Volume 3 – Issue no.4 - National Centre for Maritime Policy Research

MARITIME
NEWS DIGEST
(1-15 February 2015)
Volume: 03 Issue No: 04
01
01
6th Int'l Maritime Conference kicks off
Gwadar Port: Investors asked to hire
02
Local People
Alternative Fuel: Pakistan Likely to
03
receive First LNG Cargo by Month end
05
Construction of P3.87-B Strategic
Sealift Vessels from Indonesia Starts
Tanker Market will keep on climbing if
Tonnage Supply is kept under Control
Drydocks World sets New Record at
Dubai Shipyard
Suez Transit Toll Prices announced
05
06
07
08
12
LNG Supply seen falling after 2020 as
12
Oil Plunge Delays Projects
ONGC Awards Swiber Major Contract
13
to Build 8 New Offshore Gas Platforms
14
Hi-Tech Radar to bolster East Coast
Soon
New Nigerian Navy Warship Departs
South Africa on Way Home
'Navy keen to set up Training Base in
State'
US tarries on Aircraft Carrier Tech
21st Century is of the Seas: Navy Chief
14
16
17
18
22
24
16 Ships detained on Hours of Rest
24
Deficiencies in Paris MoU
Mariners take aim at Autonomous
25
Sailing “Buoy”
27
Turkish Environmentalists boycott Ship
27
Carrying Radioactive Waste
Sub Editor: Tabassum Naz
Maritime News of Pakistan
Pakistan Navy to be made a Formidable Force: Asif
From Editor's Desk
Source: Daily Times
14th Feb 2015
The biennial International Maritime Conference of
NCMPR is a trademark event. This year's Conference was
sixth in the series. Its topic "Maritime Economy,
Environment, and Security Co-operation: Bringing the
West Pacific and the Indian Ocean Closer" highlights the
union of the Western Pacific and the Indian Ocean in the
present times. Pakistan Navy obtained Observer status in
the West Pacific Naval Symposium in 2014. Moreover,
Admiral M Asif Sandila NI (M), then CNS, last year
attended the Indian Ocean Naval Symposium (IONS) in
Australia. Both these events symbolise that even for
Pakistan, the West Pacific and the Indian Ocean are
coming closer. The building of Gwadar Kashgar Corridor
and the Maritime Silk Route has similar implications.
KARACHI: Minister for Defence Khawaja Asif has said
that Pakistan Muslim League-N-led government will make
Pakistan Navy a formidable force in upcoming days to cope
with the challenges at high seas more efficiently.
Speaking to journalists during 6th International Maritime
Conference, he said that the present government would
ensure provision of every facility to Pakistan Navy for
making it powerful. He said that at this time our Navy is
facing piracy at high seas as well as challenges like climate
change and due to that the conference has become much
more important. "Pakistan Navy has tremendous
participation and active role against piracy at sea," he said.
When the readers will receive this issue of MND, the
Conference would be over. Let us pray that this year's
Conference is again successful and NCMPR's labour is
appreciated by all.
US Plans to work with Pakistan for Regional Peace
Source: Dawn
7th Feb 2015
WASHINGTON: A new US national security strategy,
which President Barack Obama sent to Congress,
underlines two key areas for engagement with Pakistan,
bringing stability to Afghanistan and maintaining peace in
South Asia. "We will work with the countries of the region,
including Pakistan, to mitigate the threat from terrorism
and to support a viable peace and reconciliation process to
end the violence in Afghanistan and improve regional
stability," he said. "We will continue to work with both
India and Pakistan to promote strategic stability, combat
terrorism, and advance regional economic integration in
South and Central Asia.
Mr Obama, who said that extremism was not unique to
Islam as other religions had this tendency, too, once again
dispelled the impression that the United States was fighting
a war against Islam. "We reject the lie that America and its
allies are at war with Islam," he said. The strategy paper
indicates that Washington intends to continue using
unmanned aircraft to target militants. "We endeavour to
detain, interrogate, and prosecute terrorists through law
enforcement. However, when there is a continuing,
imminent threat, and when capture or other actions to
disrupt the threat are not feasible, we will not hesitate to
take decisive action," it says. "We will always do so legally,
discriminately, proportionally, and bound by strict
accountability and strong oversight," it adds. The new
strategy places great importance on America's growing ties
with India and pledges to "unlock the potential" of this
relationship. But it also points out that "the scope of our
cooperation with China is unprecedented, even as we
remain alert to China's military modernisation and reject
any role for intimidation in resolving territorial disputes."
The new strategy informs Congress that "India's potential,
China's rise, and Russia's aggression all significantly
impact the future of major power relations". The 2015
National Security Strategy notes that as the world's largest
democracies, the United States and India "share inherent
Asaf Humayun
6th Int'l Maritime Conference kicks off
Source: Daily Times
15th Feb 2015
KARACHI: Federal Minister for Defence Khawaja
Muhammad opened three-day 6th International Maritime
Conference. The prime organiser of event is National
Centre for Maritime Policy Research (NCMPR), a
constituent unit of Bahria University, said a statement.
Experienced scholars attending Conference from Australia,
Canada, China, India, Sri Lanka, USA and United Nation's
Food and Agriculture Organisation would address.
Maritime
Economy,
Environment
and
Security
cooperation: Bringing the West Pacific and the Indian
Ocean Closer is the theme. Chief of Naval Staff Admiral
Mohammad Zakaullah and Director General of NCMPR,
vice Admiral Asaf Humayun (Retd) welcomed the guests.
Khawaja Asif emphasised on mutual cooperation and
efforts to enhance cooperation at sub regional and
international levels would address the development of
maritime security arrangements.
Chief of Naval Staff said the strategic and economic
vitality of the west pacific and the Indian Ocean compelled
regional states to enhance maritime cooperation beyond
traditional spectrum.
It is encouraging to see NCMPR had brought this
important area under focus and arranged the conference on
a very apt theme. The discourse on brining the west pacific
and Indian Ocean closer is an admirable idea which will
help in analysing the perceptions and perspectives about
the changing socio-political, economic and environmental
scenario.
1
values and mutual interests that form the cornerstone of
our cooperation".
"We support India's role as a regional provider of
security and its expanded participation in critical regional
institutions," President Obama said in the note he sent to
Congress. "We see a strategic convergence with India's Act
East policy and our continued implementation of the
rebalance to Asia and the Pacific." But at the same time, he
also pledged to work with India and Pakistan to improve
their ties. The most important shift highlighted in this
document, deals with US military presence in foreign
lands. "Globally, we have moved beyond the large ground
wars in Iraq and Afghanistan that defined so much of
American foreign policy over the past decade," Mr Obama
said, noting that when he entered the White House, the
United States had nearly 180,000 troops in Iraq and
Afghanistan but now it had fewer than 15,000. The new
strategy also identifies countering extreme and dangerous
ideologies, keeping nuclear materials from terrorists and
preventing the proliferation of nuclear weapons as its top
priorities.
Ahmed Shah of LUMS presented their papers. Admiral
Shahid Karimullah (Retd), former chief of the naval staff,
was the guest of honour. During the trade and economy
session, Commodore Syed M Obaidullah (Retd) talked
about Indo-Pacific as a super maritime region of the 21st
Century whereas Dr Azhar Ahmad shed light on the
Gwadar-Kashgar corridor and its impact on the region.
Federal Secretary Climate Change Division Arif Ahmed
Khan was invited as the guest of honour. Dr Ghulam Rasul,
Chief Meteorologist, discussed the socio-economic impacts
of increasing tendency of typhoons and cyclones. Whereas
Dr Yimin Ye from Food and Agriculture Organisation
(FAO) Headquarters gave a comparison of fisheries
management between the Northwest Pacific and the West
Indian Ocean regions. Captain (R) Tariq Masood, Director
NCMPR, talked about the ship breaking industry of
Pakistan and how it could be made environmentally safe.
Foreign delegates, local dignitaries, government
officials, experts of maritime sector, academia and naval
personnel were in attendance on second day of the
international maritime conference.
Gwadar Port: Investors asked to hire Local People
Footprints: Lost at Sea
Source: Express Tribune
6th Feb 2015
Source: Dawn
8th Feb 2015
ISLAMABAD: A seminar was organised by the Gwadar
Chamber of Commerce and Industry in collaboration with
the Federation of Pakistan Chambers of Commerce and
Industry, which was attended by ambassadors, diplomats
and industrialists from all provinces. The speakers termed
Gwadar a 'golden opportunity' for long-term investment
and urged investors to keep in mind the local people and
give them employment opportunities in projects to make
their investments secure and sustainable. They said
Balochistan is rich in mineral and natural resources. It just
needs a detailed purpose-oriented survey to develop
feasibility of the actual worth, quality and quantity of these
resources. The speakers also suggested that the port be
declared a tax-free zone to attract investors and donors,
Afghan transit trade be shifted to the port to make it fully
operational.
