chrisc, Author at SHIP IP LTD

Evergreen Line was notified by the owner of the EVER GIVEN yesterday
(7th July) that a formal agreement has been signed with the Suez Canal
Authority to settle the compensation claim and the ship’s arrest order has
also been lifted.

The chartered vessel has departed from the Great Bitter Lake in the Suez
Canal and safely arrived at Port Said for inspection. According to the ship
owner, the classification society planned to complete the inspection on July
10th. As soon as the certificate of seaworthiness is obtained, the EVER
GIVEN will depart for Rotterdam and is estimated to arrive around July 23rd
to discharge cargoes.

Evergreen sincerely appreciates the efforts of all concerned parties and will
keep in close contact with the ship owner to resume the chartered vessel’s
voyage.

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Ever Given departs for Rotterdam after obtaining certificate of seaworthiness

North Sea Port Authority has presented its strategic plan ‘Connect 2025’ to its shareholders. With eight strategic programmes, the cross-border port authority continues to build its position as a European port.

The Dutch-Flemish port authority North Sea Port has been set a clear assignment by its eight public shareholders: to draw up a strategic plan with a 2025 horizon based on the shareholders’ strategy. Central to this are balanced value creation within the framework of economic development and employment, sustainability and climate, and a solid financial foundation.

The port authority is now submitting a plan to the shareholders to put this assignment into practice. The strategy is aimed at developing business premises and infrastructure, nautical services and the role of director in the port area. Relationships with companies, public authorities and the environment are key. And there is a focus on the chemicals, steel, building materials, energy, automotive and trucking, food and feed, and value-added logistics sectors. The port authority aims to deliver the plan through eight strategic programmes.

Daan Schalck, CEO North Sea Port: “As a top ten European port, North Sea Port faces considerable challenges and opportunities in terms of energy transition, the circular economy, climate, the logistics chain, port infrastructure and digitisation. The port authority is addressing those challenges and explicitly wants to be the linking factor, the connector. This strategic plan makes clear choices to achieve that, giving shareholders and local residents confidence in the direction taken by North Sea Port and providing assurance for the large investments made by companies.”

The shareholders will consider the strategic plan until mid-October. The port authority is asking for a clear mandate from the province of Zeeland, the municipalities of Vlissingen, Borsele and Terneuzen as the Dutch shareholders and the city of Ghent, the province of East Flanders and the municipalities of Evergem and Zelzate as the Flemish shareholders. Over the coming months, the port authority will discuss this with the shareholders, after which the plan will be finalised.

Shareholders committed to employment, sustainability and a solid financial foundation

The port authority has been instructed by its shareholders to pursue three tasks such that they remain in balance with one another: economic development and employment, sustainability and climate and a solid financial foundation.

The first task is to create employment within a larger, high-value and future-proof network of companies. It is the companies that create the jobs and invest in sustainability. So it is crucial to attract the right companies to the cross-border region, to keep them there and to enable them to grow. That means looking forwards, innovating and diversifying.

The second task is sustainability and climate: less CO2, more nature, more circularity and efficient use of space. The companies in North Sea Port are sensitive to the pressure to become more sustainable. The port authority wants to differentiate itself by helping them achieve their sustainability goals while also setting a good example.

The third task is to be financially healthy. The shareholders do not participate in North Sea Port to make money. North Sea Port therefore does not have a dividend target, but instead seeks a financial result that will allow it remain financially healthy.

The strategic plan: three core tasks, customer focus, seven sectors and eight programmes

In order to fulfil the brief it has been handed by its shareholders, the port authority will perform three core tasks, put the customer first, focus on seven priority sectors and roll out eight programmes to achieve the plan.

Daan Schalck, CEO North Sea Port: “With targeted choices, support and ambitious goals, we want to play a connecting role in order to achieve concrete results with social added value by 2025. We are providing 150 hectares for the circular economy, further increasing the reuse of CO2, continuing to grow as Western Europe’s leading hydrogen cluster, working to enhance electrification, increasing the sustainability of the logistics chain, building infrastructure in consultation with businesses and public authorities, and boosting digitisation.”

Providing space and infrastructure, nautical services and connection

Over the next five years, the port authority will continue to perform its three core tasks. The provision of available business premises and port infrastructure is the first. The port authority also provides nautical services such as shipping assistance. A third – special – task is that of ‘conductor’, bringing everything together in the port area. Expanding and further fleshing out this role is the connecting thread in the strategic plan and one of the eight programmes for delivering it.

