DAILY SHIPPING NEWSLETTER

DAILY SHIPPING NEWSLETTER 2004 – 122

Number 122***DAILY SHIPPING NEWSLETTER***Monday 19-07-2004 THIS NEWSLETTER IS BROUGHT TO YOU BY :

VLIERODAM WIRE ROPES Ltd. wire ropes, chains, hooks, shackles, webbing slings, lifting beams, crane blocks, turnbuckles etc. Binnenbaan 36 3161VB RHOON The Netherlands Telephone: (+31)105018000 (+31) 105015440 (a.o.h.) Fax : (+31)105013843 Internet & E-mail www.vlierodam.nl [email protected]

The HELLESPONT TARRA was shifted from the M.O.T to the 7th Petroleum harbour by the tugs Smit Clyde, Smit Japan, Thamesbank and Fairplay 21 Photo : Hans de Jong Maritime Pictures ©

PSi-Daily Shipping News

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EVENTS, INCIDENTS & OPERATIONS

The CEMSEA (P3UD9) seen here arriving in Dordrecht July 13th , the former general cargo vessel is rebuilt into a cement carrier , owned now by CEMSEA Shipping Limasol (Cyprus) and managed by BRISE Bereedeungs GMBH in Hamburg, the CEMSEA is the former FLINTERLAND, which was renamed on April 29th 2004 Photo : Bram Plokker ©

Overzicht van scheepvaart in problemen door opstekend noodweer. Door : Kustwachtcentrum Den Helder Rond 13.44 uur zaterdagmiddag ontving het Kustwachtcentrum te Den Helder de melding dat er t.h.v. Vlieland een kitesurfer in de problemen zou zijn. Hierop zijn diverse reddingboten van de KNRM gealarmeerd alsmede een helicopter van de Kon. Marine. Uiteindelijk bleek het om een vlieger te gaan die in zee terecht was gekomen. Tijdens de zoekaktie werd er bericht ontvangen dat op ongeveer 18 kilometer uit de kust van Texel een man van een containerschip overboord was gevallen. Hierop is de helicopter onmiddellijk die kant opgegaan om te zoeken. De helicopter heeft de man gevonden. Uiteindelijk is de man veilig aanboord van een zoekend schip genomen en deze heeft hem teruggebracht naar zijn eigen schip. Voor zover bekend is de man in goede gezondheid. Rond 17.00 uur begon het opstekende noodweer in Zeeland. Het Kustwachtcentrum heeft veel meldingen ontvangen van pleziervaart op het Grevelingenmeer, de Ooster-Schelde, het Veerse meer en het Volkerak. Voor al deze akties zijn reddingboten ingezet. Ook hebben enkele reddingboten geassisteerd bij schepen in de problemen bij de Belgische kust. Omdat het noodweer van het zuidwesten naar het noordwesten over het land zou trekken, heeft het Kustwachtcentrum uit voorzorg alle reddingboten van de KNRM en de KNBRD voor het IJsselmeer, de randmeren, het Markermeer en de Waddenzee verzocht preventief te gaan varen en zich voor te bereiden op het slechte weer. Tijdens het passeren van het noodweer zijn er veel meldingen ontvangen van schepen in de problemen, daar de reddingboten reeds


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DAILY SHIPPING NEWSLETTER 2004 – 122 op het water waren, kon er tijdig assistentie worden verleend en is kans gezien iedereen veilig aan de kant te brengen. Er werd nog assistentie verleend op de Noordzee t.h.v. Egmond aan Zee, IJmuiden en Katwijk aan zee, op alle deze plaatsen waren schepen in de problemen geraakt. Bij Scheveningen en Hoek van Holland raakten vier schepen in de problemen. Rond 22.00 uur is het noodweer in noordoostelijk richting overgedreven en is de rust weergekeerd. Alle schepen die nog in de problemen waren zijn inmiddels veilig aan de kant of vervolgden hun reis. Ondanks de vele waarschuwingen van o.m. het KNMI die vanaf vrijdagavond al werden gegeven, is het onbegrijpelijk dat er nog zoveel pleziervaart werd overvallen door het noodweer. Tijdens de buien op de Zeeuwse en Zuid Hollandse wateren, het IJsselmeer, het Markermeer, de randmeren en de Waddenzee hebben totaal ongeveer 25 reddingboten van de KNRM, 7 reddingboten van de KNBRD en 5 particuliere schepen assistentie verleend aan veel schepen die vanwege het slechte weer problemen hadden. Dank zij de inzet van deze, veelal vrijwilligers zijn er geen slachtoffers te betreuren.

