Suisun Bay ships to be recyled at Mare Island

 

They cover the cleaning and recycling of two Suisun Bay Reserve Fleet ships, the SS Solon Turman and the SS President. The two ships are scheduled to be towed from Suisun Bay to the former Mare Island Naval Shipyard facility in December.

The award is the first made to Allied Defense,which has long been trying to resurrect Mare Island’s closed dry docks.

The two Suisun Bay ships could be delivered to two of the former naval shipyard’s dry docks as early as next month. But the Mare Island Strait must be dredged first.

The Reporter, Vacaville, Calif., quotes Jay Anast, Allied Defense Recycling business operations director as saying that dredging will begin soon after the San Francisco Bay Conservation and Development Commission grants a project permit,

The Reporter says the company received its overall environmental permits in recent months. It also signed a lease with dock owners Lennar Mare Island in August, and was qualified to bid on ship recycling contracts at the end of September.

The Maritime Administration offered Allied Defense Recycling a “no-bid” contract, citing delays and funding issues in its partnership with a Bay Area ship-cleaning facility that prepares ships for dismantling outside the area, according to The Reporter.

“The Obama Administration is running full-speed ahead in its commitment to cleaning up the Suisun Bay Reserve Fleet,” said U.S. Transportation Secretary Ray LaHood. “These contracts will help the local economy while advancing our mission of maintaining the Fleet in a safe and environmentally-sound manner.”

In October 2009, the Obama Administration called for expedited cleanup of the fleet site and improved protection of the unique marine environment and surrounding bayside communities, setting a goal of removing 57 ships by September 30, 2017. Eleven ships were removed in the past year, surpassing the planned schedule of removing 10 ships in 2010.

“This is further evidence of our commitment to clean up Suisun Bay,” said Maritime Administrator David Matsuda. “The Mare Island recycling facility will bolster our efforts to remove obsolete ships and reduce environmental risks to the Bay.”

MARAD currently cleans the hulls of obsolete ships before towing them nearly 5,000 miles through the Panama Canal to recycling facilities on the Gulf of Mexico or Atlantic coasts. Using the former Mare Island Naval Shipyard site will enable the ships to be recycled while avoiding the lengthy tow to ship recyclers in other areas.

In the past MARAD has sent ships for disposal to recyclers as far away as the U.K. provoking protests and headlines about “ghost ships” and “toxic ships.”

November 10, 2010

  • News

Maersk revenues rebound

“We are ready to take more territory, especially in emerging markets,” he adds.

Maersk Group revenue for the nine month period ended September 30, 2010 increased by 17 percent to $41.4 billion, primarily as a result of higher container shipping freight rates and higher oil prices. The net result for the period was a profit of $4.2 billion compared with a loss of $0.7 billion in the same period last year

“The result is exceptional, and we are very satisfied,” says Group CEO Nils S. Andersen. ‘Markets have been favorable, but first of all, our businesses are in excellent shape. Especially our container business has improved and is ahead of competition on profitability. We have moved from defense to the attacking zone, and we are ready to take more territory, especially in emerging markets.”

Container shipping and related activities turned a profit of $2,254 million (against a loss of $1,590 million in the equivalent period last year). The result reflected an increase in average freight rates of 34 percent, an increase in transported volumes of 7 percent and substantial savings per unit.

APM Terminals’ segment result was $668 million ($340 million), helped by gains on sale of an ownership interest in Sigma Enterprises Ltd. The number of containers handled increased by 3 percent despite discontinued activities at six terminals. The remaining terminals had an 8 percent increase in volumes.

Oil and gas activities turned in $1,339 million ($958 million), primarily due to a 35 percent increase in oil prices to an average of $77 per barrel. The increase more than compensated for a 17 percent decline in the Group’s share of oil and gas production to 103 million barrels. The Group’s exploration costs were $346 million ($466 million). Exploration activities led to two new discoveries in Norway in the third quarter. Planned maintenance of platforms in the North Sea was completed in the third quarter.

