DECEMBER 6, 2017 — Shipbuilder VT Halter Marine has launched Crowley Maritime Corp.’s second Commitment Class ship, Taíno, one of the world’s first combination container/roll on-roll off (ConRo) ships fueled by liquefied
JUNE 22, 2017 — Crowley Maritime Corp. has appointed company veteran Susan “Suz” Michel vice president of human resources and learning in a move that will bring all aspects of human capital
JUNE 13, 2017—Privately held Crowley Maritime Corp. has again been named as one of the Healthiest Companies in America by Interactive Health, a national leader for personalized wellness solutions. It’s the fourth
AUGUST 15, 2016 — Crowley Maritime Corporation has promoted veteran company executive Eric Evans to vice president of strategy, a newly-created position that will focus on facilitating long-term growth through external business
The total capacity of these vessels is just over 7 million deadweight tons (dwt), with a total current value of $4.5 billion (See Table 1: Value of U.S.-Built Shipping). Globally, the United States (as a shipbuilding nation) is ranked in 11th place (in terms of dwt) and a respectable sixth place behind South Korea, Japan, China, the Philippines, Germany, and Turkey in terms of the current value of the U.S. built fleet. Based on the volume of ships on the water, the most prolific U.S. shipbuilder has been NASSCO, San Diego, CA, a unit of General Dynamics. NASSCO also operates shipyards on the U.S. East Coast in Mayport, FL, and Norfolk, VA. As of mid-March, VesselsValue estimated the ships being built at NASSCO had values of around $900 million (this value excludes delivered ships). NASSCO recently launched the 53,700 dwt MR tanker Independence, which VesselsValue currently values at $133.45 million (this excludes a premium for the Jones Act). The Independence will be joined by two MR2 tankers on order at NASSCO for Seabulk Tankers. As of mid-March, NASSCO had four MR2 tankers on its order book for American Petroleum Tankers. 
The San Diego shipyard delivered two LNG-fuelled 3,100-TEU containerships, including the lead of the Marlin class, the Isla Bella, in November 2015 to Tote Maritime. The Isla Bella, along with its sister, Perla dela Caribe, are now operating between Jacksonville, FL, and San Juan, PR.
The only other U.S. shipyard with bulker, tanker, and gas carrier vessels currently on its order book is Philly Shipyard, Philadelphia, PA (formerly known as Aker Philadelphia Shipyard Inc.) Philly Shipyard has built product tankers, crude carriers, and containerships. The Philly Shipyard built fleet is currently valued at just over $1 billion. Its order book consists of eight 50,000 dwt MR tankers and this design has been classed by ABS as LNG Ready, which provides the owner with the flexibility to choose to convert the ship to dual fuel operation in the future.
In early May, Crowley Maritime Corporation christened the Louisiana, third of four LNG Ready product tankers at the Julia Street Cruise Terminal in New Orleans, LA.
Like its sisters, the 600 ft Louisiana is based on a proven design from Korea’s Hyundai Mipo Dockyards (HMD) design. It can carry crude oil or refined petroleum products, as well as other chemical products.
Construction management services were provided by Crowley’s marine solutions group, which provides oversight and management in shipyards across the country for Crowley and other third-party companies. Philly Shipyard also built the tankers Texas and Ohio for Crowley, and the fourth ship in the program is under construction with delivery planned for third quarter 2016.
“The christening underscores our continued commitment to building and operating innovative vessels that deliver the best possible service and efficiency for our customers who depend on us for safe and reliable transportation of petroleum products,” says Rob Grune, Senior Vice President and General Manager, Petroleum Services. “And, as is the case with its sister ships, we designed and built the Louisiana to have the capability to be converted to LNG propulsion in the future, increasing the likelihood of a long service life as new emissions regulations are developed in the years ahead.”
JONES ACT FLEET CONSIDERABLY OLDER THAN WORLD FLEET
It’s no secret that the U.S. Jones Act fleet is considerably older than the average age of the global, non-U.S.-built fleet. The current U.S.-built fleet has an average age of 33 years old versus 13 years old for the global fleet. The most recent ships produced by U.S. shipyards have been tankers and the average age of U.S.-built tankers is only five years older than the global fleet. However, there has been virtually no U.S. investment in bulkers (many of them are part of the Great Lakes fleet). The U.S.-built bulker fleet has an average age of 46 years old versus nine years old for the global fleet. Even a relatively modern ship type, such as containerships, the average age of the U.S.-built fleet is 32 years old, considerably older than the average of 11 years old for non-U.S.-built vessels.
TOP TEN U.S. SHIPOWNERS
According to VesselsValue, the Top Ten U.S. shipowners ranked by value control around half the capacity (48%) of the U.S. fleet (see Table 2. U.S. Shipowners Ranked by Fleet Value).