Customer orientation and focus on seven sectors

The Port Authority wants to set itself apart in terms of customer partnership. This is a different approach to that of most seaports, which aim to deliver the lowest possible cost for the customer or to be the leader in a particular market segment. Through this customer partnership, the port authority wants to play a connecting role, establishing a relationship of trust and looking towards the future.

In doing so, it aims to meet the specific needs of the companies and offer them customised services. This is why the port authority is seeking growth in seven priority sectors: chemicals, steel, building materials, energy, automotive and trucking, food and feed, and value-added logistics.

The way in which the port authority aims to interact with local residents and those living in the wider region also fits within the philosophy of customer partnership: maintaining contact, with an awareness of each other’s interests and seeking consensus. Customer partnership also means building powerful alliances in which each partner does what it does best.

Eight programmes to deliver the strategic plan

With the following eight strategic programmes, North Sea Port continues to build its position as a European port.

Investing in circular value chains
Investing in energy projects
Investing in climate
Strong logistics chains
Future-proof infrastructure
Data community
Together with society
Connecting cooperating parties

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North Sea Port has strong ambitions to develop further as a European port

In a year where seemingly every last transaction sets a new container shipping S&P record, Cyprus Maritime has pulled off an extraordinary coup.

The Cypriot owner has sold the 2006-built, 5,060 teu S Santiago to fast growing OM Maritime for $58m with a forward delivery of March 2022. The forward delivery allows the sellers to capture the extremely lucrative short term charter market in the interim, Braemar ACM noted in a weekly report, adding that similar ships on the basis of prompt deliveries are said to have now seen closer to $70m.

Cyprus Maritime bought the S Santiago four years ago for $17.8m. The Cypriot owner recently clinched a highly lucrative 80-day charter for the ship at $120,000 per day from China’s BAL Container Line, giving it a stunning $9.6m extra revenue and still another six months of potential charter earnings before the ship gets handed over.

Singapore-based OM Maritime has had a busy year, buying six ships to date with another two due before the end of the summer, according to Alphaliner.

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Cyprus Maritime seals the containership deal of the year

Developing world countries and their small and medium-sized enterprises (SMEs) are taking a huge blow from the current situation in liner shipping as for many of them the tariffs are prohibitive and they cannot ship their products.

The latest edition of the United Nations Conference on Trade and Development (UNCTAD) webinar series highlighted SMEs as the losing side of the container shipping crisis while large carriers and their alliances, as well as big freight forwarders, are reaping all the benefits.

“We see a complete crumbling of the supply chain of SMEs because they cannot absorb the cost of transportation,” said Denis Choumert, chair of the Global Shippers Alliance.

Choumert described today’s liner scene as a stage of war. “Everybody is trying to get the best out of these cash cows and nobody wants to imagine something different,” he said.

Even with the top exporting countries, such as China, which has seen exports rise 32% in the last six months, shippers need more containers for the US and Europe and that they have no choice but to pay the price.

I’ve never experienced levels of animosity between all supply chain partners

Chaichan Charoensuk, chairman of the Thai National Shippers’ Council and representative of the Asian Shippers’ Alliance, said that if the price continues to increase, shippers will collapse very soon. He called on cooperation and competition authorities to help look at the freight costs.

“If we do nothing, I cannot see the end of the tunnel, because the freight cost is unstoppable,” Charoensuk said.

He stressed that the whole sector needs to look under the iceberg. “There are huge invisible costs, such as the opportunity lost because of not being able to export due to container shortages and freight costs.”

John Manners-Bell, director of Foundation for Future Supply Chain, said the problems lie in the whole supply chain, which is saturated with cargo.

“I’ve never experienced levels of animosity between all supply chain partners. Everybody involved is at each other’s throats,” Manners-Bell said.

He said that the developing world are the real losers from this situation, with many countries being sidelined as major shipping lines are not calling at their ports anymore.

“SMEs, which are dominant in many developing countries, have lost out. They can’t book space, even if they do, they are not able to afford the prices in today’s spot market,” he said.

Manners-Bell compared the shipping system to the situation in 2008 and 2009 when developing countries lost support from many banks and turned to China, which could probably be the result of this crisis again.

We need a more transparent market

Teresa Moreira, head of the competition and consumer policies branch at UNCTAD, noted that the maritime sector has raised issues from a competition law and policy point of view for decades as having the potential to lead to abuses of market power.

“It is certainly a situation that deserves to be looked into and demands action from several public authorities in dialog with business associations,” Moreira stated.

She said that governments can put a stop and temporarily control a very high rise in prices when such prices are having a negative impact on SMEs.

