Spanish authorities are examining the sudden disappearance of a 50,789 DWT container ship captain. The vessel reached the Port of Algeciras late last week.

The Algeciras Express set sail from the port of Yalova, located on the Sea of Marmara south of Istanbul, on 30 June. La Guardia Civil de Algeciras reports that on 3 July, four days later, they were informed by the vessel’s first officer that their captain went missing.

The crew members thoroughly searched the vessel and reported that the captain was nowhere to be found.

The ship reached the Port of Algeciras on 7 July, but the authorities ordered the ship to anchor offshore until a new captain joined duty to take over the command of the Algeciras Express. Reports indicated that the port needed a captain to be on the ship to oversee its maneuvering into the dock.

Owned by Seaspan and registered with Liberia, the container ship operates under charter to Hapag-Lloyd. Reports mentioned that Hapag arranged for a Ukraine-based captain to fly to the port and immediately join the vessel. The ship was permitted to proceed toward the dock on 10 July.

Once the ship was alongside, the police boarded it and began interviewing the first officer and the 28-member crew. The police searched the vessel and entered the missing captain’s cabin. Local media reports have indicated that the cabin was in good condition, and the captain had also prepared a navigation plan for 4 July. However, they could not locate any signs of struggle or the captain. Nothing seemed abnormal on the ship.

The relevant Spanish authorities have reported the same to Liberia as it is the flag state for the vessel. They are in touch with the Philippines as the captain was a Philippine citizen. Concerned Spanish authorities have listed the captain as missing.

The Algeciras Express was traveling with a few containers when it arrived but was allowed to get done with its typical container handling on Sunday at the port. On Monday, it was anchored off Algeciras, but later on, it was released by the Spanish authorities and is sailing toward Tanger-Med in Morocco.

Source: https://www.marineinsight.com/shipping-news/captain-of-container-ship-algeciras-express-goes-missing-mysteriously/

The global pool of shipping containers increased by 13% to almost 50 mteu in 2021, which was three times prior trend growth. This reflected lessors and ocean carriers ordering a record number of containers, while retiring fewer ageing units, as congestion across global supply chains meant containers were an estimated 15% to 20% less productive than in pre-Covid-19 times, according to Drewry’s recently published Container Census & Leasing Annual Review & Forecast 2022/23 report.

Drewry estimates that each container averaged 18.1 lifts in 2021 compared with 19.2 in 2020 and between 19.5 and 20.6 in the 2010s. Moreover, the number of containers per slot of vessel capacity increased by 8% in 2020 when the pandemic started and remained at this level throughout 2021.

Drewry estimates that as many as 6 mteu of surplus containers now exist in the global equipment pool. While large by historic standards, Drewry considers this surplus to be manageable for the industry.

“The delivery schedule of new ships is very strong with slot capacity expected to increase by 3.6 mteu in 2023 and by over 3.9 mteu in 2024,” said Drewry’s head of container equipment research John Fossey. “With new IMO emissions regulations coming into force in January 2023 forcing some ships to sail slower, much of the surplus equipment currently in service is expected to be absorbed. In addition, there is evidence to suggest that some carriers are planning to have more buffer stock in their equipment pools, while fewer new containers will be built in the next two years.”

Drewry forecasts that output in 2022 and 2023 will be much lower than last year, at 3.9 mteu and 2.4 mteu respectively, with replacement accounting for most of the orders. While newbuild and second-hand prices will fall, a return to the very low prices of 2019 is not anticipated as manufacturers are expected to manage their capacity and pricing strategies very carefully. Meanwhile, the secondary market remains robust and the uses to which ex-trading containers can be put to use continues to expand.

“Looking ahead, ocean carriers will be the main buyers of equipment over the next two years with lessors then taking control again, raising their share of the pool to 54% by 2026,” added Fossey. “Moreover, per diem rates and investment cash returns will general be higher over the forecast period than in the past five years.”
Source: Drewry

Last month, in the race to tackle climate change, DNV held its Singapore Energy Transition Conference with presentations and panel discussions for industry stakeholders and clean energy experts. Focusing on maritime decarbonization, the conference discussed what role Singapore can play in the green energy transition in Southeast Asia. As this thriving maritime hub intensifies its efforts to reduce and eventually eliminate greenhouse gas emissions, the conference was a place to explore what the energy transition journey looks like in 2022.

