The Chamber of Shipping hosted a World Maritime Day fundraiser this week at the Royal Vancouver Yacht Club to commemorate World Maritime Day (Sept 25) and raise funds for the Mission to Seafarers. An excellent turnout was entertained by Master of Ceremonies, Kevin Obermeyer, and guest speaker, John Horton, who provided a presentation on the work of the Canadian Lifeboat Institute. Thank you again to all who attended or otherwise supported the event.
Petronas LNG warning shot to BC Government
Malaysia’s Petronas, the major partner in Pacific Northwest LNG which is proposing a significant LNG export plant in Prince Rupert has this week voiced the company’s frustration with the regulatory process and fiscal environment in BC. Chief Executive Mr. Shamsul Azhar Abbas, warned that unless the B.C. government unveils competitive tax and regulatory rules next month, he will cancel plans to invest an estimated $36-billion in the project. Rather than ensuring the development of the LNG industry through appropriate incentives and assurance of legal and fiscal stability, the Canadian landscape of LNG development is now one of uncertainty, delay and short vision,” Mr. Shamsul told the Financial Times. Canada is “already 40 years behind in the game.”
NDP tables another North Coast tanker ban
NDP Financial critic and MP for Skeena-Bulkley Valley Nathan Cullen tabled a private member's bill this week to ban oil tankers from the North Coast of BC and impose “a more thorough consultation with communities to be impacted by such projects in the future”. "These are some of the most tempestuous waters in the world." Mr. Cullen told reporters. Mr. Cullen is well known for his opposition to development of Canada’s oil sands and expansion of oil export opportunities and acknowledged that the timing of his Bill is designed to force the issue in the 2015 federal election debates that lie ahead. The pipeline was approved with 209 conditions in June.
PMV faces legal action over FSD coal terminal approval
The environmental lobby group Ecojustice has launched a legal challenge to PMV’s approval of a new $20 million coal transport terminal at Fraser Surrey Docks on the basis that it breaches certain provisions of the Canadian Environmental Assessment Act. The petition argues that PMV acted in a biased manner and that the Attorney General of Canada failed to consider the adverse environmental consequences of burning coal in other countries and that health impacts on residents near the terminal were not fully taken into consideration. Ecojustice describes itself as a national charitable organization that uses the law to defend Canadians' right to a healthy environment – a caption from the organization’s website is shown above.
Follow the Nunavik's voyage through the Northwest Passage
The MV Nunavik set sail from Deception Bay last week en route to China via Canada's Northwest Passage, with 23,000 tons of nickel concentrate The Fednav owned vessel holds a Polar Class designation and is the first commercial vessel to attempt the Northwest Passage completely unescorted with an Arctic cargo. The route to China via the Northwest Passage is some 40 percent shorter than the traditional Panama Canal route, and as a result, will reduce greenhouse gas emissions by more than 1,300 tonnes.
The Nunavik is the most powerful conventional (non-nuclear) icebreaking bulk carrier in the world and is supported by a shore-based team of ice navigation specialists from Fednav and its subsidiary, Enfotec. The vessel will receive regular ice charts including real-time satellite imagery in order to operate Enfotec's proprietary onboard ice-navigation system, IcenavTM, further enabling safe and efficient transit. To follow the Nunavik's passage visit: http://www.fednav.com/en/voyage-nunavik.
BC Ferries to convert Spirit Class to LNG
BC Ferries has formally announced long rumored plans to convert its two largest vessels, the Spirit of Vancouver Island and the Spirit of British Columbia, to dual fuel, as well as make modifications to the hull, in order to save approximately $9.2 million per year in operating costs over the remaining projected 27year life cycle of the two vessels. BC Ferries spent $126 million on fuel last fiscal year and the two Spirit-Class vessels consumed approximately 15% of the fleet total. Spirit-Class vessels operate on the Tsawwassen – Swartz Bay route, which carried 28% of total passengers, 23% of total vehicles and generated 38% of total passenger-based revenue in fiscal 2014.
PPA announces new Assistant Director of Marine Operations
The Pacific Pilotage Authority has announced that the successful candidate for the Assistant Director Marine Operations role at PPA is Mr. Paulo Ekkebus. Prior to joining the PPA, Mr. Ekkebus spent six years as a senior marine investigator with the Transportation Safety Board both in Ottawa and Vancouver. He also spent four years teaching at the British Columbia Institute of Technology's marine campus in North Vancouver, the last 2 of which were as Chief Instructor of the Nautical Sciences and Seamanship diploma programs. He has twelve years of sailing experience in deck and engineering disciplines onboard a variety of vessels, culminating in the appointment as Master. He has also worked in the private sector, developing and implementing safety management systems. Mr. Ekkebus is a Certified Master Mariner and holds a Bachelor's degree from the De Ruyter Maritime Institute in the Netherlands. He will assume his new role on September 29.