N. Korean Navy Denies Violation of Western Sea Border

North Korea on Saturday denied claims by the South Korean military that a North Korean patrol ship violated the northern limit line (NLL), the inter-Korean maritime border, in the West Sea on July 14. North Korea's naval command said in a statement that the announcement by the South's Defense Ministry about an intrusion by a North Korean ship into the South's territorial waters in the afternoon on July 14 was "totally a fake and a scam." "The false report of a North Korean intrusion into South Korean waters runs counter to efforts to ease tensions over the maritime border through rounds of bilateral military talks," said the statement broadcast by the (North) Korean Central Broadcasting Station.

TIGER SPIRIT PSi-Daily Shipping News

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DAILY SHIPPING NEWSLETTER 2004 – 122 Rivtow Marine Ltd. commissioned the Aquamaster docking tug, Rivtow Spirit a few years ago, for duty in the Port of Prince Rupert, B.C. The vessel was designed by A.G. McIlwain Ltd. of Vancouver. The bare hull of the tug was built by Sylte Shipyard Ltd., and the rest of the steel work, as well as the outfitting, was done by Pacific Shipyards Ltd. Completion of the underwater work was done by Allied Shipbuilders. The TIGER SPIRIT is the former RIVTOW SPIRIT Photo : Martin Kristiansen © The tug was a new type of shiphandling tug, with high engine power and bollard pull in a relatively small hull. Rivtow Spirit is a reverse tractor type tug, featuring twin Aquamaster US 1401 units installed in the stern, driven by a pair of 1,515-hp main engines.( total 3030 hp ) The bollard pull was measured to be 40 tons ahead and 38 tons astern. The Tiger Spirit dimensions are : Length 16 mtr , beam 8.1 mtr , speed 12.3 knots

Containership grounding gives Maersk firepower A costly grounding off Cape Town last year could give AP Moller Maersk control of 19 ships now in the hands of United States Ship Management (USSM). An arbitration panel in New York is scheduled to decide by 23 July whether USSM's alleged negligence in grounding the 2,700-teu Sea-Land Express (built 1970) last August constitutes material default of the vessel charter. Left : The SEA-LAND EXPRESS aground Photo : SMIT Salvage © Sources close to the arbitration say the panel previously rejected a USSM motion that contended that the grounding could not constitute material default. If USSM is now found to have been in material default, cross-default provisions of time charters could kick in and allow MaerskLine Ltd (MLL), the Danish owner's US-flag arm, to take direct control of all 19 ships. For three years Maersk has been fighting to take 15 subsidised vessels back and operate them directly, without US citizen-owned USSM as an intermediary. The Sea-Land Express arbitration thus gives Maersk a separate chance to achieve the same goal.


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DAILY SHIPPING NEWSLETTER 2004 – 122 In January a South African government inquiry criticised four USSM officers involved in the Sea-Land Express grounding. Salvage and repairs are said to have cost some $7m. In February the vessel struck a container crane at Newport News in the US Damage was estimated by the terminal operator at at least $1m.

SHIPYARD NEWS

U.S.-flag cruise newbuild construction starts in Germany Nils Nordh, executive VP corporate newbuilding NCL/Star Cruises July 16th pushed the start button of a computer cutting machine at Meyerwerft, Papenburg, Germany. His action marked the start of production of Pride of Hawaii. Depending on how you want to interpret things, this either the second ship in the Project America venture, or the second in a series of two luxury liners under construction for NCL at Meyer Werft--or both. Without digging too deeply into painful history, the original Project America would have seen two cruise ships built at Ingalls shipyard, Pascagoula, Miss. As we all know, things went wrong and NCL wound up buying the floating hull of the first and various materials and equipment that had already been bought for the second. The first ship was taken to Germany's Lloyd Werft for completion—where it suffered storm damage while being completed and sank up to deck three. NCL 's first ship into service for its U.S.-flag NCL America project was thus the reflagged and renamed Norwegian Sky, which is now the Pride of Aloha. On July 4, 2004, NCL president Colin Veitch announced the addition of a third U.S. Flagged ship to Hawaii to be delivered in the summer of 2006. The original ship towed to Lloyd Werft from Mississippi, the Pride of America, is now being completed and will now be delivered in June 2005 "The Pride of Hawaii is the second ship in the original Project America program and the third ship of the brand’s U.S.-Flagged fleet, joining Pride of Aloha and Pride of America," said NCL. It is this ship on which construction has now started. It is the second of two 92,000 gt ships ordered from Meyer Werft by NCL in September 2003. So, how does it also manage to be the "second ship in the original Project America program?" The material and equipment intended for that ship which NCL bought along with the hull of the first is reportedly being shifted from Lloyd Werft to Meyer Werft and some of it is being incorporated in the Pride of Hawaii. Pride of Hawaii will have a length overall of 294 metres and a breadth of 32.20 metres. It will have a speed of 25 knots and will be capable of carrying 2,376 passengers in more than 1,188 cabins. It will be delivered in Spring 2006.


