Vessel Performance Key to Secondhand Ship Market for Carnival

DAILY COLLECTION OF MARITIME PRESS CLIPPINGS 2018 – 362

Number 362 *** COLLECTION OF MARITIME PRESS CLIPPINGS *** Friday 28-12-2018 News reports received from readers and Internet News articles copied from various news sites.

Fishery port Harlingen Photo : Piet Overzet (c)

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GLOBAL SENTINEL arriving in Willemstad, Curacao Photo : Capt Shaun Beal onboard Wave Sentinel (c)

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Shipping line Maersk withdraws Port Nelson direct service Maersk's Northern Star service was one of four shipping lines that called into the city before it announced it was discontinuing the stopover. It's still smooth sailing for Nelson container customers despite a major shipping line discontinuing its direct service to its port, Port Nelson says Maersk's Northern Star service between Tanjung Pelepas, Malaysia and Auckland previously called directly to Nelson for freight services, one of four shipping lines calling in to the city. However, Maersk announced an end to the stopover in late July. Container traffic shipped through Nelson now went via a feeder service to Tauranga with the Pacifica line to meet onward connections to Asia, the Americas, Pacific Islands and Australia. The move is understood to be in line with a global trend within the shipping industry to use larger vessels in most trades to reduce costs, following heavy financial losses in recent times. Source : Stuff

The OOCL INDONESIA passing the Bitterlakes in the Suez Canal Photo : Hans Bosch Towmaster / Marine services www.hrbnautique.nl © Accessibility funding announced for Scotland’s ferry services Ferry services are to receive a funding boost to help improve accessibility for passengers, the Scottish Government has announced. Season greetings from the Engine & Technical team onboard the VEENDAM Around £80,000 will be awarded to Serco NorthLink Ferries and the National Autistic Society. The funds will go towards plans to include the provision of Changing Places facilities on board vessels, as well as specialist equipment and staff training to help autistic passengers. Changing Places toilet facilities are designed to meet the needs of people with complex care needs. They have previously been installed at train stations, including in Dundee. The investment, from the Ferries Accessibility Fund, will also see the creation of an app outlining the specialist assistance available to passengers at each of the terminals on the Northern Isles ferry network. It’s very encouraging that more organisations have seen the potential to make positive changes and brought forward some excellent proposalsMinister for Energy, Connectivity and the Islands, Paul Wheelhouse, said: “We want Scotland’s ferry services to be fully accessible, offering the best passenger experience possible to everyone. Operators already have strict standards to meet when it comes to accessibility but this fund can help them to go further. “The improvements made through previous awards have been a great success, so it’s very encouraging that more organisations have seen the potential to make positive changes and brought forward some excellent proposals. “We know that accessible travel can enable people to enjoy equal access to full citizenship so, as part of our Accessible Travel Framework, we want to identify and remove disabling barriers which prevent people travelling or make their journeys an unpleasant experience.” Source : eveningexpress.co

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OCEANEX SANDERLING making her way into Halifax at noon on Christmas Day Photo : René Serrao (c)

A lawyer who represents cruise ship workers reveals one thing passengers do that's terrible for some workers By Mark Matousek Cruise ship passengers used to tip workers in cash, but in recent decades, most cruise lines have begun adding gratuity charges to passengers' bills. Doing so can be convenient for passengers, but the shift has been harmful for some cruise ship workers, the maritime lawyer Michael Guilford told Business Insider. Most cruise lines distribute the gratuity charges among a number of workers, including some, like laundry workers, who previously didn't receive tips, Guilford said. But some workers, like room stewards, have seen their overall pay decrease since they now earn less in tips than they used to, Guilford said, and some workers who began receiving tips after the shift to automatic gratuity have seen no change in their overall pay since their base salaries have decreased by the amount they now receive in gratuity. Guilford said he's spoken with hundreds of cruise ship employees both before and after cruise lines moved toward automatic gratuity, and workers who received cash tips reported much higher tip-based income than

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those Guilford has spoken with since the shift, suggesting that the overall amount of money spent by passengers on tips has decreased. "I had crew members come in here saying they were making 'x' when they were getting cash tips and are now making significantly less than 'x' because they've gone to this new tipping program," Guilford said. Source: this is insider

The CAP SAN TANAIRO inbound for Antwerp Photo : Henk de Winde © Holland America Line sponsort deze winter NK Schaatsen Holland America Line kondigt aan dat zij officieel sponsor is van twee aankomende NK schaatsevenementen georganiseerd door House of Sports. Als rederij met Nederlandse roots is het trots op de Nederlandse schaatscultuur en draagt hieraan graag bij door middel van deze samenwerking. Het schaatsen zit diep geworteld in de Nederlandse cultuur: Nederland telt ruim drie miljoen schaatsfans en tijdens grote evenementen zitten tot over een miljoen kijkers aan de buis gekluisterd. Holland America Line, de van oorsprong Nederlandse cruiserederij, verbindt zich graag aan deze oer- Hollandse sport. “Wij zijn trots op onze Nederlandse roots,” vertelt Nico Bleichrodt, Managing Director Sales & Marketing Continental Europe. “Dit sponsorship is een goede aanvulling op onze recent gelanceerde campagne ‘Waarom Niet Nu’ met als doel cruisen onder een breder Nederlands publiek bekend te maken”. Tijdens het KPN NK Afstanden (28 – 30 december 2018) en het KPN NK Allround & Sprint (26-27 januari 2019) is Holland America Line op TV middels boarding zichtbaar. Daarnaast is de rederij online zichtbaar op Schaatsen.nl. Dit platform van de KNSB bereikt diverse schaatsliefhebbers: fans, topsporters en recreanten. Dat Holland America Line trots is op haar Nederlandse roots blijkt eveneens uit de aanwezigheid van het Grand Dutch Cafe aan boord van de Koningsdam en het allernieuwste schip de Nieuw Statendam. Hier genieten gasten van typische Nederlandse snacks, zoals erwtensoep, broodjes haring en spekpannenkoeken. Ook wordt er Nederlandse koffie geserveerd, komt er Nederlands bier uit de tap en kunnen reizigers een jenever of Oranjebitter bestellen

The BOMAR JULIANA moored in Point a Pitre (Guadalupe) Photo : Ko Rusman © Sunda Strait tsunami death toll hits 429, Navy discovers bodies at sea

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The death toll from the tsunami that hit Banten and Lampung provinces on the evening of Dec. 22 has reached 429 at 1 p.m.on Tuesday. The toll was likely to continue rising as search-and-rescue teams were still finding bodies in the water and washed up on small outer islands, National Disaster Mitigation Agency (BNPB) spokesperson Sutopo Purwo Nugroho told a press conference on Tuesday. "The data will change, as the joint search team is scouring Pandeglang, Serang, South Lampung, Penawaran and Tenggamus [regencies]," Sutopo said. By 1 p.m. on Christmas Day, 429 had been killed, 1,485 injured and 154 remained missing, while 16,082 people sought safety and shelter away from their houses. The BNPB's records showed that 883 houses, 73 hotels and villas, 60 shops and stalls, 434 boats and 41 motor vehicles were damaged in the Sunda Strait tsunami. Pandeglang had recorded the highest death toll of 290, said Sutopo. The emergency response in Pandeglang would last 14 days until Jan. 4, 2019, while it would last seven days in Lampung Selatan regency through Dec. 29. Sutopo said the Indonesian Navy had sent out ships to help in the search for bodies and survivors, and had discovered several bodies in the water and on small offshore islands of Java.He added that overland access was disrupted to seven villages on Java's southwestern tip. "Even under normal conditions, the roads in that area are poor," he said. Source : thejakartapost

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Spain’s Navantia wins Johan Sverdrup job Spanish state-owned shipbuilding company Navantia has been awarded a contract by Aibel for work on the Equinor- operated Johan Sverdrup project located offshore Norway. Navantia said it had been awarded the contract for the construction of an HVDC substation module for the Johan Sverdrup field in Norway The approx. 4000 t heavy module will