Professor William Tetley Award Established
Professor Tetley passed away in Montreal, Canada on 1 July, aged 87. After practicing civil, commercial, and marine law from 1952-1970, he served in municipal and provincial politics in Quebec rising to a cabinet minister in the first Bourassa cabinet from 1970-1976. He then joined the Faculty of Law at McGill University where he served as a professor for over 30 years and was appointed Distinguished Visiting Professor of Maritime and Commercial Law at Tulane University, New Orleans in 2007. His extensive publications include over 150 articles and seven monographs. He was named to the Order of Canada in 1995.
Celebrity Solstice visits Nanaimo
On Monday, September 22nd the Celebrity Solstice visited the Port of Nanaimo as one of the ports of call in its 11-day Seattle-Alaska itinerary. With a capacity of 2,850 passengers and 1,400 crew, the Celebrity Solstice is the largest vessel on Alaskan itinerary. This is the second cruise ship to visit Nanaimo this year in addition to two pocket cruise ships that arrived in May. Next season Nanaimo is scheduled to see three large cruise ships, including the return of the Celebrity Solstice, and two pocket cruise ships.
Following completion of a comprehensive review of the development, testing and production timelines associated with the delivery of the remaining project components, CBSA has advised that a new deployment schedule for future eManifest functionalities has been established. The schedule introduces functionality incrementally, which enables new systems to run in parallel with existing production systems allowing for early detection and resolution of issues. The latest schedule which will deliver new eManifest features and systems to our external clients is as follows:
the initial implementation of new and enhanced notices which will improve communication between trade chain partners and with the CBSA are expected to be available in Fall 2015, and
electronic systems (EDI and eManifest Portal) for importers to transmit advance trade data (ATD) to the CBSA are expected to be available in Fall 2016.
As system development continues to move forward, the CBSA will be communicating further details about the eManifest deployment schedule, and how it impacts each stakeholder group, through various channels such as Web site content, Webinar presentations and client mail-outs.
Major fire at Pasha's steel terminal
A fire at the Pasha steel handling terminal in the Port of Los Angeles berth 179 this week has caused serious damage and delays to operations in both LA and Long Beach. The fire broke out underneath a warehouse sending toxic smoke hundreds of feet into the air. The seriousness of the fire resulted in the establishment of a unified command to oversee 170 firefighters and involving the LA and Long Beach Fire Departments, Los Angeles Port Police and United Stated Coast Guard. Two vessels were ordered to be removed from the immediate vicinity. No injuries were recorded but the wharf, a warehouse and a so far unspecified amount of cargo have been heavily damaged or lost.
TOTE secures loan financing from US Gov
The US Government has approved a $324.6 million Title XI loan guarantee to TOTE Shipholdings, Inc. to finance the construction of the world’s first two LNG-fueled 3,100 TEU capacity container ships. The new so called Marlin Class vessels are under construction at the General Dynamics NASSCO shipyard in San Diego, California and will be equipped with a single low speed, dual-fuel ME-GI engine capable of running on primarily on LNG. Delivery is scheduled for late 2015 and early 2016, at which point the vessels will operate in the U.S. Jones Act protected trades between Jacksonville, Florida and San Juan, Puerto Rico. TOTE retains options for up to three additional ships. The Title XI program guarantees the repayment of loans, obtained in the private sector by ship owners, for the construction reconstruction, or reconditioning of vessels in US shipyards.
Alaska to build new Alaska Marine Highway ferries
The State of Alaska has signed an agreement to construct two Alaska Class Ferries at Vigor Alaska in Ketchikan. The vessels will be the largest ever to be built in Alaska and the first Alaska Marine Highway System ferries to be built in the state. The contract is reported to be worth $120 million and deliveries are scheduled for 2018. The new vessels will be 280 feet long, seat up to 300 passengers and carry 53 standard vehicles.
President Obama announces Pacific marine sanctuary expansion
President Obama this week announced a major expansion of a marine preservation area, originally created by president Bush in 2006, to form the world’s largest marine sanctuary. The Pacific Remote Island Marine National Monument will grow from almost 87,000 square miles to nearly 782,000 square miles — all of it adjacent to seven islands and atolls controlled by the United States. The sanctuary covers a broad swath of the central Pacific Ocean and will be off-limits to fishing, energy exploration and other activities. The proposal is scheduled to go into effect later this year and will effectively double the area of the ocean globally that is fully protected.
Australia to roll back "restrictive coastal shipping laws"
The Australian Deputy Prime Minister and Infrastructure Minister Warren Truss (above) has announced that the government will streamline the system for applying for temporary licences to use foreign-flag ships to move cargoes between Australian ports which he said had become "very difficult and restrictive" under the previous government. As a consequence, Mr. Truss cliamed that it was now cheaper to ship sugar from Thailand to Melbourne than to move it between Queensland and Melbourne, and it was reaching the stage where it was cheaper to ship cement from China to Australia than to move it between domestic ports. Mr Truss did however confirm his support for a "second register" for Australian ships, which allows them to use foreign seafarers on international routes.