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DAILY SHIPPING NEWSLETTER 2004 – 122 The Norwegian Jewel, the first ship in this series, will be delivered in summer 2005. The ships will be fitted with podded drives. The energy required will be generated by five diesel engines. The vessel will operate for the brand NCL America and will sail under US flag

Raad wil opheldering over overleving RDM De fracties van VVD, PvdA en SP in de Rotterdamse gemeenteraad hebben burgemeester en wethouders om opheldering gevraagd over de situatie bij het noodlijdende RDM Technology and Defense Systems. Nu het bedrijf in Rotterdam-Heijplaat het contract voor de productie van 612 Fennekverkenningsvoertuigen (waarvan 466 stuks voor de Koninklijke Landmacht) kwijt is, dreigt de werkgelegenheid voor 'enkele honderden hoogwaardige Nederlandse arbeidsplaatsen' in gevaar te komen. CDA-staatssecretaris C. van der Knaap van Defensie heeft eind vorige maand laten weten de order te gaan onderbrengen bij het Duitse Kraus-Maffei Wegmann (KMW). Hierdoor dreigt faillissement voor de RDM-tak die niet eens zo lang geleden een 'doorstart' maakte. VVD-raadslid T. Woudenberg bracht deze week een bezoek aan de RDM-fabriek op de Heijplaat. De Rotterdamse liberaal heeft vervolgens het college gevraagd of het bereid is bij Van der Knaap te bepleiten om het 'voor deze regio zo belangrijke werk' in stand te houden. Verder vraagt Woudenberg of b en w willen bevorderen dat het bedrijf en de productielijn van RDM, 'in welke vorm of onder welke leiding dan ook, mits uiteraard bedrijfseconomisch verantwoord, in stand wordt gehouden.' Tot slot wil de VVD'er weten of het Rotterdamse college andere mogelijkheden ziet om te bevorderen dat 'de opnieuw bedreigde werkgelegenheid toch kan worden behouden.' PvdA-raadslid E. Kuijper en haar SP-collega T. Cornelissen hebben b en w van Rotterdam op hun beurt gevraagd of de gemeente dan wel het Havenbedrijf Rotterdam bij de RDM-bedrijven betrokken zijn door middel van of een lening of een bankgarantie. Ook willen de twee net als Woudenberg weten welke mogelijkheden er zijn om de werkgelegenheid in Heijplaat te behouden.

ROUTE, PORTS & SERVICES THIS SECTION IS BROUGHT TO YOU BY :

TOTAL VESSEL MANAGEMENT K.P. van der Mandelelaan 34 - 3062 MB Rotterdam (Brainpark) - The Netherlands Telephone : (31) 10 - 453 03 77 Fax : (31) 10 - 453 05 24 E-mail : [email protected] Telex : 24390 wosh nl


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The latest new addition to the CMA CGM fleet the CMA CGM MOZART arrived during her maidentrip from Rotterdam in the port of Zeebrugge and departed again for Le Havre July 18th, the 72.500 DWT vessel is measuring 277 mtr in length and a beam of 40.0 mtr and is serving at the NCX Route. Photo : Piet Sinke ©

Castle Harlan buys Horizon Lines for US$650m CASTLE Harlan, a New York private-equity investment firm, has completed the purchase of Horizon Lines Holding Corp., a US container shipping company, in a transaction valued at approximately US$650 million. Castle Harlan acquired the company from The Carlyle Group, a private- equity investment firm based in Washington, DC, that bought the company from CSX Corporation in February 2003. Marcel Fournier, a Castle Harlan managing director, said senior management would remain in place and would continue to own an interest in the company. Horizon recorded revenues in fiscal 2003 of more than $830 million, up 9.6 per cent from the previous year, according to Mr Fournier. Castle Harlan, based in Charlotte, North Carolina, operates 16 vessels and approximately 21,700 cargo containers that handle 37 per cent of the marine container shipments from the US mainland to ports in Alaska, Hawaii, Guam and Puerto Rico.