"There are around 238 Pakistani fishermen languishing
in Indian jails for longer than the set punishment of three
months for trespassing into alien territory. But even after
the passing of that time, they are not deported and kept
there while being treated like criminals. Children among
them are the most vulnerable. They are not the same after
returning from Indian jails. They are quiet most of the time
and it seems that they have just forgotten how to smile,"
says Gulab Shah, who works for the Pakistan Fisherfolk
Forum (PFF).
In Thatta's Goth Yaqoob Katiar, six homes, including
the two children's, wait for the return of the fishermen lost
at sea. Most Pakistani fishermen arrested by the Indian
coastguard belong to Thatta (only 25 hail from Karachi) as
Sir Creek, the disputed territory off India's Gujarat can be
accessed from here only. "Of course, when at sea you can
always drift into Indian waters and not know it but
eyewitnesses have reported seeing Indian boats come into
Pakistan's Kajhar Creek to take away the fishermen with
their boats from there as well. They are in full force here.
They have boats, hovercraft and even helicopters patrolling
their Kori Creek while Pakistan barely has a presence of
that sort out here," the social worker says.
"Unless another fishing boat witnesses what has
happened, there is complete information blackout when a
boat first goes missing around here. They could also have
had an accident like we had assumed about the fishermen
going missing during the 1999 cyclone," says Gulab Shah.
"But then the lucky ones deported from India come back
with news of finding them in Indian jails.
Many fishermen caught also require establishing their
nationality. For instance, the children from here obviously
don't have a computerised national identity card. That's
when the PFF comes into action to complete their
documentation, which they hand over to the Fishermen
Cooperative Society to be forwarded to India so that they
Maritime Economy, Environment remain in Focus
on 2nd Day
Source: Pakistan Today
15th Feb 2015
Some 52 billion dollars have been pledged for many
infrastructural projects in Pakistan, out of which $32
billion is to be exclusively spent on energy projects in the
next five years. If this materialises, Pakistan will become
one of the largest recipients of Chinese outbound
investment, claimed Pakistan-China Institute Executive
Director Mustafa Hyder Sayed.
The event has been organised by National Centre for
Maritime Policy Research (NCMPR) in collaboration with
Pakistan Navy. The second day of the conference began
with the security session in which Zhiyong Hu from China,
Rear Admiral (R) Dr Rakesh Chopra from India, Rear
Admiral JJ Ranasinghe from Sri Lanka and Prof Sikander
can be repatriated to their country.
Yaqoob Katiar, the village elder after whom the goth has
been named, himself has his only son, 17-year-old
Habibullah, behind bars in India. "He appears in my dream
sometimes and asks me to pray for him," says Yaqoob's
ageing wife and Habibullah's mother, Aina Bibi.
"My son Ali Akbar has us all, including his wife and five
children, awaiting his return," says Jannat Bibi, another
mother whose daughter-in-law and missing son's wife,
Zeenat, says that the children keep asking her when their
father is coming back. "They think he is still on a fishing
trip. They don't understand. And sometimes when they
don't stop asking me about what's taking him so long, I just
break down. That's when the questions stop and we all
have a good cry together," she says.
"And with no MPA or MNA here to answer their queries
about what is happening about the matter at the
government level, these helpless people turn to us. Hearing
of their pain, it is sometimes difficult even for us to hold
back our tears," says Gulab Shah.
pacificus), also known as 'tropical bottlenose' or IndoPacific beaked whale. It's the first time that the species was
sighted in the northern Arabian Sea. The endangered
species is the rarest and the least known member of the
beaked whale family. The Khobar creek is about 150km
away from Karachi.
The Mangroves of Karachi — facing an Existential
Threat?
Source: Express Tribune
2nd Feb 2015
The most visible and delicate ecosystem of Karachi, a
city with a profound coastal environment, is that of the
mangrove forests that thrive in the mingled salt and
freshwater where the Indus River meets the Arabian Sea.
These forests, however, are under existential threat for a
number of reasons, particularly along the city coastline.
There is untreated municipal waste and industrial pollution
causing still-undetermined amounts of damage, there is
exploitation of the trees by the area's communities for use
as firewood, building material and fodder and, most
alarmingly, there is the chopping down of the forests to
make way for coastal development projects.
Gwadar, Zhuhai named Twin Cities
Source: Dawn
12th Feb 2015
Alternative Fuel: Pakistan Likely to receive First
LNG Cargo by Month end
GWADAR: A memorandum of understanding (MoU) was
signed between Chinese and Pakistani officials to declare
Gwadar and Zhuhai (China) twin cities. Zhuhai Vice Mayor
Wang Qingl Li, Zhuhai Port Authority director general
Hauang Wen Zhong, Gwadar District Council Chairman
Babu Gulab and Gwadar Port Authority head Dostain
Jamaldini put their signatures on the MoU at a ceremony
held. Briefing the Chinese delegation on Gwadar, Mr Gulab
and Mr Jamaldini said the city had a small population of
6,000 in 1903, which increased to 45,021 – according to
the 1998 national census – and now stood at 85,000.
Under the Gwadar Master Plan, they said, several
development projects were being executed in the city,
including those of hospitals, schools, roads and a dam.
Mr Jamaldini said the Board of Revenue and the Board
of Investment were working on a plan to declare Gwadar
tax-free zone. Under the plan, investment in power, water
and infrastructure projects to be executed within 30km
radius of Gwadar deep-sea port would be exempted from
tax. The facility will also apply to products manufactured in
the Gwadar industrial zone. Later, the 13-member Chinese
delegation visited Gwadar free trade zone, Gwadar hospital
and other projects. The Vice Chairman of the District
Council, Naimatullah Hoat and GDA Director General
Sajjad Baloch accompanied the guests.
Source: Express Tribune
8th Feb 2015
ISLAMABAD: Qatar has assured Pakistan of the delivery
of first liquefied natural gas (LNG) cargo by the end of the
current month. Earlier, both the countries had agreed on
all the clauses of the contract including the volume and
contract terms, official sources told. However, the two sides
have yet to decide on the price. Once the country quotes its
price for LNG, Prime Minister Nawaz Sharif will likely visit
Doha in order to seek a discount from the King of Qatar.
Officials familiar with the development said Pakistan and
Qatar had agreed on the supply of 400 million cubic feet of
gas per day (mmcfd) this year. Earlier, Pakistan was
supposed to import 200 mmcfd in the first year and 400
mmcfd in the second year. The two sides have also agreed
on a 15-year supply contract.
Let's Celebrate Karachi's Coastal Ecosystem
Source: Express Tribune
8th Feb 2015
A significant percentage of major global cities are
coastal cities as they act as hubs of national trade,
commerce and finance. They also offer multiple forms of
recreation that an inland city cannot, including beaches,
sensitive coastal ecosystems and fishing. With growing
awareness that global challenges such as climate change
seriously threaten coastal cities -their sensitive ecosystems
and their people-various measures are being taken to
protect and conserve coastal land and resources against the
likely threats of rising sea levels and increase in coastal
calamites. While the relevant government departments fail
to take any initiative and the private sector also has not
Rare Whale Successfully released in Pakistani
Waters
Source: Dawn
13th Feb 2015
KARACHI: A rare whale that got entangled in fishing net
in waters about 122 nautical miles off the Khobar Creek
was successfully released by fishermen recently, it
emerged. The species about four metres long was later
identified as Longman's beaked whale (Indopacetus
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considered investing in such a venture; exciting, innovative
and workable conceptual and design ideas are coming from
the academic realm.
One such project is the final-year thesis, Aquaria
Complex, prepared by Anam Yamin, a Dawood University
of Engineering and Technology Department of Architecture
student. The proposed Aquaria Complex, a commercial and
educational theme park, is aimed to serve as a complete
recreational space for all age groups, displaying marine
animals and plants; particularly oceanic, pelagic, fishes and
mammals. In addition, the facility is also designed to serve
as a space for facilitating education and scientific study.
Another fact that needs to be highlighted here is that not
just this design project but many other innovative and well
researched academic projects are being prepared in the
academic institutes of higher learning in Karachi.
five major coal-based projects previously planned for
Punjab had been dropped for the time being, except the
1,360MW plant in Sahiwal, because so much reliance on
imported coal required huge investments in port facilities,
excessive expenditures on upgradation of Pakistan
Railways and, on top of all, environmental concerns and
longer time required to complete the exercise.
Moreover, the coal-based projects attracted investments
only from China, while investors from all over the world
showed interest in LNG-based projects.
LNG Demand: Brunei and China join Race, Show
Interest in Gas Export
KARACHI: The Model Customs Collectorate of Port
Muhammad Bin Qasim has collected revenue amounting to
Rs 18.41691 billion in the month of January 2015 against
its set target of Rs 23.71469 billion with the shortfall of Rs
5.29798 billion in terms of revenue achievement against its
set target during the fiscal year2014-15.
According to statistics, the MCC Port Muhammad Bin
Qasim has collected an amount of Rs 5.43529 billion in
share of Custom Duty against its set target of Rs 5.77247
billion in the month of January 2015 with the shortfall of
Rs 337.18 million. The MCC Port Muhammad Bin Qasim
has collected an amount of Rs 203.69 million in share of
Federal Excise Duty in the month of January 2015 against
its set target of Rs 248.40 million with a shortfall of Rs
44.71 million. Similarly, the MCC Port Muhammad Bin
Qasim has collected an amount of Rs 2.45988 billion in
share of Income Tax during the month of January-2015
against its set target of Rs 3.11912 billion with a shortfall of
Rs 659.24 million.
