Port Alberni releases transhipment feasibilty study
The Port Alberni Port Authority (PAPA) has released its feasibility study for the proposed Port Alberni Transshipment Hub (PATH) that includes a new container terminal located in Alberni Inlet. PATH includes a new terminal that would handle container vessels up to 22,000 TEU capacity in Port Alberni and support distribution centres in the Fraser River, Squamish and Tacoma with barge services through the marine corridors. The study was funded by the port authority, Transport Canada through the Asia Pacific Gateway Canada Transportation Infrastructure Funding program, and the Huu-ay-aht First Nations. According to the study this $1.7B project cost is expected to result in significant socio and economic benefits valued at $74.6M per annum. The next step for PAPA is to secure investors and win the federal government's support.
Plans to stop CN Rail from operating a line connecting to the Port of Prince Rupert by the Gitxsan First Nation have been averted after the Supreme Court of British Columbia ordered the group not to interfere with CN’s operation that cuts through the group’s 33,000-square-kilometers of territories. The eviction notice followed the the Supreme Court of Canada's decision on June 26 that upheld the land title rights of the Gitxsan First Nation and confirmed the group's right to block development, including mining and oil pipelines. A huge sigh of relief as US-bound imports continue to choke up the terminals and increase the pressure on rails that are forced to meet an increase in volumes in almost all sectors.
US Congressional pressure is also mounting on BNSF Railway and CP Railway to get rid of a backlog of US grain shipments before the harvest arrives this fall. US North Dakota senators have indicated that the number of open requests for CP railcars improved only 5 percent between June and August, and the average wait time increased by 27 percent to more than 80 days. On August 1st, the Canadian Minister of Agriculture extended its requirement for CN and CP to each move 500,000 tonnes of grain per week.
ILWU and US West Coast grain terminals reach a tentative agreement
A tentative agreement has been reached between the Pacific Northwest Grain Handlers Association and the International Longshore and Warehouse Union, following a bitter two-year labour dispute over workplace rules and hiring policies.
The details of the tentative agreement will not be released until the ILWU locals working at United Grain terminal in Vancouver, WA, the Columbia Grain facility in Portland the the Louis-Dreyfus terminals in Portland and Seattle have ratified the agreement. The results will be announced on August 25th and until then the ILWU has committed to reduced picket lines at United Grain and Columbia Grain terminals where longshore workers have been locked out since May 2013. Washington State grain inspectors have resumed inspections in Vancouver, WA.
Settlement of this dispute is hoped to have a positive impact on the PMA negotiations in the coastwide agreement with the ILWU. Some are speculating that US West Coast may begin to see production decline following the Labour Day weekend.
BC Exporter Awards
Each year, the BC Export Awards recognize the innovative approaches and unique contributions of BC registered export companies across sectors and in all regions of the province as well as the individuals who contribute to their success. Nominations are now open for the annual awards program and will be accepted in the following nine sector award categories plus two individual awards: The Leadership Award and the International Business Studies Award.
Nomination Deadline: August 29, 2014
For more information on award categories and criteria, click here.
Port Alberni Port Authority seeking nominations
The Port Alberni Port Authority's Nominating Committee is now accepting nominations for a director in the user category. Nominations will be accepted until 4:00 pm on September 11, 2014. For more information visit the Port Authority web site at www.portalberniportauthority.ca.
Order specifying grain quantities
Published in the Canada Gazette on August 13, 2014 is the Order Specifying the Minimum Amount of Grain to be Moved under the Canada Transportation Act. This Order in Council extends the original deadline of August 3, 2014, which coincided with the end of the crop year, through to November 29, 2014. The OIC specifies that 536,250 metric tonnes of grain must be moved each week by the both CN and CP. Furthermore, it addresses potential volume requirements for subsequent months.
December: approximately 430 000 per week;
January to February: approximately 400 000 per week;
March: approximately 455 000 per week; and
April to the end of the crop year: approximately 536 250 per week.
Actual minimum movement volumes would need to be set by a new order in council and would be based on additional monitoring of the situation over the next four months.
Beer exports from Rotterdam in jeopardy
Ongoing congestion at the Port of Rotterdam is delaying thousands of boxes and adding substantially to shippers’ costs. Among the victims have been Dutch brewers Heineken and Bavaria who have resorted to trucks instead of barges to move their products to the terminals. Fingers are pointing at ECT Delta Terminal upgrades and also vessels now arriving out of schedule. Vessels can be delayed anywhere up to a week and many carriers are looking at new surcharges to address the congestion and delays.
West African pirates gaining confidence
On August 9th pirates attacked a tanker 200 nautical miles off the Gulf of Guinea using tactics similar to those used by from Somali pirates. The tanker was pursued by three skiffs and the pirates approached the ship under several bursts of automatic gunfire. Fortunately the pirates were unsuccessful in their attempt to board the vessel from the stern. While there have been similar attacks on vessels off the Niger Delta up to 160 nautical miles out, these have been crew kidnap incidents whereas these pirates appeared to be after the cargo. Over the past 12 months, 23 product tankers and 19 vessels servicing the petroleum industry have been targeted. It is estimated that at least one attack is now taking place every week.