Remi Eriksen, Group President and CEO of DNV, believes that achieving net zero is politically and economically achievable – but it will take effort, he told the conference in a keynote address.

“Hydrogen, which is the lightest of elements, needs a heavy lift in order to reach the Paris Agreement. Much stronger policies are needed from governments. In this region, particularly with Singapore as a major bunkering hub today, there are huge opportunities for new fuels like ammonia, synthetic methanol, and hydrogen in its purest form,” Eriksen said. “As a high-income country, Singapore must be a catalyst for change in this region. We admire [Deputy Prime Minister and Minister of Finance] Lawrence Wong’s commitment to achieving net-zero by 2050.”

Drawing on DNV’s Energy Transition Outlook, Eriksen predicted that the world’s energy consumption is headed for a rapid transition from an 80/20 split (80 percent fossil / 20 percent non-fossil) to a 50/50 split by 2050. However, achieving net-zero by midcentury may be out of reach without further action.

“It will not be fast enough to meet the Paris Agreement, [and] the earth is heading towards 2.3° C of warming above pre-industrial levels,” Eriksen cautioned.

He suggested that to get the world’s climate ambitions on track, Europe and the United States need to achieve net-zero by 2040, then become net-negative by finding ways to absorb carbon from the atmosphere.

For Southeast Asia’s pathway to net-zero, Eriksen suggests that bringing the region down from its 2019 emissions rate of 1.7 gigatons of CO2 per year will require rapid penetration of renewables and reduction of fossil fuel use. He believes this will need to be driven by much higher carbon pricing and a ban on internal combustion engine cars by 2040.

DNV predicts that Southeast Asia can reduce its greenhouse emissions down to 1990s levels by midcentury (DNV)

Eriksen admits that it will be hard to chase fossil fuels entirely out of the global energy mix in less than thirty years, given the demand for oil in industry and transportation. To address this, DNV is making efforts in carbon capture and storage (CCS), direct air capture, and nature-based solutions. Beyond 2050, once fossil fuels are fully eliminated, DNV sees the ideal energy mix as 70 percent direct electrification via renewables; 20 percent indirect electrification from green hydrogen and hydrogen-derived products; and 10 percent biofuels. Hydrogen will be critical for decarbonizing hard-to-abate sectors like high-heat industrial processes, shipping, trucking, and aviation.

To make enough hydrogen to supply just five percent of the global energy mix, an estimated $7 trillion of investment would be needed by 2050. However, three times more hydrogen – enough for 15 percent of world energy demand – is required to reach net-zero by 2050. That’s an additional 90 million tonnes, equal to the total amount of “grey” hydrogen produced today for industrial and agricultural uses. The challenge is to clean up the world’s hydrogen supply chain and simultaneously double its size to support new uses.

Hydrogen will be critical for shipping. In the 2030s and beyond, Eriksen predicts that ammonia made from green hydrogen will become the industry’s low-carbon fuel of choice. Therefore, ammonia production, storage, and bunkering will hold strategic importance for Singapore, the world’s leading bunkering hub.

“Hydrogen, the lightest substance, needs a heavy lift. Dramatic and urgent changes in all energy value chains are necessary through much smarter end-use enabled through digitalization. For this to happen, we require stronger policies for carbon pricing, subsidies, tough mandates, and bans. There is much work to be done and much to be discussed,” he concluded.

Though the net-zero goals are two to three decades away, and there will be unpredictable changes in technology, finance, politics, and public will over the intervening years, it is nonetheless inspiring to see that a common goal and effort of a cleaner planet is uniting the industry. Singapore has chosen to become a first mover in the race to decarbonize and digitalize the maritime and energy sectors. The “Little Red Dot” city-state is taking drastic efforts to show leadership in the rapidly shifting global landscape, and the industry and the region will closely examine Singapore’s moves.

Source: https://maritime-executive.com/editorials/dnv-predicts-a-key-role-for-singapore-in-shipping-s-hydrogen-future

Denis Petropoulos, Chairman of the Baltic Exchange and the newly appointed Chair of the LISW23 Board of Advisors, has announced the team he will lead in the months running up to the delivery of London International Shipping Week in September 2023.

Representing commercial shipping industry decision makers who will sit on the LISW23 BOA is Jan Dieleman, President of Cargill Ocean Transportation and Chair of the Global Maritime Forum. He is accompanied by Kit Kernon, Head of Shipping at Vitol SA as well as Claire Wright, General Manager, Commercial & Strategy at Shell Shipping & Trading and Paul Wogan, immediate past CEO of leading LNG company Gaslog.

