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Tonne/mile balance upset
06 News focus
Shoreside recruitment on the increase
EU ship surveillance system
27 Classification Societies
RS promotes Arctic shipping
ClassDirect LIVE explained
DNV consultancy initiative
Fuel spec draft update
Bunker tankers make debut
INTERTANKO celebrates 40 years
Analyser for safety specs
Scrubber technology for European tankers
12 Middle East Gulf Report
Iran sanctions discussed
43 Shuttle Tankers
US Jones Act vessels delivered
Dubai rides out the storm 44 Tank Servicing
Piracy – security concern speaks out Inert gas problems addressed
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April 2010 TANKEROperator 01
News from London’s Albert Embankment
More work needed despite GHG progress, IMO admits. The resolution also urged countries that have not already done so to
At the 60th meeting of the IMO’s Marine Environment Protection ratify the convention, which will enter into force 12 months after the date
Committee (MEPC 60), it was admitted that more work needed to be on which not fewer than 30 states, the combined merchant fleets of which
done before it completes its consideration of the proposed mandatory constitute not less than 35% of the gross tonnage of the world’s merchant
application of technical and operational measures for regulating and shipping, have become parties to it. To date, it has been ratified by 22
reducing greenhouse gas emissions (GHG). countries representing 22.65% of the world’s gross tonnage.
As a result, the committee agreed to establish an intersessional Eight ballast water management systems making use of active substances
working group to build on what it claimed was significant progress were granted ‘basic approval’ and five were awarded ‘final approval’.
made during the meeting on technical and operational measures to
increase vessels’ energy efficiency. The working group will report back Recycling of ships
to the Committee’s next session (MEPC 61), in September 2010. The committee continued its work on developing guidelines for safe and
Although the meeting was able to prepare draft text on mandatory environmentally sound ship recycling and commenced the development
requirements for the Energy Efficiency Design Index (EEDI) for new of Guidelines for the development of the Ship Recycling Plan.
vessels and on the Ship Energy Efficiency Management Plan (SEEMP) Guidelines for the authorisation of ship recycling facilities, for ship
for all ships in operation, the committee said that among other things, inspection and for survey and certification will also be developed in due
issues concerning ship size, target dates and reduction rate in relation to course. Once adopted, the guidelines will assist ship-recycling facilities
the index requirements all required finalisation. and ship operators to begin introducing voluntary improvements to meet the
The committee agreed on the basic concept that a vessel’s attained requirements of the Hong Kong International Convention for the Safe and
index shall be equal or less (eg- more efficient) than the required EEDI, Environmentally Sound Recycling of Ships, which was adopted in May 2009.
and that the required EEDI shall be drawn up based on index baselines
and reduction rates yet to be agreed. The committee also noted Garbage special areas
guidelines for calculating the index baselines using data from existing The committee agreed to establish 1st May 2011 as the date on which
ships in the Lloyd’s Register/Fairplay database. the discharge requirements for the Wider Caribbean Region Special
With regard to market-based measures, it was agreed to establish an Area under MARPOL Annex V Regulations for the prevention of
‘expert group’ on the subject to undertake a feasibility study and impact pollution by garbage from ships will take effect.
assessment of the various proposals submitted for a market-based instrument MEPC also considered the report of the 10th meeting of the OPRC HNS
for international maritime transport – again, reporting back to MEPC 61. technical goup, which met in the week prior to the committee’s session, and
approved for publication the following texts developed by the technical
MARPOL amendments group - Manual on Oil Pollution, Section I – Prevention; publication
Among other items in a packed agenda, the committee adopted checklist for new IMO manuals, guidance documents and training
amendments to the MARPOL Convention to formally establish a North materials; guidance document on the implementation of an incident
American ECA in which SOx, NOx and particulate matter (PM) management system; and guidelines for oil spill response in fast currents.
emissions from vessels will be subject to more stringent controls than In his closing remarks to the meeting, IMO secretary-general
the limits that apply globally. Efthimios Mitropoulos focused on the progress made in dealing with
Another new MARPOL regulation, to protect the Antarctic from GHG emissions from ships and the challenges that still remain.
pollution by heavy grade oils, was also adopted. Placing the committee’s work in its wider context, he said, “Global
These amendments are expected to enter into force on 1st August 2011. issues demand global solutions. Let the world learn from the lessons of
Copenhagen so that the same mistakes are not repeated in Cancun. At the
Ballast water management same time, let us build on the undeniable successes Copenhagen has
The MEPC addressed issues relating to the implementation of the scored, by providing a forum for heads of state and government to listen to
International Convention for the Control and Management of Ships' and understand each other’s problems, concerns, worries and sensitivities
Ballast Water and Sediments, 2004 and adopted a resolution that and, thus, pave the way for a more successful next round of consultations.”
requests administrations to encourage the installation of ballast water The shipping world, he concluded, should proceed, “….not in a
management systems on new ships, in accordance with the application fragmented manner, but as responsible members of a community that
dates contained in the convention. has a role to play in this effort.” Amen.
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02 TANKEROperator April 2010
INDUSTRY - MARKETS
upset the tonne/mile
At the turn of the year, loading operations began at Russia’s latest oil export terminal
- Kozmino - which is located in Eastern Siberia on the Asia/Pacific rim.
y the opening of this terminal, present in these markets, but on a very small Suezmax hulls with cargo sizes typically of
B Russia has taken a solid stance in
the Far East oil routes, which
could be seen as the saviour of
the tanker market.
Indeed, Russia saw the first export cargo
scale. Today’s opening gives up completely
However, as McQuilling Services pointed
out, by replacing the long haul MEG and West
African routes, Kozmino might adversely
80,000, or 100,000, or 130,000 tonne lots. The
depth of water at the berth at Kozmino is 21
m. Japan, South Korea and Malaysia have
taken the bulk of the cargoes, but both China
and the US have also taken cargoes,
of such great importance that President Putin impact on tanker demand. McQuilling said.
attended the event and said at the time; “This Exports of Russia’s Eastern Siberia-Pacific For importers, the ESPO blend has more
is definitely a serious event. It’s a strategic Ocean crude (ESPO) had grown from 850,000 desirable properties as it is lighter and sweeter
project, because it gives us access to tonnes in January to 1.16 mill tonnes in than most of the Arabian crudes, allowing
completely new markets – the Asian and February and were forecast to grow to 1.25 refiners to yield more gasoline and kerosene
Pacific markets – which are growing and mill tonnes by the end of March. per barrel. Added to its favourable quality is
have a huge potential. Today, Russia is Shipments have been made in Aframax and the reduced cost of shipping the oil to Far East
April 2010 TANKEROperator 03
INDUSTRY - MARKETS
Middle East / Far East-SE Asia VLCC 2009 2008
Middle East / Carib-USG-USAC Middle East / Far
2,724 2,828 (3.7%) 48.1%
Middle East / USWC
Middle East / Carib-
688 959 (28.2%) 12.2%
Middle East / Europe USG-USAC
Middle East / USWC 214 265 (19.2%) 3.8%
West Africa / Far East-SE Asia
Middle East / Europe 196 183 7.3% 3.5%
West Africa / Carib-USG-USAC
West Africa / Far
West Africa / India 459 412 11.5% 8.1%
Carib-Samerica / Far East-SE Asia
West Africa / Carib-
168 232 (27.6%) 3.0%
Other West Africa / India 148 106 39.0% 2.6%
(30%) (20%) (10%) 0% 10% 20% 30% 40% Carib-Samerica / Far
346 257 34.7% 6.1%
Other 722 593 21.6% 12.7%
Total 5,665 5,835 (2.9%) 100.0%
Figure 1: 09/08 Changes in VLCC tonne/miles. Table 1: Tanker demand (bill tonne/miles).
destinations, which has attracted a growing – a country whose crude demand will continue detrimental impact of the US recession on
list of buyers. to outpace all others in the coming years. domestic liquid fuels imports.
Although Russia’s pipelines cannot answer
Short haul all Asia’s demand, 600,000 barrels per day Demand increase
A tanker voyage from Kozmino to Japan takes over land could mean that China would In contrast to these losses, VLCCs saw a 39%
just three days, compared with TD3 (AG/ require nine less VLCC cargoes per month by increase in demand trading West Africa/India, a
Japan), which takes 20 days. Taking 1.25 mill 2012. Furthermore, Kozmino’s short haul 35% gain on Americas/Asia trades, and a 12%
tonnes of exports per month, this equates to barrels can potentially detract from 7.1 bill rise in West Africa/Asia (See Figure 1). These
1.1 bill tonne/miles to Japan. If it is further tonne/miles of tanker demand taken by the traditional back-haul West/East trades combined
assumed that this amount replaces Ras Tanura VLCC sector as well. to take a 16.8% share of VLCC demand in
loadings, vessels loose about 8.2 bill While Russia’s entrance into the Eastern 2009, up from a 13.3% share the previous year.
tonne/mile demand, or a net 7.1 bill by markets is a comfortable position for the These results lead the consultancy to question
substituting with the short haul trade, Kremlin, the long term effects on tanker the industry’s definition of the front-haul/back-
McQuilling estimated. demand may not yield cosy results for all, haul, highlighting that TD1 now commands a
While the potential effect on tanker McQuilling concluded. lesser share of VLCC demand than the
demand caused by the introduction of such a West/East trades at 12.2% versus 16.8%. To be
short haul trade is alarming, there is a cap on VLCC demand fair, most of North America was mired in
just how far Russia can feed the Asian crude The popularity of the West/East trades, which recession last year while economies in the East
markets. The Siberian regions estimate that gained momentum through 2009, has provided continued to grow, McQuilling pointed out.
new fields under development will not be significant tonne/mile demand for an While hard demand data for 2010 is not yet
able to produce more than 35 mill tonnes of otherwise over-supplied VLCC market. available, the consultancy said that it can attest
crude annually for ESPO, despite a target In particular, the crude oil/dirty product to the West/East trade’s growing resilience
capacity of 80 mill tonnes per year. The trades from West Africa and the Americas to given current spot fixture records. VLCC
majority of the oil is sourced from the India and the Far East have seen year-on-year fixtures were tracked on these routes up 92%
Vankor and Samotlor fields. growth that took off in the 4Q09 and year-to-date from the same period last year.
McQuilling calculated that this would mean prompted a rally in the spot freight rates that This pointed to the growing demand for liquid
that should all the ESPO production go to Far has yet to fizzle out. fuels in China and India, along with expansions
East buyers, it would only cover around 4.6% As these trades continue to consume a of the Reliance’s refineries whose Jamnagar
of Asia’s demand – up from 2% at current greater portion of the fleet, losses on other complex now boasts the world’s largest
output levels. major trades are largely being offset by this refining capacity at 1.24 mill barrels per day.
long-haul’s emergence. The forecast for economic growth in China
Pipeline options With updated data reflecting actual and India remains bullish through 2010 and
The only thing more detrimental to the tanker tonne/mile demand through 2009, McQuilling beyond. Concurrently, liquid fuels supply
market than a short haul trade is a pipeline. was able to validate its previous commentary from Colombia and Brazil is forecast to
The year 2012 will see the completion of the regarding changing VLCC trading patterns. increase by 12% and 9%, respectively.
Skovorodino/Manchuria pipeline, bringing The traditional front-haul TD1, moving crude Growing demand in the East, combined with
output up to 600,000 barrels per day from the MEG/ US Gulf, lost over 28% of its demand rising output predominantly sourced from
300,000 barrels per day forecast for late this since 2008, slipping from a 16.4% share of West Africa and South America, will likely
year, McQuilling said. total VLCC business to 12.2% in 2009 (See continue to provide a healthy boost to VLCC
By further reducing transportation costs, Table 1). Furthermore, the TD4 trade from demand. But if and when the industry begins
Russia’s infrastructure investments will enable West Africa/ US lost almost 28% of its referring to the West/East trade as the new
them to further capitalise on exports to China demand year-on-year, emphasising the front-haul remains to be seen. TO
04 TANKEROperator April 2010
INDUSTRY - NEWS
IBIA highlights need to comply with New GL head
new UK regulations office up and
The International Bunker Industry
Association (IBIA) has
embrace the following requirements:
A 0.1% sulphur limit on fuel used by
emphasised that, with effect from inland waterway vessels and by seagoing At the beginning of March, GL’s
20th April, 2010, EU regulations ships at berth in EU ports. 1,600 employees moved a couple
on the sulphur content of fuel A ban on the marketing of marine diesel of km along Hamburg’s
used by ships at berth in EU ports oils with a sulphur content exceeding 1.5% waterfront from Vorsetzen to
become law in the UK. by mass. HafenCity.
Ships failing to comply will face the risk of A ban on the marketing of marine gas oils with The new Head Office is located at
prosecution. a sulphur content exceeding 0.1% by mass. Brooktorkai 18 in Hamburg's HafenCity
The UK Merchant Shipping (Prevention of IBIA CEO Ian Adams said, “It is essential that district.
Air Pollution from Ships) (Amendment) ships operating in UK waters are in full By relocating, the company has brought 14
Regulations 2010 essentially implement in the compliance with the new regulations. As separate GL Hamburg sites under the same
UK, EU Directive 2005/33/EC, which requires already emphasised, ships are not exempt on roof, the class society explained.
that member states must take all necessary the ground that the fuel changeover is unsafe At its new head office, the worldwide
steps to ensure that ships at berth in their ports because modifications have not been made to technical assurance and consulting company
do not use marine fuels with a sulphur content their boilers, or to the ship itself. All non- and ship classification society now
exceeding 0.1% by mass. compliant ships are at risk. concentrates and focuses its business segments
The new regulations amend the Merchant “The new regulations, which make no - maritime services, oil & gas and renewables.
Shipping (Prevention of Air Pollution from reference to the new lower sulphur limit for GL’s new office spans two construction
Ships) Regulations 2008 and implement the ECAs of 1%, which comes into effect on 1st sites offering an office space of 45,000 sq m -
marine fuel elements of the EU Sulphur July, 2010, are a good illustration of how equivalent to seven soccer fields. The new
Content of Liquid Fuels (SCLF) Directive. domestic implementing legislation often lags building was designed by the architectural
In addition to the requirements under behind the decisions of international offices gmp and Jan Störmer.
MARPOL Annex VI, the new regulations organisations,” he warned. Its location offers a bright and airy office
landscape with views of the Elbe River and
Major casualties down - IUMI the Speicherstadt warehouse district.
The modern working environment allows a
Marine insurers have welcomed losses, warned Cédric Charpentier, chairman further optimisation of the workflow and
early signs of a reversal in casualty of IUMI’s facts and figures committee. offers varied opportunities for enhanced
experience as shipping operations Weather continued to be the major cause of interdisciplinary teamwork, GL claimed.
continued to be impacted by the total losses, representing 43.2% between 2005 "We are delighted to have moved into our
dramatic downturn in global trade and 2009. new international head office in the
volumes and freight markets. Regarding serious or partial losses, the result HafenCity right on schedule," said Dr
Statistics compiled and analysed by the for 2009 thus far was mixed. Charpentier said: Joachim Segatz, member of the GL
International Union of Marine Insurance (IUMI) “Although there was an improvement over executive board. "In recent years, GL has
from several authoritative sources pointed to a 2008, the number remained at a high level. evolved from a leading classification society
continuing positive trend in total loss figures – This is the fourth highest total of serious into a globally recognised technical
67 in 2009 declared thus far, a fall of 10% losses reported in one year out of the last 16. assurance and consultancy body for the
compared with 2008 at the same period last year Indeed, we have seen a significantly higher maritime and energy industries. The modern
(all figures relate to ships of 500 gt and over). frequency of serious losses in the period 2006- architecture of the new location, its size and
The number of losses will undoubtedly rise 2009 than in any of the preceding years.” the communicative, open office landscapes
as the year progresses. Even so, the current The 2009 experience was particularly meet the demands of this development in an
figure of 67 is the lowest level ever recorded. disappointing, said Charpentier, as shipping ideal way."
However, this reduction did not extend to activity dropped dramatically. The downside for Last year alone, the GL group was
actual gt lost, the 67 ships accounting for owners is that they faced increasing economic enlarged by the maritime advisory and
approximately 463,000 gt, an increase of 25% strife and more technical operating problems. The software companies Friendship Consulting
on 2008 at the corresponding period last year. upside for insurers was that many ships had and Friendship Systems, as well as the UK
Nevertheless, the total remains at a quite less demanding and strenuous schedules and inspection and consulting firms Noble
low level when compared with the period overworked crews were under far less pressure. Denton (oil & gas) and Garrad Hassan
1980-2008. But expressed as a percentage of Machinery damage remained the primary (renewables).
the world fleet – which continued to grow in cause of major partial losses, accounting for In February 2010, GL Noble Denton was
2009, with all three main sectors, tankers, 35.21% of the total between 2005 and 2009, presented as the new oil and gas brand of GL.
bulk carriers and containerships, now showing followed by collisions/contact and groundings. The new address is - Germanischer Lloyd
the largest number of vessels and deadweight Weather represented only a small proportion AG, Brooktorkai 18, 20457 Hamburg,
capacity in history - underwriters expected to of incidents despite being the major cause of Germany. The telephone, fax numbers and
see an improvement both in ship and tonnage total losses. e-mail addresses remain the same.
April 2010 TANKEROperator 05
INDUSTRY - NEWS FOCUS
Shoreside tanker placements increase
Companies recruiting again gives ensure they make informed decisions. On the
hope for the future, says a one hand this gives shareholders assurance
leading recruitment expert. that they are getting value for money. On the
Shipping companies are becoming more other, it gives staff the assurance that their
bullish over prospects for the future if salaries have been properly benchmarked
recruitment placements by employment against other quality shipping employers.
specialist Spinnaker Consulting are anything The annual meeting of the Forum takes
to go by. place in May this year and is conducted under
Spinnaker chairman Phil Parry said the strict anti-trust guidelines to ensure that
market began to pick up from September last members do not share information on
year. “We are seeing a notable return in individual salaries.
confidence which we measure by an increase A little less than 40% of companies froze
in vacancies and in our fee income and salaries in 2009 and about 13% are planning
although recruitment did tailor off at the start to do so this year. In November, the average
of 2010, it has significantly picked up in the pay rise for 2010 was forecast at just under
last month to six weeks” he said. 2.9% or 3.25%, excluding those who are
“Traditionally we tend to find that it is in the freezing salaries.
latter part of the first quarter that we do well “Pay restraint is still very much on the
and we had a very good end to the quarter.” agenda this year,” Parry said. “We see a
Another measure is a reduction in ‘time to greater air of realism on the part of job
hire’ – or the time it takes to make a seekers when negotiating job offers.”
placement – because that is an indication of an
employer’s confidence and decisively when Salaries static Spinnaker’s Phil Parry.
taking on new staff, Parry explained. Basic salaries have not fallen, but they have
Compared to the drybulk market which not gone up either. “Bonuses are undoubtedly location to location, Parry said. The challenge
enjoyed a fillip on the back of huge Chinese lower this year for the majority of people. for the HR professional with staff based in a
imports of iron ore and coal last year, There are a lucky few whose companies called plethora of jurisdictions is considerable and
recruiting patterns in the tanker shoreside the market right in 2008 and who therefore one of the benefits of the Maritime HR Forum
market have been slower to develop, received good bonuses for 2009,” he said. is that members can share information and
Parry said. Parry gave as an example one owner he had best practice.
Some of the larger companies, such as BP, spoken to recently who said the company was Parry is a member of the BIMCO/ISF
have made redundancies, or implemented a about to pay extremely good bonuses because manpower steering committee, which
recruitment freeze. “Some of the big tanker it had called the market well in 2008. conducts research every five years on supply
employers had a hiring freeze last year and However, with long-term COAs coming to an and demand in the industry. The 2010
they haven’t all come off yet,” Parry said. end, bonuses next year will reflect the pain research is underway and will provide an
That said Spinnaker has made more felt this year. authoritative assessment of the manpower
placements in the tanker sector, notably in the “It is unlikely, in my opinion that bonuses shortfall going forward.
product and chemical tanker markets in the in late 2010 and early 2011 will be all that The lack of ships’ officers coming through
last quarter, than in any of the previous three good based on the year we are going the ranks, combined with the surge in the
quarters. through,” the owner said. market definitely increased salaries over the
Acting as a consultant in HR dispute last decade, he said.