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be built at the Navantia Puerto Real yard. Navantia will cooperate with Aibel in the coming months providing construction input and coordination of the interface activities. Fabrication works at the yard will start in August 2019 and it will involve the participation of about 350 people. The execution of the project will last between 17 and 25 months, subject to decisions to be made on several contract options. Phase 1 of the giant Johan Sverdrup development includes the development of four platforms, three subsea installations for water injection, power from shore, export pipeline for oil (Mongstad) and gas (Kårstø) with production expected to start in November 2019. Phase 2 includes development of another processing platform (P2), modifications of the riser platform and the field center, five subsea templates, in addition to power from shore to the Utsira High in 2022. First production from this phase is expected in Q4 2022. In recent news, Samsung Heavy completed the processing platform (P1) for the Johan Sverdrup field development. The platform left the Samsung Heavy Industries’ yard in South Korea on board Boskalis Vanguard, the world’s largest heavy- transport vessel, earlier in December. Source: Offshore Energy Today Staff Ten Years of Operation Atalanta: EU NAVFOR Helicopters

EU NAVFOR warships have patrolled the waters off the coast of Somalia for over 10 years now. The worst of the Somali piracy crisis in 2011 has been repressed, but the need for ongoing patrols in the western Indian Ocean remains. EU NAVFOR relies on warships and helicopters provided by EU States in order to combat that piracy threat. The maritime helicopter is an exceptionally versatile component in the Force Commander’s armory. Helicopters provide an ideal deterrence, disruption and a surveillance capability dealing with piracy; they also provide the ability to move people and supplies quickly and effectively, often between ships, or into remote or inaccessible areas. 14 EU Member States have provided warships to EU NAVFOR since 2008, as have partner nations like Norway, Ukraine and Korea and Colombia, so a variety of helicopters have been embarked. Source: EU NAVFOR

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The TALISMAN discharged at Rotterdam-Maasvlakte II the 3 doors for the new lock in IJmuiden Photo : Willem Holtkamp - http://fotomaker.jalbum.net/FOTOMAKER/ ©

The DIAMOND inbound for Rotterdam Photo : Willem Holtkamp - http://fotomaker.jalbum.net/FOTOMAKER/ © Icebreakers of FSUE Rosmorport assisted 921 ships in navigation season 2018-2019

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From the beginning of the navigation season of 2018-2019, icebreakers of FSUE Rosmorport have assisted 921 ships in freezing ports of Russia, says FSUE Rosmorport. Most of operations were performed in the Azov Basin (823 ships as of December 24). Icebreaking assistance is also provided in the Arctic Basin: in the White Sea and in the port of Arkhangelsk Rosmorport escorted 17 ships, in Sabetta port - 17 ships. 64 icebreaker escort operations were performed in the Baltic Basin. Source : Portnews

The COSTA MEDITERRANEA moored in Fujairah, UAE on 20 December Photo : Anko Staas ©

FSRU suppliers shift from emerging markets, cut back new orders Political instability and low credit ratings in emerging economies are putting some shipowners off ordering new floating storage and regasification units (FSRUs), as they shift focus to more mature gas markets. Liquefied natural gas (LNG) demand from emerging markets in Asia, Africa and South America was expected to be boosted by FSRU technologies that are less expensive and time-consuming than onshore import terminals. But a boom in speculative FSRU orders from shipowners led to an oversupply of units this year as import projects across the world were delayed or cancelled, suggesting demand had been overestimated. Norway’s Hoegh LNG announced on Friday a second contract for an FSRU in Australia this year. The FSRU project for the import of LNG at Crib Point in Victoria developed by Australia’s AGL Energy Ltd will allow Hoegh to charter out its FSRU for 10 years. The move comes as Australia’s eastern states suffer from gas shortages even though LNG production on the west coast made the country the largest LNG producer in November. In August, Hoegh LNG won a tender for an import project in New South Wales developed by Australian Industrial Energy, a consortium that includes Japan’s JERA and Marubeni Corp. “We will only work with either major energy or state companies now,” Hoegh’s chief executive, Sveinung Stoehle, told Reuters. Hoegh has pulled out of FSRU projects in Ghana, Chile and Pakistan due to delays and cancellations. Stoehle said he sees Asia as the main market for Hoegh FSRUs now. The FSRU Hoegh Esperanza started a contract for China’s CNOOC this year. Stoehle hopes to deliver one more FSRU to China in the next two years. “We will not place new orders until we have long-term deals for (our existing FSRUs),” he added. With the Australian deals concluded, Hoegh is thought to have two FSRUs still not committed to a long-term contract. However, the company is a frontrunner for an import project in an Asian country, with a decision due within a year, Stoehle said. Hoegh is also in advanced talks with Germany’s Uniper on the Sharjah FSRU project in the United Arab Emirates, a source familiar with the talks said. Other shipowners appear to be taking a similar strategy. Belgium’s Exmar said it also would look for long-term contracts before ordering new vessels. After the sale of a 50 percent stake in its four units to U.S. firm Excelerate Energy in 2017, the company has only one FSRU, a barge-based unit chartered for 10 years to Swiss trading house Gunvor for a Bangladesh import project, now halted by political uncertainty in the country. “We have not taken any final decision yet but its chances are very thin,” said Mohammad Quamruzzaman, managing director of Rupantarita Prakritik Gas Co, the unit in charge of LNG imports at Bangladesh’s state-owned oil firm Petrobangla. Japan’s Mitsui O.S.K. Lines (MOL) said it had not placed new orders for FSRUs this year either, adding that it was awaiting a final investment decision (FID) on an import project in Germany, also developed by Uniper. “FID on this project is targeted to take place within 2019,” an MOL spokesman said. “We will order FSRU for the project after FID.”Keith

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Bainbridge, director of CS LNG shipping consultancy, said he would be surprised to see any FSRU orders apart from the MOL Germany FSRU in 2019. The oversupply of units led to around seven FSRUs being employed as LNG carriers this year, shipbrokers said.“The problem of oversupply goes back to domestic politics (in emerging economies),” Bainbridge said. Source: Reuters (Reporting by Ekaterina Kravtsova; additional reporting by Ruma Paul in Dhaka; Editing by Dale Hudson)

The HELLAS AVATAR inbound for Amsterdam Photo : Erwin Willemse © Shell’s Prelude FLNG kicks off production

Shell’s giant PRELUDE floating liquefied natural gas (FLNG) facility located offshore Western Australia has started production on Tuesday, December 25. The Hague-based LNG giant said the facility located 475 kilometers north- northeast of Broome now enters start-up, ramp-up, which is the initial phase of production where gas and condensate is produced and is moved through the facility. “Once this has concluded the facility will be stabilized for reliable production of LPG and LNG,” the statement reads. The company said it is currently focusing on providing a controlled environment to ensure reliable and safe operation. To remind, the FLNG – which is the largest of its kind with 488m in length and 74m in width – received its first cargo in June that was used to test processes and systems before the subsea wells were opened and before the start-up. Prelude FLNG also received its second cargo in October. The FLNG facility is expected to stay moored at the Prelude gas field offshore Western Australia for 25 years. It is designed to produce 3.6 mtpa of LNG, 1.3 mtpa of condensate and 0.4 mtpa of LPG for export.source: lngworldnews

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The RIJNBORG passing the Kiel canal Photo : Arend Holwerda © Drewry: Asia to Mediterranean Trade Facing Choppy Waters?