According to Global Shippers Alliance’s Choumert, regulation and competition authorities will not be able to solve the problem in the near future by capping and banning. The future is framing the market, not regulating it. “We have to find ways to set different contracts and we need a more transparent market,” he said.

Choumert said the key to unlocking this present crisis is better collaboration in the market. “Shippers together with carriers and forwarders should look in the future for solutions to increase the efficiency of supply chains and better use of ports. Digitalisation will be, of course, an important part,” he suggested.

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Container congestion registered in every corner of the planet

Greek containership owner Danaos Shipping has acquired six 5,466 teu vessels built at Hanjin Subic Bay shipyard in the Philippines for $260m.

The New York-listed firm said the vessels, which have an average age of 6.8 years, are on time charter contracts to one of the leading liners with a weighted average charter duration of two years. The vessels are expected to be gradually delivered by the end of the third quarter of 2021.

The shipowner estimates the acquisition will increase its contracted revenue by $71m. The boxships will be funded by cash in hand, but Danaos is also evaluating debt financing alternatives to finance part of the purchase price.

“The purchase price and contracted revenue associated with the vessels significantly reduce the residual risk of this transaction. Also, the targeted vessel segment has very favorable supply dynamics, and the vessels’ staggered charters with durations between one and three years provide re-chartering upside,” said CEO, Dr John Coustas.

Danaos’s fleet currently stands at 65 containerships ranging from 2,200 teu to 13,100 teu.

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Danaos snaps up six boxships

The state of global container congestion continues to roil supply chains right across the world.

Exclusive data from maritime intelligence service eeSea shows the world’s most congested box spots, ranking all ports by the sum of mainline vessels either in port or waiting. The ratio between in port and waiting is an approximation of the congestion. Hong Kong, for example, has a high waiting ratio of 67%. Oakland, Savannah, Seattle, Vancouver are all above 65%, while Yantian, the scene of a Covid-19 outbreak that hampered productivity throughout June, has done well to clear much of its backlog over the past couple of weeks.

The data is based purely on AIS and covers mainliners, not feeders, something eeSea may add as a function at a later date.

10% of the world’s shipping capacity has been taken out due to port congestion issues

“While feeders do contribute to congestion, they’re usually considered a consequence, not a contributing factor,” explained Simon Sundboell, eeSea’s founder.

Extreme consumer demand, principally in the US, has combined with Covid-19 shipping and port dislocations all year, creating unprecedented congestion across the globe as well as record freight rates and all-time lows for liner schedule reliability.

Lars Jensen, founder of container consultancy Vespucci Maritime, has estimated that 10% of the world’s shipping capacity has been taken out due to port congestion issues.

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Container congestion registered in every corner of the planet

The stunning amount of boxships ordered so far this year is set to continue with big names such as Cosco, Ocean Network Express (ONE), Yang Ming and Maersk all tipped to be in discussions with Asian yards.

More than 300 boxships were ordered in the first half of the year, according to data from Alphaliner. Combined with a healthy number of newbuilding contracts signed in late 2020, the 2021 order frenzy has gone from a low of 2.29m teu a year ago to 4.94m teu as of June 30.

The overall orderbook to fleet ratio has more than doubled from 9.4% a year ago to 19.9% at the end of H1, Alphaliner data shows.

July has also kicked off with sizeable deals for 7,000 teu ships for TS Lines and Seaspan.

In its most recent weekly report, Alphaliner suggested ONE is looking at adding more mainline ships, while Cosco is close to ordering six 13,000 teu vessels and fourteen 15,000 teu ships at its joint venture yards with Kawasaki Heavy in Nantong and Dalian.

Yang Ming, meanwhile, is being widely tipped to be closing on a contract for its first 24,000 teu class vessels, while Maersk is understood to be in touch with a Korean yard for larger methanol-fuelled ships, having made recent history with its order for a first 2,000 teu methanol-fuelled ship.

Assuming that these rumoured orders all go ahead, and assuming a few more top-up orders from other owners, the container ship orderbook might easily grow by another 1m teu slots to reach 6m teu, Alphaliner is predicting. The orderbook-to-fleet ratio would then reach about 24%.

Containership newbuild prices have leapt 15% so far this year.

