

offshore construction company Cuel Ltd for

rigging and design calculations besides the

main lifting integration. ‘Asian Hercules II’ lifted

the topsides weighing a 1,062 tonnes each into

position in the second quarter of 2008.

Consequently, in the second, third and fourth

quarter of 2008, ‘Asian Hercules II’ was con-

tracted by PT Nippon Steel Batam to lift two

deck sections and two jackets for loadout to

the North Belut field in the Indonesian sector

of the Natuna Sea.

SMIT’s ‘Giant 2’ was involved in the transpor-

tation of the two jackets from Batam to the

North Belut Field.

The sections were part of the construction of

the ‘North Belut Wellhead-D’ Platform, where

operators ConocoPhillips and co-venturers

Inpex and Chevron have an established oil and

gas production programme. The development

of North Belut currently is under way, and first

production is scheduled for August 2009.

Floating sheerlegs ‘Asian Hercules II’ lifted two

jackets weighing 1,714 tonnes on the June

9 and the August 15, 2008 and a further two

deck sections weighing 2,200 tonnes on the

August 6 and October 22.

BUSY SCHEDULE ‘ASIAN HERCULES II’

‘Asian Hercules II’ with a jacket destined

for the North Belut Wellhead-D platform.

An impressive

performance by Bras

band ‘Earthquake’.

Sponsor lady Minnemijn Smit performed the

Naming ceremony of the ‘Smit Hudson’.

The ‘Smit Aruba’, ‘Smit Hudson’ and ‘Smit Schelde’ moored alongside the ‘Smit Anambas’.

Harbour choir ‘De Sleeptros’ surprised

the guests with a protest song.

F.l.t.r: CEO Ben Vree, sponsor ladies Minnemijn Smit, Marie-Jose

Dorhout Mees-de Pont and Ingrid Francken-Lauryssens, and

Joris Neven (Damen Shipyards).

Sheerlegs ‘Asian

Hercules II’ installed two

topsides for platforms in

the Gulf of Thailand.

A very special day at SMIT’s head office in

Rotterdam. On November 27 no less than

three new harbour tugs were named simul-

taneously in the Waalhaven.

The triple ceremony was performed by three

sponsor ladies. Mrs. Dorhout-Mees, Mrs.

Francken and Mrs. Smit respectively named the

‘Smit Aruba’, ‘Smit Schelde’ and ‘Smit Hudson’.

The event took place on board SMIT’s semi-

submersible barge ‘Smit Anambas’, which was

moored alongside the quay right in front of

the head office.

About 250 guests, consisting primarily of SMIT

colleagues attended the Naming ceremony

and subsequent reception.

CEO Ben Vree, the sponsor ladies, Mr. Francken

(Chairman of the board of URS) and Mr. Neven

(Damen Shipyards) each spoke a few words in

honour of the occasion.

The guests also enjoyed a stirring performance

by a Bras (percussion) band and harbour choir

‘De Sleeptros’.

The vessels are all 2810 ASD tugs, built by

Damen Shipyards in Galatz, Romania.

THREE IS A CHARM