The sources informed Customs Today that the Collector
MCC Port Muhammad Bin Qasim Surriya Butt has asked
the officers of the Collectorate to ensure achieving the
revenue targets in all means and take effective steps in this
regard. It is pertinent to mention here that it was the first
time that the MCC Port Muhammad Bin Qasim has missed
revenue targets in all revenue heads including Customs
Duty, Sales Tax, Income Tax and Federal Excise Duty.
Customs Falls Short of Overall Revenue Target by
Rs 5.29798b in Jan at PQA
Source: Custom Today
5th Feb 2015
Source: Express Tribune
8th Feb 2015
ISLAMABAD: Seeing a handsome opportunity to cash in
on Pakistan's growing energy appetite, state-owned energy
companies of Brunei Darussalam and China have offered
multibillion-dollar deals for the supply of liquefied natural
gas (LNG) in a government-to-government contract.
Separately, Pakistan is close to sealing an LNG import
agreement with gas-rich Qatar to bridge the widening gap
between demand and supply of energy.
According to officials familiar with the development, PB
Trading Sendirian Berhad, a wholly-owned subsidiary of
Brunei National Petroleum Company Sendirian Berhad
also known as Petroleum Brunei, a national oil company,
and Petro China, one of China's largest petroleum
companies, have expressed interest in exporting LNG to
Pakistan.
In addition to these, officials said, Pakistan would
explore the possibility of importing LNG from countries
like Australia, Nigeria, Indonesia, Algeria, Russia and
Oman, which are exporting gas to many countries of the
world. Malaysian firm Petronas and Russia also aspire to
supply LNG to Pakistan in a government-to-government
arrangement. However, they have made it clear that they
will be able to provide gas only after two years.
Arabian Sea Imposes a Threat to Karachi and
Coastal Cities of Sindh
LNG replacing Imported Coal to Generate Power
Source: Pakistan Tribe
10th Feb 2015
Source: Express Tribune
5th Feb 2015
ISLAMABAD/KARACHI: Standing committee of
ISLAMABAD: The government said that it had put on
hold all power projects based on imported coal, except one
in Sahiwal, and would instead set up LNG-based plants of
3,600MW in major load centres of Lahore, Multan and
Faisalabad at a maximum generation cost of Rs8.85 per
unit. At a background briefing, a senior official told that
the country's future and energy security depended on
domestic coal and hydropower generation because of its
stable-to-declining costs over the longer run, but the shortterm solution to the energy crisis had now been put on a
project which would use liquefied natural gas. He said the
Science and Technology cleared reported in Senate that
Karachi and major part of Sindh will be drown in sea till
2060 as the sea is advancing towards Karachi.
According to details the committee was told that Badin
and Thatta will drown by 2050 and Karachi by 2060 if
immediate steps were not taken to check sea intrusion
along the coastal areas of Sindh. The committee presided
by Prof Sajid Mir was also informed that United Nations
(UN) programme of environment control had listed
Pakistan in those countries which will be effected by the
increasing surface of sea.
4
Ports & Shipping
Navy: Construction of P3.87-B Strategic Sealift
Vessels from Indonesia Starts
joined ClassNK's register in 2014, marking the fourth
straight year that the Japanese classification society
registered over 20 million in new tonnage. ClassNK's
growth in 2014 comes in spite of a global downturn in the
market which has seen newbuilding deliveries fall by an
estimated 15% according to Clarkson Research Services.
ClassNK registered a total of 548 newbuildings with a
combined total of over 16 million gt, or more than 25% of
all newly built tonnage in 2014 based on Clarkson's figures.
Growth was also driven by transfers from other societies
which reached a record 285 vessels in 2014, including
ClassNK's first US-flagged and German-flagged vessels.
Continuing trends from previous years, European
shipowners, led by German and Greek owners, accounted
for roughly half of all transfers to the NK register in 2014.
Source: Philstar
1st February 2015
MANILA PHILIPPINES: The construction of the
strategic sealift vessels to be acquired by the Philippines
from Indonesia has started, in a move that will bring the
Navy closer to its goal of improving its capabilities. Navy
Public Affairs Chief Cdr Lued Lincuna said a steel-cutting
ceremony marking the start of the construction of the ships
was held in Surabaya, Indonesia last January 22."These
forthcoming landing platform dock strategic sealift vessels
will improve the capacity of the Philippine Navy and boost
the defense capabilities of the country," Lincuna said in a
statement.
"These vessels are critical assets for civil-military
operations due to their capability of transporting large
number of soldiers, logistics, and supplies," he added. The
vessels can transport supplies and a large number of
soldiers and can be used for humanitarian assistance and
disaster response. They will serve as the Navy's floating
command center when conducting operations. Each vessel
can accommodate three helicopters. Lincuna said the
Navy's Augusta Westland-109 helicopters would be placed
on board the ships. The Navy is expecting the first vessel to
be delivered by May 2016.
Eastern Pacific
Demolition
sends
Third
Capesize
Japanese Shipyard Reports Orders for 20,000 TEU
Ships
Source: Journal of Commerce
2ND February 2015
Japan's Imabari Shipbuilding Co., Ltd. says it has
secured orders for 11 containerships with capacities of
20,000 twenty-foot-equivalent units, and is adding a large
dry dock for their construction. Imabari did not identify the
carrier that placed the orders but said it was an overseas
shipowner, and that the order was secured with the
cooperation of Japan's Marubeni Corp. The ships would be
the first of 20,000-TEU capacity. Currently the largest are
the Mediterranean Shipping Co.'s 19,224-TEU MSC
OSCAR and China Shipping's 19,100-TEU CSCL GLOBE
other carriers are preparing to add ships close to this size.
Evergreen said this month it had finalized plans to charter
11 ships of 18,000-TEU capacity. The Wall Street Journal
reported this week that Maersk Line is talking with
shipyards about orders for 10 ships of up to 20,000-TEU
capacity. Maersk led the way into the latest generation of
container ships in 2011 when it ordered its first of 20
Triple-E ships with capacities of more than 18,000 TEU.
for
Source: Tradewinds
2nd February 2015
Idan Ofer's Eastern Pacific sends its third capesize
bulker in a week to the torch while Greek owners offload
1990s built tonnage Idan Ofer is taking the lead in a rush to
sell capesize bulkers for demolition. His Eastern Pacific has
sold as many as three units in one week, according to
sources. The freight market for the biggest bulkers remains
abysmal and incapable of covering owners' operating costs.
This week, six capesizes, all built in the 1990s, are
understood to have been sold for torching. It means a total
of nine units have been disposed of in January alone versus
24 in the whole of 2014.
Two Greek owners have also sold capesizes for recycling
this week. Carras (Hellas) has sent the 161,000-dwt
AQUADONNA (built 1995) for demolition in Pakistan for
$417 per ldt, or $8.4m. Meanwhile, US-based Icon Capital
Corp has sold two containerships that have been on longterm charter to Zim for demolition.
Daewoo Shipbuilding wins US$200 mln Order for
Oil Carriers.
Source: Yonhap
2nd February 2015
Daewoo Shipbuilding & Marine Engineering Co., the
world's second-biggest shipyard, it has signed a deal
totalling US$200 million to build two crude oil carriers for
Greece's Maran Tankers Management. The contract is for
two 319,000-ton oil tankers, Daewoo said without
specifying the delivery date, citing a confidentiality
agreement with the Greek company. Maran Tankers
Management is an affiliate of Greece's biggest shipper
Angelicoussis Group. With the latest deal, the South
Korean shipbuilder has obtained orders for six ships worth
an estimated $1 billion so far this year.
ClassNK Overshoots 20 Million New Tonnage Mark
Source: World Maritime News
2nd February 2015
833 new vessels with a combined total of 21,466,272 gt
5
ABB wins Milestone Contract with China's Leading
LNG Shipyard
Mild Shift in Ship Speeds Expected
Source: world Maritime News
3rd February 2015
Source: ABB
3rd February 2015
A mild shift in the speeds of containerships, especially
on the head-hole, can be expected as new liner mega
alliances endeavor to speed up their transit times,
according to UK shipping consultant Drewry. Aiming to
polish up their brands, liner giants that have joined their
operating pools are likely to speed up so as to attain greater
performance reliability, which has spiraled down over the
past few months. The latest data from Drewry shows that
the aggregate on-time performance for the Asia-Europe,
Transpacific and Transatlantic trades dropped to 58% in
December, down from 62% in November and 64% in
October. The gentle shift toward higher speeds is likely to
be influenced by the oil price drop as well. However,
structural overcapacity will remain a barrier in how much
can these speeds be accelerated since there is not enough
cargo to satisfy the number of existing ships, especially
having in mind their ever increasing size. As a result,
Drewry believes that despite the shift, dropping of slow
steaming practice is not an option since there is not enough
cargo to resort to full designer speeds.