The MONACO MAERSK passing the Bitterlakes in the Suez Canal Photo : Hans Bosch Towmaster / Marine services www.hrbnautique.nl © The Asia to Mediterranean headhaul market has experienced notable improvements in the second half of 2018, according to UK-based shipping consultancy Drewry. After a flat second quarter, westbound Asia to Mediterranean volumes in the period July-September rose by 3.4%, and returns for October yielded a growth rate of 5.6%, Drewry said citing CTS data. The year-to-date rise in headhaul demand was by the end of October reading 3.5% , much better when compared to 1.2% improvement recorded for the North Europe trade. The recovery was mainly driven by increases of imports by Spain that rose by 4.8% with those to Italy and France pushing ahead by 5.9% and 8.8% respectively from July to October. The recovery in North African volumes continued apace, propelled chiefly by Egypt’s reviving economy. Asian boxes discharged in the five countries bordering the Mediterranean increased by almost 11% in the ten-month period from January to October. As informed, traffic into Egypt rose by 17.5% and continues to gather momentum; between July and October the year-on-year increase was touching 29%. According to Drewry, the East Mediterranean sector is this year’s laggard in the trade, with volumes dropping in the ten-month period by 4.7%. Israeli imports retreated 2.4% and Lebanese traffic gave up almost 11%. Greece, on the other hand, has marked its exit from an eight-year financial rescue program by allowing its imports from Asia to rise by 11%. However, the major casualty in the East Med has been the

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Turkish market where imports fell by 10%, equating to some 75,000 TEU. The damage started in the second half of the year when a currency crisis fueled record inflation rates and stunted consumer demand. In the first six months of 2018, Asian exports entering Turkey were marginally up by just over 1%, but in the subsequent four months they collapsed by 27%. “Although the lira has made a partial recovery from the depths it touched in August, it has still lost 40% of its value this year. Households have to contend with inflation rates which reached 25% in October, and higher interest rates have put the cost of borrowing well beyond the reach of the average consumer,” the shipping consultancy explained. “It is likely then that Turkish imports will not show any gains until after the first half of next year and, having now ceded the second largest import country ranking in the Mediterranean to Spain; Turkey is unlikely to challenge that placing in the immediate future.” Due to the expected absence of demand growth in the Turkish inbound market in the first half of 2019 and only weak expansion in the West Mediterranean sector, Drewry believes headhaul volumes may struggle to match this year’s growth rate. What is more, should cascading of ships from the North Europe trade into the Mediterranean continue, freight rates could well come under pressure in 2019. Source : Portnews

The DUTCH PEARL inbound for Rotterdam Photo : Willem Holtkamp - http://fotomaker.jalbum.net/FOTOMAKER/ © New offshore platform commissioned in Caspian Sea By Narmina Mammadova A new offshore platform No. 12 was commissioned at the Bulla-Deniz field in the Azerbaijani sector of the Caspian Sea on December 24, Azerbaijani state-owned company SOCAR reported. Construction of the platform began in 2017 with the trust “Neftqaztikinti”. As noted, one prospecting and four production wells with an average depth of 6,300 meters will be drilled from the platform. A new offshore platform No. 12 was commissioned at the Bulla-Deniz field in the Azerbaijani sector of the Caspian Sea on December 24, Azerbaijani state- owned company SOCAR reported. It is planned to produce 2.5 million cubic meters of gas and 500 tons of condensate from these wells every day. SOCAR President Rovnag Abdullayev noted that within 11 months SOCAR managed to increase production levels. “New platforms, like the “Bulla Deniz-12”, built on the basis of modern technologies, will ensure the sustainability of our success. We are proud that we can build and install platforms that meet the highest engineering and technological requirements on our own. This suggests that SOCAR was formed as a modern global company in all areas,” said Abdullayev. Bulla Deniz field is located 10 kilometers south-east of the Sangachal-Duvanny-Khara-Zira field. The operator of the development is SOCAR. Bulla 5Distribution : daily to 40.800+ active addresses 28-12-2018 Page 12 DAILY COLLECTION OF MARITIME PRESS CLIPPINGS 2018 – 362

Deniz is estimated to contain 17 billion cubic meters of natural gas, and SOCAR has been developing the field since 1975. The structure was discovered in 1957 as a result of seismic exploration, and deep exploratory drilling began here in 1965. However, the first 17 wells were not fully drilled due to difficult geological conditions. The oil and gas potential of the field was discovered as a result of drilling well No.18 in 1973.Azerbaijan has a large number of oil fields and promising structures in the Caspian Sea. The overwhelming part of oil produced in Azerbaijan falls on Azeri-Chirag-Gunashli (ACG) block, which covers an area of more than 432 square kilometers. Source : Azernews

The ONE COLUMBA made her maiden call to Rotterdam Maasvlakte Photo : Jan Oosterboer ©

The CRUISE SMERALDA enroute from Marseille to Malaga Photo : Ko Rusman © MMHE enters long-term offshore agreement with Saudi Aramco Malaysia Marine and Heavy Engineering Holdings Bhd 's (MHB) subsidiary and consortium partner have signed a long- term offshore agreement with Saudi Arabia's national oil company, Saudi Aramco In a statement, MHB said Malaysia Marine and Heavy Engineering Sdn Bhd (MMHE) and TechnipFMC entered the agreement, which is valid for six years with

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an option to extend for another six years. It covers the engineering, procurement, fabrication, transportation, and installation of offshore facilities in support of Saudi Aramco’s Offshore Maintain Potential Program, and other works within Saudi Arabia's waters. "We are excited to start our partnership with Saudi Aramco and to support their offshore development programmes. Our entry into Kingdom of Saudi Arabia marks a significant milestone for the Group’s Heavy Engineering segment as we pursue growth in line with our strategy to expand our portfolio in the international market. "Fully leveraging on the core strengths of MMHE and TechnipFMC, we believe that the collaboration is another solid step in our constant drive to deliver the best to our customers," said MMHE managing director and CEO Wan Mashitah Wan Abdullah Sani. Meanwhile, the statement added that MHB has been awarded a contract for fabrication of the Pluto Water Handling Module from TechnipFMC. The module, which is targeted for completed in the fourth quarter of 2020, will be installed on Woodside Energy Ltd’s existing Pluto Alpha Gas Production Platform, located offshore Western Australia. Source : The Star

General Cargo Vessel DEO VOLENTE, sailing under Dutch flag, inbound for Rotterdam seen passing Rozenburg through river Het Scheur loaded with several new yachts coming from Oneglia in Italy. Photo : Arie van Oudheusden © ONE and PSA in joint venture for 4m TEU box terminal in Singapore SINGAPORE-HEADQUARTERD and Japanese-owned Ocean Network Express (ONE) has formed a joint venture with PSA in Singapore for a four million TEU capacity container terminal to be based at Pasir Panjang Terminal in the Lion City. Photo : Jan Oosterboer (c) The four mega-container ship berth terminal at Pasir Panjang Terminal is scheduled to begin operations in the first half of next year subject to regulatory approvals. The terminal will have an annual capacity of 4 million TEU, the two companies said in a statement. Jeremy Nixon CEO of ONE said: "Through this joint venture in Singapore, ONE will be enabled to further enhance its terminal and vessel planning operations in an even closer co-operation with PSA. This will improve our service reliability and benefit our customers through better service levels." Regional CEO Southeast Asia for PSA International, Ong Kim Pong, said: "Recently, PSA has developed many enhanced products including data analytics tools to boost port efficiency and initiatives for cargo solutions to address market needs. We look forward to working alongside with ONE to grow its value, strengthen its position as a major global player, and at the same time, enhance the status of the Port of Singapore as a premier global container and cargo orchestration hub."ONE is the latest major line to form a joint venture terminal company with PSA in Singapore. Last month Cosco Shipping Ports and PSA joint venture Cosco-PSA Terminal announced it would be increasing annual capacity from 3 million to 5 million TEU.