Additionally from the owners’ side, Denis will work alongside Markos Lyras, Chief Executive Officer, Lyras Maritime; Dr Nikolas Tsakos, President & CEO of the Tsakos Group; in sustainability and finance Marianne Økland, Board Director of Scorpio Tankers and the UK Infrastructure Bank (UKIB) joins the group as well as the experienced Michael Parker, Chairman, Global Shipping, Logistics & Offshore at Citigroup; Guy Platten, Secretary General of the International Chamber of Shipping (ICS); John Denholm CBE, Chairman of J. & J. Denholm Limited; Katharina Stanzel, Managing Director of INTERTANKO; and Robin Mortimer, Chief Executive, Port of London Authority (PLA) and Chairman elect (2023) of Maritime UK.

Nick Shaw, Chief Executive Officer of the International Group of P&I Clubs; Sarah Kenny OBE, CEO BMT Group and current Chair of Maritime UK; Ben Palmer OBE, President of Inmarsat Maritime and Nick Brown, Chief Executive Officer at Lloyd’s Register are also included.

Carrying on the maritime legal theme, Lindsey Keeble, Managing Partner, Watson Farley & Williams; and Harry Theochari OBE, Chair of Maritime London and Senior Consultant at Norton Rose Fulbright, are also on the board.

Representing the UK Government on the Board of Advisors is Petra Wilkinson CBE, Director of Maritime at the Department for Transport and representing the Royal Navy is Cdre Robert J A Bellfield CBE ADC, Naval Regional Commander for London and Eastern England at the Ministry of Defence, where security plays an enormous role.

Thanking the Board of Advisors for their support, Mr Petropoulos said: “I am delighted to have been asked to take on the responsibility of LISW23 BOA Chair and I look forward to working alongside this excellent team.”

He added: “LISW23 will bring the shipping world together for a full week of events in London and it will be the perfect opportunity for very high-level debate and blue-sky thinking. The work of the LISW23 BOA is to support the Steering Group to ensure the week delivers on all its promises.”

LISW23 will be held during the week of September 11-15, 2023 and will play host to the maritime world with hundreds of events attracting thousands of international industry decision makers into London during the week. The headline LISW23 Conference will be held on Wednesday September 13th while the LISW23 Gala Dinner will be held on Thursday September 14th.
Source: LISW23

China’s iron ore imports in June fell modestly from a year earlier, customs data showed on Wednesday, due to weaker demand from the steel-making industry.

The world’s top iron ore consumer imported 88.97 million tonnes of iron ore last month, easing 0.5% from 89.42 million tonnes in June 2021, the General Administration of Customs said.

The June import level also showed a 3.8% monthly decrease from May.

In the first half of 2022, China imported 535.75 million tonnes of iron ore, down 4.4% from the same period a year earlier.

Iron ore imports into China had slumped from March to April, as Brazil’s Vale halted iron ore train operations due to heavy rain while miners in Australia suffered from pandemic-induced labor shortages.

Supply disruptions have eased from May, and analysts expect imports to ramp up in the second half of the year.

“We must not forget that multi-100-million tonne per year iron ore mining strategies cannot be altered at the drop of a hat or in response to price volatility,” said Atilla Widnell, managing director at Navigate Commodities in Singapore.

“It is important to note that most of the majors operate using the ‘Just-in-Time’ inventory approach and will ship capes to their Chinese portside operations to sell in smaller yuan-denominated parcels.”

Lockdowns to curb the spread of COVID-19 contributed to tepid iron ore consumption by China’s steel sector.

As of July 8, iron ore inventory at Chinese ports hit a one-month high of 128.3 million tonnes, after rising for two consecutive weeks, based on SteelHome consultancy data.
“Chinese steel companies are still suffering from weak margins and high inventories, which has seen some suspend operations,” ANZ Research said in a Monday note.
The customs data also showed June steel product exports at 7.56 million tonnes, up 17% from the same period of 2021.

Steel exports for the first half of 2022 came in at 33.46 million tonnes, 10.5% lower than last year.
Source: Reuters (Reporting by Emily Chow in Kuala Lumpur, additional reporting by Enrico Dela Cruz in Manila; Editing by Clarence Fernandez, Bradley Perrett and Amy Caren Daniel)