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Cosco, ONE, Yang Ming and Maersk all tipped to order in next great wave of boxship expansion

f0c4bf03-4e30-226d-7819-9b8433f3c16e — Image caption left to right: Young-Gi Kim, General Manager of strategy Business team, HSD and Sang-Min Lee, Senior General Manager of strategy Business team, HSD; Young-Ki Lee, Tekomar Global Sales Manager, ABB Turbocharging and Jae-Ung Park, Country Manager, ABB Turbocharging On screen left to right: Cristian Corotto, SVP Digital Customer Solution, ABB Turbocharging and Mauro De Micheli, Head of Sales, Marketing and Partnerships Digital Solutions, ABB Turbocharging (Image Courtesy: ABB)

Korean engine manufacturer HSD Engine is to offer ABB’s diagnostics and advisory software Tekomar XPERT to shipowners operating its two-stroke and four-stroke marine engines.

Tekomar XPERT is a digital performance optimization platform applicable to any engine that can help shipping companies achieve substantial fuel savings and greenhouse gas emission reductions. Under the agreement, HSD Engine will offer the software as an option to shipowners, strengthening Tekomar XPERT’s position in the market.

Sang Min Lee, Senior General Manager, HSD Engine said: “In response to market demand, HSD Engine reviewed various solutions for engine performance optimization and evaluation. We expect that Tekomar XPERT will give us a competitive advantage in the market and our target is to provide it as part of our standard engine package. After a long partnership in the turbocharger field, we are pleased to extend our relationship with ABB into digital solutions to deliver even greater value for our customers.”

Cristian Corotto, Senior Vice President Digital Customer Solutions, ABB Turbocharging said: “This agreement is a strong endorsement of Tekomar XPERT’s capabilities and an important step in expanding the installed base. We are honored that HSD Engine has chosen to take this step into digital optimization with us.”

HSD Engine’s customers deploying Tekomar XPERT will benefit from significantly improved engine performance. The software’s performance evaluation and advisory is based on high quality, reliable engine operating data, transforming them into actionable insights to reduce fuel consumption, cut emissions and optimize maintenance. In addition, using the Tekomar XPERT for fleet web application, managers can benchmark and optimize engine performance even across diverse fleets with multiple engine types.

HSD Engine, previously known as Doosan Engine, has delivered low-speed and medium-speed marine engines developed by leading engine designers since 1983. It continues to deliver between 90-100 engines each year.

ABB Ability™ Tekomar XPERT currently has an installed base of more than 8,000 engines on more than 2,000 vessels.

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https://seanews.co.uk/news/hsd-engine-chooses-abb-ability-tekomar-xpert-as-a-partner-for-marine-engine-performance-optimization/

FLT_PR Image — Survitec Produced Foam Live Test means testing can be performed while the vessel is berthed alongside (Image Courtesy: Survitec)

Classification society DNV has issued a verification statement allowing global survival technology specialist Survitec to use its game-changing fire foam testing process onboard maritime vessels or offshore structures.

Survitec’s new Produced Foam Live Test method uses ultrasound technology to verify the effectiveness of fire-fighting foam, according to the mandatory requirements set out in IMO MSC.1/Circ.1432 9.2.4.

The ruling applies to any vessel or offshore structure that has a deck foam system, a high expansion foam system (engine room) or Heli-deck foam system.

Foam proportioners or other mixing devices need to be tested every five years to confirm that the mixing ratio is within +30 to -10% of the nominal mixing ratio defined by the manufacturer.

However, while ultrasonic flow meters are commonly to measure fluid flow in pipework, it is thought to be the first time ultrasound technology has been used to quantify the exact water/foam ratio. Two ultrasonic flow meters are used to compare both values.

Jan-Oskar Lid, Technical Sales Manager, Survitec, said: “We have developed a safe, environmentally sound and predictable test method removing a lot of the time and expense involved in foam sampling and testing. It delivers peace of mind to ship operators and crews.”

Unlike existing techniques, the Survitec method means testing can be performed while the vessel is berthed alongside, without having to discharge any foam overboard or send samples to testing labs.

Current test methodologies have to run the fire-fighting system with foam for at least two minutes, so there is a heavy consumption of costly concentrate, often resulting in the need to replace the entire tank volume. The produced foam is discharged overboard.

Survitec’s Produced Foam Live Test does not need to use the concentrate or produce foam in the test, using only seawater, which is more environmentally friendly than alternative solutions.

“Samples also have to be sent to a service station for testing and if the sample fails, then the foam proportioner has to be adjusted, and the process repeated, which makes other available solutions more costly and time-consuming, compared with Survitec’s new test process,” said Lid.

Most commercial ships and rigs will have a fixed system that uses foam to extinguish a fire, but the ratio of foam concentrate and seawater has to be correct for the produced foam to work.

Service experience is demonstrating that wear and tear, plus aging of the foam mixing equipment, can have a negative effect on the correct mixing ratio given by the foam system.