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The MSC SPLENDIDA moored in Muscat (Oman) Photo : Anko Staas ©

The MARIN moored in Point a Pitre (Guadalupe) Photo : Ko Rusman © Queen Elizabeth to Sail Cunard’s First Full Alaska Season in 2020 Cunard announced it will double its Alaska programming following the high demand for its return to Alaska this upcoming May. From June through September 2020, the QUEEN ELIZABETH will sail Cunard’s first full Alaska season, which will include ten roundtrip voyages out of Vancouver. Generally traveling along the coasts of British Columbia and Alaska, Cunard’s summer 2020 voyages will last between nine and 12 nights,. When it’s not tracing the coast, the QUEEN ELIZABETH will sail the narrow waterways of the Inside Passage, the Hubbard Glacier and Sawyer’s Glacier’s twin fjords

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Tracy Arm and Endicott Arm. Cunard’s Alaska cruises will include longer time in certain ports, including Skagway, Juneau, Ketchikan, Sitka and more.

The QUEEN ELIZABETH Photo : Francis Ferro © Cunard’s summer 2020 season will also offer a few other itineraries. For the Fourth of July, the QUEEN ELIZABETH will offer a three-night cruise to San Francisco. Returning to Vancouver, the ship will sail a 16-night cruise from July 5-21. Bookending the season, the QUEEN ELIZABETH will offer north Pacific crossings from Yokohama and to Tokyo. This final trip will leave Vancouver on August 29, last 29 nights and arrive in Tokyo on September 28. Passengers can choose to combine any of these or the Alaska voyages however they want. This exclusive, invite-only event focused on the luxury travel market brings together world-class travel agency owners and managers with the most opulent, luxury suppliers to cultivate collaboration, share insights, and help carve a path into the future of luxury travel.The QUEEN ELIZABETH just wrapped up a refit this past November. The renovations included the launch of a the new Mareel Wellness & Beauty spa, as well as updated public spaces, bars, lounges and rooms. Source: luxurytraveladvisor

The RSM WANHEIM moored in Rotterdam-Waalhaven.Photo : Jeroen Dijksman © Senior Cosco executive leaps to his death in Taipei A SENIOR executive from Cosco, 39-year-old managing director of China Shipping Development (Hong Kong) Marine, a subsidiary of Cosco Shipping Energy Transportation, Jia Libin, leapt to his death from a high-rise hotel in Taipei last Friday. According to Taipei's Taiwan News Mr Jia jumped from a window of the 15th floor of the Sunworld Dynasty Hotel in the Taiwanese capital, in an apparent suicide. Police found a nine-page, hand-written suicide note in the room, which was in simplified Chinese, according to local media reports. In the note, Mr Jia mentioned that he had visited the US in 2011 to seek treatment for depression, and said that he had felt he had reached a bottleneck in his life. Mr Jia was rushed to hospital where he was later declared dead. When Mr Jia arrived in Taiwan on December 18, he listed "enterprise exchange" as the purpose of his visit and was originally slated to leave Taiwan on December 28, according to media reports. COSCO Shipping Lines Co, Ltd is headquartered in Shanghai and is listed on the Hong Kong Stock Exchange. The Chinese state-owned enterprise mainly transports oil and coal along China's coastal areas, and a report surfaced in September that the company had taken over ownership of the Port of Kaohsiung. Source : Schednet

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MS NIEUW STATENDAM at Amber cove Christmas Day Photo : Cor Bregman ©

The ICARO departing Willemstad, assisted by tugs MANTA, KTK TRIBON and KTK BARAKUDA Photo : Capt Shaun Beal o/b Wave Sentinel © DP World's Fairview Terminal in Canada hits landmark 1m TEU throughput

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CANADA's port of Prince Rupert has celebrated a new milestone, the Fairview container terminal handling its one millionth container (TEU) for the first time in a calendar year. The one millionth market was reached when a 40-foot TEU was loaded with dimensional lumber in Prince George before being shipped to Prince Rupert by train and loaded onto the Cosco Africa containership to be sent to market. "Reaching one million TEU in a calendar year is a significant milestone for the port of Prince Rupert, which demonstrates the success we and our partners have had in building a strategic gateway for transpacific trade, making Prince Rupert one of the fastest growing gateways in North America," said port of Prince Rupert CEO Shaun Stevenson. Fairview Terminal has come a long way since its first full year of operation in 2008 when it moved just 182,523 TEU. Since then the terminal's Phase 2 North expansion has raised its handling capacity from 500,000 TEU to 1.35 million TEU annually, reported The Northern View, Prince Rupert, Canada. The next expansion, Phase 2B, will increase the terminal's capacity to 1.8 million TEU by 2022. The port's continued expansion has been an economic boon for residents of Prince Rupert and the surrounding region. The International Longshore and Warehouse Union Local 505 (ILWU Local 505) has expanded its workforce 425 per cent since the terminal opened in 2007. DP World general manager Maksim Mihic said: "This accomplishment is also a testament to the strong collaboration and support amongst the supply chain and community partners." Canadian National Railway president JJ Ruest added: "CN is proud to celebrate such a historic milestone at the port of Prince Rupert with our partners. At CN we are committed to ensuring the gateway continues to operate with fluidity as it continues to grow. As all of our supply chain partners continue to invest in this important gateway." Source : Schednet

The SOUTHERN DRAGON moored in Rio Tuba port south of Palawan discharging Sulfuric acid Photo: Digs Rey Mollenido © Making it possible 2018 marked international maritime charity, Sailors’ Society, 200th birthday. Founded in London in 1818 to minister to the needs of destitute seafarers who had returned home from the Napoleonic Wars. It is due to the generosity of organisations like the Baltic Exchange that the Sailors’ Society has reached its bicentenary writes CEO, Stuart Rivers for Baltic Briefing. The relationship between Baltic Exchange and Sailors’ Society goes back many years. Since 2006, Baltic Exchange and its staff have given more than £140,000 to the charity. In November 2013, Typhoon Haiyan devastated vast areas of the Philippines, killing more than 6,000 people. In response to the tragedy, Baltic Exchange donated an incredibly generous £10,000 to our emergency appeal, which contributed to the disaster relief of stricken seafaring communities in the country. This generosity allowed Sailors’ Society to rebuild homes, livelihoods and communities and five years down the line, we are still helping those affected by Typhoon Haiyan. Baltic Exchange has also shown its support of our work by funding a minibus for one of our chaplains, enabling our ship visitors to provide vital transport to

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seafarers, giving them vital time away from the port environment. The organisation has supported an array of Sailors’ Society’s events – taking part in and sponsoring Three Peaks Challenges since 2006. Baltic Exchange staff have regularly shown they’re an active bunch, with teams competing in everything from dragon boat races to golf days – as well as attending the ING wine tasting and London shipping ball and dinners. Staff have even run events such as cricket days and Baltic RFC matches to raise funds for our cause. The company currently funds the work of David See, our port chaplain in Singapore, which enables him to undertake his crucial work with seafarers visiting the port. Between July 2017 and September of this year, David made 1,071 ship visits. Whether that’s transporting seafarers to the local amenities or providing them with SIM cards so that they can communicate with loved ones back home – David’s practical and emotional support is vital to seafarers visiting Singapore and is made possible by Baltic Exchange’s kindness. So far, in 2018, the Baltic Exchange has supported the Society with a team in Ride London and guests attending our 200th anniversary dinner at the Lloyds’ Register Committee Room in November. Although Sailors’ Society is more than 200 years old, many of the issues faced by the seafarers we supported in our fledgling years are the same faced by seafarers today, and our chaplains are still there for those facing isolation, dangerous conditions and separation from loved ones. Problems like piracy still affect the world’s 1.6m seafarers, which is why the charity has created a Crisis Response Network to support those traumatised by incidents such as natural disasters, kidnapping and piracy. Sailors’ Society has moved with the times, creating apps to improve on-board well-being and more connected welfare provision for seafarers. Since 2013, we’ve doubled the number of our chaplains. Our chaplains and ship visitors now have a presence in 91 global ports, with wider projects and services covering 30 countries. As we go into our 201st year, there are many ways you can support our global work. For the intrepid, we’ve a variety of exciting events lined up for 2019, including spaces on Ride London and the London Marathon. For fans of maritime stories and to celebrate our 200th anniversary, we have produced a fascinating commemorative book – 200 Stories from the Sea. It is a collection of stories from the Society’s archives and takes readers on a journey from the desperate times in London’s docks through two World Wars, generations of Royal support and even an appearance from The Beatles.Finally, if you’re doing secret Santa this year, why not visit our new Gifts Ahoy! virtual gifts platform, which features a range of gifts, all of which support seafarers and their families – it certainly beats buying your colleague a pair of socks! As 2018 draws to a close, everyone at Sailors’ Society would like to wish you a happy Christmas and new year and thank you for your ongoing support of our work. Source: The Baltic Briefing