Frontline gorges on buying spree The world's major tanker owner is solidly back in shopping mode. Oslo and New York-listed Frontline has burst into action buying seven tankers in a few days after having been out of the market for three years. The company, which had an aggressive growth policy from the late 1990s through 2001, has now confirmed the takeover of two VLCC newbuildings from Pertamina, two VLCC newbuildings from Dalian Sea Fortune and three single-hull suezmax tankers from General Maritime with a total investment of $409m.


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DAILY SHIPPING NEWSLETTER 2004 – 122 The last purchase was a $66.3m deal for the 149,000-dwt Genmar Transporter (built 1989), which was very recently involved in a collision in China Genmar Centaur (built 1990) and Genmar Traveller (built 1990) from US-listed General Maritime Corp, a deal brokered by RS Platou Shipbrokers in Oslo. The price appears somewhat higher than the $19.5m that Genmar fetched last month for the 146,000-dwt Genmar Harriet (built 1989).

Top : The FRONT STRIVER seen here passing the Bosphorus - Photo : Mehmet Yapici © The purchase spree could signal further deals from the world's largest tanker owner after its extended absence. The John Fredriksen-controlled company expanded rapidly by ordering a series of suezmax tankers and VLCCs and taking over the fleets of London&Overseas Freighters (LOF), Golden Ocean, ICB Shipping and Mosvold Shipping. But after the purchase of four new VLCCs from Bergesen DY in the summer of 2001, it went quiet. Fredriksen is understood to have been pushing for more deals but Frontline was distracted for a couple of years by turbulence in the Tanker International (TI) VLCC pool, which Frontline pulled out of in 2002. Last year Frontline spent substantial resources in preparing for the spin-off of its shipowning subsidiary, Ship Finance International Ltd, which started trading on the New York Stock Exchange this week.

Klaveness records sale profit

The Torvald Klaveness group of Norway is logging a $10m profit on the sale of its 51,000-dwt bulker Balao (built 2002). The ship is said to have gone to an undisclosed buyer for $28.5m. It was ordered at the Oshima shipyard for $18.5m. Last year Klaveness sold two sisters for $20m to $21m each.

Top : one of the Bulkers of the KLAVENESS Group the PROBO BARO – Photo : Coll. Piet Sinke


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DAILY SHIPPING NEWSLETTER 2004 – 122 The Balao has been up for sale for some time and Klaveness is said to have seen offers well over $30m at one point. Later it lowered its expectations and was said to be willing to accept $27m at the end of June. Sources say the ship was inspected by three potential buyers in Richards Bay but that another owner picked it up after having waived inspection. Shipowner Tom Erik Klaveness confirms that the ship is for sale but declines to say whether a deal has been struck. Cosco is said to have sold one of six 55,000-dwt bulker newbuildings it has inked at the domestic Nacks yard in 2002. The ship is set to arrive in May 2005 and is believed to have fetched $30.5m. Cosco is said to have ordered the series at $18.5m each

KOTC in $525m newbuild plans Kuwait Oil Tanker Co (KOTC) is splashing out big bucks on a newbuilding spree at South Korean shipyards. This week KOTC deputy chairman Ibrahim Al-Ghanim was quoted in Kuwaiti newspapers as saying that the company plans to spend an estimated $525m on two VLCCs, three products tankers and two LPG vessels. Al-Ghanim declines to answer any further questions or elaborate on the plans but TradeWinds has learned that Hyundai Heavy Industry (HHI), the world's largest shipbuilder, is set to win the lion's share of the order.

Top : KOTC’s AL SHEGAYA – Photo : Coll. Piet Sinke HHI is negotiating with KOTC to build the two VLCCs as well as the two very large gas carriers (VLGCs). Daewoo Shipbuilding and Marine Engineering, one of HHI's biggest competitors, is said to be the frontrunner for a contract to build one long-range two (LR2) and two long-range one (LR1) products tankers. Sources close to the two yards say no contracts have been signed and discussions are still ongoing. "Even the specifications for the ships have yet to be finalised," said one industry insider. Despite its busy orderbook, HHI is said to be capable of delivering the first VLCC by the end of 2006. The second ship will most likely follow early in 2007. Newbuilding brokers say HHI will only be able to deliver the VLGCs during the second half of 2007. While no prices for any of the HHI newbuildings have been disclosed, sources suggest KOTC could be paying close to $90m per ship for the crude carriers and about $70.5m each for the VLGCs. KOTC may have to wait a while longer for its products tankers from Daewoo. Brokers say the yard's orderbook is full until the end of 2007 and it is unlikely that it will be able to deliver the trio before early 2008. Newbuilding brokers say the current market price for panamax coated tankers is around $40m and for aframaxes it is approximately $53.5m. These estimates peg KOTC's total shopping spree at around $454.5m, a good deal less than the $525m suggested by Al-Ghanim. However, some newbuilding experts say that numerous factors,