Maersk to retain poll position in container shipping
Maersk Line announced this week that the company proposes to spend around $3 billion a year from 2015-19 on new tonnage in order to retain its long held position as the world’s largest container carrier. The company currently controls around 15% of the global containerized trade including around 20% on the world’s busiest route between Asia and Europe. Only four of the major container carriers turned a profit in the first half of 2014 with Maersk the most profitable on account of aggressive cost cutting.
Global GHG emissions from shipping reduced by 20% in 2012
The International Chamber of Shipping published a paper this week to coincide with the UN Conference on Climate Change which took place in New York. Green House Gas emissions from global maritime transport are estimated to have been over 20% lower in 2012 than in 2007. View the ICS Press Release.
Quantum of the Seas undertakes conveyance along River EMS
Royal Caribbean Cruise Line’s latest impressive creation, Quantum of the Seas left the Meyer Werft shipyard this week to make the precarious 26 mile transit down the River Ems to the North Sea where final outfitting and testing will take place. The route is technically known as “the conveyance” and is an ordeal that every ship ever constructed at Meyer Werft has taken since 1795 because of the shipyard’s protected inland location in Papenburg, Germany. With LOA 348 meters and beam 41.4 meters, Quantum of the Seas is the largest vessel ever built by Meyer Werft and her stern first movement downriver at 2-3 knots involved re-routing of power lines and even the temporary lifting of some bridges. She is to be followed by a sister ship Anthem of the Seas. We came across a video of the exercise http://www.youtube.com/watch?v=P5vcvvncKKM.
Intertanko to host vetting seminar in Manila
INTERTANKO is to host a Seafarers’ Vetting Seminar on 22 October in Manila. This Seminar is specifically designed for seafarers and will provide guidance on port state control as well as the process and best practice associated with vetting inspections.
Market Report - September 26, 2014
Market sentiment remains weak as despite record levels of global trade, there are just too many ships chasing it. The Baltic Dry Index closed on Thursday on 1038 points compared to 1089 points last week and 1186 points the week previously.
Spot time charter
One week ago
Oct 15 - An examination of LNG shipping safety
The Chamber of Shipping is hosting a half day session to examine LNG shipping. As investment decision time nears for several LNG export projects on the coast of British Columbia, project proponents are being asked a number of questions by local communities.
To learn about LNG shipping, join us on the morning of October 15 for a workshop where subject matter experts will provide answers to all aspects of marine operational safety in the LNG industry. Register early as space is limited. View the LNG Shipping Safety Program and Registration Form.
Oct 28 - Cereals North America 2014 Conference, Winnipeg
The Cereals North America 2014 conference will be heldin Winnipeg from October 28-30 with focus on key topics in North American and global agriculture, including grain market outlooks, grain transportation, and key expanding agricultural regions such as the Black Sea and Brazil. Last year over 200 people attended the conference from a broad range of backgrounds. Early-bird sign-up for the conference ends September 5 – see the registration link http://www.cerealsnorthamerica.com/register
Nov 20 - ICS Dry Bulk & Commodities Conference
HMAS Canberra (LHD 02) is the first of two Canberra class landing helicopter dock (LHD) ships constructed for the Royal Australian Navy (RAN). Construction began in Spain in 2008, where the bare bones hull was launched in 2011. The hull was then carried to Australia in late 2012 for completion by BAE Systems Australia.
Built by Navantia, Ferrol, Spain – fitted out by BAE Systems Australia, Williamstown, Victoria LOA 230.8m Beam 32.0m Displacement 27,500 tons Combined diesel and gas propulsion with two azimuth thrusters Speed 20 knots +
Complement: 358 personnel plus capacity for 1000 troops and 110 heavy vehicles Airwing: Up to 18 helicopters (plus a ski ramp to allow for emergency operations with fixed-wing aircraft) Sister Ship: HMAS Adelaide
The LHD has a stern ramp/door that provides access to the well dock for landing craft and vehicles along with a fixed ramp (steel beach) between the well dock and the heavy vehicle/cargo deck (1410m2). Additionally two lateral ramp doors are located on the starboard side and provide wharf access to the heavy vehicle/cargo deck for vehicles up to 65 MT. Vehicular access between the heavy and light vehicle decks is achieved via a fixed ramp located on the port side.
The Canberra class design is based on Spain’s Juan Carlos I built by the Navantia for the Spanish Navy. On completion of the hull up to the level of the flight deck, Canberra was transported to Williamstown, Victoria, on the heavy lift shipMV Blue Marlin which sailed via the Cape of Good Hope to avoid any risk of hijack by Somali pirates. At Williamstown, the installation of Canberra's island superstructure and the internal fit-out of the hull was completed by BAE Systems Australia. Canberra is predicted to commission into the Royal Australian Navy in late 2014 and will be the largest warship ever operated by that country.