ABB will provide advanced electrical propulsion
systems for four LNG carriers built by Hudong-Zhonghua
Shipbuilding Group. ABB, the leading power and
automation technology group, announced that it will
deliver advanced electrical propulsion systems for four
LNG carriers under construction by Hudong-Zhonghua
Shipbuilding (Group) Co., Ltd. The LNG vessels are a joint
venture between China National Offshore Oil Corporation
(CNOOC), China LNG Shipping (Holdings) Limited
(CLNG) and Teekay, and will operate under 20-year timecharter contracts with Methane Services Limited, a wholly
owned subsidiary of BG.
As a leading supplier of electrical systems for the
marine industry, ABB continues to deepen cooperation
with customers like Hudong-Zhonghua Shipbuilder and
utilize our rich industrial experience and technical
expertise to support the further development of China's
shipbuilding industry," says Heikki Soljama, Managing
Director for ABB's Marine and Ports business. For the
marine industry, ABB's extensive product portfolio also
includes electrical control systems for the LNG liquefaction
process, waste heat recovery systems for container ships,
turbochargers for marine diesel and gas engines and
services to optimize asset performance, such as remote
diagnostics to ensure highest possible level of uptime.
Tanker Market will keep on climbing if Tonnage
Supply is kept under Control
Source: Hellenic Shipping News
4thy February 2015
As has always been the case in shipping, the very good
start into 2015 by the tanker market has been a boon for
tanker owners. Rates are more than healthy and the
general consensus among analysts is that the outlook, at
least for this year is favorable. However, with oil prices
poised to stage a comeback sometime later in the year and
more ships entering the market, owners will have to be
careful when moving forward with the acquisition of more
units in their companies' fleet. According to the latest
weekly report from Poten & Partners, "there is an
expectation that a significant number of large crude oil
tankers will be employed in floating storage as a result of a
widening contango in the oil markets. As these vessels
leave the spot market, spot rates will experience another
boost.
Japan's Shipping Heavyweights stay in Black
Source: World Maritime News
3rd February 2015
Japan's shipping trio Nippon Yusen Kabushiki Kaisha
(NYK Line), Mitsui O.S.K Lines (MOL), and Kawasaki
Kisen Kaisha ('K' Line) have recorded profits for the nine
months ending December 31, 2014, with MOL being the
only carrier to record lower profit than in 2013. All three
carriers benefited from lower bunker costs, but also said
that congestion at the U.S. West Coast ports is hurting their
overall container volumes and raising costs in trans-Pacific
container services. NYK Line posted around USD 269
million net profit for the nine-month period, a 0.3%
increase compared to the same period last year. The
company says the increase is modest due to factors
including provisioning of reserves for antitrust-related
losses. Liner trade revenue increased by 12.4% to YPY 515.4
billion (USD4.38bn), even though additional expenses
were caused by unexpected reduced sailings and shortage
of tonnage triggered by port congestion in the West Coast
of North America. NYK Line raised its full-year forecast for
the fiscal year ending March 31, 2015, saying that it expects
to see USD 370 million net profit, with weaker yen and
lower bunker prices being the main reasons for the
increase. MOL reported USD 206.9 million net income for
the nine months ended December 31, 15.7% percent less
than USD 244.8 million earned in 2013. MOL attributed
the decline to stagnating economies of both developed and
emerging countries, with the exception of the U.S.A.
DP World's Volume Growth beats Expectations
Source: World Maritime News
4th February 2015
DP World Limited's gross container volumes grew by
8.9% on reported basis and 8.0% on a like-for-like basis
during 2014, the latest figures show. Namely, DP World
handled 60 million TEU (twenty-foot equivalent units)
across its global portfolio of container terminals during
2014. DP World said that the growth in 2014 was largely
driven by the Asia Pacific and India Subcontinent region,
Europe and UAE terminals. The UAE handled 15.2 million
TEU, representing growth of 11.8% for the year, whereas
Europe showed a solid return to volume growth in 2014. At
6
a consolidated level, DP World's terminals handled 28.3
million TEU during 2014, a 9.5% improvement in like-forlike performance. On a reported level, the growth rate of
8.7% in consolidated volumes reflects the deconsolidation
of Hong Kong assets in June last year, the company
explained. "With volume growth of 8.9% in 2014 we believe
we have once again outperformed the expected 2014
market growth of approximately 5%," said DP World's
Chairman Sultan Ahmed Bin Sulayem.
According to Sultan Bin Sulayem, the company is
expected to meet full year market expectations given the
strong volume performance in 2014. DP World will be
adding new capacity this year in The Netherlands, Turkey,
India and The United Arab Emirates. "Although some of
our terminals continue to operate in a challenging macro
environment, market conditions across the portfolio are
expected to be generally favorable in 2015. This coupled
with the addition of new capacity, stands us in good stead
for volume growth in line or slightly ahead of the market
this year," he concluded.
behavior of the asset prices for the 5-YR and 10-YR old
vessels, there was a clear differentiation in velocity of price
movements. Hence, as determined, the older vessels
outperformed their younger counterparts when prices were
increasing, but also experienced more negative volatility in
market downturns.
Drydocks World sets New Record at Dubai
Shipyard
Source: Hellenic Shipping News
5th February 2015
Source: TradeArabia News Service
4th February 2015
As the dry bulk market has been suffering of late and
flirting with historical lows, demand for newbuilding
bulkers has plummeted as well, at least until prices quoted
from shipyards follow a similar course. As such, overall
demand for newbuildings has remained at stable, albeit low
levels. In its latest report, shipbroker Clarkson Hellas noted
that" Clients of Maran Tankers have placed an order for
two firm 319,000 DWT VLCCs at DSME for delivery in
2017. In November, Clients of Maran were reported to have
swapped two orders among total four VLCCs at DSME into
174,000 CBM LNG Carriers. Arab Maritime Petroleum
Transport (AMPTC) in Egypt has contracted two firm plus
two optional 158,000 DWT Suezmax Tankers with HHI.
These vessels are understood to be coated and will be
delivered throughout 2017.The Container market has seen
a single order this week, with Imabari Shipbuilding in
Japan announcing a contract for eleven firm 18,000 TEU
Container Carriers with Shoei Kisen Kaisha. These vessels
will be delivered throughout 2018 and 2019 from Imabari's
Marugume yard and will go on a long term charter to
Evergreen in Taiwan. Finally in Gas, Mitsubishi Heavy
Industries have announced an order for two firm 177,000
CBM LNG Carriers at their Nagasaki yard. The first vessel
is set for delivery in 2018 to NYK Line and the second
vessel is set for delivery in 2019 to Mitsui O.S.K. Lines.
MOL Car Carrier Rescues Drifting Fishermen
Source: MOL
5th February 2015
The MOL operated car carrier ASTRAL ACE found drifting
castaways near Malay Peninsula in the South China Sea,
and was able to safely rescue two Malaysian and three
Indonesian fishermen. The members were turned over to
the Malaysian Maritime Rescue Coordination Center.
Newbuilding Orders on Stable Mode as Ship
Owners take a look at the Economy
Drydocks World, an international service provider to
the shipping, offshore, oil, gas and energy sectors, has set a
new record by currently having nine rigs at the Dubai
shipyard. Khamis Juma Buamim, chairman of Drydocks
World and Maritime World, said: "Drydocks World is
proud of our ability to provide solutions to any technical
challenges and offer clients the services that fully meet
their requirements." "Our continued improvements on the
advanced state-of-the-art facilities provides on stop
solutions to the projects. We ensure the integrity and safety
of all personnel and projects, providing operational
efficiency while mitigating all risks," he said . "Our services
have evolved with the needs of the industry and our proven
ability to accommodate nine rigs demonstrates the
extensive infrastructure and world-class capabilities of
Drydocks World stressing that the Group's strategy is clear
and based on total development, innovation, technical and
engineering creativity," he added. Drydocks World has
expanded its operation by establishing a dedicated rig
division to ensure focused attention on rig projects to meet
with clients' requirements.
10-YR Old Tankers
Counterparts
to
Outperform
Younger
Asia Dry Bulk-Capesize Rates to stay near 6-year
Lows, Tonnage Glut Weighs
Source: World Maritime News
6th February 2015
Source: Reuters
7th February 2015
` Ten-year old tankers will outperform their younger
counterparts, according to McQuilling Services Industry's
Sharpe Ratio analysis on VLCC and Suezmax tankers.