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offshore supply vessel NORMAND PACIFIC navigating the River Tees stern first to its mooring at A V Dawson's wharf for loading. Photo : Alastair Smith © Vessel Performance Key to Secondhand Ship Market for Carnival Carnival Corporation has sold 28 ships since 2006, averaging around two ships per year based on demand in the market. That number was up in 2018, with the company announcing the exit of four ships overall. The Pacific Eden was sold to Cruise & Maritime Voyages while the Pacific Jewel will head to Indian start-up Jalesh Cruises. Holland America Line sold the Prinsendam, which will become the Amera next summer for Phoenix Reisen.

P&O's ORIANA in Funchal Madeira. Photo : Ted Toop © P&O Cruises UK also announced the Oriana will leave the fleet in 2019. “The practical reality for us is, if ship is relevant to our guests and is delivering double-digit return on invested capital ... we have to invest more in that ship over time. We'll continue with the ship in the fleet if it's relevant to the guests and his earning is key, if it's not then the ship will be gone,” said Arnold Donald, president and CEO, on the company’s year-end and fourth quarter earnings call. The secondhand cruise ship market has historically been highlighted by two to three nine- to eight-figure transactions on an annual basis, according to the Secondhand Market Report by Cruise Industry News. “And so in terms of there being a robust secondary market, there's no question, the secondary market has opportunity not only because the IMO regulations but simply because the aging of ships that are in the secondary market," Donald added Donald said many operators in the secondhand market were sailing ships that are 40 to 45 years old, and those vessels will need to be replaced. “So there should be a market for a number of the ships. But at the same time, to drive earnings and return on invested capital, if we had a need to scrap for ships in nutshell we would do that. We don't see that at this point in time. But if it came to that, we have no problems doing that,” Donald continued. “But we're not going to hold onto an underperforming asset, because we're not able to sell it. I mean, if – we would scrap it if we had to. I don't anticipate that, but if we had to do it, we would do it.” Source: cruiseindustrynews Concerns aired over West Coast container dwell time Agricultural exporters concerned about shift to U.S. East and Gulf Coast ports.

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The Pacific Merchant Shipping Association (PMSA) is expressing concern about how long containers are spending at container terminals at the ports of Los Angeles and Long Beach before they are picked up for delivery as well as eroding share of the container shipping business at West Coast ports. PMSA, which represents the interests of owners and operators of marine terminals and vessels, says average “dwell time” for containers at the two southern California ports rose to 3.51 days in November from 3.26 days in October and 2.89 days in September, “the highest it has been in the last two years. Additionally, it says 13 percent of all containers were sitting at terminals for more than five days before getting picked up for delivery as compared to 11 percent of containers exceeding a five-day dwell time in October and only 5 percent in September. “The increase in dwell time greater than five days is of concern,” stated Jessica Alvarenga, manager of government affairs at the Pacific Merchant Shipping Association. “Terminals rely on containers getting picked up in a timely manner in order to handle more containers efficiently.” PMSA said, “It is absolutely critical that containers continue flowing out of terminals in less than three days.” PMSA said San Pedro Bay ports saw 1,454,166 TEUs come through their ports in the month of November. “There’s no doubt we’ve seen a surge in cargo because of the concern over rising tariffs,” Gene Seroka, executive director of the Port of Los Angeles, told American Shipper this week. Fewer longshoremen are working, including some of the most experienced and productive during the holidays, and the ports also will be closed on Christmas and New Year’s Day and have shortened hours on Christmas Eve and New Year’s Eve. Erhan Ergin, regional vice president for DHL Global Forwarding’s U.S. West region, also said his company “has observed West Coast port congestion due to the combination of the holidays and increased volume. Season’s greeting from the crew onboard the TSHD Shoreway We saw this same congestion around the Thanksgiving holidays, and similar congestion is expected around the Christmas holidays.Peter Friedmann, executive director of the Agricultural Transportation Coalition, said that in a meeting he attended Wednesday, congestion at terminals, lack of free time and detention and demurrage charges were identified as the top issues facing agriculture shippers today.The Ports of Los Angeles and Long Beach are, by far, the nation’s two largest container ports. The Northwest Seaport Alliance (the jointly marketed and administered ports Seattle and Tacoma) and Oakland are numbers five and eight, respectively. But PMSA also is highlighting the eroding market share of West Coast ports as a major concernWriting in the December issue of its newsletter, PMSA Vice President Mike Jacob said the good news was “2017 and 2018 saw West Coast container volumes finally grow past their prerecession peaks of 2006 in California and 2005 in the Puget Sound. After a decade of an effective rate of growth of a cumulative zero percent, we finally turned a corner these past two years.”However, he said, “While our volumes were down to flat, our market share erosion has been palpable. At just over 30 percent of total North American containers, California’s seaports in 2015-2017 had a lower market share than every year going back to 1997.”He cited data from the American Association of Port Authorities that shows the California ports saw their market share of North American container traffic as measured in TEUs dropping from 35.5 percent in 2006 to 30.21 percent in 2017. If only U.S. ports are

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considered, California ports have seen their share drop from 41.1 percent to 37.6 percent. “The Puget Sound numbers are just as discouraging,” said Jacob.Calling the extended dwell time in the ports of Los Angeles and Long Beach “absolutely catastrophic,” Friedmann said, “It is, in my view, unsustainable and a reason why the market share of import containers continues to move from West Coast to East Coast,” he said. “It is exasperating.” He said a long-term shift in market share is a particular concern to shippers of agricultural products and explained that if fewer empty containers or direct routes to Asian countries such as China, Korea and Japan are available, that could drive up costs.“If the empty import containers are in the East and Gulf Coast, we are not going to be able to dray our largest agricultural exports such as hay all the way from West Coast origins all the way across to Savannah, Charleston, New York and Norfolk. The same thing for lumber.” Source : American Shipper

Independent Consultants and Brokers in the International Tug and Supply Vessel market (offices in London and Singapore)

Telephone : +44 (0) 20 8398 9833 Facsimile : + 44 (0) 20 8398 1618 Singapore : +65 62263084 [email protected] E-mail : [email protected] Internet : www.marint.co.uk

OOCL ROTTERDAM swinging in Webb Dock Melbourne just on sunrise with Svitzer,s DAINTREE ,OTWAY and EUREKA assisting. Photo : Paul Finnigan ©