Tanker HR forum resolution forms part of the services Spinnaker “The recession has not emptied the market
Spinnaker founded and became the secretariat provides. Parry, a former shipping lawyer, said of technical vacancies for people with
for the Tanker HR Forum at the behest of that there have naturally been some seafaring experience,” said Teresa Peacock,
tanker clients in 2006. In 2009, it evolved into employment disputes in the last year arising manager of Spinnaker’s technical division.
the Maritime HR Forum with an expanded out of the market crash. “We act as expert “Even if a large proportion of the
membership including owners, managers and witnesses in relation to loss of earnings, or newbuildings on order get cancelled, we are
traders with other interests as well as oil. anticipated salary and bonus levels and still going to have more ships in the market
The Forum “still has a large tanker mitigation of losses by reference to than we have today. It would require
membership, which uses it to benchmark employers’ ability to find replacements”. enormous cancellation levels, and enormous
salaries and benefits, which became more In terms of tanker activity in the recruitment demolition levels, to reduce the fleet, and that
critical in the boom years. Supply and demand market, Parry said that he had not seen a huge isn’t going to happen.
imbalances focus attention on paying staff geographical shift. “The fleet is growing. Let’s hope it
competitively and retaining them,” Parry However Spinnaker has placed more staff in doesn’t grow at a pace, but either way
explained. the Middle East than hitherto - particularly for we haven’t got enough people even at
A greater focus on corporate governance product and chemical tanker operators - because the current size to make recruitment
has set up formal remuneration committees of the growth of refining capacity in the region. anything other than a challenging task,”
who demand reliable and accurate data to Legal issues affecting employers differ from she concluded. TO
06 TANKEROperator April 2010
INDUSTRY - NEWS FOCUS
EMSA launches map-based shipping surveillance system
From last month, EU member
states now have access to a new,
user friendly web service for
tracking shipping in European
“ “...we will soon be in a position to offer
an integrated display system which will be
For the first time, EMSA’s new SafeSeaNet able to identify and locate ships anywhere
tracking module — called STIRES — allows
authorities to see all commercial vessels in in the world and also show the EU pollution
and around EU waters in a single viewing.
and accident pictures.”
This service will be closely followed by the
picture for the whole world, EMSA said.
The information has been available to
member states in the SafeSeaNet system for control officers being among the latest to join
Authorised users can see the position of any
some time, but this is the first time that users the system,” he said. vessel transmitting an AIS signal, on a map-
are able to see it in a fully interactive, multi- based display and are able to –
functional display. Background Find out what hazardous cargo it is
“This approach will give member state The SafeSeaNet system was mandated under carrying.
users a whole range of important new Directive 2002/59/EC, and member states See all high risk ships (within a list of
capabilities to work with,” said EMSA have been involved in the set-up of the system categories).
executive director, Willem de Ruiter. since that time. The near real-time positioning Ascertain what is wrong with a ship when
“Instead of just accessing a database, they system is based on Automatic Identification it reports an incident.
will be able to see the whole near-real-time System (AIS) information gathered by a See the complete track of a ship (showing
situation for the EU displayed on a map right network of receiving stations around the EU where it was at different times).
in front of them, and to select all ships, ports, coastline, and deals with information on ships Zoom in from an EU level view to
sea areas and many other elements at the click and their hazardous cargoes in and around EU individual quays at any selected port (and
of a button. waters. anywhere in between).
“Much better still, we will soon be in a Until the middle of March, the exercise had See which port a ship will arrive at (and
position to offer an integrated display system involved member states submitting when).
which will be able to identify and locate ships information to and receiving information Plus many other functions.
anywhere in the world and also show the EU from, the SafeSeaNet database, but the On its own, this full EU AIS-based picture is
pollution and accident pictures. The user base STIRES interface now ensures that the work claimed to be of major benefit to users, such
is expanding all the time, with port state of many years will reap much greater benefits. as port authorities, maritime administrations,
search and rescue organisations, port state
control officers and many others.
However, when STIRES/SafeSeaNet system
is integrated with the satellite-based global
Long Range Identification and Tracking
(LRIT) system and the CleanSeaNet pollution
monitoring system in a single display
application later this year, the uses will be far
To give two examples –
1) The EU anti-piracy force is already using
information from the EMSA-operated EU
LRIT Data Centre to track ships in the Gulf
of Aden and the Indian Ocean.
2) Port authorities wishing to locate ships
that are heading for their ports will be able
to see exactly where they are, anywhere in
The quality and performance of the system
is monitored 24/7 by the EMSA Maritime
Support services team. They focus on
ensuring that the system is available at all
times; the comprehensiveness of data; the
best possible data quality and; that
emergencies are effectively monitored from
Vessel traffic in the Channel at a given moment in time. an EU perspective. TO
April 2010 TANKEROperator 07
INDUSTRY – INTERTANKO ANNIVERSARY
I TERTA KO
– 40 years on
In the first decade of the tanker organisation’s existence, as can be seen below,
some of the issues faced then are still very much alive today.
n this tribute, we look at the first 10 under the name of the International
I years of INTERTANKO’s life, seen
through the eyes of its chairmen writing
in the 25th anniversary book published
in 1996, which set the scene for tanker
operations in years to come. This is followed
Association of Independent Tanker Owners,
which would retain the short title of
INTERTANKO, as it is known today.
Its stated aim was "to further the interests
of independent tanker owners" by co-
by more recent issues and accomplishments. operating with the oil industry, national and
INTERTANKO’s official coming into being international organisations. The former
was the organisation’s inaugural meeting held London-based association was formally put
in Oslo on 21st October 1970. into voluntary liquidation on 30th December
One of the leading independent tanker men 1970.
of the day - Jorgen Jahre - was chairman
between 1973 and 1976. He died in 1998, The beginning
aged 91. Van Ommeren’s Jan Hudig became the first
He said that at the time that the chairman of chairman, and a young Norwegian lawyer,
the Greek Shipping Co-operation Committee, Tormod Rafgård, was engaged as secretary
John EG Kulukundis (Rethymnis & general and later managing director, posts he
Kulukundis), gave the new organisation his successfully held for the next 25 years.
full support, as did other industry leaders, Invitations had been sent to independent Capt Graham Westgarth.
including Erling Dekke Næss (Næss tanker owners in 10 countries to participate in
Shipping), Mærsk McKinney Møller (AP the foundation of INTERTANKO, to “provide tonnage to 70 mill dwt.
Møller) and Filippo Cameli (Marittima Carlo a forum for exchange of views and to take The growth continued into 1971.
Cameli). active steps toward the protection of the Representatives from 80 companies attended
The beginning of the 1970s was a time interests of independent tanker owners” as the the 1971 annual general meeting in Rome and
when Worldscale was being established, the 1971 Annual Report put it. through 1972, the membership grew to 100
pound sterling had been devalued and The growth in INTERTANKO’s mill dwt- estimated at 70% of the eligible
insurance premiums for VLCCs had membership in its first year of existence was independent tonnage.
undergone an enormous increase. As a result, phenomenal. By 1st January 1971, 25 mill Early on INTERTANKO was faced with
it was decided that the original International dwt of tanker shipping was entered. Within a severe challenges. In 1967 the tanker Torrey
Tanker Owners' Association should extend the month the total dwt had reached 31 mill, Canyon had stranded herself on rocks off the
scope of its activities. comprising 500 tankers. By September, the Scilly Isles and spilled her cargo of crude oil
A new organisation was established in Oslo number of ships had doubled to 1,000 and the after breaking up. The disputes about liability
for compensation and the funds available led
the Intergovernmental Maritime Consultative
Organisation - IMCO - the forerunner of the
INTERTANKO membership IMO - to consider options to make liability
and compensation more certain.
As at April 2009, the last tankers, while 37 owned 21 or more. The result was the International Convention
figures available, Panama was the largest flag state on Civil Liability for Oil Pollution Damage -
INTERTANKO’s membership providing INTERTANKO members at over known in short as the Civil Liability
stood at 261. The members 40 mill dwt, followed by Greece and the Convention, or, shorter still, as CLC, of 1969.
controlled 2,900 tankers of 249 Marshall Islands. DNV was the largest Recognising that conventions take a long
mill dwt. class society, followed by Lloyd’s Register time to come into effect, tanker owners had
Somewhat surprisingly, the largest tranche and ABS. created the Tanker Owners Voluntary
of members - 91 - fell in the two to five As for tanker types, crude oil makes up Agreement concerning Liability for Oil
ship category. The next largest grouping – by far the largest group at 1,162 vessels, Pollution - TOVALOP - in 1969. Tanker
66 companies – owned between six to 10 followed by products at 686. owners entering TOVALOP joined the
08 TANKEROperator April 2010
INDUSTRY – INTERTANKO ANNIVERSARY
International Tanker Owners’ Pollution committee was created and issued
Federation, ITOPF, which administers the Intertankvoy and afterwards Interconsec as
TOVALOP agreement. In practice this means up-to-date charter forms.
that ITOPF is the body who’s marine and During the early 1970’s, pollution control
biological experts supervise or advise on work and tanker safety were under increasingly
on site to clean up and restore damaged seas active discussion at IMCO at which
and coasts, which is still the case today. INTERTANKO made its views felt. IMCO
At this time, tanker owners were also was considering immediate adoption of
getting squeezed by insurance rates, as well as segregated ballast tanks on tankers to reduce
the freight rates. The relatively new the risk of oil discharge at sea. The cost of
phenomenon - the VLCC - was incurring an conversions would have been enormous and
insurance premium that owners found INTERTANKO, and later other delegations at
unacceptable. INTERTANKO supported a co- IMCO, promoted use of ‘load on top’
operation group to get the premiums reduced. procedures to allow the oil to remain inside
A mutual insurance scheme for VLCCs was the cargo system and not be discharged at sea.
pioneered principally by Erling Næss - the
United Marine Insurance Company of Explosions
Bermuda - with 18 member companies. The A series of explosions in large tankers and
result was that hull insurance renewals for combination carriers during cargo tank water
INTERTANKO’s md Peter Swift.
VLCCs in 1973 showed reductions of 20 to washing caused by static electricity sparks and
30%. INTERTANKO noted that “it has been assisted by explosive atmospheres in tanks, In addition, a number of high-profile tanker
indicated that the reason for easing premiums led to the promotion of use of inert gas casualties in the winter of 1976 kept the issue
was rather influenced by increasing systems (IGS) to neutralise the flammable of pollution prevention to the fore. In a short
competition than because of improving atmospheres - purge the oxygen - from tanks. period, 20 tankers were wrecked off the US
loss records”. IGS were urged for fitting to combination coast. Ten of these were Liberian flag and
INTERTANKO then turned its attentions to carriers over 50,000 dwt and oil tankers of eight of those were over 16 years old. While
documentary issues. A documentary over 100,000 dwt. some of these casualties were attributed to
April 2010 TANKEROperator 09
INDUSTRY – INTERTANKO ANNIVERSARY
particularly severe winter weather and to poor local aids to navigation,
there was a focus on tanker ages and standards.
However, age and management did not always characterise tanker
casualties. In 1978, the Amoco Cadiz stranded off the North French
coast causing a major spill. A number of lessons were learned and
more careful attention to securing salvage assistance in time, and
response planning, to improve speed and effectiveness in reacting to
clean-up needs, was called for.
Under chairman Erling Næss, INTERTANKO focused its attention
on measures to cut the causes of operational pollution. For example,
improvements were made to ‘load on top’ procedures by wider
adoption of crude oil washing (COW).
A Protocol to the 1973 Marine Pollution Convention MARPOL and
the 1974 Safety of Life at Sea Convention SOLAS was passed by
IMCO in 1978, largely initiated by the US delegation. These protocols
addressed the conversion of existing tankers and required segregated
ballast tanks (SBT), or clean ballast tanks (CBT) to be created, or for
COW to be installed and in that case accompanied by an IGS.
Despite the poor freight it was receiving, the VLCC had moved
centre stage in crude oil carriage. By 1977, 60% of crude oil was
carried by VLCCs, compared with 42.6% in 1973.
The seeds of the International Maritime Industries Forum (IMIF)
had been planted by Erling Næss and Jørgen Jahre in 1975, and in
1976 it blossomed into a formal body. It drew together tanker owners,
oil companies (mainly from Europe as the US companies were bound
by antitrust laws), shipbuilders, and bankers.
In 1978, INTERTANKO applied for consultative status at IMCO, a
move not made earlier out of concern about duplicating the work of
Two new clouds appeared on the shipping horizon towards the end
of Erling Næss’ term. The United Nations Conference on Trade and
Development (UNCTAD) had started to consider cargo sharing
schemes for seaborne transport. And in 1978, the Shah of the oil
producing giant of Iran was overthrown in a revolution by Ayatollah
Khomeini and his supporters.
The programme kicks off on Thursday 6th
May with a Council Meeting and the Annual
These are followed by a gala dinner for members and their
invited guests to be held at London’s Royal Courts of Justice,
kicking off at 19.00 hrs.
INTERTANKO said that it will be publishing a special 10-
14 page booklet to commemorate the anniversary.
The following day, there will be an oil, chemical and tanker
market seminar entitled – Challenging the Industry. This is
to be held in the Grand Connaught Rooms.
The past decade has been a period of change and
challenges. The tanker industry has seen some very good
years but has faced some more difficult times where
increasing tanker supply has been struggling with flagging
oil demand, and the expectations of charterer, regulator,
environmentalist, seafarer and others still need to be
addressed, INTERTANKO said.
TANKEROperator April 2010
INDUSTRY – INTERTANKO ANNIVERSARY
“ INTERTANKO was one of the founder
members of the so called Round Table
banded together to discuss the relevant issues
of the day.
of shipping industry organisations In 2006, the Poseidon Challenge was launched
by INTERTANKO. This is described as a
that have banded together to discuss long-term part of the work programmes of all
those who adopt what it stands for, as they
the relevant issues of the day.
This particular period marked the beginning
which resulted in the call for safety measures
aspire to achieve continuous improvement and
set (and achieve) new goals of excellence –
including striving to achieve zero fatalities,
zero pollution, zero detentions.
of many of the rules and regulations that are to be put in place, both technically and Moving on to today, some of the main
in place today, albeit amended in many cases. operationally. This led to the development of issues include the threat of piracy, low sulphur
Since that period, in the 1980s, the tanker the OCIMF-led Tanker Management Self- fuel control areas (ECAs) and the lack of
industry has had to put up with the Iran/Iraq Assessment (TMSA) scheme and its successor qualified personnel coming through the ranks
war in which many tankers succumbed to TMSA2. on board ship. Indeed, at his inauguration last
missile attacks while steaming through the By now the IMO was also working on the year, new INTERTANKO chairman Graham
Middle East Gulf. single hull phase out regulations, which came Westgarth said that the greatest challenge
In 1989, the Exxon Valdez grounding into being this year. All the while, the facing the industry was the ‘human element’.
spawned the OPA90 convention in the US. European Union was looming ominously in To try to address this problem in the tanker
For such a relatively small oil spill, this the background ready to take unilateral action. sector, the organisation launched the Tanker
grounding was to have a major impact on Much has happened in the last decade. Officer Training Standard (TOTS) in 2008.
tanker operations, which is still reverberating INTERTANKO was one of the founder This was followed by eTOTS last year, an
around the industry today. members of the so called Round Table of electronic version put together in collaboration
Next came the Erika and Prestige sinkings, shipping industry organisations that have with Seagull. TO
April 2010 TANKEROperator 11
INDUSTRY - MIDDLE EAST GULF REPORT
sanctions – two
The news that some oil majors have ceased buying and transporting crude oil
from Iran in the wake of possible US and UK led trade sanctions,
could have a significant knock on effect in the tanker industry.
ne group that has been extend to the wider shipowning community. Such a bill, if enacted, would have profound
O monitoring the situation is the
International Group of P&I
clubs, which said that it is
watching current and pending legislation in
the US and the UK, which if implemented
Of greater potential impact is proposed
legislation to amend the Iran Sanctions
Act of 1996 to expand economic sanctions
Two similar but not identical pending bills
consequences for shipping and trade. For
example, under the House of Representatives
bill, sanctions would be imposed against both
domestic and foreign persons or businesses,
which provide Iran with refined petroleum
would impose sanctions in relation to dealings in Congress (both confusingly titled the Iran resources or engage in any activity that could
with the Islamic Republic of Iran and/or Refined Petroleum Sanctions Act) would, if enhance Iran's ability to import refined
Iranian entities. passed, impose new trade sanctions on the petroleum resources.
There have been a number of recent exportation of refined petroleum products to This could include:
developments which could potentially impact Iran. The bills have recently passed each of (i) Providing ships, vehicles or other means
on shipowners and P&I Clubs, which the the two chambers of the US Congress - the of transportation to deliver refined
group has summarised below - House of Representatives and the Senate. petroleum products to Iran.
1) US legislation. A number of Iranian The wordings of the two bills are currently (ii) Providing services relating to the
shipping companies (including the Islamic being reconciled and a single bill may then be shipping or transportation of refined
Republic of Iran Shipping Lines and some of enacted once a common wording has emerged. petroleum products to Iran.
its subsidiary and affiliated companies) are Such reconciliations are not confined to (iii) Providing insurance or reinsurance for
already ‘specially designated’ by the US finding a ‘middle ground’ between the two an activity described in paragraphs (i)
Treasury's Office of Foreign Assets Control versions, but can also lead to the development and (ii) above.
(OFAC). of new principles. Both bills are drafted widely enough to
The effect of this designation is to prohibit Once the language of the two bills has been include owners, charterers, managers, crew
dealings by US persons (which would include made uniform, it can be made into law. A within the definition of shipping activity, and,
provision of insurance services) with these reconciled version of these two bills is likely P&I Clubs and their reinsurers under the
companies. This prohibition is specifically to become law if the diplomatic negotiations definition of insurance cover.
targeted at the activities of identified Iranian with Iran over the development of its nuclear The proposed sanctions would apply in
companies and their vessels and does not programme break down. relation to any of the identified shipping and
insurance activities regardless of the flag state
“ India could be slap in the middle of any
and/or beneficial ownership, engaged in the
trading of refined petroleum products into Iran
notwithstanding that as a matter of the law
governing the relevant contracts of carriage
controversy surrounding sanctions, as the and insurance the adventure is lawful.