McQuilling bases its argument on recent asset prices for
the 10-YR old VLCC and Suezmax vessels, which have
appreciated by 21.2% and 44.9%, respectively when
measured by the percentage growth in the last twelve
months. The analysis shows that despite the similar
Rates for capesize bulk carriers are set to remain mired
near six-year lows as an oversupply of ships outweighs any
pick up in chartering activity, brokers said. "Freight rates
are not really going anywhere. There are too many ships
and not enough cargo volume," said one Singapore-based
capesize broker. While the big iron ore miners, including
Vale, Rio Tinto and BHP Billiton, had all chartered ships in
7
the past week, they carefully managed their fixing activity
to keep a lid on freight rates, the broker said. Freight rates
on key capesize routes from Australia and Brazil to China
have come off the six-year low hit in early January but
remain close to that level. Charterers are quoting rates of
$11 a tonne for March cargoes from Brazil to China, while
rates for a voyage from Australia to China will not move
above $5 a tonne "any time soon", the broker said. "Rates
across the board have improved slightly but this is only a
compensation for the increased bunker costs in the recent
oil rally," Norwegian shipbroker Fearnley said in a weekly
note. Freight rates for smaller supramax bulk carriers had
fallen to $5,000 per day for a roundtrip from Indonesia,
Fearnley said.
'China containers', though the lead on Hamburg remains
small. In 2013, Hamburg handled 2.3 million TEUs;
Rotterdam handled 2.4 million. Anticipating the definitive
figures, the Port of Rotterdam Authority expects an
increase of at least 10% in 2014. The Chinese share of
Rotterdam's throughput will be significant and likely to
increase again in 2015, Castelein predicted. There are
currently 18 container services per week between Chinese
ports and Rotterdam.
Sri Lanka approves $1.5 billion China Funded Port
Project to Avoid „Misunderstanding' with Beijing
Source: customstoday.com.pk
10th February 2015
Maersk inks Feedership Series at Cosco Shipyard
Sri Lanka's new government will go ahead with $1.5
billion China's funded port city project planned by the
previous president to avoid misunderstandings with
Beijing. Xi Jinping, China's President officially launched
the city's development on an artificial island during a visit
to Sri Lanka last September.
Chinese Assistant Foreign Minister Liu Jianchao will
meet Sri Lankan Prime Minister Ranil Wickremesinghe.
Senaratne said an environment impact assessment was
completed for the reclamation part of the project but not
for the city development. He added the project will be
discussed along with any alternations during a visit by
Sirisena to Beijing next month. Under Rajapaksa, relations
with China strengthened, with heavy Chinese investment.
The port city project became the face of Chinese influence
in the country.
Source: tradewinds
7th February 2015
Maersk Line has awarded up to $351m-worth of
boxship newbuilding orders to Singapore-listed Cosco
Shipyard Group. Informed sources say three Chinese
shipbuilding companies — Yangzijiang Shipbuilding,
Yangfan Group and Cosco — were among the final bidders
for Maersk's feedership newbuildings but Cosco ousted the
other two by offering an attractive price of $39m each,
some $3m less per unit than its competitors. The Danish
owner has signed up for seven firm ice-class, 3,700-teu
vessels, plus two options. The wide-beam units are
scheduled for delivery in 2017 and 2018.
Suez transit Toll Prices announced
Adani Ports opens Kandla Bulk Terminal
Source: Gulfshipnews
8th February 2015
Source: World Maritime News
12th February 2015
Transit tolls at Egypt's Suez Canal will not change much
this year. Authority chief Mohab Mameesh said that the
canal is on track open its second lane as expected in
August. The canal earned a record $5.455bn in revenue last
year. "The fuel price has dropped all over the world.
Raising the transit toll would make it easier for ships to
travel around the Cape of Good Hope," Mameesh said on
plans to keep pricing the same this year. The only change
for 2015 would be for LNG ships, which will see a toll
discount they had cut to 25% from 35.
India's port developer Adani Ports & Special Economic
Zone (APSEZ) opened a bulk terminal at Tuna Tekra,
Kandla Port, with an annual handling capacity of over 20
million tonnes. The consortium led by APSEZ, formed a
Special Purpose Entity named Adani Kandla Bulk Terminal
after winning the contract in June 2012 to set up the bulk
terminal. The terminal was completed within the stipulated
time frame.
The dry bulk cargo handling terminal facilities includes
a T shaped jetty with four bulk berths, a vessel handling
capacity of 1,00,000 DWT with (-) 16.2 m CD dredged
depth and a capacity of 20 MMTPA.
China favours Rotterdam Port
Source: World Maritime News
9th February 2015
Khalifa Port Container Terminal Achieves 26%
Growth in 2014
In 2014, Rotterdam became the first European port to
handle more than 3 million TEUs (20-foot container units)
going to or coming from China, Port of Rotterdam
Authority CEO Allard Castelein said during the first
quarterly meeting of the Rotterdam Port Promotion
Council (RPPC). In 2008, Germany's Port of Hamburg was
still handling the most 'China containers': 2.6 million
against Rotterdam's 2.2 million. The German port suffered
greatly during the crisis of 2009, said Castelein, whereas
Rotterdam's throughput only declined moderately. Since
then, Rotterdam has been the main European port for
Source: Abu Dhabi Terminals
11th February 2015
Abu Dhabi Terminals (ADT) – Manager and Operator of
Khalifa Port Container Terminal – is celebrating its solid
performance and achievements in 2014 that saw its volume
reach 1.13 million TEUs (20-foot-equivalent-unit
containers). This represents a 26% year-on-year growth
and sets a new standard in regional growth rates. ADT
8
secured the exclusive right to manage and operate the first
Khalifa Port Container Terminal (KPCT) by signing a 30year concession in 2012 with Abu Dhabi Ports.
The port operator garnered a number of achievements
in 2014 and its more than 20% year-on-year growth over
the past five years can be attributed to the strong
relationships with the shipping industry and the trade
community. It's expected that this growth rate will be built
on in 2015, and continued strong performance will be
reached by year's end. Besides handling a record number of
containers, 2014 saw productivity rise to an average of
thirty-four GMPH (crane moves per hour) and KPCT
named in the top ten growing container terminals in the
world.
Update: Baltic Dry Index Drops to Lowest Ever
Source: World Maritime News
11th February 2015
The Baltic Dry Index has fallen to 553 points, down 1
point from the record low set in July and August 1986. Dry
bulk owners have seen their earnings slashed as a result of
the index fall, some of them even forced to resort to
bankruptcy, as it was the case with Copenship. What is
more, it is feared that the continued decline may have a
ripple effect on bulk owners causing more bankruptcies as
shipping rates plunge even further. The Baltic Dry Index
has fallen close to 50% over the past 12 months. One of the
main reasons for the costs of shipping bulk commodities
declining to a record low is China's weakened demand for
coal, with the country's seaborne coal imports sliding by
10% in 2014. Another crucial reason is overcapacity within
the market, triggered by ship-owners ordering three times
more bulk carriers in 2013 than in 2012, on the back on
China's growing demand for coal.
China Lifts Ban on Valemaxes
Source: World Maritime News
11th February 2015
Chinese Ministry of Transport has issued a circular on
the design of 400,000 DWT bulk carries entering Chinese
ports amending its previous design layout. In line with the
circular, the eligible vessels must not exceed a deadweight
tonnage of 403,844 dwt and need to be 362m long, 65.6m
wide, 30.5m deep and feature a draught of 23m. The
previous design code covered ships up to 350,000 DWT. As
all bulkers of Brazilian iron ore producer, Vale, meet the set
out criteria, the circular is seen as lifting of Chinese threeyear old ban on 400,000 bulkers, known as Valemaxes.
Valemaxes were banned from mooring in the country's
mainland ports in 2012 amid safety concerns. However, the
ban was seen as an attempt to shield national carriers such
as China Ocean Shipping Group (COSCO). Easing of the
ban comes in the wake of Vale's deal with COSCO from last
September on the lease of ten very large ore carriers to be
built by China Merchants.
China starts First Maritime Silk Road Cruise
Source: World Maritime News
11th February 2015
BEI BU WAN ZHI XING, the first Chinese cruise liner
to sail along the 21st Century Maritime Silk Road, has
started its maiden voyage from the Behai Port in China's
Guangxi Zhuang Autonomous Region, ECNS reports. On
its way to Malaysia's Kuantan Port, the cruise ship will
make stops in Vietnam and the Gulf of Thailand. BEI BU
WAN ZHI XING is a 135-metre-long cruise ship capable of
accommodating 400 people. Chinese President Xi Jingpin
proposed the re-establishment of the Maritime Silk Road
back in 2013, to reinforce the maritime links between
China and the ASEAN.
Libyan Hariga Port resumes Oil Exports
'First' direct China-Myanmar Trade Link Launched
Source: World Maritime News
13th February 2015
Source: Container Management
12th February 2015
Libya's Port of Hariga saw its first oil tanker, the
Greece-flagged MINERVA ZOE, after Petroleum Facilities
Guards (PFG) terminated their strike over belated salaries,
followed by a storm which further delayed the start of
operations at the country's only functioning onshore port
exporting oil, Reuters reports.
The MINERVA ZOE will load 725,000 barrels of oil
destined for Italy, according to the port's officials. Inchcape
Shipping Services reports that the Port of Zuietina is also
gridlocked by industrial action, while the ports of Ras
Lanuf (Rasco), Ras Lanuf 'Harouge', Benghazi and Es Sider
are closed due to armed clashes. The ports are caught in the
midst of a conflict between the internationally recognized
government of Prime Minister Abdullah al-Thinni,
controlling the eastern part of the country, and the selfproclaimed government of Libya Dawn, which controls the
country's capital of Tripoli, and has reinstated the old
parliament and the ministries.