Maersk Tankers’ segment result was a loss of $103 million in the first nine months of 2010 (same period loss last year was $193 million). Maersk Tankers incurred impairment losses of $107 million in the third quarter of 2010.

Maersk Drilling’s segment result increased to $300 million ($168 million), positively affected by delivery of new rigs and a continued high level of contract coverage at attractive rates.

Group] free cash flow increased by $6.3 billion in the first nine months of 2010 compared to the same period of 2009. Cash flow from operating activities was $7.4 billion ($4.1 billion), while cash flow used for capital expenditure was negative by $3.2 billion (negative by $6.3 billion). Net interest bearing debt was reduced by $4.4 billion to $13.7 billion.

Group competitiveness was enhanced by further cost reductions and activity adjustments with an expected full-year effect of between $500 million and $1 billion.

Outlook for the full year 2010

The group is now expecting a result for the full year in the order of $5 billion, excluding an expected gain from Dansk Supermarked A/S’ sale of Netto Foodstores Limited, UK. That transaction is not expected to be completed until the first half of 2011.

November 10, 2011

Tide power innovator seeks shipbuilder

Neptune, based in North Ferriby, East Yorkshire, England, has successful completed a series of rigorous in-water tests on the full-scale demonstrator of its Proteus NP1000 tidal stream power generator, it is now seeking a trade partner, which could be a shipyard or heavy engineering concern, who can demonstrate the capability to fabricate and build future production devices.

NEPTUNE PROTEUS IN WATER

Weighing more than 150 tonnes and 20 m in length with a beam of 14 m, the Proteus NP1000 consists of steel buoyancy hulls, a vertically mounted turbine with a 6 m x 6 m rotor, and computer controlled flow vanes within a venturi duct.

Despite its size, the floating pontoon design means that the Proteus is largely unobtrusive when deployed, with more than 80 per cent of its bulk always hidden from view under the water. This low environmental footprint has now been approved by the U.K. Department of Energy and Climate Change.

Test data indicate that when optimized for the tidal stream the Proteus NP1000 will be able generate at least 1,000 MWh/year. To put this into context the projected output would be enough to meet the energy needs of more than five hundred homes.

The recent tests included the powering-up and generation of electricity as proof of the commercial potential of the device’s power curve. Tow testing was carried out in three phases during August, September and October in Hull’s Albert Dock. The third set of experiments provided the final, critical, “proof of concept” hurdle and the device will now be prepared for commercial deployment in early 2011 at Sammy’s Point in the Humber.

Commented Nigel Petrie, Chairman, Neptune Renewable Energy Ltd (NREL): “We are delighted to have successfully come through the in-water testing phase for the Proteus Demonstrator which paves the way for the device to be commissioned shortly and installed, with the first electricity delivered in 2011. Having reached this key milestone, at Neptune we are now looking to identify a trade partner who is able to demonstrate that they have capability to work with us to manufacture and deliver future devices.”

Mr. Petrie said the company is also seeking equity providers to work with in order to help fund a series of arrays of the tidal stream power generators which are planned for the Humber in 2011 and 2012.

You can email Neptune at enquiries@neptunerenewableenergy.com

Bourbon reports increased offshore segment revenues

Paris-headquartered Bourbon reported today that third quarter revenues came to EUR 222.2 million, up 6.4 percent compared with the same period in 2009 (two percent at constant exchange rates).

Although bickering between Brazilian bureaucrats delayed import of some vessels for a Petrobras contract, activity in the Americas is expanding, accounting for 11 percent of revenues in the first nine months of the year, compared with 6.4 percent in the same period last year.