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EMAR Offshore Services places order for Damen Tug ASD 2811 EMAR Offshore Services, a Netherlands-based dedicated maritime service company, has placed an order for a Damen ASD Tug 2811. This stock vessel will be named E-TWO and delivered to the client in the first quarter of 2019 . An additional FiFi1 system and aft winch will be installed. The ASD Tug 2811 is one of Damen’s ‘next-generation’ harbour tugs, announced in 2018. An upgraded version of the best-selling ASD Tug 2810, it has been further optimised for the decade ahead with features that include full compliance with the new stability regulations, a modular marine NOx reduction system and the Damen Digital Platform to maximise performance and reliability. These plus 60-tonnes of bollard pull and superb manoeuvrability mean that it is capable of taking on almost any ship-handling operation in even restricted waterways. E-TWO will be the second ASD Tug 2811 to be delivered so far EMAR Offshore Services is established in 2010 only but today it operates all over the world, with a current focus on the regions Caribbean, South America, West Africa, Middle East and Russia EMAR supports the oil&gas, construction and mining companies with their need for knowledge and equipment. Its own fleet consists of six tugs, of which five have been built by Damen. Uhuru takes train ride to Coast as cruise ship docks By : Philip Mwakio Mombasa got into the Christmas spirit earlier this week with the arrival of a cruise liner with close to 1,000 foreign tourists. Ms NAUTICA, a Norwegian- owned cruise ship, is a regular caller at the Port of Mombasa. Left : The NAUTICA in Haifa last month Photo : Peter Szamosi © It arrived from Port Victoria in Seychelles on its Indian Ocean cruise voyage. And President Uhuru Kenyatta arrived in Mombasa for Christmas celebrations. The President rode on the SGR train from Nairobi. Mombasa, Diani and other coastal towns like Malindi and Watamu have registered a boom, with hotels recording almost 100 per cent bed occupancy since the beginning of this month. “We are glad that President Uhuru Kenyatta, out of his busy schedule, can find time to come and relax in our midst. It is an acknowledgment that Mombasa is the most popular Kenyan holiday destination,” said Deniss Gwaro, general manager of three-star Plaza Beach Hotel, Bamburi, in north Coast. A multi-agency team was been set up in Kwale County to beef up security this festive season. The team comprising Anti-Terrorism Police, Tourist Police Unit, regular police, Administration Police and National Intelligence Service officers was on high alert. Kwale County AP Commander David Kosgei told The Standard on phone that the joint team would tackle insecurity in the region. The AP boss also noted that all the hotels, business premises and other social joints were under tight surveillance. Police in Likoni, Mombasa County, had mapped out 11 areas of insecurity. Each zone was under a chief inspector of police with at least 15 special team of officers for patrol. “We have mapped out all the areas we suspect there are criminal gangs hiding,” said Likoni police chief Benjamin Rotich. His Kisauni counterpart Sangura Msee said patrols have been intensified

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in areas prone to insecurity. The police boss noted enough officers had been deployed to offer security in the area. “It is now the third week and we haven’t received reports on any major incidents. This is because of new ways we have devised to deal with those destabilising security,” said Msee. Merry Christmas and a Happy New Year from the crew of the Seven Pelican. Artist drawing of crew members by Bernard Molloy Kenya Ports Authority Principal Corporate Communication Officer Haji Masemo, who represented Managing Director Arch Daniel Manduku, said they were excited at the early prospects of a good tourism season with the arrival of Ms NAUTICA. “This visit signifies increased interest in the Port of Mombasa and what we have to offer as a world class tourism destination,” he said. Speaking separately, Mombasa County Chief Officer for Tourism Innocent Mugabe said cruise tourism plays a significant role in Mombasa. Ms NAUTICA is expected to make a return trip to the Port of Mombasa later in February next year. Other cruise ships expected next year are Seaborne Cruise in February, while SILVER WISPER is expected in April. Source : Standard Media

Kishorn to prepare world’s largest semi- submersible rig for new gig Scotland’s Kishorn Port has landed a contract under which it will host a visit by world’s largest semi-submersible offshore drilling rig, the OCEAN GREATWHITE. Owned by Diamond Offshore, the OCEAN GREATWHITE.weighs in at 60,800 tonnes and is a 6th generation harsh environment drilling rig capable of drilling down to 10,000m in 3,000m of water. With a draft of over 23 meters, the rig needs deep water for anchoring. The OCEAN GREATWHITE.has made its way from Singapore, via Las Palmas in the Canaries over the last five months assisted by the ALP DEFENDER a large ocean-going offshore supply vessel weighing in at 5600t. The rig is destined to start a drilling contract in the North Sea early in 2019. Namely, as previously reported, the OCEAN GREATWHITE.was awarded a contract by Siccar Point.

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The contract, for three firm wells plus three option wells, is scheduled to start in early March and end in mid-July 2019. According to information from VesselsValue, the rig is currently located in the North Atlantic, west of Ireland and it is scheduled to arrive at Loch Kishorn on December 29, 2018. During its station at Kishorn, the rig will be made ready for its drilling program, with Ferguson Transport and Shipping providing marine agency and stevedoring support, KPL said. Alasdair Ferguson, a Director of KPL, recently visited the rig in Las Palmas and commented: “I couldn’t fail to be impressed by the sheer scale of the Ocean GreatWhite. We hope that the berthing and support to the rig at Kishorn will herald a new era of engagement in the oil and gas industry at Kishorn.” Kishorn Port Ltd (KPL), a joint venture between Leiths (Scotland) Ltd and Ferguson Transport and Shipping, was created in 2008 to promote the regeneration of the Kishorn Yard and dry dock as a major facility for the manufacturing of renewable energy components, decommissioning and support to the North Sea oil and gas sector. The Yard and the dry dock were very busy in the early years of the North Sea oil and gas boom, employing over 3,000 people and generating a huge contribution to the local Highlands economy. In the 1970s, the yard was used for the construction of the Ninian Central oil production platform. The platform was towed out of Loch Kishorn in May 1978. Howard Doris, the yard operators finally succumbed to insolvency in 1988 and the yard lay largely dormant until 1992, when the dry dock was resurrected to enable the casting of the two 2,500 tonne concrete caissons that support the Skye Bridge. KPL secured a comprehensive Masterplan permission in 2013 and has been promoting the yard and its dry dock for use by the renewables and oil and gas sectors for the last five years following significant investments in site infrastructure. Simon Russell, Director, added: “After many years of working on the Kishorn project, this is a great step towards its future regeneration and the creation of local jobs and opportunities.” Source: offshoreenergytoday NOTE THE NEW ADRESS OF MAASMOND MARITIME Pte Ltd 10 Anson Road # 27-15 International Plaza SINGAPORE 079903 Port automation faces costs, operational challenges: McKinsey A NEW report from research and consulting firm McKinsey & Co says the global port sector has been much slower to automate than other comparable industries, but that may be changing. In its report, McKinsey noted several potential benefits of process automation for container ports, including safer working conditions, fewer human-related disruptions and more predictable performance. The firm cited high up-front costs and "significant" operational challenges such as poor data quality, a lack of communication across silos and difficulties with exception management as the top factors hindering port automation efforts. "On the face of it, container ports seem ideal placed to automate," the report said. "The physical environment is structured and predictable. Many activities are repetitive and straightforward. They generate vast amounts of readily collected and processed data. Better still, the value from automation includes not only cost savings but also performance and safety gains for ports and the companies that do business there. "Nonetheless, ports are moving more slowly than sectors with comparable complexities, in part because the economics of automating them haven't lived up to expectations." McKinsey pointed to the mining, warehousing and automotive manufacturing sectors as examples of industries that have reduced costs and improved productivity as a result of automation. The firm estimates early adopters of automation in the mining industry have shaved as much as 20 per cent off their operating expenses and increased their outputs by as much as 40 per cent, while warehouse operators have seen a 10 per cent decline in costs and a 30 per cent rise in productivity. According to the report, there are nearly 40 cargo ports around the world using some form of process automation at a total investment cost of at least $10 billion. McKinsey projects this spending will accelerate in the near term, with ports and terminal operators expected to spend another $10 billion to $15 billion in the next five years. The firm cautioned that it takes careful planning and management but said those ports that are successful in their automation efforts can decrease operating expenses 25 per cent to 55 per cent and increase productivity by 10 to 35 per cent. Port asset management firms and transportation providers expect at least half of all greenfield port projects in the next five years to be semi- or fully automated, while 35 per cent said the number of automated ports will rise to above seven in ten. McKinsey estimates that in order to justify the high cost of an automated greenfield port terminal, expenses would have to be 25 per cent lower than with a conventional facility or productivity would have to increase 30 per cent along with a 10 per cent decline in costs. But according to the report, survey respondents said the reality of terminal automation tends to fall short of expectations, with operating expenses generally falling only 15 per cent to 35 per cent and productivity actually declining 7 per cent to 15 per cent. Given that the survey also indicated personnel