The Top Ten Shipowners are tanker companies or the tanker arms of oil majors. The current most valuable U.S.-operated fleet is that American Shipping Co., a Norwegian public company controlling a fleet of 10 MR2 tankers built by Philly Shipyard and leased out to OSG, which charters them out to Jones Act qualifying companies. VesselsValue estimates this fleet is worth $830 million. The second most valuable U.S. fleet belongs to new entrant American Petroleum Tankers, which is a subsidiary of Kinder Morgan Terminals, with its fleet operated by Crowley Maritime Corporation, Jacksonville, FL. This fleet will be supplemented by MR tankers currently on the order book of NASSCO. However, in the last 12 months, the U.S. order book has been very quiet, with no bulker, tankers or gas carriers ordered.
SALE AND PURCHASE ACTIVITY
If there is one area where U.S. shipping has been active, it’s been in the sale and purchase market. The dire dry bulk market is one of the driving forces behind Scorpio Bulker selling 25 vessels in the last 12 months (March 2015 to March 2016) for a combined value (at the time of sale) of $878 million (where the sale price is undisclosed, the VV Value the day of the sale is used). Altogether 88 vessels have been sold by U.S. owners for a combined value (where the sale price is undisclosed, the VV Value the day of the sale is used) of $3.4 billion (see Table 3: Sales by U.S. Owners).
Of course, under the Jones Act, U.S. companies cannot purchase foreign-built vessels to operate in Jones Act trade routes. This reduces the pool of potential purchases, which in the last 12 months (March 2015-March 2016) have been limited to eight vessels, including four MR tankers from Philly Shipyard purchased by Kinder Morgan for a reported $568 million (See Table 4: Purchases by U.S. Owners).
FEBRUARY 4, 2016 – Crowley Maritime Corporation’s tanker escort and docking services group in Valdez, AK, is celebrating over seven million man hours and more than six years since logging its last
NOVEMBER 25, 2015 — Crowley Maritime Corporation recently awarded Great Lakes Maritime Academy (GLMA) Cadet Michael Atwell a Thomas B. Crowley, Sr. Memorial Scholarship based on his strong academic record, leadership ability
Crowley’s Chairman, President and CEO Tom Crowley Jr., the grandson of the company’s founder, presented the award before more than 70 employees and senior leaders including two past recipients of the award, Bruce Harland, vice president, marine solutions, and Craig Tornga, vice president, government relations.
Mr. Ridge, a 30-year Crowley employee, was selected for the award because of his reputation for high performance. In his nominating letter, Crowley’s Captain Rod Jones, general manager, marine services, wrote: “David has proven his competence, loyalty and exemplary performance time and again, both aboard the vessels and in the office. Whether commanding Crowley assets half-way around the world or facilitating a training seminar in Valdez, his commitment to the core principles of safety, integrity and high performance have never waned. He projects an aura to those around him that not only instills confidence in his ability, but also trust in his judgement – a tireless and effective manager, who demonstrates daily the leadership skills he has honed over years of decision making in stressful situations.”
Mr. Ridge joined Crowley in 1984 as a mate, subsequently working aboard a variety of vessels operated by the company, including oil and cargo barges, offshore towing tugs, and ship assist and tanker escort tugs. In 1986, he was assigned master for Crowley’s military support service operating out of Sasebo, Japan, before transferring aboard Crowley’s harbor ship assist and tanker escort tugboat fleet in San Francisco Bay in 1987. He continued working aboard company tugs until 1996, when he changed roles again, as master of tow operations of Crowley’s 450 series barges transiting U.S. West Coast oil terminals. He came ashore as port captain in Seattle in 2005, and was later assigned to manager, marine operations, in Valdez, Alaska, for the ship assist and tanker escort contract with Alyeska SERVS in 2007. In 2014, he was promoted to his current position of director, marine operations, in Valdez.
“It’s not often that we see a tug captain come ashore,” said Mr. Crowley, on presenting the award. “It’s a difficult transition … I can’t think of a more difficult place to work [than Valdez.] Dave has taken a true leadership role there … in making sure the customer has confidence, that we are there to get the job done and to work with a great team. I congratulate him on his efforts.”
“I am honored to have received this award, but the recognition really should go to my team,” said Mr. Ridge. “Crowley is the most unique and worthwhile company I have ever had the pleasure of working for and it’s the people I work with who make me who I am. I share this award with them.”
The Thomas Crowley Award was created in 1985 and only 60 of the company’s more than 5,300 employees have received the award which symbolized by a limited edition bronze sculpture, which depicts company founder Thomas Crowley ferrying goods to and from ships on San Francisco Bay in the early 1890s.