“In a market environment that continues to be difficult, Bourbon can today report third-quarter 2010 revenue growth of 6.4 percent,” said Chairman & CEO  de Chateauvieux. “This confirms the upturn in our offshore activity, announced previously and already in evidence in the second quarter. It also confirms our strategic choices and reflects our unique positioning on the market. Our clients are enthusiastic about the new Bourbon vessels which are proving to be more innovative, safer and capable of keeping their operating costs down.”

“Bourbon predicted a gradual recovery in the oil companies’ activity in the second half of 2010 and more substantial growth in 2011,” he contnued. “The activity of the third quarter confirms this trend.”

Bourbon says that in the first nine months of 2010, revenues for its offshore business segment totaled Euros 624.9 million euros, up 1.6 percent compared with the same period in the previous year. Revenues from Bourbon vessels were 8.4 percent higher thanks to the major expansion of the fleet in unfavorable market conditions. Revenues from chartered vessels were down by nearly 37 million euros. Activity on the American continent is expanding and Bourbon earned 11 percent of its revenues there in the first nine months of 2010, compared with 6.6 percent over the same period in 2009. As well as growth in activity in Mexico and Brazil, the buyout of 50 percent of Delba Maritima Navegacao at the end of 2009 also made a significant contribution.

Compared with the second quarter of 2010, revenues from Bourbon vessels increased by 4.1 percent despite a slight reduction in the fleet’s utilization rate, largely due to administrative difficulties encountered on importing the vessels to Brazil.

A delay in implementing the contracts for the eight Bourbon Liberty vessels and five crewboats chartered by Petrobras resulted from a disagreement between the Brazilian Ministries of Finance and Petroleum concerning exemptions from import duty for foreign vessels.

For the last seven quarters, Bourbon has been steadily reducing the number of vessels it charters in.

Compared with the third quarter of 2009, revenues from Subsea Services were up 13.1 percent totalling 45.4 million euros, largely due to better performance of owned vessels and the full effect of the IMR vessel commissioned at the beginning of 2010.

In the first nine months of 2010, revenues from Subsea Services were up 13.8 percent at 124.7 million euros compared with the same period of 2009, due to the Bourbon vessels’ improved performance (contract renewals at higher rates and a greater range of services) and the full effect of the IMR vessel that joined the fleet at the beginning of 2010.

Compared with the second quarter of 2010, revenues from Subsea Services were up 3.9 percent reflecting the significant improvement in Bourbon IMR vessels.

November 9, 2010

Boost for Maryland offshore wind

Governor Martin O’Malley and the Maryland Energy Administration yesterday joined BOEMRE to announce that the federal government has accepted the planning recommendations of the Maryland Offshore Wind Task Force and yesterday. Yesterday it issued both a Request for Interest (RFI) and a map of an offshore wind leasing area in federal waters adjacent to Maryland’s Atlantic Coast. Maryland is the second state in the U.S. to reach this point in the process.

“Today’s announcement marks another step forward for Maryland’s new economy,” said Governor Martin O’Malley. “By harnessing the outstanding wind resources off of Maryland’s coast, we can create thousands of green collar jobs, reduce harmful air pollution, and bring much needed, additional clean energy to Maryland.”

Governor O’Malley has made offshore wind a priority in Maryland’s efforts to generate 20 percent of its energy from renewable sources by 2022, citing the potential for job creation and the abundant wind resources available. A one gigawatt offshore wind farm off of the Maryland coast could create as many as 4,000 jobs in manufacturing and construction during the five year development period, with an additional 800 permanent jobs once the turbines are spinning.

Yesterday’s announcement follows nearly two years of planning. The Maryland Department of Natural Resources worked with the Maryland Energy Administration, the Maryland Offshore Wind Task Force, and other outside partners like the University of Maryland’s Center for Integrative and Environmental Research, to develop a comprehensive understanding of the various environmental and stakeholder concerns that would impact any proposed offshore wind development. The result was a draft marine spatial planning area that represented the collective input of federal, state, and local stakeholders and formed the basis for the map released by BOEMRE.