Penalties for breaking the sanctions are
country has a large refining capacity, likely to include barring persons and
which relies on crude oil imports from companies from access to US financial
institutions and the blocking of assets and
the MEG and exports refined products to dollar transactions of an offending insurer
located within or routed through the US.
the region, including Iran. 2) UK legislation. The UK Financial
Restrictions (Iran) Order 2009 came into
effect on 12th October 2009. The material
12 TANKEROperator April 2010
INDUSTRY - MIDDLE EAST GULF REPORT
provisions of the Order prohibited the of membership of the association by operation Separately, the International Group may
provision of insurance cover to IRISL owned, of law. Such an amendment would ensure that consider it necessary to amend the pooling
controlled and/or operated vessels. As a there was an automatic cesser of insurance in agreement to take account of a related
consequence of the Order, the IRISL entry circumstances where it had become unlawful problem that may arise where, by operation of
with the association ceased. for the association to continue to provide law, reinsurers of a P&I Club or the
The International Group has not been insurance by operation of sanctions or International Group may be prevented from
advised of any further intended action by the otherwise. paying a claim. This is a probable
UK government either in relation to insurance At the extraordinary general meeting held in consequence of the US legislation currently
arrangements for other Iranian companies or January this year the association’s members under consideration.
in relation to trading to Iran, but the adopted changes to the memorandum and 4. Shipowners obligations arising under
possibility should not be ruled out. articles of association, which gave the contracts of carriage
3) Club cover. The anticipated US directors a power to make changes to the rules The Group also said that it will liaise and
sanctions will introduce complex cover issues. during a policy year. It is anticipated that this co-ordinate with relevant shipowner
The International Group said that it may be power would be exercised in only the most associations with a view to the development
prudent for Clubs to consider amending their exceptional circumstances, but it could be of appropriate protective clauses for
rules to address situations where legislation, used where changes were necessary to prevent incorporation into charterparty and bill of
regulation or other executive action prohibit or the association from carrying on business, lading contracts.
impose sanctions in respect of the insurance which has been made unlawful during the
cover provided by clubs, which could expose course of the policy year by new legislation. Indian problems
club memberships at large to penalties arising Additionally at the January board meeting, India could be slap in the middle of any
out of the provision of insurance to individual the directors adopted a resolution that a controversy surrounding sanctions, as the
members whose trading activities contravene condition of entry be endorsed on certificates country has a large refining capacity, which
such sanctions. of entry for the 2010 policy year modifying relies on crude oil imports from the MEG and
Additionally, the implementation of the UK the rules of the P&I and FD&D classes by exports refined products to the region,
Financial Restrictions (Iran) Order 2009 had clarifying that the definition of a cesser event including Iran.
highlighted to P&I Club managers that the be extended to encompass a situation where, In February, Iran's ambassador to India
cesser provisions of the association's rules by operation of law, the association was maintained that his country continued to
required amendment to include a termination unable to continue to insure a member. import gasoline from a private Indian oil
April 2010 TANKEROperator 13
INDUSTRY - MIDDLE EAST GULF REPORT
owners could feel
the pinch if
crude oil imports
Photo credit -
refinery, even though the firm, Reliance incorporated most of the provisions in the Iran sold tens of millions of dollars in refined
Industries (RIL) had promised last year that it Refined Petroleum Sanctions Act. products to Iran.
would stop gasoline exports to Iran, fearing Representatives of the two chambers must Any new sanctions would also affect
US sanctions. now meet to agree on a compromise version Petroleos de Venezuela and state-owned
Ambassador Seyed Mehdi Nabizadeh's that will be sent to the White House for Chinese firms that are said to now provide
remark was claimed to have put Indian and President Barack Obama's signature. Iran with up to one-third of its gasoline
foreign companies' trade relations with Iran in Both the House and Senate versions seek to imports.
a difficult situation, according to local reports sanction persons or companies investing $20 The Reliance decision to stop gasoline
put out by news agencies and those appearing mill or more in Iran's energy sector. exports to Iran in 2009 came after several US
in the local newspapers. If the Iranian Ambassador's assertion of lawmakers urged the Indian Export-Import
However, RIL quickly denied the direct imports was true, RIL, which owns the Bank to suspend assistance to RIL, on the
ambassador's assertion. RIL spokesperson world's largest petroleum refinery complex at grounds that it was assisting Iran's economy
Tushar Pania told news sources in Mumbai Jamnagar, could be a primary target of those with the gas sales.
that the company had ceased exporting sanctions. India's business relations with Iran were
refined petroleum products to Iran as of last Iran, which is the world's fourth largest oil said to be ambiguous. The current Congress-
May. He declined to comment on whether exporter, is dependent on gasoline imports led government in New Delhi is a strong US
RIL petroleum products make their way to because of a lack of refinery capacity to meet ally, but it has also maintained relations with
Iran after being re-exported from third domestic demands. Until several years ago, Iran and at times defied Washington's efforts
countries. Tehran had to import about 40% of its refined to isolate Tehran. Iran is the second biggest
In a statement released 9th February, RIL gasoline from foreign suppliers, but, with supplier of crude oil to India.
said it’s "….contract with the buyers explicitly conservation and other measures taken by the If Reliance is sanctioned, it remains to be
prohibits Iran as a destination for any cargo government, imports have been cut to about seen whether it will have any impact on India's
loaded at Jamnagar." 30%, according to recent reports, a news own exports of gasoline products to the US, or
Last December, the US House of agency said. on bilateral trade relations more generally.
Representatives passed the Iran Refined Gasoline sales to Iran are not banned by UN India doubled its exports of gasoline to the
Petroleum Sanctions Act, which seeks to limit resolutions, although under the new Senate US to 5.19 mill barrels last year after RIL's
Iran's ability to import and produce refined bill these will be subject to US sanctions. Gujarat refinery started production, according
petroleum products. RIL is one of the many international to a recent Business Week magazine report.
On 28th January, the US Senate passed the companies, including Vitol, Trafigura and Most Indian oil exports come from RIL as the
Comprehensive Iran Sanctions, Glencore, Total, Petronas, Lukoil, Shell and public-sector companies cater to domestic
Accountability, and Divestment Act, which British Petroleum, which have in the past demands. TO
14 TANKEROperator April 2010
INDUSTRY - MIDDLE EAST GULF REPORT
Dubai – Shipping
ubai World, the conglomerate
as Drydocks World and Dubai Ports, being
which owns several household
names, could be broken up with
the profitable businesses, such
The Emirate of Dubai has
been rocked by financial
worries, primarily led by
the property and retail
However, recently there was gathering
optimism that Dubai World will reach an
amicable arrangement with its creditors. Local
sources said that it had been hinted that an accepting the conditions.
amicable restructuring would be announced As for the shipping sector, this area seems
‘very soon’. to have avoided all the fuss and is operating as
It was stated that Dubai World needs the before in all sectors and the companies
banks and the contractors just as they need involved do not appear to have any problems
Dubai World, despite the problems being in raising money.
faced by creditors. Towards the end of March
it was reported that the Dubai government was Topaz in profit
committed to injecting $9.5 bill into Dubai One example is leading UAE-based marine
World to help pay off $14.2 bill of debt. and offshore service concern Topaz Energy
Dubai World said that it proposed to repay and Marine. This company posted total
creditors in full over periods of five and revenue for 2009 of $448 mill, EBITDA of
eight years. Support has come from the Abu $127 mill and a net profit of $65 mill,
Dhabi Government once again. If proved to equalling year on year growth of 7%, 14% Topaz CEO Fazel A Fazelbhoy.
be correct, as everything is very vague and 38% respectively.
concerning money in Dubai, these proposals Topaz has a regional footprint across the through two strategic business divisions -
are subject to the 97 creditor banks Middle East and the Caspian Sea. It operates Topaz Engineering provides marine and
energy engineering services to the global oil
and gas and shipping industries, while Topaz
Marine is an offshore support vessel (OSV)
owner and operator with more than 100
vessels in its fleet serving the oil and gas
In 2009, Topaz achieved record results for
the ninth consecutive year and brought its
total asset base on the balance sheet to $874
mill while maintaining a comfortable gearing
ratio of 0.89, confirming the company’s strong
Topaz CEO Fazel A Fazelbhoy commented:
“This is an outstanding achievement in a
volatile economic climate and reflects the
inherent strengths of our business. Facing
great adversity, we have demonstrated our
business to be one that grows shareholder
value in a measured and responsible fashion in
any economic cycle. Topaz’s recession
Fujairah is a leading service centre for vessels entering or leaving the Gulf. resilience is a result of a considered blend of
Photo credit – Chemoil.
April 2010 TANKEROperator 15
INDUSTRY - MIDDLE EAST GULF REPORT
long and short-term contracts, exposure to through the financial crisis” said CFO Pramod aromatics and oxide and ammonia derivatives
geographies of strategic importance to global Balakrishnan. by 2015, while various state-owned firms will
energy markets and our refusal to jump on the “We raised $150 mill in debt financing in manufacture and export plastics and other
bandwagon of speculative vessel newbuildings 2009 thanks to the support of our global and petrochemicals from the Ruwais industrial
at the peak of the market.” regional bankers. In 2010 we have already cluster in Al Gharbia.
Dubai-based Topaz’s market outlook is exceeded this figure in the first quarter,” The fleet expansion, which could be worth
cautiously optimistic for 2010 but clearly he concluded. hundreds of millions of dollars, will occur by
buoyant for the years to come. With global Topaz is a wholly owned subsidiary of purchasing and chartering ships, explained
exploration and production (E&P) spend Renaissance Services SAOG, a publicly traded Scott Jones, Eships CEO, talking to local
projected to rise by approximately 10% in company on the Muscat Securities Market. sources recently.
2010, the company expects this year to Operating throughout the Middle East and the “We are expecting them to export large
present a visibly firmer market, but still with Caspian, with vessel operations in North quantities in long-haul voyages,” he said. “The
continued weakness in the first six months. Africa and Southeast Asia, Topaz employs size of our [chemicals] vessels will not be
With oil prices having stabilised, Topaz sees over 5,200 people. economical, so we have to upsize our fleet.”
very strong growth prospects for 2011 and Topaz Marine, the OSV division, comprises Eships has 13 ships, ranging from 6,500 cu
beyond. This optimism arises from the Nico Middle East, Doha Marine Services, m capacity LPGs to 170,000-tonne Capesize
company’s view that major investments will Topaz Saudi Arabia, BUE Caspian, BUE bulk carriers for transporting iron ore.
have to be made by international and national Kazakhstan & BUE Turkmenistan. Topaz Eships is owned equally by Mubadala
oil companies in offshore E&P and general Engineering comprises Adyard (Abu Dhabi), Development and Invest AD, two investment
hydrocarbon infrastructure, not only to replace Nico Craft and Nico International. arms of the Abu Dhabi Government. The two
the ageing infrastructure but also to keep pace Abu Dhabi shareholders last year bought out
with ever growing energy demand driven Abu Dhabi boost the shares of the Muscat-based Oman and
principally by China and India. Another shipping company, Abu Dhabi-based Emirates Investment Holding, which decided
Topaz claimed that it was well placed to Eships, a subsidiary of Emirates Ship to leave the shipping business. This move
capitalise upon this development and its Investment, plans to embark on a major followed the departure in 2005 of the
strategic plan includes significant investments investment programme to double its fleet in founding partner, the Klaveness Group of
in modern assets in the growing offshore three years to more than 25 chemical, product Norway, a drybulk specialist, when Eships
support vessel sector. Topaz builds new OSVs and drybulk vessels, as it gears up to serve a expanded into the chemical tanker business.
exclusively against medium to long-term raft of new industrial projects in the Gulf. The fleet acquisitions will be financed
contracts and market-specific niches, which The Abu Dhabi shipowner and operator said through a combination of equity and debt,
have significantly contributed to its strong that it hoped to capitalise on plans for Jones said, adding that asset values had
2009 results. petrochemicals and basic metals plants as dropped to attractive rates with the global
“Certain strategic acquisitions made in the MEG countries diversify their economies economic downturn. Eships will - “…optimise
Caspian and the Middle East in recent years, away from oil and gas revenues. the timing of our expansion by taking
and subsequent additions to the offshore These plans could include more than $40 advantage of market and price volatility”,
support vessel fleet are providing us consistent bill spent on petrochemical projects in Abu he said.
returns and cash flows. The strong balance Dhabi alone. Abu Dhabi National Chemicals In 2008, the company posted a loss, mainly
sheet together with a splendid operating Company (Chemaweyaat) will deliver an from using financial instruments in an attempt
performance saw us navigate comfortably integrated complex to produce olefins, to protect itself against volatile interest rates.
But the company will record a profit for last
year, as its longterm charter contracts buffered
it against the industry’s volatility. “In the
circumstances, it is a healthy profit, but
shipping had a bad year and most companies
have had a difficult time,” Jones said.
One area that the company decided not to
focus on, however, was crude oil
transportation. The reason being that the Abu
Dhabi National Oil Company (ADNOC)
requires buyer countries to bear the costs of
transporting the crude, which often results in
customers hiring shipping companies in their
home countries, Jones explained.
Recently, Eships purchased two distressed
newbuilding MRs from SLS Shipbuilding,
which were originally ordered by Glenda, a
subsidiary of Glencore and d’Amico. The
vessels were thought to have been cancelled,
due to problems being experienced by the
Wärtsilä has opened a large service centre in Dubai.
16 TANKEROperator April 2010
INDUSTRY - MIDDLE EAST GULF REPORT
Piracy –‘Be prepared’
The question of piracy in and around the Middle East/East Africa and elsewhere will not
go away until the world’s governments lend a hand to bring some stability to the area.
ntil that happens, which we all
U agree is a long way off, there are
various measures that an owner,
or operator, can take to reduce
the risk of becoming yet another hijack
statistic with all the problems that brings.
TA KEROperator spoke with Hugh Martin,
director of Delta Fox, about some of the
measures that should be taken against being
attacked by pirates.
Many of the shipping organisations have
come out against arming people on board
ship. However, in some cases carrying armed
security guards could be option.
Martin said; “There is a place for armed and
unarmed protection; it depends upon the
particular circumstances of a vessel and her
crew. If a security provider is doing its main
job of deterring a piracy attack in the first
place, then this will go a long way to
avoiding a potential attack escalating into a
fire-fight, risking both crews and vessels.
“Overall, security providers have been
extremely successful to date through the
implementation of measures designed to One of Fox Delta’s directors with a team on board preparing a ship’s defences.
prevent boarding and hijack. Fox Delta’s team
has successfully deployed deterrents such as Turning to training, in the wake of some of “Yes – the best deterrents are invariably those
razor wire, grease, barriers, as well as the larger shipping companies running their that combine the expertise of seafarers and
procedures, rehearsals and communications to own training courses, including post traumatic experienced maritime security personnel, who
deter piracy attacks. Pirates have learned to stress style counselling, Martin said that Fox work closely with crews.”
seek out the unprepared merchant ships, Delta runs a variety of training courses that
as these are easier to board and capture”, includes post traumatic stress. “Although our Prepared and vigilant
he continued. maritime training is aimed for security Talking of the various devices on offer to
He also said that Fox Delta supported personnel, we also offer shipping companies deter pirates, Martin agreed that the old
industry wide initiatives, such as the OCIMF bespoke anti-piracy training”, he explained. fashioned techniques are often the best ones.
and INTERTANKO plus others’ ‘best At a recent meeting in Dubai, there was a “The most effective measures are those
practice’ lists, which include contacting the call for the authorities to listen to the designed to make boarding a vessel too risky
relevant authorities when entering and leaving seafarers, who could possibly better advise as for the pirates. These include the types of
dedicated convoy zones and other to the correct methods needed to ward off physical barriers mentioned earlier but also
practicalities. attacks. Answering this point, Martin said; demonstrating to pirates that a potential target
is both well prepared and vigilant,” he said.
“ “...the best deterrents are invariably those
that combine the expertise of seafarers and
Many large tankers try to avoid the area by
sailing way out into the Indian Ocean while
say going from the MEG to the US or Europe
via the Cape. Others coming south through the
Suez Canal or the Red Sea ports have to pass
experienced maritime security personnel, through the Gulf of Aden, close to Yemen.
who work closely with crews.” Martin said Yemen was still proving to be a
daily problem although the pirates reach has
Hugh Martin, director, Delta Fox ” increased to greater distances offshore. “The
world’s navies, working along with other
April 2010 TANKEROperator 17
INDUSTRY - MIDDLE EAST GULF REPORT
agencies, have provided an element of safety, wants to pay more than required; however, it
but I recommend that shipping companies is well known that an analysis of the ships
should address their own safety too, as pirates captured by Somali pirates last year found
are becoming increasingly savvy and aware of that most of them had ignored recommended
current anti-piracy techniques and security measures, as many ships just took
procedures,” Martin warned. their chances.”
Fox Delta has had experience both in the As for the cargo owners bearing some of
Malacca straits and the Gulf of Aden where the costs, Martin said: “It depends on who you
the company provides first hand, senior level speak to; for example a cargo owner of palm
advice on what works best and is appropriate oil has more at stake than many and, of
for shipping companies, he explained. course, it also depends on the extent of
The problem of pirates spreading out across insurance cover deployed.”
the Indian Ocean is more of a financial Despite this situation lasting for many years
concern for shipowners, Martin thought. “We in various parts of the world, Martin said that
work closely with owners to assess risks, in there was still a requirement for anti-piracy
order to minimise the financial exposure of an services a situation, which he didn’t see
owner, consistent with affording the necessary changing in the foreseeable future.
protection for crews, vessels and their As for the main advise to shipowners and
cargoes”, he said. operators this was; “Be prepared… is the old
The need to take action and possibly avoid saying. If you are well prepared and have a Delta Fox director Hugh Martin.
the area comes at a price, which includes plan, then you already have reduced an
escalating insurance premiums and having to element of risk, and combined with a layered from $1 bill to $16 bill per year as it is
steam extra miles. In addition, the unions approach of relevant mitigating measures, it is considered ‘easy money’. Piracy is currently
have advised seafarers not wishing the possible to further safeguard your crew and too attractive, which will only change through
transit the area to disembark. Martin assets effectively”, Martin said. effective deterrents and preventative
countered these claims by saying; “No one “The current cost of piracy is estimated measures”, he concluded. TO
Incinerators maybe soon out of date warns Carmania
Dubai-based Carmania is now whereas the present day requirements are a slop tank. Not all tankers will be able to do
marketing Deerberg environmental maximum combustion temperature of 1,250 this and to ensure no mistakes are made, they
waste management equipment to deg C and a minimum of 850 deg C. These need to refer to the individual ships IOPP
local owners either contemplating temperatures allow for the complete burning certificate. Section 3 of this certificate will
newbuildings, or have new vessels of plastic waste. indicate whether or not this is permitted.
on order, of which there are Once plastic is burned there is still the Hall said that the new larger capacity
several within the region. problem of plastic ash disposal– a much incinerators are best fitted at the newbuilding
Carmania’s managing director Chris Hall reduced volume and weight - but which can stage in dock. However, with careful planning,
explained that it was a matter of trying to get be problematic since some ports refuse to take retrofits are possible using a riding squad. “It
the owners to specify the equipment, rather what has now become toxic waste with all its must be carefully planned out and cleared with
than have the shipyards offer a complete attached disposal restrictions. class,” Hall said; “It has been done before.”
package as in the past. For many vessels, the incinerator’s major All class approvals need to be in place and
Deerberg is perhaps better known as a use is in the disposal of waste oil and sludge. the welders must meet the grade requirements.
supplier of waste management equipment to These incinerators may operate 15 hours per Since a new upgraded incinerator will have a
the cruise vessel sector, predominantly in day or more. Although this equipment is larger footprint than the unit being replaced,
Europe. However, the company has since supposed to operate automatically and without drawings have to be done and access will need
opened up in the US and is exploring other constant supervision, many vessel owners to be checked. Hall said that normally, part
vessel sectors. insist on full and continuous supervision, of the bulkhead will need to be cropped for
One of the main problems is the incinerator. further reducing the effectiveness of an unit access and then refitted, once the fitting
Hall said that if vessels of over 12 years old already small ships compliment. has finished.
are being operated, it is highly likely that the There are still many double hull large
on board incinerator does not meet the Increasing problem tankers, including VLCCs, built over 12 years
requirements of IMO resolution This problem will increase as the quality of ago. These were fitted with the 750 deg C
MEPC.76(40), which was adopted on 25th heavy fuel oils continue to decrease – incinerators. If these vessels continue to
September, 1997, along with amendments in witnessed in the general increase in the cat operate incinerators and need to get rid of an
2000 and 2004, regarding the standard fines being experienced when bunkering. increasing amount of plastic waste – and not
specifications for shipboard incinerators. For tankers with excessive waste oil and accumulate it on board for landing, which is
Prior to 1997, incinerators were built with sludge they may be able, under certain often difficult, then the incinerators will have
an operating temperature of 750 deg C conditions, to pump some of this to the cargo to be upgraded, Hall said.
18 TANKEROperator April 2010
INDUSTRY - MANNING & TRAINING
officers and crew
The shipping industry has attempted to forge ahead on a voyage without a contingency
plan involving the most critical aspects of the operation – the crew.*
hree main themes have emerged the current trend continued, there could be a missing from the average officer’s list of
T during the last few years when
talking of a potential seafarer
1) Shipowners and managers are investing in
training more than ever before in an effort
shortage of 40,000 officers this year, which is
frightening. If we say eight officers per vessel,
that equates to 5,000 ships without officers.