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DAILY SHIPPING NEWSLETTER 2004 – 122 including design specifications and coatings, could influence final pricing. "Everything is still very much at the early stage, so it is difficult to say what the exact prices will end up being," said one observer. KOTC's investment is part of a fleet-renewal programme that it has been planning for several years. Improvements in the tanker and gas markets, as well as a demand for modern tonnage, have also helped the company to move ahead. However, noticeably absent from plans released by Al-Ghanim are a previously mooted aframax tanker and a couple of bunker ships. Earlier this year KOTC was said to be planning to sell off three late 1970s-built LPG carriers and three products tankers when replacement tonnage became available. KOTC was set up in 1957 and is a subsidiary of Kuwait Petroleum Corp. It handles around 18% of Kuwait's oil exports and operates a varied fleet of some 26 vessels with a combined capacity of over 3.5 million dwt.

Wereldhandel is centrale thema op Havendagen De Wereldhavendagen op 3, 4 en 5 september in Rotterdam hebben dit jaar het thema import en export. De organisatie wil duidelijk maken hoe talloze producten, waar mensen dagelijks mee worden geconfronteerd, te maken hebben met de Rotterdamse haven en haar bedrijven. Links : De SMIT stand gedurende de Wereldhavendagen van 2003.

Allerlei bedrijfspresentaties onderstrepen dit thema. Ook het excursieprogramma speelt hierop in met speciale thema-excursies. Bezoekers gaan een beetje 'op wereldreis in Rotterdam'. Ze kunnen naar op- en overslagbedrijven van fruit, zoals Seabrex en HIWA. Ook nieuw is een excursie door Rotterdam-Zuid. Naast de specifieke thema-onderdelen zijn de scheepsbezichtigingen, bedrijfspresentaties en spectaculaire demonstraties op het water weer in het programma opgenomen.

MOVEMENTS THIS SECTION IS BROUGHT TO YOU BY :

MULTRASHIP Towage & Salvage Scheldekade 48 4531 EH Terneuzen The Netherlands Tel : + 31 – 115 645 000 Fax : + 31 – 115 645 001 Internet [email protected] http://www.multraship.nl


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The HERMOD under tow of the HUSKY and the HIGHLAND COURAGE arrived in Rotterdam Photo : top : Aad Sinke © – below : Ruud Timmermans ©


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Tidewater’s BURCH WILLIAMS moored in the port of Darwin Photo : Hans Speij © The BURCH WILLIAMS (YJSK7) is built as the ACE NATURE in 1998 and was renamed BURCH WILLIAMS in 2002 , the 83.8 mtr long vessel is built at the Sterkoder shipyard in Kristiansund (Norway) under yard number 280 and is flying at present the Vanuatu flag

OLDIE – FROM THE SHOEBOX

The EXIRIA ( 6535 GRT) was built at the Bath Iron Works yard in Bath (Maine) and delivered to the owners, American Export Line in New York on February 13th 1942, the 138 mtr long vessel of the type C2-S-A1 completed a conversion in a troop carrier November 1943 at the Mc Nulty Shipyard in New York, and was able to transport 1130 troops, the ship was operated by the WSA the following years, in February 1946 the EXIRIA was delivered back to her owners. After a busy life after WW II the ship was scrapped in Valencia June 1968 Photo : Coll. Piet Sinke ©


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WW II – Victim of the day

On July 19th, 1943 during preparations prior the dry-docking whilst cleaning the tanks a heavy explosion occurd at the aft deck of the ARMILLA, it is not known if this explosion has to do something with the war, the incident happened in the port of Alexandria, The tanker was owned by the N.V. Nederlands-Indische Tankstoomboot Maatschappij Text / Photo : Hans van der Ster ©

…. PHOTO OF THE DAY …..


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The HERMOD passing Rozenburg bound for Keppel Verolme – Photo : Frits Janse ©

SMITWIJS TOWAGE B.V. Westplein 5b 3016 BM Rotterdam The Netherlands Telephone: +31 10 412 6969 Telefax:+31 10 436 9587 E-mail: [email protected]


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DAILY SHIPPING NEWSLETTER

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