The western edge of the RFI area for proposed wind generation is located approximately 10 nautical miles from the Ocean City coast and the eastern edge is approximately 27 nautical miles from the Ocean City coast.

Maryland offshore wind advocates say the state’s proximity to planned wind farms in the Mid-Atlantic, as well as the deep water port and manufacturing infrastructure in Baltimore, position it to be a leader not only in offshore wind energy generation, but also in ongoing construction and maintenance.

This summer, Governor O’Malley and Delaware Governor Jack Markell wrote to President Obama proposing a federal-state partnership for the development of a power purchase agreement for offshore wind energy. The development of one gigawatt of wind energy in the mid-Atlantic region could lead to the creation of thousands of clean energy jobs.

Also this summer, Governor O’Malley formally entered Maryland into a formal partnership in the newly formed Atlantic Offshore Wind Consortium. The group, comprising states along the Atlantic coastline and the United States Department of the Interior, will work to coordinate regionally prominent issues surrounding the development of off shore wind along the Atlantic outer continental shelf.

“Thanks to Governor O’Malley’s leadership Maryland is exceptionally well positioned to become leader in the emerging offshore wind industry, which has the potential to create or secure thousands of jobs and keep Maryland Smart, Green, and Growing,” said Malcolm Woolf, Director of the Maryland Energy Administration.

  • News

Engine room fire disables Carnival Splendor

When both tugs were on station and current conditions right, they were expected to slowly two the vessel — at 113,323 gt one of the world’s largest cruise ships — to Ensenada to disembark passengers.

The Carnival Splendor is presently located 150 miles south of San Diego and has 3,299 passengers and 1,167 crew members aboard. They faced a second day without key hotel systems, including air conditioning, hot food service, and telephones, following an engine room fire that broke out yesterday morning. Last night, the ship’s engineers were able to restore toilet service to all cabins and public bathrooms, as well as cold running water. The ship’s crew continues to actively work to restore other services. though Carnival said last night that “the ship’s crew is actively working to restore partial services.”

No injuries to passengers or crew have been reported.

Units from the U.S. Coast Guard and the Mexican Navy have been deployed to the scene.

At the request of Coast Guard District 11 in San Diego, 3rd Fleet diverted the aircraft carrier USS Ronald Reagan from its current training maneuvers to a position south of the cruise ship to facilitate the delivery of needed supplies, That involved transfering 35 pallets of supplies by Fleet Logistics Support Squadron 30 carrier on-board delivery aircraft to Ronald Reagan. Once aboard Ronald Reagan, the supplies were to be delivered by helicopter to Carnival Splendor.

The ship became disabled after a fire was detected in the aft engine room at approximately 6.a.m, (U.S. Pacific Standard Time) yesterday.

Carnival said that the ship has been operating on auxiliary generators , with engineers unable to restore additional power to the vessel.

Though passengers were initially asked to move from their cabins to the ship’s upper open deck areas, they later regained access to their cabins and were able to move about the ship. Bottled water and cold food items are being provided.

The current voyage has been terminated and Carnival says guests will be receiving a full refund along with reimbursement for transportation costs. Additionally, they will receive a complimentary future cruise equal to the amount paid for this voyage.

“We know this has been an extremely trying situation for our guests and we sincerely thank them for their patience. Conditions on board the ship are very challenging and we sincerely apologize for the discomfort and inconvenience our guests are currently enduring. The safety of our passengers and crew is our top priority and we are working to get our guests home as quickly as possible,” said Gerry Cahill, president and CEO of Carnival Cruise Lines.

Carnival Splendor was on the first leg of a seven-day Mexican Riviera cruise that departed yesterday, Nov. 7, from Long Beach, Calif.Yesterday was a scheduled day at sea. The ship’s normal itinerary includes stops in Puerto Vallarta, Mazatlan and Cabo San Lucas, Mexico.

The Fincantieri-built ship first entered service in July 2008.