Taking the Norwegians as an example, they are
looking for more than 10,000 extra seafarers to
competencies, so what better way than to take
advantage of this imbalance.
Image and perception
We are probably attracting enough young
to bridge the perceived seafarer quality gap. operate their vessels currently on order. people into the industry as we tend to have an
2) Recruiting and retaining is getting much IMEC has said that the scale of the shortage over-subscription to the V Ships cadet training
harder as fewer quality seafarers are was above the level researched by the programme, which has around 1,000 cadets
available and wage rises spiral, like some BIMCO/ ISF report and estimated that there studying for junior officer positions.
kind of demented auction. would be a 10% annual shortfall in the However, the more important question is
3) Improving the situation can only be number of seafarers needed. whether we are attracting a suitable standard
achieved by forming partnerships, alliances Now that the industry has recognised the of young people. The answer is - probably
or even truces. reality of the situation, initiatives within not. V Ships has conducted interviews in
Poaching will only exacerbate the situation, IMEC, Intertanko, InterManager and others Latvia, Lithuania, Russia, India, Ukraine, UK
resulting in higher wages, high attrition rates, are being launched, which should ease the and the Philippines and has been generally
a constantly migrating workforce and situation. These tend to revolve around cadet disappointed by the average applicant, apart
seafarers coming ashore earlier in their recruitment programmes, rating development from one exception - a modestly run marine
careers, either because they were dissatisfied, and recognising those centres of learning that engineering college in Goa.
or are wealthy beyond their dreams. have the best chance of making the seafarers Here, we did not find newly installed state-
Unfortunately, it is too late for contingency as good as they can be. of-the-art simulators, or sheds housing
planning. We are now in a damage limitation Both the BIMCO and IMEC statistics also numerous donations from well-heeled sponsors.
phase of our voyage. A positive result of the show that there is an abundance of ratings Instead we found a basic machine shop, class
manpower shortage is that the vast majority of available. The smart move would surely be to rooms with schematic diagrams and small
the senior management now understand the identify those who have the capability to models demonstrating operating principles with
gravity of the situation and continuing in the develop into future officers of the watch and a small team dedicated to making their students
same way is no longer an option. develop them. Industry commentators often as good as they possibly could.
The BIMCO/ISF research estimated that if speak about the basics of seamanship being Apart from a self-effacing spirit and
Ar e y
dy for MLC 2
? We can he
April 2010 TANKEROperator 19
INDUSTRY - MANNING & TRAINING
determination, the one thing that made these companies who provide a substantial proportion STCW 2010 will not include this and that it
cadets a cut above the average, was the of world tonnage, in their quest for meagre will be an opportunity missed that may not get
establishment of a co-operative community profit or survival. This can be achieved by the another hearing until 2020.
involving the local iron ore transhipment rigorous implementation of international The STCW document is important, but as a
vessels. The cadets spent a significant amount standards. We believe that Port State Control vehicle for change and improvement, it holds
of their time serving on board these vessels inspections targeting vessel conditions and no real value. For that we must take the lead
getting to know the practicalities of shipboard compliance with the ILO Maritime Labour ourselves or follow best industry practices.
life and operations. There is no substitute for Convention 2006 will enable the weeding out of
on-the-job training. sub-standard operators to continue and we must Conclusion
There are initiatives attempting to show support these initiatives for our mutual benefit. Shipowners will always look to become more
young people that the industry is one to be Other problems worrying the industry concern efficient, reduce costs and widen the profit
proud of. For example, the Marine Society seafarer criminalisation and medical sign-offs. margin. It is the nature of economics, but we
website and the webship British Trader, Clyde From a shipmanagers perspective, when V know the orderbooks are full, so we suggest
Marine’s local UK TV adverts and by various Ships considers bringing a vessel into that all of us begin to treat our seafarers,
Scandinavian organisations. management, we will always look at the vessel superintendents and support staff with a bit
The Scottish Executive is engaging with and the shipowner’s track record to determine more respect and plan for the longer term
business leaders to promote and develop local what the risk will be to our reputation and if instead of reacting quarter by financial quarter
economies and school leavers, by organising we should associate ourselves in a venture, to the whim of accountants.
field days on board vessels for careers officers which is anything less than professional. There is much cause for optimism.
and students. As a shipmanager, our two main assets are Outstanding issues are now being dealt with
New sources of manpower are being our reputation as the best shipmanagers seriously and not mere rhetoric. BIMCO,
explored in a rather tentative fashion by many around and our people. If our risk assessment IMEC, InterManager and others are making
organisations in places, such as Indonesia, process fails us, we risk our reputation and we tangible headway with projects.
Vietnam and Mexico. Investment in Chinese lose the trust of our seafarers. In short, Organisations waste millions of dollars
seafarers continues, but it has been recognised bringing sub-standard vessels into annually in asking consultants to come and sort
that China does not provide the complete management will not be considered unless out their companies when all they need to do is
answer, or even a substantial proportion of the suitable safeguards can be put in place to ask middle management, or the people at the
manning equation. ensure rapid improvements. sharp end – what do we need to do more of?
In the medium term, the Philippines, India The introduction of TMSA is already a What do we need to do less of? What should
and the FSU countries will continue to be the success in that the company who operates the we stop doing right away? If we actually took
major suppliers. safety management system is being forcibly their advice, companies would go from strength
guided in the right direction. Can the to strength with a contented workforce.
Staff retention impending revision of STCW do much to The main drivers for the crew are:-
A high retention, or low attrition, rate is improve the skills gap that exists? We don’t Provide sufficient crew to operate the ship
relatively easy to achieve providing the think that it will as the working group is efficiently without infringing the hours of
circumstances are favourable. A few years ago concentrating on technical skills and not work regulations over the full duration of
when there was a surfeit of officers and even the giving enough attention to the difficult skills the voyage.
2nd Mate had a Master’s ticket, retention was of management, leadership and the subject we Provide a balanced work/leave ratio.
not even included in the marine HR dictionary. call the – human factor. Provide a safe working environment.
There appear to be three types of companies Despite working groups, such as those of Be proactive to suggested changes from the
as described in Shiptalk’s e-magazine – good, the MCA and Intertanko discussing the human on board management team and demonstrate
bad and average. element and leadership, which have a higher at every opportunity that their input is valued.
Good have a high profile, have big budgets profile than they used to have, there are no Take time to explain the reasons why
with which to advertise and they have a indications that STW and the forthcoming important decisions have been made.
reputation for looking after their sea staff and incarnation of STCW will take this in. Acknowledge good work.
are still able to attract and retain seafarers. The Code of Safe Working Practices in its Provide training where it is needed and in
Bad always tend to cope but care little about previous and present form has advocated good time.
the standard of people they get. It is a sad fact training for shipboard safety officers to enable Develop and grow people so they can be
that these companies are still able to get poorly them to do a competent job. As a matter of ready for promotion.
trained and educated people through ruthless, course, oil majors and most shipping Contented employment is not only about
dodgy manning companies dealing with the companies have been sending officers to money. Motivation to perform the job to be best
lowest common denominators. attend training courses for many years. Yet it of our ability also comes from being valued by
The average companies are the ones that are seems that the STW working group will not the company and our peers. Constructive
hard pressed to get the right people. They may be addressing this critical requirement. advice, a pat on the back for a job well done
not have the profile, the shiny ships or What is the purpose of STCW if not to set and showing genuine interest in the individual
glamorous trades of the good, but they need to firm foundations to ensure that the vessel can be priceless acts and absolutely free.
tap into the same high quality labour force. At operations are conducted in an environment Be generous, do the right thing and your
present, good seafarers are able to look where safety culture can be created and company will benefit.
beyond the average companies. developed? Is this not the most fundamental *Taken from a paper written by V Ships last
The industry needs to help these average objective of the ISM Code? We fear that year but still very relevant today.
20 TANKEROperator April 2010
INDUSTRY - MANNING & TRAINING
Perhaps one of the most significant pieces of legislation aimed at the seafarer
is coming onto the statute books, once the required number of flag states with
the relevant tonnage has ratified it - International Labour Organisation’s
Maritime Labour Convention 2006 (MLC, 2006).
n a note issued by Lloyd’s Register estimated 1.2 mill seafarers. changed or modified to accommodate the
I (LR), the class society said that MLC,
2006 is extensive both in its application
and scope in addressing maritime labour
related issues with the objective of improving
the standard, safety and status of shipping.
The industry needs to be ready for MLC,
2006 with owners and managers needing to be
proactive in addressing the requirements of
the convention. It represents a major cultural
change for the shipping industry.
requirements of the MLC, 2006.
However, time is now very short as owners
and shipyards need guidance now to be able to
design and build and prepare ships to meet the
minimum requirements of the convention and
The convention has been drafted to help Five member states representing an estimated any prevailing national flag state
ensure that all seafarers, regardless of their 43% of the world gross tonnage have already requirements, LR warned.
nationality and the flag of the ship, receive ratified the convention - full international
acceptable working and living conditions. implementation is just round the corner. Shipbuilders
LR believed that the MLC, 2006 will have a The accommodation construction and
direct and positive impact on both crew Administrations equipment requirements of the convention
recruitment and retention, and most There is still much work for the industry to do provide guidance on it. Such requirements
importantly maritime. to be better prepared for this convention. Flag enhance, modify and update existing ILO
It sets minimum standards on issues such as states need to be ready to point in the right convention requirements and as such owners
conditions of employment, accommodation direction the MLC, 2006 requirements and and shipyards need to be conversant with the
provisions, recreational facilities, food and implementation, as much as shipowners need minimum requirements set and importantly
catering, health and safety protection, medical to implement its requirements. the flag state implementation of such
care, welfare and social security protection. Less than a handful of flag states have requirements through national regulations,
Detailed requirements of the convention already indicated their position with regards to substantial equivalences and exemptions.
aim to tackle issues associated with the the preparation of their required Declaration Unfortunately, we may see some variations
causes of fatigue, occupational accidents, of Maritime Labour Compliance document. To in the interpretation and implementation of
recruitment, employment opportunities and some extent this is understandable as in many these accommodation construction and
working and living conditions for an cases national laws and regulations have to be equipment requirements, which will pose a
April 2010 TANKEROperator 21
INDUSTRY - MANNING & TRAINING
change to designers, planners, shipbuilders In addition, LR can provide consultancy will require across the industry. It is important
and onsite surveyors, LR said. services, including certification of recruitment that adequate standards for seafarers’ terms of
and placement services, to support shipowners employment - their accommodation, their
Operators and other authoritative organisations to fully recreation, catering, health and medical care,
A number of shipowners and operators have meet their obligations under the MLC, 2006. their welfare and social conditions - are all
boldly ‘grasped the nettle’ and undertaken a LR has undertaken a number of initiatives, protected by convention.
number of internal studies to see to what including - “We want to be able to demonstrate that we
degree they are compliant with the MLC, 40 open and 100+ client specific seminars are leading the way in preparing for this
2006 requirements. worldwide. convention and how seriously we take the
Awareness among shipowners of the new 40 on board ship trial inspections and a safeguarding of seafarers’ working conditions.
convention’s detail is increasing rapidly and number of gap analysis of vessels plus 20 If we look after our people we know that they
LR said that it saw increased demand for their gap analysis at company level. will look after our ships,” he concluded.
training services and ‘On board Voluntary Training of LR maritime labour inspectors LR was approached by V Ships’ ship
Assessment programme inspection and gap worldwide ready to cope with demand. management division to complete an ILO gap
analysis services’. Training, awareness and advisory services analysis, identifying any areas for development,
This is a highly positive position from the are available to the industry worldwide. as well as training and certification services for
shipowner sector of the industry but needs to Have gained a considerable understanding all shipmanagement entities, providing a
be matched by the commitment from other of the main issues that will need to be unified and global approach to managing MLC,
sectors to ensure untroubled implementation. addressed. 2006 compliance.
As the industry becomes more aware and Understanding the issues with recruitment LR had worked closely with V Ships on a
conversant with the requirements and and placement agencies (manning agents). global basis, providing classification and
implementation of the MLC, 2006, the Working closely with flag administrations. ISM/ISPS services to many of its managed
industry will be able to meet and resolve such Dialogue with various shipbuilders on a ships and, more recently, increasing number of
issues in a uniform manner and thus achieve number of issues. consultancy services.
the core objective of the MLC, 2006, which is LR has produced a CD guide. A significant recent project was an
to improve the safety and status of shipping. This convention is good for the shipping environmental culture evaluation report
industry. It is complicated and presents a (MARPOL I) project where, over a year, LR
LR’s involvement number of challenges for administrations, identified and reported on systemic issues that
The various services provided by LR in owners and builders. Those acting in good may threaten V Ships' environmental
addressing this new convention encompass faith – particularly shipowners, with the long performance.
awareness training courses and seminars and term interests of their seafarers in mind –
inspection training courses tailored to specific should have little trouble with compliance. ABS training package
client needs as well as GAP Analysis and Compliance is coming up fast. Owners will For the forthcoming Maritime Labour
Voluntary Assessment programme aimed at need to act soon, LR said. Convention (MLC 2006), several other
helping the owner to prepare for inspection LR has signed a contract with V Ships to concerns are offering training packages to
and certification of his ships against the MLC, provide services to help ensure that the company shipowners/operators.
2006 requirements. is able to secure certification for MLC. These include the ABS Academy, which
LR has in place a comprehensive internal Matt Dunlop, COO shipmanagement, V together with specialist publications, is
training programme for its own inspectors Ships, explained why preparing for the new offering practical information about improving
enabling the class society to provide a global ILO convention is so important: “We are a seafarer’s lot in line with the convention.
network of maritime labour inspectors committed to the continued wellbeing of the Among the issues contained in MLC 2006
supporting its obligation as a recognised seafarers that sail in all our ships. We welcome are the minimum requirements for seafarers
organisation (RO) for flag states. the MLC, 2006 and the minimum standards it tasks on a vessel, conditions of employment,
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22 TANKEROperator April 2010
INDUSTRY - MANNING & TRAINING
accommodation, recreational facilities, food “We use a practical approach that gives offered in Houston, New York, Dubai,
and catering, health protection, medical care, participants clear explanation of the five titles Singapore and Piraeus.
welfare and social security protection, along in the convention using exercises and ABS also said that customised courses can
with compliance and enforcement. examples,” said training manager Pavan Lall. also be undertaken for owners, operators and
Speaking in ABS’ Activities magazine, “In our face-to-face training courses, owners shipbuilders alike.
Graham Marshall, ABS Academy’s director and operators have a change to get specific
external training said: “Our course is based on answers to their questions and establish a IRS stance
the knowledge we gained through the relationship with the ABS staff for future Said Nassif, managing director, International
interaction with ILO members and flag implementation of MLC 2006,” he continued. Register of Shipping (IRS), said:
administrations that took part in the ABS offers three distinct MLC 2006 “The Maritime Labor Convention MLC
development of the new convention. courses: - 2006 has been developed through six years of
“We have also issued two publications ILO MLC 2006 Awareness and intensive international tripartite consultation
based on that knowledge, the ‘ABS Guidance Implementation is a one-day course geared (shipowners, seafarers and government
Notes on the ILO Maritime Labour for executives and managers to gain a representatives) involving more than 100 ILO
Convention 2006’ and Guidance for quick understanding and awareness of the members.
Compliance with the ILO Maritime Labour convention and its implementation International Register Training Institute
Convention, 2006 Title 3 Requirements’,” requirements. department of International Register of
he added. Compliance is a two-day course that deals Shipping is in the process of setting up
The guidance notes explain each structure with the practicalities of implementation training courses to help our clients ensure that
of the convention and how to comply with it and provides practical guidance to a they will be compliant by the time it is
in simplistic terminology, while the Guide for shipowner’s technical staff. The guide and implemented.
Title 3 Requirements provides the assessment guidance notes are used extensively in this IRTI already runs a wide variety of training
criteria and measurement methodology for course. courses so that we can share the experience
obtaining an ABS MLC accommodation For ILO MLC Inspectors is a five-day and expertise of our very knowledgeable staff
notation (MLC-ACCOM). course offered on request for shipowners’ with our clients.
The guide focuses on design criteria inspectors. We want to encourage our clients to protect
categories addressed in Title 3 – Compliance courses are being offered in New their staff by giving them the necessary
accommodation design, whole body vibration, York and Houston in April and September this training for the benefit of their ship operation
noise, indoor climatic variables and lighting. year respectively. Public courses are being and their crew.” TO
WARSASH MARITIME ACADEMY
MLC convention TANKER TRAINING
LICOS - LIQUID CARGO OPERATIONS SIMULATOR
LR has observed that irrespective of ship Class A simulator approved by DNV to develop
type, ship size, number of crew etc, there professional skills for officers handling bulk
liquid cargoes. Shipyard to shipyard cycle
seems to be a number of areas of of operations training for LNG (Spherical &
particular ‘challenge’ to the industry in Membrane), LPG and oil tankers
meeting the MLC, 2006 requirements. SIGTTO LNG TRAINING
Some such key ‘challenges’ are: LNG Training in accordance with the SIGTTO
Accuracy, validity and completeness of seafarer medical Competence Standard, approved by DNV and
conducted in LICOS
Meeting the requirements of the convention regarding LNG CARRIER STEAM PLANT SIMULATOR
Seafarer’s Agreements. This simulator introduces students to the op-
Having a satisfactory on board complaints procedure. eration of an LNG carrier dual fuelled Steam
Meeting the requirements with respect to the hours of
SPECIALISED TANKER TRAINING
work or rest.
Liquefied Gas, Oil and Chemical Tanker
Incorrect payment of wages in relation to that specified Endorsement Training MCA (UK) approved to
in the Seafarer’s Agreement. STCW’95 standards
INERT GAS & CRUDE OIL WASHING
Lack of evidence on board of continuous improvement TRANSPORT OF DANGEROUS GOODS BY SEA
and/or of a risk assessment management programme. LNG FAMILIARISATION
Non application of the maritime labour related
requirements of the convention to non STCW Contact: Warsash Maritime Academy, Newtown Road, Warsash,
Southampton, SO31 9ZL
seafarers. Visit: www.warsashacademy.co.uk
Call: +44 (0)1489 576161
Fax: +44 (0) 1489 573988
April 2010 TANKEROperator 23
INDUSTRY - MANNING & TRAINING
Escort team training
ast year, one of the leading Pacific northwest training technical expertise and clear direction
L maritime training schools in the
US - Pacific Maritime Institute
(PMI) - teamed up with QSE
Solutions to provide what it calls the
‘Ultimate Learning Opportunity’ for vessel
initiative gives escort tug
masters and insight into
provided to encourage a change in the thought
process, habits, and behaviours of the
participants in training.
It is vital that the instructor communicates
information in advance of every training
escort team training. scenario and the facilitator extracts key
A grouping of Puget Sound pilots, Alaska Communication skills. information for continual improvement at the
Tanker Company masters, and Crowley escort Technical knowledge. end of each scenario, Trunnell said.
vessel captains was taken through 14 Shiphandling. In between, there is a weaving and
simulation scenarios using two Transas full Regulatory oversight. integration of high-end communication
mission simulators to learn critical thinking SBT also included extensive scenario techniques, technical information of the
and resource management skills. briefings that cover departure points, arrival equipment and shiphandling skills, regulatory
PMI explained that the basic philosophy for points, vessel type, vessel characteristics, requirements and clearly defined roles and
this course was scenario based training (SBT). the role of each bridge team member, responsibilities.
For SBT to be effective there must be a immediate traffic conditions, immediate The PMI escort team training course
purpose for the passage and consequences if it environmental conditions and expected provides an opportunity to practice critical
is not completed as planned. learning objectives. skills in a realistic situation, such as moving a
How does escort team training really work? At the completion of each simulation fully laden oil tanker with a pilot on board and
Director Gregg Trunnell explained that the exercise, the participant assesses his/her an escort tug attached to the stern, heading
fundamental goal of escort team training was performance and addresses specific areas that northbound approaching Rosario Strait and
to reduce human error and accidents by influenced decision-making throughout the Lawson Reef, when… something happens!!!!!
improving individual decision-making skills. training session, in particular consider and say Recently, PMI hosted its third of several
The key to this philosophy is SBT, which what influenced their decisions. scheduled two and a half day tanker escort
comprised of the following subject areas: Discussion is encourage and supported with training programmes.