MCC Transport has started a service between China and
Myanmar, to tap into a country which it views as having
great potential for growth in international trade. The new
Intra Asia 5 (IA5) service will reduce transit time from
ports in China to Yangon, to 13 days from 18 in the case of
Shanghai to Yangon, without the need for transhipment of
cargo in southeast Asia, according to the company. It
claims the route is the first direct trade link between China
and Myanmar The new service will run on a 56-day
rotation covering Shanghai, Singapore, Port Kelang
(Malaysia), Sihanoukville (Cambodia), Busan (South
Korea), Ho Chi Minh City (Vietnam) and other ports. MCC
Transport, a sister company of Maersk Line of Denmark, is
deploying eight 1,100 teu vessels on the service. The two
companies have built up their presence in Myanmar in the
past two years by first purchasing space from other
shipping lines, then through setting up an agency office in
the country last May.
9
10
11
Maritime Trade & Economy
Economic Boom puts Pressure on India's Ports
blocks and refurbishing of its physical plant.
Source: world Maritime News
3rd February 2015
LNG Supply seen falling after 2020 as Oil Plunge
Delays Projects
India's economic growth looks set to surpass China's for
the first time in 2016, lending support to both east and
westbound container trade expansion, according to Drewry
Maritime Research. However, the predicted uptick in
Indian container trade depends on the ability of the new
government to deliver on promises. India is currently
struggling to realise its full potential, with port
infrastructure shortcomings and a creaking inland
transportation sector. Both of these issues have so far
frustrated attempts to boost its global manufacturing
presence. While money has been committed to port
projects to remove congestion, more private investment is
needed, according to Drewry.
India has cemented its position for significant trade
growth in the medium term, which will feed growth in
Europe-Middle East/South Asia routes, Drewry reports.
After a 20 year hiatus, free trade agreement talks are back
on the table between Europe and India as the latter strives
to boost business flows between the two countries.
Eastbound Europe to Middle East/South Asia container
traffic had already recorded year-on-year growth of 18.3%
by November; with trade relations improving this growth is
expected to continue, says Drewry. Westbound traffic rose
by 6.6% y/y over the same period.
Source: G Captain
5th February 2015
Global output of liquefied natural gas may shrink after
2020 as falling oil prices prompt producers to withdraw
plans for new plants and delay investments. Projects that
sell LNG linked to the price of oil will be under pressure
with crude between $50 and $60 a barrel and more than
$60 billion in cash flow may be affected this year, Wood
Mackenzie Ltd. said. Projects with more than $100 billion
of investment are at risk of delays or cancellation,
according to the Edinburgh-based consultant. Companies
have moved to cut costs after benchmark crude slumped
almost 50 percent last year as the U.S. pumped oil at the
fastest rate in more than three decades, exacerbating a
global glut. Royal Dutch Shell Plc, BG Group Plc, Petroliam
Nasional Bhd and Chevron Corp. have cut or delayed
spending on LNG projects from Australia to Canada.
Long-term LNG contracts can be priced off by up to 15
percent of oil prices, according to a Jan. 5 report by
Bloomberg New Energy Finance. Spot LNG prices fell to
their lowest since June 2010 at $7 per million British
thermal units on Feb. 4, according to data from New Yorkbased Energy Intelligence's World Gas Intelligence
publication.
MHI splits Shipbuilding Sector
Sunk Costs
"From 2018 to 2022, the market is very well supplied as
there are new U.S. and Australian projects ramping up,"
Nicholas Browne, Wood Mackenzie's senior manager for
primary fuel research said in a phone interview last month.
"Producers will be affected because costs are sunk into
projects whereas the returns they get are significantly less
as the lower oil price works its way into contracts," said
Browne.
Costs in Asia, the region that buys the most supercooled
fuel, will this year average below $10 for the first time in
four years as new projects in Australia and the U.S. boost
supply through 2016, Bloomberg New Energy Finance said.
"Low oil price is good for the LNG business because it
drives out the unsuccessful projects," said Bolton.
Source: World Maritime News
5th February 2015
Japan's Mitsubishi Heavy Industries (MHI) is pushing
on with the last year's plan to establish two new group
companies at its Nagasaki Shipyard & Machinery Works'
Koyagi Plant – one to undertake ship construction and the
other to manufacture hull blocks. MHI also plans to
transfer its operations in construction of large-size
commercial ships in the Nagasaki district to the new firms.
MHI will separate cruise ship construction from its
commercial ship business and operate as an engineering
business under a new organization to be launched within
the Commercial Aviation & Transportation Systems
business domain. Of the two new companies, the ship
construction entity will be launched as a company
succeeding the MHI Ship & Ocean Engineering, focussing
on sales, engineering, procurement, manufacture,
construction and repair services. New ship construction
operations will focus on LNG (liquefied natural gas) and
LPG (liquefied petroleum gas) carriers, vessels that MHI
expects to be in strong demand beyond the near term. The
hull block manufacturing company will initially get under
way in the form of a preparatory company, followed by an
absorption-type split. The new entity will specialize in
large-scale hull blocks, and will pursue enhanced
productivity primarily by continuous construction of such
Bank of China, China Shipping pen USD 14.4 Bln
Deal
Source: World Maritime News
6th February 2015
Bank of China and China Shipping Group signed a
global strategic cooperation agreement in Beijing worth
USD 14.4 billion. The agreement provides for cooperation
in the areas of credit facilitates, cash management, direct
financing, financial advisory, investment banking,
12
insurance, the Bank said. The agreement builds on yearlong cooperation between the two parties that has seen the
Bank provide loans, credit lines as well as guarantee for the
bonds issued by China Shipping. The deal comes as China
endeavours to boost its shipbuilding and shipping
capacities so as to become more competitive on global
scale. Bank of China is the seventh largest bank in the
world in the area of ship financing.
Asia Trade Growth threatened by Poor Port
Infrastructure
Source: South China Morning Post
12th February 2015
Insufficient port capacity and productivity are looming
large as restraints on trade growth, with Asia likely to
suffer the most if delays in upgrading infrastructure
threaten the sustainability of thriving intra-regional trade.
For many working in the logistics industry, last year will be
remembered as one of gridlock on the docks, with a
number of ports around the world, including Hong Kong,
Shanghai, Qingdao, Manila, Rotterdam and those on the
US west coast, suffering from congestion. Tim Wickmann,
the chief executive of MCC Transport, the intra-Asia
container shipping arm of AP Moller-Maersk Group, was
among those who dealt with delayed shipments on a daily
basis. "In my 25 years' experience in shipping, 2014 was
the worst I've seen in terminal congestion in Asia," he said.
"Congestion in Manila and Hong Kong was a huge problem
for us." Wickmann estimated trade growth would create
three million extra handling moves for Asian terminals.
"However, we have a situation where many ports in Asia
are close to their maximum capacity and are not developing
fast enough to cater for this growth," he said. "Inadequate
port capacity and related infrastructure is the single biggest
challenge to intra-Asia trade growth."
Egypt inks LNG Supply Deal with Trafigura
Source: World Maritime News
9th February 2015
The Egyptian Gas Holding Company (EGAS) and
commodity trader Trafigura signed a contract on supply of
about 33 shipments of liquefied natural gas (LNG), Egypt's
Ministry of Petroleum informed. The contract has been
signed within Egypt's USD 2.2 billion tender for delivery of
75 cargoes of LNG as the country endeavors to meet its
energy requirements for the period 2015 – 2016. Four
international companies have been selected winners of the
tender. Egypt revealed plans to conclude an agreement
with Russia's Gazprom for the company to supply it with
LNG shipments. The two parties signed an agreement in
principle in April on the supply of seven LNG shipments.
Egypt has already signed a deal with Algeria in December
for delivery of six LNG cargoes.
Dorian expects Strong LPG Demand to Continue
ONGC Awards Swiber Major Contract to Build 8
New Offshore Gas Platforms
Source: World Maritime News
9th February 2015
Source: G Captain
13th February 2015
NYSE-listed owner and operator of Very Large Gas
Carriers (VLGC) Dorian LPG reported USD 16.4 million net
income for the nine months ended December 31, 2014. The
company's revenues for the nine-month period stand at
USD 68.8 million, improved by a strong third quarter when
Dorian accumulated USD 32.6 million in revenues, and
almost USD 9 million net income. The third quarter
revenues increased by USD 18.9 million, or 137%,
compared to the same period in 2013. The increase is
primarily attributed to the delivery and operation of two
newbuilding VLGCs in 2014. Additionally, revenues for one
of Dorian's VLGCs increased by USD 5.7 million due to a
transition from time charter during the three months
ended December 31, 2013 to the spot market in the current
quarter.
John Hadjipateras, Chairman, President and Chief
Executive Officer, said: "We continued to execute on our
strategic plan to build out our fleet in the third quarter with
the delivery of the Corvette in early January of this year.