November 9, 2010

  • News

Fuel scammer sent to slammer

According to statements made in a plea agreement, Jamil Murni, 60, of Houston, Texas,was a fuel buyer for Royal Caribbean. In that position, he was responsible for researching suppliers and negotiating price, availability, and delivery schedules of fuel for Royal Caribbean Cruises’ fleet.

Muni was arrested in Houston in February on an indictment charging him with nine counts of wire fraud, in violation of Title 18, United States Code, Section 1343, and one count of money laundering, in violation of Title 18, United States Code, Section 1957.

According to the plea agreement, in 2003, Murni registered “Sea Fuels Trading” as a fictitious name with the Florida Department of State’s Division of Corporations. He then opened and maintained a bank account in the name of Sea Fuels Trading. On December 19, 2003, Murni applied to have Sea Fuels Trading become a fuel provider for Royal Caribbean. In that application, defendant Murni fraudulently concealed his ownership of the company. Royal Caribbean subsequently approved Sea Fuels Trading as a fuel vendor.

Murni used his position within Royal Caribbean to obligate the cruise company to more expensive contracts with Sea Fuels Trading. Defendant Murni then fulfilled Sea Fuels Trading’s obligations by purchasing cheaper fuel from competitors. Royal Caribbean paid defendant Murni’s company more than it would have paid to a legitimate fuel vendor.

According Wifredo A. Ferrer, U.S. Attorney for the Southern District of Florida, and John V. Gillies, Special Agent in Charge, FBI Miami Field Office, Muni operated the scam from late 2003 through late 2006.

At the sentencing on November 1, 2010 in Miami, U.S. District Court Judge Joan A. Lenard sentenced Murni to 45 months of imprisonment, to be followed by two years of supervised release. In addition, the judge ordered that the defendant pay $610,228 in restitution to Royal Caribbean.

Wave power project moves forward

The agreement covers development of OPT’s PowerBuoy technology for application in Japanese sea conditions.

OPT’s PowerBuoy wave generation system uses a “smart,” ocean-going buoy to capture and convert wave energy into low-cost, clean electricity. The rising and falling of the waves offshore causes the buoy to move freely up and down and the resultant mechanical stroking is converted via a power take-off to drive an electrical generator. The generated power is transmitted ashore via an underwater power cable.

A 10 MW OPT power station would occupy only approximately 30 acres (0.125 square kilometers) of ocean space.

Under this new contract, the two companies will work together to develop a new mooring system for OPT’s PowerBuoy, customized for wave power stations off the coast of Japan. The new system will undergo testing at MES’s wave tank facilities to verify the results of extensive computer modeling. OPT expects to receive 18 million yen (approximately $220,000) for its development efforts. Work under this agreement is expected to be performed over the next six months.

In October 2009, OPT and a consortium of MES, Idemitsu Kosan Co., and Japan Wind Development Co. signed a Memorandum of Understanding for the development of wave energy in Japan. OPT and members of the consortium have since worked with the Japanese government to increase recognition of wave power in Japanese energy policy.

The Japanese government has pledged to target a 25 percent cut in greenhouse gas emissions from 1990 levels by 2020 as part of its intentions to boost renewable energy sources to about 10 percent of primary energy supply by 2020. The Japanese government has specifically targeted wave energy as a component of this strategy.

Now OPT and MES intend to complete work on the mooring system and find a project site for an in-ocean trial of the PowerBuoy system.

OPT’s CEO, Charles F. Dunleavy, said: “We are very pleased to continue to build on our relationship with MES. This new agreement is consistent with OPT’s global strategy to form alliances with strategic partners in key markets. We believe working with MES will facilitate the realization of the great potential of wave power as a concentrated and predictable source of renewable energy for Japan.”