The training is
24 TANKEROperator April 2010
INDUSTRY - MANNING & TRAINING
The programme included members of the
British Columbia coast pilots and tug captains
from Seaspan International and SMIT Marine
This training programme marks the
culmination of a multi-year project initially
begun by the BCC Pilots and the Vancouver
Port Authority (VPA), which carefully
evaluated their escort system for its Second
Narrows Waterway and its two bridges.
The study identified several procedural
changes that they could make as well as some
improved navigational aids to allow for ships
to be escorted with a greater degree of safety
and with a deeper draft. On 22nd-24th
February, Captain Greg Brooks, a 42 year
veteran of the tugboat industry and principal
of Towing Solutions of Florida, served as lead
facilitator for the programme.
The Vancouver Port Authority and BCC
Pilots working with Towing Solutions initially
designed a multi-phase research project that
used fast time simulation, manned simulation
and two live tanker trials (one fully
instrumented) to identify and fine tune the
new escort procedures.
Escort duties are different to shiphandling duties.
During this process, when the initial
simulations looked promising, Seaspan and
SMIT were brought on board as active Coast Guard, and other interested parties manoeuvres are properly trained.
partners and participated in the live trials and participating in the review. To conduct this training the BCC Pilots
second phase of manned simulations. The revised Second Narrows escort selected PMI’s training facility in Seattle,
In this second set of simulations, the tug regulations are scheduled to be implemented which includes state-of-the-art Transas ship
captains manned three separate tug simulators in May, 2010. and tug simulators. The training course itself
and worked interactively with the pilots who As part of the implementation process it was developed in collaboration between
manned a fourth. As a final step in this was decided to train all of the BCC Pilots and Towing Solutions, the BCC Pilots and PMI.
process, the findings were subjected to the the tug captains from Seaspan and SMIT who Active since the early 1970s, PMI is a non-
Canadian pilotage risk management will conduct the escorts, to ensure that all of profit maritime education centre for
methodology with shippers, the Canadian the mariners charged with carrying out these professional mariners. TO
SAFETY THROUGH KNOWLEDGE
visit us at www.seagull.no
The Seagull Training System is the most effective and widely used seafarer training system
available today with over 7,000 ships and shore installations worldwide.
April 2010 TANKEROperator 25
INDUSTRY - MANNING & TRAINING
MTC gains TOTS simulator courses certificate
Hamburg-based Marine Training The standards applied are: piracy from international, national and
Centre (MTC) has received TOTS-INTERTANKO 2008 - Modules industry bodies has changed frequently,
accreditation from Germanischer 4A – 4F. particularly as the situation has escalated off
Lloyd (GL) to run TOTS simulator GL standard for the approval of training the Horn of Africa,” he said.
courses. programmes and training systems - edition “More and more agencies have added
Launched by INTERTANKO with partner 2009, Rev 05. circulars and instructions advising or directing
Seagull, TOTS (Tanker Officer Training The seminar was organised together with the seafarer. Seagull has monitored all of these
Standards) offers training and verification of Seagull, a producer of computer based and the new module consolidates the latest
core competency, providing the industry with training (CBT) systems and the only measures and recommendations, delivering
a standard that ensures tanker officer INTERTANKO-licensed provider of e-TOTS. applicable training in a consistent and
competence through on board and shore Seagull is providing TOTS modules 1 – 3. consolidated form,” Frette concluded.
training, evaluating knowledge gained as a MTC and Seagull have signed a co-operation IMO circular MSC.1/Circ.1334 provides
result of time in rank and time with company. agreement in order to offer to shipowners the guidance to shipowners and operators, masters
Simulator work is a crucial part of this complete package of TOTS modules 1 and crews on preventing and suppressing acts
training, enabling officers to train more through 4. of piracy and armed robbery against ships.
effectively during their time ashore. It recommends the carriage of additional
INTERTANKO's marine director Capt Anti-piracy training package crew members when a ship is scheduled to
Howard Snaith said that the organisation is Meanwhile, Seagull has launched a new operate in waters at high risk of piratical
pleased that MTC has achieved accreditation training package to assist seafarers in their attack and increased emphasis on security
to run the TOTS simulator courses - the first continuing battle against piracy. training and drills.
training academy to achieve such certification. The training specialist has developed a Frette said that Seagull’s new counter piracy
“Many more marine academies will now computer-based training (CBT) module, plus training package had drawn on the IMO
push forward to complete their own TOTS accompanying workbook, giving procedural recommendations, but also on advice from
simulator training accreditation, in view of the advice to assist crew preparedness for attacks INTERTANKO, the IMB, the Maritime
current growing demand by tanker owners for by pirates. Security Centre and P&I Clubs. While there
centres to run TOTS simulator courses for The International Maritime Bureau (IMB) are no mandatory requirements covering
their officers,” he said at a seminar organised reported 406 incidents of piracy and armed seafarer training in the skills required to
in Hamburg by MTC to mark the event. robbery in 2009. Worldwide, 153 vessels were prepare for attacks by pirates, he said that
MTC’s managing director Heinz Kuhlmann boarded last year, 49 vessels were hijacked, such steps would become inevitable.
said MTC’s intention is to establish a first and 120 vessels fired upon. Some 1,052 crew He said; “This new program offers seafarers
class service for worldwide tanker operators members were taken hostage. training on attack techniques, on procedures
by providing all the required tanker training Somali pirates were responsible for 217 and special equipment that can be used to
courses for their crews in Europe. attacks, with 47 vessels hijacked and 867 crew prevent pirates boarding ship, on managing a
TOTS is a main component in the MTC members taken hostage. Escalating levels of situation where pirates or armed robbers gain
course portfolio, he explained. violence have led to a rise in the number of access to or take control of a ship, and on
MTC is approved to operate the following crew injuries. what to do in a hostage situation.
TOTS training courses: Designed to cultivate best practice in a “In compiling this course, we paid
Module 4A, chemical tanker simulator piracy situation, the new Seagull CBT particular attention to developing new and
training. package offers guidance on how to reduce the additional questions for the workbook to
Module 4B, chemical tanker simulator possibility of pirates or armed robbers getting enhance seafarer knowledge, and how and
verification. on board the vessel, how to manage a what they should do in such a dangerous a
Module 4C, product tanker simulator situation where pirates or armed robbers gain situation. A prerequisite of the training course
training. access to a vessel, and provides an has been that trainees understand their roles
Module 4D, product tanker simulator understanding of how to react should pirates and responsibilities if a dangerous situation
verification. actually seize control of a ship. develops.”
Module 4E, crude oil tanker simulator Erik Frette, Seagull manager course The course is principally aimed at support
training. department, highlighted the critical role and operation level personnel, although Frette
Module 4F, crude oil tanker simulator played by being well prepared in addressing said that management should be thoroughly
verification. piracy. “Advice and guidance on counter familiar with the topic.
Candidates taking the course must complete
“ “Many more marine academies will now
push forward to complete their won TOTS
the CBT module and the exercises in the
workbook. When all prescribed training has
been undertaken, the candidate sends a
completed test paper to a Seagull instructor
simulator training accreditation.”
Capt Howard Snaith, INTERTANKO.
” for evaluation.
Successful candidates need to achieve marks
of at least 75% in the CBT and workbook to
receive a Seagull certificate of competence. O
26 TANKEROperator April 2010
TECHNOLOGY – CLASS SOCIETIES
Russian Register uses
experience to promote
Offshore transport infrastructure will be needed to complete the development of
promising offshore oil and gas fields’ on the Arctic shelf and in ice covered seas.
herefore, there will be a need for conditions. The particular method of transit
T icebreakers, tankers, support and
supply vessels and gas carriers,
which are capable of operating in
harsh climate conditions and are able to
comply with the highest standards of safety
chosen is dependant on the actual ice
conditions, the hull shape and general ship
design, its dimensions, displacement and
The hydrodynamic model of the hull-to-ice
and pollution prevention. interaction, used for the certificate is a unique
During 100 years of classification and RS tool, developed in collaboration with
survey of icebreakers and icegoing ships, the research institutes.
Maritime Register of Russia (RS) has RS said that the certificate will be most
accumulated significant experience in useful for new types of vessels - for example,
ensuring the safety of shipping in ice Arctic LNGCs intended for operation in
conditions. This experience enables the severe conditions. The development of the gas
register to be in the forefront of the production sector requires an increase in the
development of the regulatory requirements volume of gas transportation capacity. Long
for icebreakers and ice vessels, RS claimed. distances and particular shelf area natural
RS has had the opportunity to analyse features preclude gas transportation through
operational experience, data related to Arctic pipelines, therefore specialised gas carriers
vessel damages and statistical data on the ice will have to be used, RS said.
thickness and strength along the Northern Sea Climatic conditions found in the gas fields
Route, to gain valuable information on the require the application of innovative
actual ultimate limits of ice strengthening technologies. Large-capacity LNGCs are high- RS director general Nikolay Reshetov.
contained in the RS rules. tech ships and their design and construction
The key factor in ensuring high safety require a multi-criteria strength assessment of defining the design temperature of the Arctic
standards is continuous research aimed at their hulls’ ice strength. gas carriers.
development of new requirements and the As a consequence of the increase in the
implementation of the results into vessel Research volumes of oil and gas extraction and
design. The new requirements are currently RS has carried out research on the essential transportation, the Arctic environment
being scrutinised by scientific institutions, features of large-capacity LNGC operations in protection issues have become more urgent.
leading shipyards and shipowners. This co- Arctic conditions. Recently, RS developed a RS said that it paid particular attention to the
operation is an important element for the new method to calculate ice load capacity environmental safety issues that are of the
development of standards aimed at achieving taking into consideration the large capacity critical importance, due to the area’s greater
a high level of safety, RS said. ships’ features including bulbous bows and the vulnerability.
requirements to conduct finite element “The RS efforts are aimed at development
Ice certificate analysis of their hull structures. of the requirements promoting implementation
RS’ has developed the Ice Ship Safety Special attention was paid to the of environmentally sound technologies and
Certificate, which is claimed to be a unique development of additional requirements for reduction of technological environmental
multi-purpose document that incorporates the Arctic LNGC’s hull cold resistance. The impact. To provide the safety of navigation in
many years’ experience in surveying icegoing decreasing temperature correction is the harsh Arctic conditions and to protect the
vessels. This certificate enables the operator to dependent on the containment tank types. The environment, it is necessary to join the efforts
choose between icebreaker assistance, or alteration of the ambient temperature impact of all the members of the international
transiting through the ice independently for throughout the height of the ship’s side was maritime community”, explained RS director
the safest modes of operation in ice defined in the research, as was the method of general Nikolay Reshetov. TO
April 2010 TANKEROperator 27
TECHNOLOGY – CLASS SOCIETIES
LR’s ClassDirect LIVE
- an easy to use system
Oil tanker operator Eletson has been using Lloyd’s Register’s ClassDirect LIVE
extensively including requesting surveys on line for many years.
CEO ikos Makris describes how the company uses the system*.
akris explained; “We have simple. “We saw the new functionality added the company, shore and ship side.
M started using ClassDirect Live
as an information platform
since its inauguration, at the
end of the 1990’s. After familiarising
ourselves with the system we started to
and being progressive, we tried it and soon
appreciated that it was a very useful feature”,
He also said that he felt that there was a
more direct 'contact' with the classification
Direct 'contact' with LR and immediate
feedback that the survey request has been
registered and is being processed.
Clear view of which items each survey
request surveys. After a period of testing and society on this matter and a clear understanding Usage of the standard survey request form
ensuring it worked for this important of what the request for surveys contained and prevents crucial data omission and
operation, we were able to gain trust in the pertinent details. facilitates the user in filing in the request.
the system”. As for the benefits, Makris said; “We were It is very easy to use!
Explaining the reasoning for requesting surprised at the benefits this functionality gave It is really a tool that makes requesting
surveys on line he said that the company to us”. surveys more efficient that in turn helps
wanted to use a system for requesting He went on to list the benefits as - us to ensure that we are in full compliance
surveys that was consistent, reliable and A consistent way to request surveys across with national and international regulations.
28 TANKEROperator April 2010
TECHNOLOGY – CLASS SOCIETIES
Makris said that he reviewed the user One of a number of enhancements was
manual and on line training LR produced requesting surveys online. Superintendents
aimed at helping make the software even and managers should be making informed
easier to use and said; “They are easy to use decisions, not spending time looking for
and navigate through. It gives the user clear information.
insight on the functionality of the system and The software’s functionality follows a
how to use the system to the best advantage.” simple traffic light system with three basic
He also said he found that as a whole, the steps -review, plan and request. Each step
system offers many benefits with easy to use delivers information under the following
functionality. Some of the functionality, apart headings:
from requesting surveys on line includes: Review:
The manager and class ‘share’ and view Fleet survey status.
the same records. Vessel summary.
For large fleets, immediate view of the Survey history.
general status, with drilldown ability as Conditions of class.
required. Quarterly listing.
Information and associated records on Plan:
recently carried out surveys is promptly Survey planner.
available in the system. Checklists.
Records of surveys, periodical lists etc can Approved service suppliers.
be obtained ‘on the spot’, as required. Enhanced survey planning (ESP).
All contained information is accessible Request: Eletson CEO Nikos Makris. Photo credit – LR.
from anywhere Internet is available. Request a survey online,
In addition to allowing clients to request fleet on one page.
Design enhancements surveys, the software also offers online: Detailed survey histories with complete
Subsequent to feedback from clients and Fleet particulars irrespective of class survey reports for at least 12 years.
further research, LR carried out a number of society. Incident summaries which link to details of
developments designed to enhance Up-to-date survey status and five year hull and machinery defects.
ClassDirect LIVE’s functionality, said David planner for all LR-classed vessels. Details of hull and machinery ‘as built’
Barrow, LR’s country manager for Turkey. Downloadable survey status for working configuration.
The maritime information service software offline, suitable for faxing or e-mailing Survey checklist as used by LR surveyors.
for operators with LR classed vessels is to ships. ISM Code certification status for all ships,
designed to deliver direct, live access to Ability to order surveys on-line. irrespective of class.
information held on the LR’s databases Hull and machinery master lists. Access to rules, regulations, classification
through a simple web interface, the service is Up-to-date status of condition of class and news, approved suppliers lists and
available anytime of the day, anywhere in the memoranda items. technical services.
world, Barrow explained. Six month fleet survey planning - entire Together these functions will provide a
consistent approach to requesting surveys
from ashore and on board, Barrow claimed.
They also maximise vessel performance by
enabling improved survey planning and better
decision making, reducing unnecessary
intervention and surveys costs by optimising
the survey schedule and reducing the risk of
port state detentions by helping clients
maintain their vessels to a degree where they
are fully compliant with classification and
Information contained in the software will
continue to be secure and confidential, and
accessed by the use of a password with data
encryption during transmission.
A comprehensive online tutorial coving the
three major processes is now available on line
on the ClassDirect LIVE web site, and an easy
to follow user manual is also available to
users once registration has been completed. TO
*This article first appeared in LR’s house
Eletson’s LPG carrier Anafi was delivered last year. Photo credit – LR.
April 2010 TANKEROperator 29
TECHNOLOGY – CLASS SOCIETIES
LR celebrates 250 years
At the start of this year, LR known as ‘Green Passport’. of the guide provides further independent and
kicked off its 250th anniversary “These ships are the realisation of the impartial information on commercially
celebrations by classing a newly strategic plans for fleet growth we drew up available and developing technologies for
delivered Aframax. five years ago; they will add commercial ballast water treatment (BWT).
Pichincha, a 105,000 dwt Aframax was also the flexibility and expand our area of operations. The global requirement for ballast water
first vessel to be delivered to LR class this year. We chose LR for their expert guidance in treatment arises from the International
She was a product of Hyundai Heavy Industries fields that were new to us: bigger ships and Convention for The Control of Ships' Ballast
and was the second of two sisterships ordered CSR rules. And, as an environmentally Water and Sediments. This requires certain ship
by Ecuadorian oil concern FLOPEC. conscious company, one of our priorities was types to use treatment systems, which makes
“Completing 250 years under the same brand to ensure compliance with the environmental the treatment of ballast water one of the most
is a rare and admirable achievement. But, for requirements of our traditional trading areas, significant environmental and operational
LR, this year will not be about celebrating California and US Gulf & East coasts,” said challenges facing the marine industry today.
history. It will be about celebrating our ability Rear Admiral Aland Molestina, president of According to Dr Gillian Reynolds, LR’s
to consistently support the development of the the FLOPEC board and Commander in Chief principal environment and sustainability
technical innovation and expertise that the of the Ecuadorian Navy. advisor, to meet this legislation, ship operators
market requires, often before the market “We began building vessels at HHI more are now being confronted with having to select
requires it,” said Luis Benito, country & marine than 20 years ago, some of which are still the BWT solution which will work for them.
manager, South Korea, for LR Asia. sailing the world without any drawbacks. The Dr Reynolds, who is responsible for
“Market insight and technical expertise have availability of this design and timely building developing the guide, said: “The intention of
proven to be two of our most enduring slots gave us confidence we would reach the guide is to help shipyards, owners,
products, and we expect that to continue. today’s milestone, while assuring both quality operators, regulators and other stakeholders
Because quality clients such as HHI and and safety,” he explained. understand the availability and approval status
FLOPEC not only count on our unrivalled HHI has been building ships to LR class of commercial solutions and provide an insight
experience, they also expect us to provide since 1972. Pichincha is the 484th ship into the different technologies involved.
solutions for the technical and regulatory delivered by the shipbuilder to LR class. HHI “This revision provides updated information
challenges they will face in the future,” he said. currently has 44 more ships contracted to LR on suppliers and the solutions that they
Pichincha, named after a legendary class on its books. provide, and demonstrates the increasing
volcano near the Ecuadorean capital Quito commercial availability of approved ballast
where local troops secured the country’s BWT guide updated water treatment systems.”
independence from Spain in 1822, was built In another move, LR has published its third The updated publication has been produced
to IACS’s Common Structural Rules and to guide to Ballast Water Treatment Technology. by LR in conjunction with the Institute for the
the IMO’s new guidelines for ship recycling First launched in 2007, this latest version Environment, Brunel University, UK. TO
on trials. Photo
credit – LR.
30 TANKEROperator April 2010
TECHNOLOGY – CLASS SOCIETIES
alignments and bearing
problems assessed by
D V consultancy
D V Technical Consultancy said that it had found that especially for tankers,
shaft alignment and bearing performance/investigations projects have highlighted
the need for advisory services beyond class.
ncreased focus has been seen on the removed again for re-babbitting. acceptable tolerances. The final repairs were
I performance and reliability of stern tube
bearings. For example, FLEX R&D
(DNV’s JIP dealing with hull
deflections influence on shaft alignments) for
VLCCs, as well as recent incidents, have
However, following the second post
docking sea trials, the same problem occurred.