On using the new ultrasound technique, Lid said: “All the crew has to do is ensure that a fire pump is running at the required capacity for the test’s duration. The procedure obviates the need to use the system’s foam concentrate.

“As no foam is used, there is no need to top up or refill the tank. And if any adjustments are required then the foam proportioner can be tweaked during the test and not in interludes, which can affect normal service.”

Survitec has now trained teams to use the new process at service stations in Singapore, Fujairah, Barcelona, Rotterdam, Bremerhaven, Aberdeen, Liverpool, Houston, Panama and Macae (Brazil), and will roll out the system to other locations over the coming months.

Survitec’s Produced Foam Live Test method has already been used by several well-known gas carrier operators.

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https://seanews.co.uk/news/dnv-verifies-new-fire-foam-test-method/

c3caa9c5-c0e1-66a3-ca91-60d332ef40fa — (Image Courtesy: Samskip)

Finnish entity to deliver new opportunities for businesses connected by the Baltic Sea

Samskip has established its own business entity in Finland with ambitions to grow shortsea, inland and freight forwarding (ocean and air) volumes from new premises in Helsinki.

Replacing a previous agency arrangement, the Finnish enterprise will be led by logistics professional Atte Ingman, who has 30 years of experience representing European and Asian shipowners. His track record also includes establishing successful subsidiaries in Finland for shipping principals: former associations include some of the biggest names in container, project cargo and ro-ro transport.

The new entity will employ Ingman directly as Country Manager for the Finnish market, committing him exclusively to Samskip, and occupy of new offices with easy access to downtown Helsinki and Helsinki-Vantaa airport from 2 August.

“We are excited to strengthen Samskip’s position in the Finnish market by opening our own office following an increased demand for efficient and reliable short-sea solutions,’’ says Johan van der Pijl, Regional Director – Baltics & Russia at Samskip.

‘’Customers can now benefit from our extensive multimodal one-stop-shop services to the UK, Ireland, Italy as well as to the Benelux while reducing their carbon footprint as part of our integrated network of short-sea, rail, barge and truck solutions. In addition to opening our own office, we are making significant progress towards introducing our MySamskip Customer Portal to the Finnish market; everything to increase the ease of doing business with Samskip”

Samskip identified Finland as a prime candidate for growth soon after the appointment of Kari-Pekka Laaksonen as CEO in late 2019. COVID-19 put the Finnish CEO’s plans on hold but container transport trends through 2021 have brought the initiative back to top Samskip’s agenda for organic growth.

‘’Atte has strong links with regional shippers and, while the office set up is his immediate priority, there are also plans to make full use of the Samskip network of offices in surrounding Baltic States, including Germany, Poland and Russia,” added Martijn Tasma, Samskip Logistics Director Global Forwarding. “We need to be present wherever our customers need our services. By establishing a strong presence in Finland, Samskip will be offering a one-stop-shop solution for doing business with Finland, linking transport options in the Baltic Sea, across continental Europe, and beyond.

“Out of gauge and temperature-controlled loads offer special opportunities in this market and Samskip is fully geared up in terms of flexible tonnage and refrigerated capacity to take them. The value-added logistics solutions available through the wider group will also be fully deployed to support air freight, sea freight and rail freight services to and from Asia.”

Ingman added that his earlier experience with owners prioritizing sustainability as part of their shipping, inland transport and ports business culture would play a central part in growing volumes on behalf of Samskip.

“Samskip’s multimodal business model prioritises sustainability and we look forward to working closely with existing Samskip customers in Finland and engaging with others as we refine our services to meet their goals for decarbonizing transport,” he said. “Personal levels of service and commitment to continuous improvement across all processes are keys to creating successful shipping businesses in Finland.”

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Samskip strengthens presence in the Nordics led by new subsidiary in Finland

Ever Given departs for Rotterdam after obtaining certificate of seaworthiness

North Sea Port has strong ambitions to develop further as a European port

Shareholders committed to employment, sustainability and a solid financial foundation

The strategic plan: three core tasks, customer focus, seven sectors and eight programmes

Cyprus Maritime seals the containership deal of the year

Developing nations suffer from extreme freight rates

Danaos snaps up six boxships

Container congestion registered in every corner of the planet

Cosco, ONE, Yang Ming and Maersk all tipped to order in next great wave of boxship expansion

HSD Engine chooses ABB Ability Tekomar XPERT as a partner for marine engine performance optimization

DNV verifies new fire foam test method

Samskip strengthens presence in the Nordics led by new subsidiary in Finland

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