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capabilities, data quality, siloed operations and exception handling were the biggest impediments to realising the promised cost and productivity benefits of automation, McKinsey recommended ports "start with a blank slate" to build automation-ready capabilities, create a collaborative environment by coordinating and communicating automation efforts across various departments and stakeholders, test any new systems extensively before putting them into operation, incorporate external data into automation systems and clearly define implementation, productivity and cost targets ahead of time. Source : Schednet

NAVY NEWS S. Korea completes preliminary design of new submarine

This photo, taken Sept. 14, 2018, shows the 3,000-ton diesel-electric air-independent propulsion submarine, named after a prominent South Korean independence fighter, the Dosan Ahn Chang-ho, sitting at the Okpo Shipyard of Daewoo Shipbuilding and Marine Engineering Co. on the southern island of Geoje. (Yonhap)

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South Korea has completed the preliminary design of a 3,000-ton indigenous submarine that features capabilities for longer-duration and speedier underwater operations, Seoul's arms procurement agency said Wednesday. Since July 2016, Daewoo Shipbuilding and Marine Engineering Co. took the lead in designing the Changbogo III-class Batch-II submarine, whose construction is set to begin in the latter half of next year, the Defense Acquisition Program Administration (DAPA) said. The next generation submarine is to be equipped with a locally developed lithium battery, which will allow longer underwater operations, and advanced sonar and combat tools that will enhance its target detection capabilities and overall survivability. "It is expected that by possessing the strategic weapons system designed based on local cutting-edge technologies, the country will be able to further strengthen the Navy's independent defense capabilities," the DAPA said in a press release. The DAPA said that 80 percent of its component parts were made by Korean businesses. In September, Korean launched the Changbogo III-class Batch-I submarine, named after a prominent South Korean independence fighter, Dosan Ahn Chang-ho, with its operational deployment slated for January 2022. Seventy-six percent of the Batch-I submarine's components were produced by local firms. Entire Russian naval frigate leaves Syrian waters for Black Sea

The ADMIRAL ESSEN Photo : Yörük Işık The Black Sea Fleet’s frigate ADMIRAL ESSEN has accomplished missions as part of Russia’s permanent Mediterranean taskforce and has set off for its home base in Sevastopol, the Fleet’s press office reported on Tuesday. “The warship has started to pass through the Black Sea’s Dardanelles and Bosporus straits, heading for the Black Sea Fleet’s permanent naval base – the city of Sevastopol,” the press office said. The frigate ADMIRAL ESSEN performed missions as part of Russia’s permanent Mediterranean taskforce from August 2018. In 2018, the frigate spent about 300 days at sea. During its stay as part of Russia’s Mediterranean Squadron, the ADMIRAL ESSEN took part in the inter-fleet drills in the Mediterranean Sea under the direction of the Russian Navy commander-in-chief. During the drills, the warship’s crew practiced conducting a battle by a sole ship and as part of a naval group. The frigate also held artillery fire against naval and air targets and practiced anti-submarine warfare. The ADMIRAL ESSEN represents a new series of Project 11356R/M frigates (the Project 11357 designation is also used). These frigates are designed to destroy enemy surface ships and vessels, submarines and ground installations, carry out patrols and defend sea lanes. The frigates of this Project are armed with eight launchers of Kalibr-NK cruise missiles that are capable of striking surface, coastal and underwater targets at a distance of up to 2,600 km. The warships of this Project are also armed with Shtil-1, Palash and AK-630M air defense missile and artillery systems, A-190 100mm universal artillery guns, torpedo tubes and RBU-6000 rocket launchers. The frigates also have a take-off and landing strip and a hangar for an anti-submarine warfare helicopter (Ka- 27 or Ka-31). Source: AMN Japan mulls sending navy vessels to Chinese fleet review next year as tensions thaw Proposed visit in April would be the first to China by Maritime Self-Defence Force ships since December 2011 The fleet review will be held on April 23 off the city of Qingdao, eastern China, to mark the 70th anniversary of the foundation of the country’s navy. Japanese Prime Minister Shinzo Abe agreed with President Xi Jinping and Premier Li

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Keqiang in Beijing in October on the resumption of mutual naval visits. Japan may invite a Chinese warship to the MSDF’s naval review to be held in the autumn next year, a Japanese government source said. MSDF destroyers and Chinese warships made mutual visits from 2007 to 2011, but the exchanges came to a halt when the Japanese government put the Diaoyu Islands in the East China Sea, which are called Senkaku by Japan, under state control in 2012, straining bilateral ties. The two countries have seen a thawing of relations recently amid China’s trade dispute with the United States. Abe visited Beijing in October in the first official visit to China by a Japanese political leader in nearly seven years. During the visit, Xi told the Japanese premier he would “seriously” consider making a trip to Japan next year, in what would be the first visit by a Chinese leader in 11 years With tension remaining over the territorial dispute, Japan and China are aiming to prevent accidental military clashes through closer communications. The defence authorities of the two countries also started discussions on mutual visits of their defence ministers and other high officials. The two countries will also hold their first annual talks on Wednesday and Thursday in Beijing based on the Maritime and Aerial Communication Mechanism set up in June. The Chinese navy’s first international fleet review was held in 2009 to mark its 60th anniversary, in which the Japanese delegation took part without MSDF warships. Source: South China Morning Post SHIPYARD NEWS Keppel clinches new batch of contracts worth $219 million Singapore’s Keppel Offshore & Marine has clinched contracts worth a combined value of about S$300 million ($219M). The contracts are for the design and construction of an ice-class LNG bunker vessel, refurbishment of an FPSO vessel, and 65 scrubber retrofit projects. They were won through Keppel’s wholly-owned subsidiaries, Keppel Singmarine and Keppel Shipyard, the company said on Wednesday. Chris Ong, CEO, Keppel O&M, said, “These new contracts are a testament to Keppel O&M’s expertise in the building, upgrading and conversion of a wide range of vessels. They also extend our track record in refurbishment and modification projects, which are a core part of our business.” The first contract is by Keppel Singmarine with Shturman Koshelev for the design and construction of an ice-class LNG bunker vessel. When completed in 4Q 2020, the vessel will be chartered to Gazpromneft Marine Bunker for operations in the Baltic Sea. The contract complies with applicable sanctions. The vessel will be built to the MTD 5800V LNG design, a proprietary design of Keppel O&M’s ship design and development arm, Marine Technology Development (MTD), and it will have an Ice Class Arc 4 notation and a cargo capacity of 5800 m3. Keppel O&M has delivered 11 ice-class vessels to-date and is currently building LNG-fueled vessels including South East Asia’s first LNG bunkering vessel. The second contract is by Keppel Shipyard with a global operator of floating production vessels for the fabrication of a new aft hull for an FPSO. Keppel Shipyard will be responsible for the design of the aft hull, procurement of equipment, as well as fabrication, outfitting, integration and commissioning work on board the existing FPSO. The installation will also include a new accommodation block which can accommodate up to 140 personnel. Work on the FPSO, which has already arrived in the shipyard in preparation for the upgrade, is scheduled to start in 1Q 2019. Delivery of the FPSO is expected by the end of 2020. Separately, Keppel Shipyard has recently secured a total of 65 contracts from a variety of customers for exhaust gas scrubber retrofit projects involving project management, integration design engineering, installation and retrofitting, as well as testing and commissioning works. Source : offshoreenergytoday Ottawa, Irving Shipbuilding ask trade tribunal to toss challenge to warship contract By LEE BERTHIAUMET he Canadian Press The federal government and Halifax-based Irving Shipbuilding are asking a trade tribunal to throw out a challenge to their handling of a high-stakes competition to design the navy’s new $60-billion fleet of warships. In separate submissions to the Canadian International Trade Tribunal, the federal procurement department and Irving say the challenge by Alion Science and Technology, of Virginia, doesn’t meet the requirements for a tribunal hearing. Halifax-based Irving Shipbuilding will build the new $60-billion warships for Canada’s navy, but what firm will get the contract to design the fleet has been a point of contention. Alion was one of three companies, along with U.S. defence giant Lockheed Martin and Spanish firm Navantia, vying to design the new warships, which are to be built by Irving and serve as the navy’s backbone for most of this century. While Lockheed was selected as the preferred bidder and is negotiating a final design contract with the government and Irving, Alion alleges the company’s design did not meet the navy’s requirements and should have been disqualified. Two of those requirements related to the ship’s speed, Alion alleged, while the third related