Since it was thought that the bearing was
damaged, a meeting was arranged the same
day between the owner, class society
completed within a few days, followed by
successful sea trials, during which the bearing
was tested in all relevant operating conditions
and the vessel finally returned to normal
highlighted the need for increased knowledge representatives and machinery experts from DNV said that this case demonstrated the
and improved analysis methodology in order DNV Technical Consultancy. importance of shaft alignment and of
to reduce the risk of shaft and bearing A senior engineer from the consultancy was appropriate investigations and procedures
damage. immediately sent from Norway to Asia in being implemented during drydocking and
Shaft bearing failure can have a severe order to carry out a damage survey and help conversions, especially if bearing damage is
impact on manoeuvring and safety. In the owner’s on site personnel to determine the found.
addition, bearing trouble can result in oil correct repair work needed. The class society also said that the
leakage with serious consequences. At the same time, the shaft alignment and knowledge accrued from cases such as this is
DNV highlighted a recent case where the bearing performance were evaluated by the regularly used as input for updating DNV’s
class society, consultancy and other resources consultancy ‘experts’. This evaluation took rules as part of its continuous improvement
co-operated to prevent offhire affecting an into account the hydrodynamic propeller process.
owner experiencing shaft bearing problems. forces and the oil film formation in order to DNV Technical Consultancy said that it had
The vessel concerned was a shuttle tanker achieve a satisfactory slope bore design in the seen an increase in demand for services, such
fitted with a low speed diesel engine directly aft bearing. as shaft alignment and bearing issues, on-site
driving a single CP propeller. A vessel shaft measurements and inspection services,
conversion, together with the shafting, had Plan executed as well as traditional and advanced shaft
been undertaken a few years ago. Based on the on-site findings and alignment analysis, including bearing
She was scheduled for a routine drydocking measurements, plus the calculation results, a performance analysis.
and was manoeuvring in the shipyard when a repair and verification plan was executed.
high temperature alarm was triggered for the DNV claimed that there was very close co- DNV highlights competence
aft stern tube bearing. Upon inspection of the operation between the consultancy’s engineer, Still in the grip of an economic downturn, the
bearing after the propeller shaft had been local class representatives and the Oslo head shipping industry is struggling to manage the
withdrawn, it was found that the aft stern tube office to resolve all the issues quickly to the gap between shrinking budgets and the costs
bearing was wiped. satisfaction of all those concerned. of maintaining quality safety and
An additional challenge was the environmental performance through
Second drydocking deformation of the existing bearing shell due competence.
This was a standard white metal bearing, to the repeated re-babbitting procedures, But according to DNV, the issue is widely
DNV explained. The shipyard removed the resulting in too much ovality. A new bearing misunderstood.
bearing and sent it to a sub-contractor to be would not have been available for at least four Total’s Group Head of Shipping, Luc Gillet,
re-babbitted. After the sea trials following the weeks, which would have resulted in a very indicated to the press early in 2009 that Total
docking, a high temperature in the aft stern expensive delay for the owner. will pay special attention to its relationships
tube bearing was again recorded, resulting in The solution was to undertake the final with owners in the current period of economic
the vessel returning to the shipyard. It was boring of the aft bearing in-situ, such that the downturn. “In the context of this economic
found that the bearing was damaged and was final slope and geometry would be within the crisis, you must be able to find owners who
April 2010 TANKEROperator 31
TECHNOLOGY – CLASS SOCIETIES
offer quality service, quality maintenance and What every maritime CEO should
experienced crews,” he said. “We must be know about competence
more vigilant than in previous years.” 1) Competence does not equal training
Magnar Eide, project manager for DNV’s To view competence only as an issue related
SeaSkill™, a unit in DNV devoted to to training is to miss the point. Competence is
maritime competence and training, said: a strategic resource which is as important as
“Shipowners should consider carefully the finance. Ensuring that competence is nurtured
long and short term impact of these reductions and allowed to develop enables companies to
not only on safety and environmental deal with the good times, the bad times,
performance, but their business. diversification and changing strategic goals.
“Our analysis of this issue over many years 2) Protect and manage competencies
suggests that competence is strategically vital Human error accounts for over 80% of
to achieving business objectives,” he said. accidents and incidents at sea. The cost of
Over the past two years, DNV SeaSkill™ such accidents and incidents can have dire and
has focused on these issues and developed unpredictable strategic implications for a
services to help companies manage these company. Identifying critical operational
challenges by identifying cost effective competences are the necessary pre-requisites
solutions to turn competence development into to minimising damaging financial outcomes.
sound business policy. However, Eide said 3) Bring competence into the business
that many companies continue to struggle to model of your company. Make sure your
bridge the gap between senior executives and organisation values and supports learning. If
competence development personnel, who may there is a culture with little sharing of
have different views on the role and cost of knowledge, little involvement from senior
DNV Maritime’s Tor Svensen is leading the
skills programmes. “Senior shipping staff in the promotion of learning, or if the fight against ignoring competency issues.
executives probably realise that competence organisation is operates in ‘silos’, no amount
vital to attracting and retaining experienced of investment can ensure a strong learning organisation on track with competence
seafarers in a tough market,” he said. “But culture. initiatives? Has it experienced any incidents
few consider the enterprise risk of 4) Know the cost of ignoring competence lately? How can we differentiate ourselves
underfunded competence development Many of the incidents and accidents in recent from the competition? These are the types of
programmes.” years can be attributed to short-sighted questions that the CEO must ask HR and
leadership decisions to reduce costs related to others in order to keep the company message
Open letter competence development and training. CEOs relevant. Competence personnel must not only
In an effort to clarify the issue, DNV has must consider the risk to the bottom line report to the CEO, but be engaged in an open
prepared the following ‘Open Letter’ to senior against short term cost reductions. The loss of dialogue.
shipping executives. brand equity is a huge risk posed by lax 7) Increasing technological complexity
Dear CEO; competence and training practices, one which demands higher levels of competence. To be
‘You probably realise that competence is an many CEOs need to address. A company’s able to access new business opportunities such
issue to attract and retain experienced brand is the bedrock upon which most major as Arctic voyaging, offshore energy
seafarers to man your ships in a tough market. enterprises build their business. When that production and cope with increasingly strict
You may have already mobilised the bedrock cracks, many businesses have a hard regulatory environmental requirements,
HR/training manager to develop a time recovering. shipping companies must develop competence
comprehensive recruitment and competence 5) E-learning is here to stay. Shipping beyond compliance requirements. The
programme, or perhaps you’ve asked your companies increasingly operate as borderless initiative to raise competence to the levels
HSE personnel to manage STCW issues. entities. As a result, it is imperative for required needs to come from the enterprise as
Either way, you probably acknowledge the company leadership to realise that a business part of the strategic business plan.
risk companies’ face when a lack of operating without the advantages of E- 8) Changing attitudes from compliance-
competence, caused by bad performance, learning is at a comparative disadvantage to driven mindset to a business centric
makes the evening news. those that embrace this new technology. If E- mindset is vital. The maritime sector has a
We know now that nearly 80% of accidents learning becomes a part of a company’s long history of training been driven by the
and incidents at sea are caused by human error strategic planning, it can have a direct impact regulatory demands for minimum safe levels
and like many CEOs, you probably on competiveness, employee retention, of competence. This instills a reactive
acknowledge that your company has room to recruitment and lowering costs. Avoiding this approach to training that is driven by
improve. However, you may also be aware transformation can place organisational prescriptive models such as the IMO model
that competence personnel and top decision- readiness at risk. Learn what it can do for you. courses and traditional classroom training.
makers may not share the same views on the 6) The competence role of the CEO. It is Beyond compliance might well be a good
impact of competence and training on the clear that CEOs need to provide leadership by slogan to place competence as a change agent
business. To help clarify the issue, we have challenging the organisation to understand in the organisation and harness new ways to
prepared a list of issues related to competence risks and requirements, so that the learn. Social networking and virtual
which have a real impact on the success of organisation can review and refine its competence driven methods can be applicable.
your business. approach to competence issues. Is the Exploit them.’ TO
32 TANKEROperator April 2010
TECHNOLOGY – BUNKERS
– the technical and
On 1st January 2010, the first stringent sulphur emissions legislation
within EU ports was officially introduced*.
y 2020, depending on the operational and environmental perspective, perspective, there is much to consider. And
B outcome of feasibility studies,
every vessel in the commercial
fleet will have to comply with a
global bunker specification of 0.5% sulphur.
It is a seismic change that will redefine the
they are failing to cope with the many
operational challenges of switching from high
sulphur, to low sulphur fuel oil. Loss of
propulsion, engine failure, filter blockages,
damage to auxiliary pumps are just a few of
while much can be done to mitigate potential
problems, it requires a change in the
relationship between the fuel supplier and the
shipowner/operator. It must change from a
supplier-based relationship to one of
future of shipping. the hazards that come as part of the partnership, based on a mutual understanding
Ten years may feel like a distant horizon ‘compliancy package’. of the challenges involved, and a focus on the
and ample time for the industry to debate the In the current economic times, it is hassle effective implementation of appropriate,
concerns over the availability of distillates to they could well do without. And if the preventative solutions.
meet future demand. But the stark reality is statistics from California are anything to go Developing a partnership-based relationship
that many shipowners are already struggling by on the back of CARB’s (Californian Air is not something that happens overnight. At
to comply with the latest legislative change, Resources Board) July 2009 low sulphur first, it requires a change in mindset, where,
let alone the ‘phased’ approach to 2020, regulation, then the shipping community is in from the perspective of the supplier, the
which incorporates a further four pieces of for a torrid time. Loss of propulsion customer and the success of their operations is
sulphur related legislation in Emission incidents skyrocketed in 2009 moving from put first; ultimately there must be a clear
Control Areas (ECAs), California, as well as an average of 23.6 incidents per year for the understanding that their success is directly
the generic global bunker specification. It is whole of California between 2004 and 2008 influenced by the success of their customers.
a daunting schedule. to 67 in 2009. Second, suppliers must have a total
Despite shipowners and operators being But incidents can be avoided if a number of knowledge of their customer’s operations;
under even more pressure from their critical steps are observed. their market and their business, as well as the
customers to increase efficiencies, from a cost, First, shipowners and operators must view strategic and day-to-day issues and challenges
low sulphur legislative compliance with the that they face.
same significance, and as part of a holistic
risk management strategy. There must be an Operational value
understanding of an appropriate fuel It is about providing knowledge, expertise
procurement strategy depending on a vessel’s and counsel that add tangible value to their
trading routes, as well as the ‘green’ profile of operations, minimising downtime, improving
the shipowner’s brand to determine the extent efficiency and reducing operational costs. It
they need to go to in terms of compliance. is not just about supplying the physical
For instance, whether they always need to product; a philosophy that we have long
purchase fuel oil with a quality of 1.5% since advocated at OW Bunker as a drive
sulphur and under, or on a less frequent basis towards embracing a more consultative and
due to the majority of travel being conducted collaborative approach to working with
outside of ECAs and other areas of legislation, customers.
or indeed whether they need to utilise a Once this type of relationship is created, the
double fuel oil system. responsibility that is required from both
Only once this is established, should parties to achieve low sulphur compliance is
shipowners and operators go through the wholly achievable. It is very easy and
process of understanding the potential understandable to take a defensive position
operational challenges associated with when there are operational issues; blaming
switching fuels. quality is easy, but in the majority of cases, it
OW Bunker technical director The reality is that from a technical is not the problem.
April 2010 TANKEROperator 33
TECHNOLOGY - BUNKERS
Switching to low sulphur fuels and according to ISO 121156-1 standard, which and low sulphur fuel oils; the potential for a
distillates is a highly complex issue; it is dictates that the maximum wear scar diameter low flash point, filter blockages, or damage to
certainly something that should have been should not exceed 460 mm. auxiliary pumps. And similarly, there needs
fully understood, following the instigation of to be a knowledge of the potential solutions;
appropriate due diligence from a regulatory Equipment impact never taking on bunkers where the oil cannot
perspective prior to the implementation of The low viscosity of distillates and low be stored with a 15 deg C safety margin;
legislation; a concept which resonates with the sulphur fuel grades can also impact technical fitting a flame screen onto the rotary cap
majority of ship owners and industry equipment such as gearless screw spindle burner; fitting a low heat exchange steam
associations. Unfortunately, hindsight is a pumps, which can suffer serious wear injection burner; ordering fuel oil and
luxury that is not afforded in this scenario, and problems and subsequent damage. This can be distillates with a high enough flash point;
it is up to the suppliers of fuel oil who have a a significant safety problem for tankers ensuring that the cooler is fitted with
deep technical knowledge of the product to producing inert gas while operating their sufficient capacity in the low viscosity line;
work with the shipowners and operators to cargoes. Auxiliary engines designed for heavy frequently testing the pumps for internal leaks
manage the ‘switching’ process. fuel oil operation might also face problems by closing the valve on the pressure side and
Understanding the risk and potential impact with the fuel equipment due to the making sure that the pump provides enough
on the performance of diesel engines and discrepancy between sulphur content and lube pressure to open the safety valve; and of
boilers is central to instigating appropriate oil alkalinity. It is therefore critical that course ensuring that the crew are
preventative measures. shipowners and operators consult their lube oil appropriately trained to deal with the
For example, when changing fuels, the fuel suppliers, as the BN number should technical challenges.
delivery pump is capable of a pressure of correspond to the new fuel conditions. When a shipowner’s primary goal is
more than 400 bar, however, the tolerance There are a number of other possible servicing their customers and getting goods
between the barrel and the plunger is very fine challenges; the engine can stop, or not start, where they need to be as efficiently as
(1/1000 of a mm), where the maximum there could be a fluctuation in the engine possible, worrying about technical and
change in temperature can be no more than 2 revolutions, damage to the fuel and auxiliary operational issues associated with legislative
deg C. The engine fuel pump is also designed pumps, or the filter could be blocked. compliance can be a costly distraction. And
for high viscosity, heavy fuel oil for the Identifying potential problems before they while the supply and procurement of fuel is
majority of hours that it is in operation. happen and implementing appropriate viewed as a commodity market, it does not
Therefore, the challenge when switching to a solutions are central to minimising downtime mean that suppliers should just abandon their
low viscosity fuel oil is the risk of excessive and saving costs. This includes ensuring that customers once the product is delivered.
wear, as well as ensuring that the appropriate the fuel pumps are of a good quality and If there is an opportunity to add value
injection pressure is maintained in the fuel appropriately cooling the gas oil, as well as based on the knowledge and technical
pump, particularly during low load, starting implementing the right training procedures understanding of the product, and to provide
the engine and when running at a low rev/min. for crews. advice and counsel that enables shipowners
When the pumps are worn, the internal It means ensuring that there is a good length and operators to maintain and improve their
leakage can increase to a level where starting of time between changing the fuel oil and gas levels of efficiency, and increase their
the engine is virtually impossible, because the oil and analysing the filter pressure, as well as competitive advantage, it must be taken. It
correct pressure cannot be achieved. only using duplex filters and making sure that requires a change in the relationship and
Clearly viscosity and appropriate lubrication there is compatibility with the blended fuels. shift in mindset where partnership,
is a critical element of successfully switching It means fitting a cooler with sufficient responsibility and collaboration are
to lower sulphur fuel grades. Indeed MAN capacity in the low viscosity line and embraced, and most importantly, where
Diesel recommends that prior to using frequently testing pumps for leakages, as well the customer is put first. TO
distillate fuels with less than 0.05% SOx, the as being able to understand and identify
lubricity is tested by an HFRR (high- unusual noises that might signal a problem. *This article was written exclusively for
frequency reciprocating rig) test. This can be The same principals of risk should be TA KEROperator by Steffen Kortegaard,
performed by an independent laboratory, applied to boilers when changing to distillates technical director, OW Bunker
Custom built and series product
Well proven designs
Continuous technical development
Customer oriented approach
DAMEN DOUBLE HULL OIL TANKER MTS ‘SHANNON FISHER’
STANDARD OF EXCELLENCE DAMEN SHIPYARDS BERGUM Member of the DAMEN SHIPYARDS GROUP
P.O. Box 7 phone +31 (0)511 46 72 22 email@example.com
CUSTOM BUILT IN SERIES PRODUCTION 9250 AA Bergum fax +31 (0)511 46 42 59 www.damen-bergum.nl
34 TANKEROperator April 2010
Whatever it takes
to keep you moving!
19 million MTS / year
Physical Supply · Global Trading · Risk Management
TECHNOLOGY - BUNKERS
ISO 8217 fuel
he process of revising the existing also included more details in the standard’s
The ISO 8217 final draft
ISO 8217:2005 standard involved informational appendix on alternative ignition
representatives from all sectors of international standard and combustion quality test methods.
the bunker industry. (FDIS) on marine fuel One such alternative method is IP 541
DNV Petroleum Services (DNVPS) utilising the fuel combustion analyser. Clause
participated in the technical expert working specification was recently 6.3 of the FDIS points out that; ...“where the
group in co-operation with national published. ignition quality is known to be particularly
standardisation bodies worldwide and critical, Annex F provides a basis for suppliers
commented on progress. to 60 mg/kg for the highest grades. This and purchasers of residual fuels to agree on
Since the completion of the balloting for the revision should reduce the risk of too-high tighter ignition quality characteristics”.
ISO 8217 draft international standard (DIS) in levels of abrasive particles reaching the Minimum viscosity limit of 2cSt for Gas
December last year, two follow-up meetings, engine’s inlet. Oils at Engine Inlet - the FDIS introduces
in Dubai and London respectively, have Ash, Vanadium and Sodium - similarly, DMZ, a new distillate grade with a 3cSt at 40
contributed to the development of the FDIS. the vanadium and ash limits specified in the deg C minimum limit.
This document is now subject to a two- FDIS for most residual grades are now Catering for engines that require a higher
month balloting period where further technical reduced. Maximum levels for sodium are also minimum viscosity limit for distillates, DMZ
changes are not expected. added as a new parameter. Traditionally, is essentially DMA with a higher minimum
According to the schedule, the FDIS will sodium is associated with sea water viscosity limit. A too-low injection viscosity is
graduate into the official ISO 8217 standard contamination, but this element may also a safety issue because marine diesel engines –
by 1st July, 2010. originate from the pre-treatment of crude oils especially the larger ones – may not be able to
DNVPS said that initiatives taken by its at the refineries. pick up full load and in the worst cases,
clients and business associates have led to a Experience has shown sodium from this propulsion engines may fail to start during
number of changes in the DIS. The final ISO source may not be removed from the fuels by manoeuvring in congested waters and port areas.
8217 revised specification will be an on board treatment and could contribute to Removal of DMC grade - the DMC grade
improvement over the current (2005) edition, post-combustion deposits. has been removed and this blended distillate is
DNVPS claimed. Calculated Carbon Aromaticity Index now in the table for residual fuels as RMA10.
The following changes are especially (CCAI) - CCAI is now included in the Amendment to Clause 5 of ISO 8217 - the
important. specification for all residual grades. The general requirements in Clause 5 have been
Aluminium and Silicon (Al+Si) - revised limit is 870, but according to DNVPS expanded to include more reference to
compared to ISO 8217: 2005, the level of statistics, as little as 0.02% of IFO 380 materials that render marine fuels
aluminium and silicon in the FDIS has been delivered to ships globally exceeded a CCAI unacceptable for use in diesel engines.
reduced and the new maximum limits range level of 870. Both ISO and CIMAC have initiated
from 25 mg/kg for the lowest residual grades The ISO 8217 working group has therefore research on the analysis and interpretation of
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36 TANKEROperator April 2010
TECHNOLOGY - BUNKERS
“ DNVPS supports the ongoing revision of
ISO 8217 and said that it is committed to
safety limit on board a ship.
Training and safety routines concerning
H2S should therefore continue to be important
for shipboard personnel.
the continual improvement of this standard. DNVPS’ position
the chemical composition of waste materials,
as well as the levels at which these materials
flammable gas. DNVPS will be among those
conducting further R&D to understand and
” DNVPS supports the ongoing revision of ISO
8217 and said that it is committed to the
continual improvement of this standard.
To assist clients with the adoption of the
may start to cause engine problems. refine the limits and test methods for H2S official ISO 8217 standard, scheduled for
FAME and oxidation stability test for such that the eventual specification for this release before 1st July 2010, DNVPS will be
marine distillates - marine distillates should parameter can be embraced with confidence organising round-table meetings to discuss in
be free from bio-derived materials other than in 2012. detail the changes to this standard.
‘de minimis levels’ of FAME (fatty acid As it stands now, the 2ppm (in liquid) limit When purchasing fuel or arranging
methyl ester). for H2S is still being questioned for possibly charterparties, ship operators are at liberty to
The definition of ‘de minimis levels’ has giving a ‘false sense of security’, since 2ppm customise the fuel quality requirements
been moved to Annex A of the FDIS. H2S in liquid can result in a vapour level according to what is operationally most
The presence of FAME in clear and bright exceeding the 10ppm limit commonly used a suitable for their ships and their needs.
distillates is mentioned in the FDIS due to
increasing marine use of biodiesel as a fuel
product or blend component. In addition, there
are concerns about greater cross-
contamination risks in the delivery chain.