Ryoichi Jinkawa, Managing Director of the Business Development and Innovation Headquarters of MES, said: “We continue to be impressed with OPT’s technical strength and in-ocean experience. MES is very excited by the great business opportunity resulting from our relationship with OPT. We look forward to continuing to work with OPT in making our common vision of increasing the use of renewable energy a reality.

 

November 8, 2010

  • News

ABS fleet sails past 170 million gt mark

The latest statistics show it totaling 11,055 vessels aggregating 170.29 million gt, an increase of more than 9 million gross tons thus far this year.

That makes ABS the the third largest classification society in terms of aggregate gross tonnage. But it believes it continues to be the largest society in terms of the number of vessels and offshore units in its class.

ABS has also held its position as the most favored classification society for new construction, a standing it has held for most of the last three years. The current order book is comprises 2,384 vessels aggregating 50.95 million gt.

“The continued strength of the newbuilding market, given the current global economic uncertainty, is surprising,” says ABS Chairman and CEO Robert D. Somerville. “New orders to ABS class continue to offset the uncommonly high level of deliveries providing a consistently high demand for our engineering and survey services and giving us the youngest fleet profile in our history.” More than 67 percent of the in-service ABS-classed fleet is now ten years of age or less.

Mr. Somerville says he believes that “superior service will remain the principle differentiator between the leading class societies, with ABS setting the standard.”

The latest fleet statistics show that ABS continues to hold the leading market share for newbuildings on order in both Korea and China, the world’s top two shipbuilding nations. The society is equally successful with shipowners with its 30 percent share of all Greek controlled tonnage on order clearly demonstrating its success in this most demanding market.

The recent establishment of a fifth operating division for Greater China, responsible for administering the society’s activities in the People’s Republic of China, Hong Kong SAR and Taiwan is the latest demonstration of the ABS commitment to superior service according to Mr. Somerville.

November 8,2010

  • News

Yacht skipper rescued, not shot

Illustrating the dubious reliability of stories from Somali sources, various media reports yesterday quoted eyewitnesses as saying that a South African had been shot and had died instantly when he refused to leave a hijacked yacht near the town of Barawe on the southern Somali coastline . The pirates then took two people, described by the witnesses as a woman and a boy, to a jungle hiding place. Some stories quoted a spokesman for Al Shabaab, which has been linked with Al Qaeda, as saying the the man’s body had been taken to a morgue.

The story was sufficiently plausible that South Africa’s Department of International Relations and Cooperation issued a statement saying that it “would like to confirm that the deceased person in a Somali hospital who is alleged to have been killed by the Somali pirates, as the media reports purport, is not a South African citizen. We are, however, with our international partners in Somalia, investigating the identity of the other two kidnaped individuals who are thought to be South African citizens. We will communicate more information as soon as our investigations are concluded.”

Here’s what actually happened according to Eu Navfor.

A South African yachtsman, who escaped capture by pirates when he refused to cooperate with them, was safely taken on board an Eu Navfor warship yesterday.

His yacht had been located by the Eu Navfor warship FS Floreal on November 6, when it was discovered to be sailing suspiciously close to shore. Despite numerous unsuccessful attempts to contact the yacht, including a flypast by the ship’s helicopter, no answer was received and the French warship launched her boarding team to investigate further.

Upon approaching, the team came under fire from the yacht and a Mayday call was received making it clear that pirates were on board and that the crew of three were under their control.

The FS FLOREAL remained in the vicinity of the pirated vessel. The yacht eventually ran aground near the shore during the early morning of November. As a result of the grounding, the pirates attempted to remove the three crew members ashore. The South African skipper of the yacht refused to leave his vessel and the pirates left with the remaining two crew members as hostages.

Once the pirates had left the yacht, the skipper was rescued by the Eu Navfor warship FS Floreal. He is confirmed as being safe and is currently on board another Eu Navfor warship.

The whereabouts of the other crew members is currently unknown, despite a comprehensive search by an EU NAVFOR helicopter.

November 8, 2010