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to the number of crew berths. Alion has asked both the trade tribunal and the Federal Court to stop any deal with Lockheed But the government and Irving say the contract is exempt from normal trade laws, which the tribunal is charged with enforcing, because of a special “national security exception,” meaning there is “no jurisdiction for the tribunal to conduct an inquiry.” Another reason the challenge should be quashed, they argue, is that Alion is not a Canadian company, which is a requirement for being able to ask the tribunal to consider a complaint. Alion’s challenge has been formally filed by its Canadian subsidiary, but the government and Irving say that subsidiary was never qualified to be a bidder in the competition — only its American parent. The responses from the government and Irving are the latest twist in the largest military purchase in Canadian history, which will see 15 new warships built to replace the navy’s 12 aging Halifax-class frigates and three already-retired Iroquois-class destroyers. The trade tribunal ordered the government last month not to award a final contract to Lockheed until it had investigated Alion’s complaint, but rescinded the order after a senior procurement official warned that the deal was “urgent.” Lockheed’s bid was contentious from the moment the design competition was launched in October 2016. The federal government had originally said it wanted a “mature design” for its new warship fleet, which was widely interpreted as meaning a vessel that has already been built and used by another navy But the first Type 26 frigates, upon which Lockheed’s proposal was based, are only now being built by the British government and the design has not yet been tested in full operation. There were also complaints from industry that the deck was stacked in the Type 26’s favour because of Irving’s connections with British shipbuilder BAE, which originally designed the Type 26 and partnered with Lockheed to offer the ship to Canada. Irving, which worked with the federal government to pick the top design, also partnered with BAE in 2016 on an ultimately unsuccessful bid to maintain the navy’s new Arctic patrol vessels and supply ships. That 35-year contract ended up going to another company. Irving and the federal government have repeatedly rejected such complaints, saying they conducted numerous consultations with industry and used a variety of firewalls and safeguards to ensure the choice was completely fair. But industry insiders had long warned that Lockheed’s selection as the top bidder, combined with numerous changes to the requirements and competition terms after it was launched — including a number of deadline extensions — would spark lawsuits. Government officials acknowledged last month the threat of legal action, which has become a favourite tactic for companies that lose defence contracts, but expressed confidence that they would be able to defend against such an attack. Source : The Star ROUTE, PORTS & SERVICES

Mombasa port workers oppose transfer of second container terminal to KNSL Mombasa port workers have opposed plans to hand over the running of second container terminal to the Kenya National Shipping Line. Dock Workers Union general secretary Simon Sang on Sunday told the Star the move is ill-advised and should be reconsidered. “The KNSL has no capacity to run such a facility. As far as we are concerned, a shipping line cannot run a terminal effectively,” Sang said He spoke during an interview at the Star offices in Mombasa. High-level discussions to hand over the running of the second container terminal at the Mombasa port to KNSL are being made between the Office of the President and the Transport ministry, the Star has learned. Sang said the discussions are yet to be cascaded downwards to other stakeholders. “We think it is important that a discussion is opened and we, as stakeholders, are called to a roundtable,” said Sang. The union has already written to KPA MD Daniel Manduku asking him to ensure it is involved in any talks that will affect the port. Manduku has turned the port around, improving efficiency and

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breaking several performance records in the process. The dock workers, who are over 7,000 in number, fear that the inability to run a container terminal will force the KNSL to outsource capacity. “This means they will likely hire a private company to run the container terminal,” Sang explained. Hiring a private firm to run the second container terminal is tantamount to privatising it and it will mean significantly downsizing the workforce, according to Sang. “That is why we are not in support of any such move until we sit down and know exactly what they want to do,” the general secretary said. Since Manduku took over the running of the port over six months ago, there have been no disruptions as he has been very close to workers and listens to their concerns. “Workers are very worried about the same and when they saw that, they quickly started inundating my phone with calls and messages,” said Sang This is not the first time the government is thinking about giving out the running the container terminal to a different entity apart from KPA. In 2015, similar concerns were raised leading to a strike at the port facility resulting in hundreds of millions of shillings in losses in terms of revenue. “Legally, Section 16 of the Merchant Shipping Act disallows shipping companies to operate port terminals. The functions of KNSL does not include running a terminal,” Sang said. Source: The Star Kenya CORRECTION ON YESTERDAYS NEWSLETTER

The QAJAQ W is not a newbuilding ferry but the former GRETE which ran between Cuxhaven and Brunsbüttel and before in the Baltic. She was rebuilt in Norway for her new Canadian owners. Photo : Marcel Coster © Collision liability and autonomous ships – Seeking fault in the distance In anticipation of the advent of autonomous shipping, it is contended that the present fault-based collision liability regimes of most jurisdictions do not sufficiently cater for the situations that may arise. The wording of the 1910 Collison Convention and the national collision regimes based on it (often applicable also outside the rather narrow scope of application of the convention itself) assume that fault can either be found among the vessels (read: the shipowners or their servants) themselves or not at all. The latter cases have traditionally been referred to as events outside of the ship. The wording of the convention does not cater for the situation that the collision was caused by the fault of a third-party contractor in relation to work undertaken to one of the ships, despite the fact that in such a situation, the cause must be said to rather lie “within” that ship than outside of it. At the same time, in relation to autonomous shipping, third party contractors, such as software or internet providers, are expected to play an increasingly important role for the safety and security of the ship. It is unclear if a national court faced with a collision caused by the fault of such a contractor would apply Art. 4 of the convention by analogy. The provision deals with the situation that both vessels are at fault but that the respective degree cannot be established. The result is a 50/50 liability split. Alternatively, the court may instead draw an analogy to Art. 2, dealing with the situation that no vessel was at fault. In such a case each vessel has to carry its own damage. A third viable option is that the court would consider the situation to fall outside of the scope of the convention all together and apply instead to other national rules. The difference may be substantial. Also, the traditional means of establishing fault will be affected by how the human actions or omissions will move further away from the collision in time and space. Not only can this be expected to give rise to complex questions of causation, it can also be expected to affect the statutory rules serving as guidance for correct action. For example, without human involvement in the navigation, a

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breach of the rather straightforward “dos” or “don’ts” of COLREG (Convention on the International Regulations for Preventing Collisions at Sea) can no longer serve as indication for negligence in navigation. Rather, one must look at negligence in management of the ship with guidance in the more generally worded international and national objectives and principles. This arguably increases the courts’ leeway to affirm or reject fault in the individual case. In essence, it is contended that the current fault-based collision liability regime applied to autonomous ships does not preserve the unification and foreseeability that the 1910 Collison Convention was once drafted to guarantee. Source: International Union of Marine Insurance PLEASE MAINTAIN YOUR MAILBOX, DUE TO NEW POLICY OF THE PROVIDER, YOUR ADDRESS WILL BE “DEACTIVATED” AUTOMATICALLY IF THE MAIL IS BOUNCED BACK TO OUR SERVER If this happens to you please send me a mail at [email protected] to reactivate your address again You can also read the latest newsletter daily online via the link : http://newsletter.maasmondmaritime.com/ShippingNewsPdf/magazine.pdf …. PHOTO OF THE DAY …..

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