FAME in marine distillates could cause
problems with oxidation stability, particularly
during long-term storage. If, however, FAME
for Product Tankers
THE tank coating system for carrying easy
is not present in marine distillates, DNVPS is
of the opinion that oxidation stability testing
may not be relevant or required.
More research will be carried out to chemicals, CPPs, and edible & vegetable oils.
ascertain that this recommendation does not
impact ships’ safe operation; given that
distillate products may be stored on board for Rely on the new
longer periods before use.
Lubricity test - lubricity testing is required MarineLine® X tank
only for marine fuels with Sulphur levels coating to handle the wide
lower than 0.050% mass (500 mg/kg). If the
fuel lubricity is too low, fuel pumps in diesel range of easy chemicals and
engines may experience wear from prolonged CPPs carried by product
operation on such fuel.
Strong acid number (SA ) - SAN,
tankers. MarineLine® X offers
originally included in the ISO 8217 DIS as a greater corrosion resistance
test parameter, has been removed from Tables
1 and 2 in the ISO 8217 FDIS.
than phenolic epoxies or zinc
In general, ISO 8217 stipulates that marine silicates, with more versatility.
fuels shall be free from inorganic acids.
ISO 4259 - compared to the ISO 8217 DIS,
Annex L of the ISO 8217 FDIS on
interpretation of results now contains a more Advanced Polymer Coatings
thorough and balanced reference to ISO 4259 Avon, Ohio 44011 U.S.A.
procedures and its applications.
Hydrogen sulphide - while DNVPS’
recommendation was to exclude the 2ppm (in
liquid) limit for the time being and to focus on
a vapour limit, the former remains but will
only be effective from July 2012.
In the meantime, the 2ppm (in liquid) limit
should be taken as a guideline to increase the
awareness of H2S as a potentially fatal and +01 440-937-6218 Phone +01 440-937-5046 Fax www.adv-polymer.com
April 2010 TANKEROperator 37
TECHNOLOGY - BUNKERS
Çiçek delivers second
Italian shipowner Ciane Spa has purchased a second double-hull bunker tanker
from the Turkish shipbuilder Çiçek Shipyard.
he vessel was handed over to the
T Italians at the beginning of
February and immediately
commenced bunkering operations.
In May 2009, Çiçek delivered Chem Flower
to Ciane. This was the first of a series of four
3,100 dwt IMO II chemical tankers that the
yard was constructing for its associated
shipowning company White Tulip Shipping.
The first vessel has since been operating
successfully as Frecciamare out of Genoa and
neighbouring ports including Savona, Vado
Ligure, La Spezia and Marina di Carrara,
providing bunker fuel to vessels calling at Frecciamare was the first vessel taken by Ciane for bunker operations.
Recently, the Italian owner decided to east/west trade route through the from the same series, which are waiting for
purchase the second vessel in the series, Mediterranean. their new owners.
which was to have been named Chem Rose, Although Ciane intended using Brezzamare “We were not surprised by the interest
but was named Brezzamare. for bunkering duties, operating alongside shown in these ships by the Novella group.
Based in Augusta, on the east coast of Frecciamare, the two ships are extremely We had identified the bunker trades as a
Sicily, Ciane is part of the Novella Group, flexible, being capable of worldwide trading, strong potential market since many bunker
headed by Marco Novella and his family and transporting oil products, chemicals (IMO tankers are still single-hull and quite elderly.
specialises in coastal tanker and bunker type II) and vegetable, animal and fish oils. There is a replacement market and there is
operations. Augusta is one of Italy’s largest also a requirement for larger vessels like ours
ports, a major centre for oil refining and a MarineLine coatings since average ship sizes continue to grow.
popular bunkering centre, being on the main MarineLine coatings were selected by Çiçek Large containerships, for example, take on
to give the ability to carry a wide range of board substantial amounts of bunkers and they
cargoes while high manoeuvrability was also expect a fast rate of delivery,” he
Frecciamare and specified, resulting in the choice of twin explained.
azimuthing propellers and a bow thruster. Speaking on behalf of the owner, Luca
Brezzamare: They are classed by Bureau Veritas and Stegagnini, Ciane technical manager and
Principal Particulars constructed to meet Ice Class B standards. board member, said: “Frecciamare is proving
According to Berke Çiçek, vice president of to be an excellent vessel. Being an IMO II
Length (oa) 84.91 m Cicek Shipyard, interest from European chemical tanker, she might be considered to
Length (bp) 77.97 m owners for such vessels is strong, despite the be ‘over qualified’ as a bunker tanker but we
Breadth 12.60 m overall weak state of the shipping market. He are sure she will prove to be a good longterm
Depth 6.40 m explained: investment.
Design draft 5.30 m “New double-hulled vessels like these are “With her twin azimuthing propellers and a
Scantling draft 5.40 m still in demand to replace older tonnage and powerful bow thruster, she is already very
Deadweight 3,087 t because we took the initiative to start popular with our masters who find her
(at 5.30 m draft) construction of the four ships to our own excellent manoeuvrability helps considerably
Gross tonnage 1,980 account, new owners benefit from extremely when coming alongside vessels awaiting
short delivery periods. bunkers in crowded or otherwise restricted
Main engines 2 x 6-cylinder Mitsubishi
“We are talking to a number of other areas. More than this though, we see that her
potential owners and charterers and are qualities and up to date features will give
each generating 940 kW
confident of finding buyers who can secure added value and wider opportunities in actual
@ 600 rev/min
immediate and profitable employment for and future market conditions.
Service speed 11 knots at 85% mcr
these vessels. We still have two sister vessels “For example, while a deep well pumping
38 TANKEROperator April 2010
TECHNOLOGY – BUNKERS
system may be unusual on a bunker tanker, it Shipbuilder that it had taken delivery of the Lefkas, a
offers us the possibility of varying the tank Çiçek Shipyard is located on Tuzla Bay, near 6,200 dwt double-hull bunkering tanker
capacities we allocate to different grades of Istanbul and in addition to the small tankers, newbuild built by Qingdao Hyundai Shipyard
bunker fuel. New regulations on marine its current orderbook includes 58,000 dwt and in China. This vessel is earmarked for
sulphur content are expected to see ships 25,000 dwt drybulk carriers. bunkering operations in Singapore.
bunkering with different grades of fuel at the The yard has a track record of constructing E Nikolas Tavlarios, Aegean Marine
same time to meet the changing legal chemical tankers from 8,000 dwt up to 40,000 president, commented, "With the delivery of
requirements as they pass from one emission dwt in size. the Andros and the Lefkas, Aegean Marine has
zone to another. This is a real challenge for The largest vessels are constructed in a 37 once again strengthened its leading
operators of older, more traditional bunker m wide building dock while ships of up to competitive position for the global supply of
tankers,” he said. 25,000 dwt can be built on an adjacent marine fuel. We intend to deploy these
slipway. The 3,100 dwt tanker series are double-hull newbuilds to the United Arab
Owner being constructed on a second slipway, Emirates and Singapore, two of the largest
Ciane Anapo Spa was formed in 1967 by the capable of building ships of up to 3,500 dwt. bunkering markets in the world, as we seek to
merger of two shipping companies, Ciane and further expand our industry leadership and
Anapo, named after two small rivers in the drive future sales volume growth."
Syracuse area. Its full name, Ciane-Anapo, Two more for Aegean Aegean Marine Petroleum Network
Compagnia di Navigazione e Bunkeraggi Spa, Meanwhile, major bunker supply concern procures product from various sources (such
reflects its two lines of business - bunkering Aegean Marine Petroleum Network has taken as refineries, oil producers, and traders) and
and mainstream shipping, principally coastal. delivery of yet another bunker tanker – resells it to a diverse group of customers
Anapo was set up in 1958 in Augusta, just Andros. across all major commercial shipping sectors.
north of Syracuse, and Ciane in 1959. The This vessel is a 4,600 dwt double-hull Currently, Aegean has a global presence in
merged company has had a branch office in bunkering tanker newbuild, a product of 14 markets, including Vancouver, Montreal,
Genoa since 1967. It carries out bunkering in Fujian Southeast Shipyard in China. The Mexico, Jamaica, Trinidad and Tobago, West
these two ports under special licenses, which vessel is expected to be deployed in Aegean’s Africa, Gibraltar, UK, Northern Europe,
require the use of small tankers that load from operation in the United Arab Emirates. Piraeus, Patras, the United Arab Emirates,
coastal installations. At the same time, the company announced Singapore and Morocco. TO
Brezzamare was the second of four sisters originally on offer
April 2010 TANKEROperator 39
TECHNOLOGY - BUNKERS
H2S analyser meets the challenges of marine fuel safety
specs, claims manufacturer
Leading industry groups are wet chemistry test is complex and requires a
concerned that traditional H2S trained chemist to obtain a result. This
tests are not fit for purpose. The duration, or availability of trained chemists,
ISO invited the IMO to consider means results may only be available after a
measures to mitigate the risk of vessel has put to sea; consequently high
incidents resulting from H2S gas demurrage costs may be incurred while ships
evolving from marine fuels. are quarantined on the terminal berth waiting
Lloyd's Register's Fuel Oil and Bunker for test reports.
Analysis Service (FOBAS) has been a primary IP 399 is currently under review and the
campaigner for the development of the new marine fuels industry has decided to adopt new
H2S analyser. The new instrument and Energy improved analytical technology (IP 570), which
Institute test method (IP 570) support is suitable for field analysis, for inclusion in the
improved product safety standards, reduced revised fuel specifications ISO 8217.
risk and insurance liabilities. FOBAS provides independent verification of
fuel quality against international standards and SetaAnalytics H2S analyser.
Background environmental legislation and has been a
Hydrogen Sulfide (H2S) has long been primary campaigner for the development of a much improved means of assessing required
acknowledged as a potential safety issue in the new H2S analyser. This industry group reviews remediation treatment of feedstock components
marine industry and regulations call for all best practice requirements for the bunker and off-spec fuel products.
marine fuels to be screened for H2S prior to industry, including improved product safety In operation, a weighed 5 ml sample of fuel
loading. However traditional tests may not standards, reduced risk and insurance liabilities. is mixed with a proprietary dilutent while
detect low levels of H2S or fully evaluate being heated at 60 deg C to maximise
whether entrained H2S might be released from Test method solubility and optimise release of the entrained
the fuel during onboard storage and handling. A new IP industry round robin has been H2S. The sample is purged with air at a fixed
As a result, ISO invited the IMO to consider completed and IP 570 method ‘Determination flow rate and the liberated H2S passes over a
possible operational and technical measures to of Hydrogen Sulfide in Fuel Oil – Rapid Liquid proprietary H2S selective sensor. The sensor
mitigate the risk of incidents resulting from Phase Extraction Method’ is now available output is integrated and the amount of H2S in
H2S gas evolving from marine fuels. with an ASTM method planned for this year. IP the fuel calculated in mg/kg. The instrument
570 is the only H2S method to be included can measure over the range 0 to 250 mg/kg
Why measure H2S? within ISO DIS 8217 marine fuel specification. (ppm) and total test duration from sample
H2S gas is highly toxic to humans, animals A new advanced technology, H2S analyser introduction to result is 15 minutes.
and aquatic life; it also has potential to has been developed by SetaAnalytics to A leading global oil company refiner said
corrode pipelines, storage tanks and other ship determine the potential amount of entrained after using the analyser; “We are now able to
components, which may cause operability Hydrogen Sulfide (H2S) that could be run H2S determination tests in our laboratory
problems, including engine breakdown. Some released by a fuel. The analyser fully complies and no longer need to outsource IP 399 tests
marine residual fuel cargoes may be with the IP 570 method and has also been and wait for results. This means
innocuous when initially loaded but can designed for use with fuels and associated improved/shorted tank turnover time and
evolve and produce dangerous levels of H2S feedstocks. product release.
in the vapour space during transit. It will also analyse heating oil, gas oil, “In addition, we now have better control of
The key issue is to measure the potential diesel, distillate marine fuels and kerosene, production operations, for example being
that a fuel could have to release H2S over a including aviation fuels. more easily able to identify bad actors in our
period of time under suitable conditions when This new analyser is claimed to be unique blending streams. Also better control of our
that fuel is transferred, heated or agitated by in that it measures the H2S in the fuel and H2S ‘scavenging’ by being able to test
the rolling action of the ship. Significant hence is a much better indicator of the multiple samples in a short test time which
concentrations of H2S are known to potential release of H2S in a specific fuel. allows us to fine tune the use of additives in
accumulate in the headspaces of storage tanks Alternative vapour space measurements do not our products. This ability represents
and marine fuel bunker cargoes and pose a quantify the risk, SetaAnalytics said. significant potential cost savings for us and a
serious and potentially lethal hazard. The analyser uses integrated analytical more stable product for our customers,“ the
sensor technology, which removes operator refiner said.
Challenges subjectivity and gives reliable, rapid and SetaAnalytics is a business division of
The marine industry currently uses a number precise measurements, the company claimed. Stanhope-Seta and has long experience of
of lengthy analytical techniques, such as test The instrument offers a cost effective solution testing petroleum products with the latest in
method IP 399 for the determination of H2S for H2S measurement involving no expensive measurement technologies to bring enhanced
in marine fuel and refinery feedstock for chemicals, or the need for analytical test analytical solutions for hydrocarbon
marine blends. preparations by a trained laboratory technician. exploration, refining, distribution and
However, this traditional two to three hour Its fast repeat measurement capability offers a marketing operations. TO
40 TANKEROperator April 2010
TECHNOLOGY PROFILE – HAMWORTHY KRYSTALLON
Exhaust gas scrubbing
fits the bill for EU
short range tankers
Hamworthy Krystallon’s new Managing Director Sigurd Jenssen suggests that recent
enquiries to the company substantiate that for EU-based tankers regulatory drivers are
beginning to align with commercial drivers for scrubbing technology*
t seems as if we have been discussing the recession and the day to day chores of fleet Tanker operators have already faced a sharp
I environment in the context of shipping
for many years. The Exxon Valdez, the
Prestige and the Erika all resonate with
seasoned shipping aficionados as defining
moments in addressing oil spill pollution, but in
operation have taken precedent. However,
from January 1 2010, for many smaller tanker
vessel owners operating in European waters
the impact of ‘SOx regulations’ was felt
directly at the bunker fuel pump.
decline in freight rates and the prospect of
paying for substantially more expensive
distillate is not an enviable one. Yet, as recent
enquiries to Hamworthy Krystallon would
suggest, vessel owners and operators are
terms of dealing with ship emissions – so Many vessel owners will this year see a becoming increasingly aware that there is an
harmful, yet imperceptible – 2010 should be significant rise in the costs of their bunker fuel opportunity to bring down their bunker fuel
recognised as a significant year. bills as European Commission 2005/33 rules bills considerably through the application of
For so long the impact of regulations to are enforced. This requires all vessels entering exhaust gas cleaning systems, or scrubbers.
reduce Sulphur Oxide (SOx) has been deemed EU ports to burn low-sulphur fuel with a For many vessel owners that operate in
‘one for the future’, as the significance of the maximum sulphur content of 0.1%. European or soon-to-be instigated North
American ECAs, the temptation to take the
easy path to cleaner, distillate marine fuels is
obvious; after all your competitors will be
taking the same path. Won’t they? The
enquiries suggest, however that when
regulatory drivers marry with commercial
drivers, owners and operators will not always
seek the short and easy route, especially when
millions of dollars per year of savings are
there for the taking.
Feedback from coastal tanker companies
operating under the EC2005/33 rule - that
effectively dictates the use of distillate fuels,
or exhaust gas cleaning for auxiliary engines
while in European Union port waters – have
been driven by the considerable financial
benefits of fitting a scrubber, but have been
further prompted by concerns over health and
safety in bunker fuel segregation and
handling. Many coastal tankers in particular
have only two bunker tanks, some without
double bottoms, for example.
A similar picture has emerged for tankers
on short delivery runs in the North Sea with
one discharge on an average of every six days.
The payback on the boilers and auxiliaries (of
which boilers are the larger part) for these
vessels at current distillate bunker fuel prices
is less than two years.
A Hamworthy Krystallon case study for a
shuttle tanker operating in a North Sea ECA
Clean it up! Scrubbers could be the answer.
April 2010 TANKEROperator 41
TECHNOLOGY PROFILE – HAMWORTHY KRYSTALLON
reveals that the vessel’s 15MW main engines
burns 54 tonnes of bunker fuel per day and four
tonnes per day through its auxiliary engines.
Assuming the vessel is running a cycle of
two days at load port (in the EU, so EC
2005/33 0.1% SOx limits apply), one day at
the discharge port, two days each way as a
shuttle voyage, then the vessel will rack-up
additional bunker fuel costs in 2010 of $1.3
mill per annum at current bunker fuel prices;
rising to $3.5 mill by 2015 and the
requirement for 0.1% SOx in all ECA waters.
Payback on fuel premiums is the key driver
for the widespread take-up of scrubber
technology and initial signs suggest take-up
for scrubber technology will be significant.
With Hamworthy’s acquisition of Krystallon,
we now have the global scale and reach to fit
scrubbers at retrofit and newbuild shipyards,
adding Sulphur Oxide and particulate matter
emissions control to Hamworthy’s existing
environmental compliance compliment of
ballast water management and grey and black
The cost case for scrubbing has been well-
documented, but always with a view to fuel
cost premiums that lie ahead. With the advent
of the EC2005/33 rule, for the first time large
bunker fuel savings are available to vessel
owners and operators operating in European
Scrubbing is already a cost-effective choice
for many sub classes of vessel, while many
more vessel type owners and operators would
be well-advised to begin preparations for By joining Hamworthy, Krystallon has plugged into a huge worldwide network.