Mississippi collision involving two vessels and a barge
On Tuesday evening, the Maltese-flagged vessel Flag Gangos lost power and steering on the lower Mississippi River and collided with the Liberian-flagged vessel Pamisos and the barge Web 235, which were both moored at the International Matex tank terminals. The barge was struck during a fuel transfer operation and as a result 580 gallons of fuel oil was discharged into the river from the transfer hose. Boom has been deployed in the area to contain the oil. While no injuries were reported, the Pamisos and the barge were both damaged. Traffic was reopened the following afternoon to all vessels.
Market Report - August 15, 2014
Over the last week the capesize sector has made some great gains but many are being cautiously optimistic. However, tightening of available capacity and anticipated increase in iron ore shipments should see these rates persist or improve over the next few months.
Spot time charter
One week ago
Tankers: Delays by the shipyards in delivering newbuilds will provide tankers markets with some relief. 65% of the expected tanker newbuilds are late coming out of the yards. This week VLCC earnings on the Middle East Gulf to Asia trade reached a respectable $26,000 per day.
LNG: With LNG ship capacity exceeding LNG production by 40m tonnes, the last 12 months have seen rates fall from a high of $110,000 per day to $60,000 per day with delivery of new vessels continuing to outpace start-up of continually delayed LNG production capacity
Containers: Transpacific eastbount rates are up 8.7% over last year and the utilization chart below is good indication of what is supporting the increases in addition to the rush to get US imports to destination with the uncertainty of the US West Coast longshore negotiations.
Sep 11 - West Coast Pulp Charity Invitational
This year's West Coast Pulp Charity Invitational golf tournament will be held on September 11th. Since 2005 this event has raised over $800,000 for the Raise-a-Reader campaign. Donations are currently being accepted and registration is now open at http://westcoastpulpcharity.com/.
Sept 13 - 2014 Cycling for Seafarers Ride
Sept 13 - BC Waterfront Games
The BC Maritime Employers Association (BCMEA) will host its inaugural BC Waterfront Games on September 13th at their Waterfront Training Centre located on Mitchell Island. This will be community event to showcase waterfront skills and heavy equipment in a competitive spirit. For more information and to RSVP visit: www.bcwaterfrontgames.com
Sept 13 - Dinner and Dancing at the Seine Net Loft
On the evening of September 13th the Royal Canadian Marine Search & Rescue will host a "Dinner & Dancing at the Seine Net Loft" event at the Britannia Shipyard. Tickets are $75 per person and include cocktails, buffet dinner and dancing. Proceeds will benefit the Richmond Marine Rescue Society, Station 10. For more information visit: www.rcmsar10.org. View Flyer
Sept 17 - Rewards and Risks of Western Resource Trade
On September 17th the Chartered Institute of Transport in North America (CILTNA) will host a half-day session on "The Rewards and Risks of Western Resource Trade - Towards a Meeting of the Minds." The conference will bring together a broad range of perspectives with the goal of establishing a path forward to address legitimate concerns with growing trade in Western Canada. For more information visit: http://www.ciltna.com/events-education#VAN
Sept 24 - Mission to Seafarers - World Maritime Day Event
The World Maritime Day fundraising dinner will be held this year on Wednesday, September 24th at the Royal Vancouver Yacht Club. Guest speaker will be well-known local marine artist and founding member of the Canadian Lifeboat Institution, John Horton. Proceeds from this event will benefit the Mission to Seafarers. See the attached flyer and registration form for more information. View: World Maritime Day 2014 Flyer and Registration Form.
Sept 26 - CIFFA Western Region Gala Dinner
The CIFFA Western Region will host the Annual Forwarders Celebrating Associates Gala Dinner, September 26, 2014. Join the freight forwarding community for an evening of celebration and networking opportunities. The Association will celebrate and recognize its associate members for their socially responsible contributions to the community in which we all work. With key leaders and decision makers from freight forwarding companies, this is a terrific networking opportunity. For more information visit: http://www.ciffa.com/calendar_viewevent.asp?id=462
A visitor to Vancouver earlier this year was the handy size bulk carrier Four Turnadot.
Built by Spp Shipbuilding, Tongyoung, South Korea in 2012 Owned and managed by Four Handy Ltd, Crawley UK, a member of the Premuda Group of companies Manned by V Ships LOA 180m Beam 30m GRT 23,456 tons DWT 34,428 MT Sister Ships: Four Aida, Nabucco, Otello, Rigoletto, Butterfly, Diamond, Emerald
The origins of Premuda date back to 1907. It was founded in Trieste under the name of Navigazione a Vapore (Steamship Navigation) G.L. Premuda. Today the company operates a fleet of modern owned and operated bulk carriers, an FPSO (Four Rainbow) based on the west coast of Australia and a fleet of panama, Aframax and Suezmax tankers. In June 2012 the company through Four Handy Ltd. entered a joint venture with the government of Sierra Leone to form the Sierra Leone National Shipping Company (SLNSC). SLNSC control 51% of the shareholding in SLNSC with FHL controlling the remaining 49%. CEO of SLNC is Mr. Stefano Rosina, Managing Director of the Premuda Group while Chairmanship rests with the Government of Sierra Leone.