Crowley’s Chairman, President and CEO Tom Crowley Jr., the grandson of the company’s founder, presented the award before more than 70 employees and senior leaders including two past recipients of the award, Bruce Harland, vice president, marine solutions, and Craig Tornga, vice president, government relations.
Mr. Ridge, a 30-year Crowley employee, was selected for the award because of his reputation for high performance. In his nominating letter, Crowley’s Captain Rod Jones, general manager, marine services, wrote: “David has proven his competence, loyalty and exemplary performance time and again, both aboard the vessels and in the office. Whether commanding Crowley assets half-way around the world or facilitating a training seminar in Valdez, his commitment to the core principles of safety, integrity and high performance have never waned. He projects an aura to those around him that not only instills confidence in his ability, but also trust in his judgement – a tireless and effective manager, who demonstrates daily the leadership skills he has honed over years of decision making in stressful situations.”
Mr. Ridge joined Crowley in 1984 as a mate, subsequently working aboard a variety of vessels operated by the company, including oil and cargo barges, offshore towing tugs, and ship assist and tanker escort tugs. In 1986, he was assigned master for Crowley’s military support service operating out of Sasebo, Japan, before transferring aboard Crowley’s harbor ship assist and tanker escort tugboat fleet in San Francisco Bay in 1987. He continued working aboard company tugs until 1996, when he changed roles again, as master of tow operations of Crowley’s 450 series barges transiting U.S. West Coast oil terminals. He came ashore as port captain in Seattle in 2005, and was later assigned to manager, marine operations, in Valdez, Alaska, for the ship assist and tanker escort contract with Alyeska SERVS in 2007. In 2014, he was promoted to his current position of director, marine operations, in Valdez.
“It’s not often that we see a tug captain come ashore,” said Mr. Crowley, on presenting the award. “It’s a difficult transition … I can’t think of a more difficult place to work [than Valdez.] Dave has taken a true leadership role there … in making sure the customer has confidence, that we are there to get the job done and to work with a great team. I congratulate him on his efforts.”
“I am honored to have received this award, but the recognition really should go to my team,” said Mr. Ridge. “Crowley is the most unique and worthwhile company I have ever had the pleasure of working for and it’s the people I work with who make me who I am. I share this award with them.”
The Thomas Crowley Award was created in 1985 and only 60 of the company’s more than 5,300 employees have received the award which symbolized by a limited edition bronze sculpture, which depicts company founder Thomas Crowley ferrying goods to and from ships on San Francisco Bay in the early 1890s.
The engine is the first of two 8S70ME-C8.2-GI units for delivery to VT Halter Marine, Pascagoula, MS, for installation in the two 2,400 TEU ConRo ships it is building for Crowley Maritime Corporation.
The vessels will be two of the world’s first LNG-powered ConRo ships, with container Lift-on/Lift-off (LO/LO) and vehicle Roll-on/Roll-off (RO/RO) loading. Designed to travel at speeds up to 22 knots, they will be 219.5 m long, 32.3 m wide and have a deep draft of 10 m. In addition to carrying 2,400 TEU of containers they will be able to carry nearly 400 vehicles in an enclosed Roll-on/Roll-off garage.
Crowley ordered the ME-GI engines, along with three MAN 9L28/32DF auxiliary engines for each vessel, in early-2014. The company selected the high-pressure, Diesel-cycle ME-GI engines because of their high efficiency and power concentration. The ME-GI’s ability to avoid derating, and its negligible methane slip, also contributed to its selection.
Crowley reports that the newbuildings will reduce the amount of CO2 emissions attributable to each container by approximately 38%.
The ships will meet or exceed all regulatory requirements and will have the CLEAN notation, which requires limitation of operational emissions and discharges, as well as the Green Passport, both issued by DNV GL.
The ME-GI engine
The ME-GI engine is the culmination of many years’ work, and gives shipowners and operators the option of utilizing fuel or gas depending on relative price and availability, as well as environmental considerations.
The ME-GI uses high-pressure gas injection that allows it to maintain the numerous positive attributes of MAN B&W low-speed engines that have made them the default choice of the maritime community. The ME-GI is not affected by the multiple de-ratings, fuel-quality adjustments or large methane-slip issues that have been seen with other dual-fuel solutions.
MAN Diesel & Turbo sees significant opportunities ahead for gas-fueled tonnage as fuel prices rise and exhaust emission limits tighten. Research indicates that the ME-GI engine delivers significant reductions in CO2, NOx and SOx emissions. Its negligible methane slip makes it even more environmentally friendly
An ME-LGI counterpart that uses LPG, methanol and other liquid gases is also available, and has already been ordered.
Factory Acceptance Test attendees pictured in front of the ME-GI engine at MES’s Tamano Works