Corvette is the third fuel efficient ECO-design VLGC to
enter the Dorian fleet. We currently own and manage a
modern fleet of six VLGCs and one pressurized LPG carrier
with newbuilding contracts for the construction of 16 new
fuel-efficient ECO-design VLGCs to be delivered in the next
twelve months. I am pleased to report that we have now
received debt financing commitments to complete the
funding of our newbuilding program with no need to raise
any additional debt or equity."
Singapore based offshore energy construction
contractor Swiber Holdings Ltd reported their second
largest contract ever from India's Oil and Natural Gas
Corporation Ltd. (ONGC). The $310 million contract
involves the Engineering, Procurement, Construction,
Installation and Commissioning (EPCIC) of 8 new
platforms and associated pipelines. Although not
specifically mentioned, it is very likely this contract is for
the Damen Development Project in the Arabian Sea.
In a conference call at the end of December, ONGC
commented on the Damen Development noting it will,
"drive our gas production up significantly by about 10 to 11
million cubic meters per day in the coming two-three
years." The development includes seven well head
platforms, one riser platform with associated pipelines and
the drilling of 28 wells, according to ONGC. The
development is scheduled to come on line pre-monsoon
2019.
With this new contract, Swiber's order book has risen to
a record high of approximately US$1.6 billion. Swiber
President and CEO Francis Wong sees more opportunity
for his company going forward noting, "As an established
provider of EPCIC services for shallow water oil and gas
field development, we believe that Swiber occupies a space
in the offshore service value chain that will be less
susceptible to spending cuts by the oil & gas companies. We
continue to see opportunities in our field of expertise and
are working on new project tenders in our target markets."
13
Maritime Security
said China aims to dominate the Indian Ocean after Beijing
deployed amphibious ship the CHANGBAISHAN and a
nuclear submarine to the region. The country has
attempted to establish itself as a maritime player in the
Indian Ocean by increasing anti-piracy deployments, naval
exercises and investments in maritime infrastructure
projects. These activities raised concerns on whether
Beijing will adopt more aggressive maritime strategies in
the future. The PLA Navy's submarines docked at the port
of Colombo in Sri Lanka twice last year and China is said to
have established military facilities in the country. Beijing
also holds a controlling stake in Hambantota port in the
southeast of the country. With the shares, Chinese stateowned companies gained the operating rights of the port's
four berths from Sri Lanka, which got an easing of loan
conditions in exchange.
Danish Gov't announces New Anti-Piracy Strategy
Source: Xinhua
12th February 2015
The Danish government announced a new strategy for
the fight to end piracy and armed robbery at sea. The
strategy, which covers the period 2015 to 2018, sets the
framework for Denmark's overall political, developmental,
and military efforts against piracy. The overall objective of
the strategy is to contribute to the jurisdiction of the waters
where Denmark has significant maritime interests and
ensure the security of Danish and international shipping
and seafarers. "For a maritime nation like Denmark, it is
vital that we do what we can to protect shipping and
seafarers. It is about security, personal costs for involved
sailors, and better conditions for sailing," Danish Foreign
Minister Martin Lidegaard said in a statement. He added
that the Danish push to combat piracy is still focused on
the Horn of Africa in northeastern Africa, but with the new
strategy, the government will now expand its efforts to the
Gulf of Guinea in West Africa.
Hi-Tech Radar to bolster East Coast Soon: Official
Source: Indian Express
1st February 2015
A sophisticated radar station to monitor the movement
of water vessels on the east coast will be set up soon as part
of a comprehensive coastal surveillance network planned
after the 26/11 Mumbai terror attack, a senior Coast Guard
official said. Regional Commander, Coast Guard, North
East, Inspector General V S R Murthy said some "technical
bottlenecks" in setting up the radar station have been
sorted out and it will be functional by April. "This radar
station will be a part of the 46 across the Indian coastline
and another 10 inland. This system should take care of the
bigger vessels and their movements but the smaller
watercraft, which are less than 20 meters in length,
continue to pose a problem," Murthy said.
HMCS Chicoutimi now in the Royal Canadian
Navy's hands after Extended Docking Work Period
Source: Ottawacitizen
1st February 2015
Babcock Canada Inc. announced the delivery of HMCS
CHICOUTIMI back to the Royal Canadian Navy. That
turnover took place on December 3rd, 2014, after the
successful completion of the submarine's Extended
Docking Work Period (EDWP). This milestone marks the
first of the Victoria-Class submarines to undergo a deep
maintenance period managed by Babcock Canada through
the Victoria In-Service Support Contract (VISSC), and the
first Canadian naval vessel to have an EDWP conducted by
the RCN's industry partners. Originally awarded in 2008,
VISSC is in excess of $1.5 Billion and is intended to run for
a period of 15 years. Babcock is currently conducting an
Extended Limited Maintenance Period (ELMP) on HMCS
CORNER BROOK and is slated to begin the submarine's
deep maintenance period later this year Mark Dixon,
President of Babcock Canada commented: "We are
delighted to have delivered HMCS CHICOUTIMI back to
the Royal Canadian Navy following her EDWP.
India considering adding Japanese Soryu Class
Submarines to its Fleet
Source: sputniknews
2nd February 2015
New Delhi is considering a project to build six Japanese
Soryu-class diesel-electric submarines in an Indian
shipyard, according to Indian media resources. "In keeping
with their expanding strategic partnership, the Modi
government has asked the Shinzo Abe administration
whether it would be interested in the over Rs 50,000 crore
[$8.1 billion] project to build six stealth submarines in
India,". It should be noted that in 2007, India had
launched Project 75I, which was aimed at replacing its
aging fleet with new foreign vessels. After repeated delays,
the plan eventually obtained its second wind under the new
Prime Minister, Narendra Modi. It is expected, that the six
diesel-electric submarines will be built in India, in
compliance with the popular "Make in India" initiative. The
Modi Cabinet, which plans to put the project out to tender,
has reportedly forwarded a proposal to Japan to "consider
the possibility" of building its Soryu-class submarines in
India on condition that Japan "will form a joint venture
PLA Navy aims to Control Indian Ocean: National
Interest
Source: WantChinaTimes
1st February 2015
The People's Liberation Army Navy is preparing for a
permanent deployment to the Indian Ocean and plans to
use dual-use ports as secret ammunition caches and to
support military operations, according to a piece in
Washington-based National Interest. The US magazine
14
rob and escape with a diesel-loaded ship worth
RM900,000. The incident happened off Timur Tanjung
Siang near Tanjung Penawar. MMEA operations director,
Maritime First Admiral Ibrahim Mohamed said the pirates
aged between 28 and 46 had used a longtail boat to take
over the vessel which was anchored at Tanjung Ayam, off
Pengerang. "The MMEA received a report of the missing
vessel when it failed to be tracked."Based on the
information, MMEA deployed two ships, two interceptor
boats and a Special Operations Unit team to find the vessel,
and it was located 15 nautical miles off Tanjung Siang," he
told reporters. Ibrahim said seven of the pirates were
arrested while two initially managed to escape by jumping
off the ship.
with an Indian shipyard," the Diplomat points out.
Coast Guard has responded
Maritime Challenges: Mukherjee
successfully
to
Source: Business Standard
1st February 2015
President Pranab Mukherjee praised the Indian Coast
Guard for responding to maritime challenges successfully,
and hoped it would continue to pursue excellence and
discharge its duties with alacrity, dedication and
professionalism. Extending his greetings and felicitations
to all ranks of the Indian Coast Guard and their families on
the occasion of 38th Anniversary of the Indian Coast Guard
to be celebrated on February 1, 2015, President Mukherjee
said, "I extend my heartiest greetings to all ranks of the
Indian Coast Guard and their families. Let the Indian Coast
Guard achieve continued success in all its future
endeavours."
Court in Virginia hears Appeals from 2 Somali
Pirates in Deaths of 4 Americans aboard Yacht
Source: Associated Press
3rd February 2015
7 Bodies Recovered from Migrant Boat Capsize
One Somali pirate convicted of killing four Americans
aboard a yacht claims he was abducted and coerced into
joining the mission. Another says the United States illegally
reached into Somalia's territorial waters to arrest him.
Lawyers for the two pirates argued those points to a
seemingly skeptical three-judge panel of the 4th U.S.
Circuit Court of Appeals, which is expected to rule in
several weeks. Abukar Osman Beyle and Shani Nurani
Shiekh Abrar were each convicted of 26 charges and
sentenced to 21 life terms for their roles in the February
2011 attack off the coast of Africa. They were among 19
men who boarded the 58-foot yacht in hopes of taking the
Americans back to Somalia and holding them for millions
of dollars in ransom.
Source: Dhaka Tribune
2nd February 2015
Seven bodies were recovered from the hull of the
trawler which capsized in the Bay of Bengal with about 80
Malaysia-bound illegal passengers; around 30 more,
however, remain missing. After conducting a search inside
the boat, the bodies were found at the bottom layer of the
30-feet-long wooden fishing trawler said Bangladesh Coast
Guard (East) Public Relation Officer Lt Commander M
Rajibul Islam.