2015; assured in the meantime by the savings
produced in European ECAs from July 1, identifying how environmental legislation vessels in North America to reduce PM under
2010 when emissions of no more than 1.0% affects its customers. The focus for the CFR (Code of the Federal Register) rules.
sulphur will see bunker fuel costs rise to as company in 2010 is to continue to develop its While vessel owners and operators can either
much as $50 to $80 per tonne versus typical systems; ensuring that they are as cost- upgrade to the latest specification to meet Tier
IFO380 bunker fuel. efficient, effective, and as compact as II or III emissions targets or re-engine,
Planning for the installation of a retrofit possible, which is a key criteria for marine scrubbing is an alternative that EPA wants to
scrubber should start now. Compliance to new units, as well as utilising Hamworthy’s investigate as a more cost effective and
ECAs, particularly in North America, will be reputation, contacts and existing customers quicker option to implement.
strictly monitored while owners and operators within the shipping industry to support For tanker owners and operators in Europe
will be exposed to unpredictable price scrubbing technology in its commercial phase facing significantly increased fuel bills, PM
fluctuations as refiners and bunker suppliers of development. compliance remains a hurdle to be negotiated
strive to manage an additional demand for an The impact of the acquisition is already another day. More pressingly, current
estimated 12 to 18 mill tonnes of distillate proving successful after Hamworthy spiralling bunker fuel bills need to be
bunker fuel that will be thrust upon them. Oil Krystallon became in January 2010 the first addressed. But it does provide some sense of
major Shell, for example, has highlighted the non North American-based company to be comfort that exhaust gas scrubbing not only
anomaly that the shipping industry will face in awarded accreditation by the US EPA as a fits the bill today, but also provides a degree
2015; that a refinery upgrade cycle of 10-16 manufacturer of an ‘emerging technology’ of future proofing for owners and operators
years means shipping will be vying with land- that has the capability to reduce marine for the succession of emissions regulations
based sectors and other modes of particulate matter (PM) emissions, the new to come. TO
transportation for scarce and, inevitably costly target of regulators.
marine fuel. The EPA accreditation reflects a *Article written by Sigurd Jenssen,
Hamworthy understands the importance of forthcoming regulation that requires smaller managing director, Hamworthy Krystallon
42 TANKEROperator April 2010
TECHNOLOGY - US SHUTTLE TANKERS
First Gulf of Mexico shuttle tanker due this June
Due to come on stream in June
2010, the Petrobras America’s
Cascade ultra-deepwater field in
the Walker Ridge sector of the
Gulf of Mexico (GoM) will
establish two area firsts, writes
It will be the first production field in the GoM
to use a floating production, storage and
offloading vessel (FPSO) and the first to
transfer oil using US flagged Jones Act shuttle
tankers. The FPSO BW Pioneer will also
produce oil and gas from the nearby Chinook
field in which Petrobras is the majority partner
Located at around 300 km south of
Louisiana, the oil will be transported to shore
by two 45,800 dwt shuttle tankers on a
minimum eight-year charter from Overseas
Shipholding Group (OSG). The Handysize
product carriers, classed by ABS as A-1,
Oil/Chemical Carriers, were purchased as
newbuilds from Aker Philadelphia Shipyard, Overseas Cascade bow loading system and thruster Photo: OSG Ship Management
for a price of about $115 mill each. Named
the Overseas Cascade, and the Overseas to the land-based storage terminal. production (STP) buoy from Norway’s APL,
Chinook, the first vessel is currently being which incorporates Ballgrab connectors
converted for shuttle service, and will be Conversion manufactured by the UK’s First Subsea.
delivered in time for first crude oil loading in The FPSO, originally an Aframax built in Once the STP buoy with its pre-installed
July. The Overseas Chinook will be delivered 1992, was converted by Keppel Shipyard in subsea connectors has been positioned in the
some 12 months later. Singapore. It has been supplied by and will field, the mooring line connections are
The identical shuttle tankers will have 12 be operated by BW Offshore. It has a storage completed by a remotely operated underwater
cargo tanks each, capable of holding a total capacity of 600,000 barrels of oil, while vehicle, eliminating the need for intervention
of 52,650 cu m of oil at 100% capacity; two processing oil at a daily rate of 80,000 barrels. by divers. The Ballgrab connectors on the
slops tanks and 22,500 cu m storage for It also has the capability to export 450 mill cu mooring lines are set to a minimum breaking
ballast. The oil discharge rate will be 3,600 m of natural gas to a pipeline. load of 6,600 kilonewtons, and in the event of
cu m per hour. In common with the FPSO, Under the Phase I development, Petrobras hurricane conditions, allows the FPSO to
no facilities have been included to recover will produce from two wells on Cascade, and break away and seek a sheltered haven under
or reduce the volatile organic compound one on Chinook field. its own propulsion.
(VOC) vapour emissions generated during The loading and mooring system is equipped The total cost of the installed FPSO is
the loading process, or during the transfer with an internal detachable submerged turret reported to be in the order of $740 mill. TO
FPSO BW Pioneer
April 2010 TANKEROperator 43
TECHNOLOGY - TANK SERVICING
Inert gas problems
MARS, the autical Institute’s alerting and reporting scheme,
has warned of problems caused by an inert gas failure.
ollowing the arrival of an Subsequently, the vessel’s crew prepared an Improper motivation caused by
F unidentified vessel at a discharge
terminal, a pre-discharge inspection
consisting of the ISGOTT ship-
shore checklist and a pre-discharge conference
were undertaken prior to commencing line
acceptable and revised discharge and IGS
operation plan and completed a risk
assessment that satisfied the receiving
terminal and its vetting/screening department.
complacency, inadequate supervision,
operating without authority and defective
equipment, also contributed to the error chain,
the report said.
Among the lessons to be learned were –
clearance and the discharge of a cargo of What went wrong 1) Advanced planning for cargo operations
gasoline feedstock. First -An unsafe decision was made to should ensure compliance with company
The inspection and conference recorded that partially discharge the cargo for line clearance procedures, industry best practice and
the equipment was functional and that the vessel without an operational IGS and without the statutory requirements.
was operationally ready for discharge. Line master’s knowledge. 2) Pre-discharge meetings must be held and
clearance was undertaken for 45 mins, during Second - During the PSC inspection, no information must be freely circulated to the
which the inert gas system (IGS) was not run. satisfactory records of the controls, alarms, terminal and all crew members involved.
Shortly after the completion of the line trips and interlocks tests were available to 3) The master and chief engineer must be
clearance, the terminal indicated that it was demonstrate the completion of the pre- consulted promptly when failures occur
ready for the discharge. The chief officer then discharge checks. that affect the safety of the vessel. They
started the IGS and the main discharge cargo Third - No proper change and risk assessment can then consider and assess the impact
pump in sequence. However, the IGS’ high management were conducted following a and provide guidance on proper remedial
scrubber water level alarm (HSWL) failed, temporary modification to the IGS to trip the steps to be taken to safeguard the safety of
causing the scrubber water pump to trip. scrubber pump at the lower water level. those on board and ashore.
While attempting to trouble shoot, the Fourth - The discharge plan did not provide 4) Every component of the cargo system and
officer informed the terminal of the unsafe any guidance on IGS use during discharge and items in the ship-shore checklist must be
situation. At the same time, port state control had not been signed by the master to indicate checked to be in proper order and results
(PSC) officers boarded the vessel to confirm his approval. correctly documented.
the oxygen level in the tank’s atmosphere. On MARS said that a lack of planning led to
establishing that the cargo tanks were under the non-compliance with company procedures, Large IGS order
partial vacuum and that oxygen levels in the industry best practice and statutory requirements. Hamworthy Moss recently signed contracts to
cargo tanks were greater than the allowed 8%, This allowed an unsafe atmosphere to develop deliver 10 shipboard IGS. These are to be
PSC ordered that the discharge be stopped, within the ullage spaces with an explosive installed on a series of 316,000 dwt crude oil
detained the vessel and ordered it to wait at potential that could have seriously damaged and product tankers being built by Waigaoqiao
anchor temporarily. life, property and the environment. Shipyard, China.
Specifically, the company has won orders
for Moss flue gas systems for four 316,000
VOC management plan guidelines issued dwt VLCCs due delivery between June 2010
and August 2011 to Nanjing Changjiang Oil
Amendments to MARPOL Annex aimed at assisting owners to develop plans Transportation Corp (NCOTC).
VI (Air Pollution from Ships) will for their crude oil tankers. The orders meant that, since 1997,
enter into force on 1st July The document consists of two parts: Part Hamworthy’s IGS have been fitted on board
2010. A in which INTERTANKO and DNV 23 tankers delivered to NCOTC.
Among the new mandatory requirements, provide guidance and clarifications on what In a separate deal, Hamworthy has secured
crude oil carriers will be required to should be the content of the VOC contracts to supply Moss Mult-Inert™
develop a Volatile Organic Compound Management Plan and Part B which will systems for six 316,000 dwt VLCCs and
(VOC) management plan, which will need actually need to be filled in by each product tankers to be delivered by
to be approved by a recognised organisation member company and then submitted to Waigaoqiao Shipyard to Singaporean
(RO). The plan will have to follow the IMO class for approval. shipowner Ocean Tankers between June 2010
guidelines. An Appendix to Part B includes a and October 2011.
INTERTANKO and Det Norske Veritas suggested voyage NMVOC (non methane These ships will feature IGS offering a
(DNV) have issued a joint guide, which is VOC) emissions calculation standard form. capacity of 18,750 cu m per hour each, 100%
inert gas blowers, deck water seals, and P/V
44 TANKEROperator April 2010
MIRACLE Tank Cleaning Guide
provides tank cleaning guidance and detailed information for about
D - 21521 Dassendorf
7000 Annex I and II cargoes.
phone +49 4135 - 808630
fax +49 4135 - 808631
MIRACLE contains physical/chemical properties, adjacent
cargo coating and FOSFA-compatibility check, IBC requirements,
emergency response info and compatible Draeger tubes.
Some 200 customers, having MIRACLE in use on more than 1000 ships
report less tank rejections, decreased cleaning time and
cost reduction as a beneﬁt.
MIRACLE is available as
• Book with annual updates (DIN A4 1000 pages)
• CD with annual updates (local installation)
• Online continuously updated (web-based access)
For more informations please visit or contact
no installation necessary
anytime and anywhere
runs without internet
MIRACLE as Book
MIRACLE as CD
Vetting and HSE Monitoring Tool
Repository for all shipboard inspections and events. Integrated follow up system.
CDI Fleet Reports
Automatic import of vetting inspection reports.
SIRE Near Miss Reports
Terminal Inspections Management Reports
ur free 3
Port State Control Repetitive Questions
Flag State Inspections Most Frequent Deﬁciencies
Class Inspections Marine Injury Report acc OCIMF
Ship Visit Reports Overdue Items Report
Internal Audits Oil Major Reports
Navi Audits Ship Reports
Marine Injury Reports
Vessel/Cargo Damages Vetting Status Report
Machinery Damages Hubertuskamp 8
D - 21521 Dassendorf
Environmental Incidents phone +49 4135 - 808630
Near Misses fax +49 4135 - 808631
Non Conformities www.chemserve-marine.com
TECHNOLOGY - TANK SERVICING
Hamworthy Moss, pointed out that the Ocean
Tankers’ Mult-Inert™ flue gas systems would
be distinguished by their flexibility. “These
sophisticated systems have been designed to
enable Ocean Tankers the choice to handle or
store surplus product, in line with the
demanding trading patterns of the ships.
“We continue to build on our long term
relationship with Waigaoqiao Shipyard. Now,
altogether 48 product carriers built at this yard
have featured Hamworthy IGS.”
Hellum said that Hamworthy’s new, full-
size test inert gas generator, installed at the
Moss testing facility late last year, represented
a vital piece of equipment in speeding up
innovation in the company’s design process.
“This facility means that we can test new
designs and components in a short period,
Geir Hellum (left), managing director of Hamworthy Moss, shakes hands with Qian Yonglin, dramatically improving the delivery for
director assistant, purchasing department, machinery and electric equipment division,
customer contracts. This has proved a critical
CSSC (China State Shipbuilding Corporation).
factor in ensuring that we can meet the tight
breakers. The deliveries will bring the number Ocean Tankers’ vessels to 45. delivery schedule envisaged in these orders,”
of IGS delivered by Hamworthy Moss to Geir Hellum, managing director of he said. TO
Resolve Marine deals with Port Arthur Corrections
collision In TANKEROperator’s Annual
On 23rd January, an emergency In the preliminary casualty surveys, Resolve Review in the top 30 tanker
response team from Resolve Marine’s air monitoring and fire safety team companies listing, Hin Leong
Salvage and Fire (Americas), detected high levels of H2S and flammable Trading has pointed out that
responded to a call from an OPA vapours on and around the ship. During the company’s total dwt should
90-client following a collision pumping operations firefighting foam was have read 6.4 mill.
between the Aframax Eagle applied in the breached tanks and intrinsically “We refer to your ranking of the Top 30
Otome and a barge at Port Arthur safe air fans were used to disperse toxic owners and operators in the March 2010
in the Sabine-Neches Waterway. vapours and reduce explosive gas Issue of TA KEROperator. Our current
The barge had penetrated two of the tanker’s concentrations. capacity is 6.4 mill dwt, instead of 5.4 mill
forward cargo tanks. Locked together and Crude oil cargo and flood water were dwt as published", the company said.
grounded across the narrow channel, the carefully pumped from the tanker’s heavily Also within the Ballast Water Treatment
vessels blocked supply shipments to local damaged No 1 starboard water ballast tank feature, we said that Coldharbour was a
refineries. Several nearby communities had and the No 1 centre cargo oil tank while division of Transvac and was offering
begun an evacuation. dozens of response contractors worked to MHS technology.
The fully laden 95,663-dwt tanker’s owner contain oil that had spilled into the waterway. Coldharbour CEO Andrew Marshall
–AET - activated Resolve Marine according to After the tanker was moved out of the explained that the company has no links
its US Coast Guard approved vessel response channel, Resolve Marine escorted the vessel with MHS and does not make use of its
plan. Resolve Marine immediately mobilised to a nearby terminal and continued to monitor BWT technology.
emergency response crews from bases in safety conditions as the remaining cargo was He also said that Coldharbour was now
Texas, Alabama and Florida equipped with discharged. Operations were conducted a separate company having severed its
transfer pumps, portable fire pumps, without incident or danger to the Port Arthur links with Transvac.
intrinsically safe power packs and confined waterfront, the company claimed. “Coldharbour is growing rapidly, having
space entry packages. In another move, international marine secured significant investment from
Working closely with the USCG and the salvage contractors Five Oceans Salvage Rothschilds Investments and has recently
incident command system’s Unified (FOS) and Resolve Marine have announced a appointed agents for both its BWT and IGG
Command, Resolve Marine’s salvage master co-operative relationship. technologies in the key Chinese and South
Francis Leckey developed a methodical The new agreement lays down the basis for Korean markets,” Marshall explained.
salvage plan to safely employ portable transfer exchanging specialised resources and TA KEROperator will publish a profile
pumps and the tanker’s internal pumping technical support in emergency responses on of Coldharbour’s involvement in the marine
systems to lower cargo levels within the behalf of the two companies' mutual clients industry in the May issue as Marshall said
breached tanks. worldwide. that a lot had happened recently.
46 TANKEROperator April 2010
TECHNOLOGY – NEWS
EnSolve launches the compact PetroLiminator® OWS
EnSolve Biosystems has
successfully completed and
passed the MEPC 107(49)
certification tests for the new
compact PetroLiminator 200M (PL
200M) oil water separator (OWS)
“We are very excited about this new
product for many reasons,” explained
Jason Caplan, EnSolve president. “First, it
has an attractive price point that allows us
to compete with almost every OWS product
on the market. Second, it has a very small
footprint, thus permitting installation on
any class of vessel. And third, the effluent
quality and process throughput are
EnSolve claimed that its patented
PetroLiminator system is the first and only
marine OWS that uses a combination of
physical and biological means to treat oily
Like its predecessor - PL 630M, the PL
200M OWS system incorporates safe micro-
organisms to consume hydrocarbon wastes in
the ship’s bilge water, so treated bilge water
can be safely and legally discharged
It treats both pure and emulsified oil, as
well as detergents, degreasers and other
chemicals in the water. This green technology
generates minimal hazmats and produces no A compact oily water separator for small to medium size vessels.
No flocculant or coagulant chemicals are 24/7. A built-in fail-safe oil content monitor Customers using the PetroLiminator
used, substantially reducing sludge ensures that no accidental discharge can occur, include owners of most types of vessels,
accumulation. It works totally unattended the company said. including tankers.
Hamworthy secures sewage plant approval
Hamworthy has become the first MEPC 159 (55) standard for its enhanced environmental & engineering centre
non-domestic sewage plant ST-C series. commented positively on Hamworthy’s
supplier to achieve Chinese CCS Hamworthy said that it had received a product performance and build quality while
type approval, strengthening its significant number of orders for sewage plants visiting the facility.”
position in the world’s largest that conform to newly introduced international Hamworthy has also developed a range of
shipbuilding nation. standards and its operations in China have advanced MBR (membrane bioreactor)
This approval comes at a pivotal point in already received multiple orders for CCS type treatment plants to enable ships to continue
marine environmental legislation as new IMO approved plants. discharging black and grey water in especially
Marpol Annex IV guidelines come into force Eric Li, engineering manager at sensitive waters, where regulations demand
requiring all vessels to be fitted with Hamworthy’s test and assembly plant in tighter controls.
compliant sewage treatment plant. Suzhou said: “Achieving CCS type approval Originally type-approved by Lloyd’s
In anticipation of the regulatory is a significant acknowledgement of the team Register, the ST-C plant has also received EC
enforcement, in 2008 Hamworthy became work and co-operation between Hamworthy’s Marine Equipment Directive (‘Wheelmark’)
one of the first companies to receive type operations in the UK, Shanghai and Suzhou. certification from the UK Maritime &
approval in accordance with the IMO The CCS surveyor and the director of the 704 Coastguard Agency.
April 2010 TANKEROperator 47
TECHNOLOGY - NEWS
RWO secures sewage treatment plant type approval
To fulfil the new guidelines for
sewage treatment plants set by the
IMO, Resolution MEPC 159(55), for
all systems installed on or after 1st
January 2010, Bremen based RWO
has enhanced its WWT system.
Based on experienced technology, together with
enhanced improvements, the recently introduced
WWT-LC is a reliable, easy to operate and
compact plug & play unit, the company said.
Approved and certified by the German
authority Seeberufsgenossenschaft (SeeBG), the
three-chamber systems operates with a mixed
bed biofilm reactor (MBBR) providing process
stability and excellent effluent results. It is able
to treat black and grey water, or black water
only. Vacuum systems, as well as grease traps,
are available as options.
A special post-treatment operation prevents
pH adjustment challenges, which can occur on
board a vessel, due to difficult and varying
hardness of the sewage.
RWO said that the WWT-LC is easy to install
and maintain, operates fully automatically and
has low running costs.
A number of the new systems have already
been manufactured and delivered from RWO’s
MAN consolidates RWO gains type approval for its sewage treatment plant.
in South Korea
On 10th March, MAN Diesel Korea
held an inauguration ceremony to
Tamrotor is awarded Samsung-Q Mark
celebrate the opening of its
premises at the Noksan Industrial
Complex, Busan. At an award ceremony in South installation on board, and claims during
The new location brings all of MAN Diesel’s Korea the 12th March 2010, installation.
Korean interests under one roof. Tamrotor Marine Compressors “We are extremely proud to be one of only
MAN Diesel Korea has diversified its business (TMC) received the Samsung-Q two European suppliers to be awarded the
portfolio since its original founding as a technical Mark Gold award. Samsung-Q Mark Gold this year”, said Odd-
liaison office in 1983. After launching local group Nominated as a result of Samsung’s Ståle Ness, TMC managing director. “We
purchasing and PrimeServ Busan in 2007 and 2008 stringent quality audit and being one of only believe this confirms that our continuous work
respectively, the move to Noksan consolidates two European suppliers to be awarded the with product development, documentation and
all functions in one location, providing a total Samsung-Q Mark Gold this year, TMC said quality assurance is important to and
service encompassing sales, purchasing, that it was proud to be ranked as one of appreciated by our customers.”
education, technical service and production. Samsung’s highest-quality suppliers. “Samsung Heavy Industries is the second
The new premises are especially geared In 2008, TMC was awarded the Samsung-Q largest shipbuilder in the world. Their quality
towards MAN Diesel PrimeServ activities and Mark Silver quality gong. With continued systems are really stringent, and being able to
includes a PrimeServ academy, which is high-quality deliveries in accordance with meet these requirements and be awarded their
equipped with a 7L23/30 engine donated by Samsung’s stringent quality policies, TMC has highest quality award means that we are
Doosan Engine, while a two-stroke 7S35MC now received the highest level quality award succeeding in providing high-quality products
type is also currently in transit from Denmark presented by the shipbuilder. and services to our customers,” Ness
and will be used as a teaching aid. The award is based on Samsung’s Q Mark continued.
Other facilities in the new complex include a quality evaluation system. Candidates were Samsung has installed TMC marine screw
workshop, repair shop, office building and selected based on their accomplishments compressors for various applications on board
employee centre. during 2009 in design, manufacturing, a number of the yard’s newbuilding
48 TANKEROperator April 2010
KEY PLAYERS IN THE COMMERCIAL TANKER
TANKER INDUSTRY OPERATIONS
will be profiled giving their including shipbroking, legal matters
views on current legislation, and financing
recommendations and trends.
These will include chief IN DEPTH INFORMATION
executives from all sectors of on the latest newbuilds, sale and
the industry from equipment purchase, freight rates and
manufacturers to the top derivatives markets, using industry
shipowners known commentators
INFORMATION A STRONG FOCUS
about meeting oil major on shipbuilding and repair
(TMSA / vetting)
DEVELOPMENTS in management/
safety/ environmental best practice
and commercial industry
Photo credit – Hempel
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