DG Indian Coast Guard - Vice Admiral HCS BISHT,
AVSM
Australia gives Philippines Two Naval Landing
Craft
Source: The Echo of India
2nd February 2015
Source: Defense News
3rd February 2015
On the 39th Raising day of the Indian Coast Guard on
01 Feb 15, Vice Admiral HCS Bisht, AVSM took over the
helms of the service as the 21st Director General Indian
Coast Guard. He succeeded Vice Admiral Anurag G
Thapliyal AVSM & Bar, who superannuated on 31 Jan 15.
An alumnus of the National Defence Academy
Khadakvasla, Pune and the Naval Academy Kochi, the
Admiral was commissioned in the Executive Branch of the
Indian Navy on 01 Jul 1979 and is a Gunnery Specialist.
The Admiral has held numerous important afloat, training
and staff appointments which includes commissioning
Commanding Officer of the Missile Corvette INS KORA,
Commanding Officer of the Stealth Frigate, INS TABAR
and DA at the High Commission of India, Singapore.
Australia announced that it is donating two
decommissioned military landing craft to the Philippines
after the archipelago struggled with relief efforts following
Super Typhoon Haiyan. The vessels, which were
decommissioned in November, will be refurbished with
modern safety and navigation equipment before being
handed over. "I expect the vessels will be refitted and ready
for handover in May 2015," Australian Defence Minister
Kevin Andrews said in a statement released by his
country's embassy. The two 44.5-meter-long (146-foot)
craft, which are designed to carry heavy supplies, will be
given to the Philippine Navy to help with humanitarian
assistance and relief work. The Philippines struggled
because of a shortage of such vessels during relief
operations after Haiyan, the strongest storm ever recorded
on land, which decimated whole towns and villages in
November 2013. The Australian military, including the
amphibious vessel HMAS TOBRUK, were dispatched to
help victims of the storm, which left more than 7,350
people dead or missing. The Philippine military is also
considering whether to purchase three other surplus
MMEA Prevents Pirates' Diesel Ship Heist Attempt
Source: malaysiandigest
2nd February 2015
The Malaysian Maritime Enforcement Agency (MMEA)
prevented an attempt by a group of nine armed pirates to
15
Australian landing craft that were decommissioned in
2012, the embassy added.
was then left behind. The crew was found and rescued with
no reported injuries on January 31 by Indonesian
authorities. Some media reported that 10 more crewmen
are still on the hijacked tanker. The Indonesian media also
cannot seem to agree on the exact name of the vessel, with
two other versions to MT REHOBOT being MT BERKAT
REHOBOT and MT REHOBOOTH. No ransom requests
have been reported so far. Indonesian Navy and police are
still searching for the tanker. According to the local media,
the tanker is currently in Philippine waters.
Iran Navy in North Indian Ocean vies with
Powerful Counterparts
Source: Trend
3rd February 2015
Iran's Navy Commander Rear Admiral Habibollah
Sayyari said that Iran's navy equipments in North Indian
Ocean and the Gulf of Aden compete with powerful navies
of other countries, the Islamic Republic's official IRNA
news agency reported Feb. 2. "Powerful navies of other
countries present in the North Indian Ocean and the Gulf
of Aden have accepted Iran as a powerful navy in the
region," Sayyari said in a meeting with armed forces and
navy industries officials in Tehran. Referring to the Iranian
Navy as a strategic force, Sayyari said presence in
international waters is important for the country. "Iran
aims at having a constant presence in open seas," he
underlined. The commander referred to a powerful naval
fleet, an active commercial shipping line and powerful navy
industries as three sides of the triangle of the naval
authority.
TKMS offers Type 209 and Type 210 Submarines to
Royal Thai Navy
Source: Janes
4th February 2015
Germany's ThyssenKrupp Marine Systems (TKMS) has
made a double submarine offer to Thailand featuring the
company's Type 209/1400mod and Type 210mod
platforms, IHS Jane's understands. The company
highlighted the capabilities of the two submarines in
meetings in Bangkok recently as part of the Royal Thai
Navy's (RTN's) continuing review of submarine platforms,
said sources. This evaluation programme - which has also
featured Russia's Kilo-class Project 636 submarine and
China's Yuan-class (Type 041) platform - is in support of
the RTN's plan to procure up to three submarines within
the next few years. South Korea's Daewoo Shipbuilding &
Marine Engineering's Chang Bogo-class (Type 209)
submarine is also expected to be evaluated by the RTN.
PLA Navy may establish Fourth Fleet for Indian
Ocean
Source: WantChinaTimes
3rd February 2015
To extend its reach to the Indian Ocean, China's PLA
Navy may establish a fourth fleet after the North Sea, East
Sea and South Sea fleets, according to Duowei News, an
outlet operated by overseas Chinese. Senior Colonel Yang
Yujun, spokesperson for the Chinese defense ministry, said
on Jan. 29 that the PLA Navy is ready to increase its
activity in the Indian Ocean. In the future, the Chinese
military will send different kinds of naval ships to take part
in escort missions in accordance with the situation and
need, Yang was quoted as saying by the UK-based IHS
Jane's Defence Weekly. Responding to concerns about the
movements of Chinese submarines in the Indian Ocean,
Yang said these are only "normal activities" of the PLA
Navy and that not too much should be read into them. The
Chinese military has sent various kinds of naval ships to
the Gulf of Aden and the waters off the Somali coast to
conduct escort missions since 2008, Yang said, adding that
countries concerned had been notified of the PLA escort
missions, which have included submarines.
New Nigerian Navy Warship Departs South Africa
on Way Home
Source: defenceweb
4th February 2015
One of the Nigerian Navy's two new P-18N offshore
patrol vessels has departed South Africa on its way home as
it sails from its shipyard in China. The ship was seen
leaving False Bay on 30 January, after having arrived in
Simon's Town on January 28. The vessel, with pennant
number F91, was handed over to the Nigerian Navy in
China at the end of November last year. The first P-18N
was launched by the China Shipbuilding and Offshore
International Company on 27 January 2014 at Wuchang
Shipyard in Wuhan, China. The vessel was assigned the
pennant number F91 (the pennant number F90 is assigned
to the NNS THUNDER, an ex-US Coast Guard cutter). The
offshore patrol vessel's launched ceremony also marked the
hull formation ceremony of the second vessel, F92.
Pirates Hijack Tanker off Indonesia
Lockheed Martin to Look For Indian Partnerships
during Aero India 2015
Source: world Maritime News
3rd February 2015
Source: Defence World
4th February 2015
An Indonesian-flagged tanker carrying around 1,100
tonnes of fuel was hijacked and its crew forced to board a
lifeboat off North Sulawesi, Indonesia on January 28,
according to the local media. According to initial reports,
eight masked men armed with knives approached and
boarded the MT REHOBOT on a wooden boat, forcing 14 of
the ship's crew members to climb into the lifeboat which
Lockheed Martin has expressed that it is on a lookout
for more opportunities with key industries in India.
Lockheed Martin will focus on AGM-114R multipurpose
HELLFIRE II, DAGR missile systems, K-MAX, E2D
Hawkeye and Javelin during the upcoming Aero-India
16
show. Lockheed Martin will showcase solutions from
different business areas for several current and potential
projects with the Indian services, the statement said.
Lockheed Martin already has a joint venture with Tata
Advanced Systems and will be looking at delivering $1
billion worth six C-130Js by India ordered recently. Plans
to acquire six more of these highly advanced aircraft are in
the pipeline. The deal is mainly export-oriented. Lockheed
Martin will also focus on the MH-60R/S (Romeo and
Sierra) maritime helicopters. The company hopes to offer
these as solutions for the Indian Navy's multi-requirement
NMRH program. Other products on display will include the
K-MAX, E2D Hawkeye and Javelin. The company is also in
the race for a $11-billion contract for 126 fighter jets for
India.
deterred by the navy warships. In an another attempt, four
pirate boats preyed on an Iranian oil tanker approximately
75 nautical miles off Yemen's coastal city of Mukalla.
Nevertheless, their attack was foiled as well. The 33rd fleet,
SHAHID QANDI destroyer, BANDAR ABBAS logisticcombat warship and TAREQ submarine, has just began its
patrolling of the Indian Ocean having taken over the duty
from the Navy's 32nd flotilla.
The 32nd flotilla, consisting of JAMARAN and
BUSHEHR destroyers, returned to Iran after 80 days of
missions in the Sea of Oman, North of the Indian Ocean,
the Gulf of Aden, Bab al-Mandab Strait and the Red Sea,
the news agency reported. Earlier in January the 32nd fleet
managed to repel a group of eight pirate skiffs that were
approaching an Iranian product tanker in the Gulf of Aden.
Iranian warships joined anti-piracy efforts in the Gulf of
Aden in 2008 and have since foiled over 150 pirate attacks
on merchant vessels and oil tankers, according to the
navy's data.
'Navy keen to set up Training Base in State'
Source: NYOOZ
5th February 2015
ReCAAP: Piracy Incidents in Asia at Five-Year
High
Indian Navy's Chief of Staff for Southern Naval Command
Rear Admiral Atul Kumar Jain told Chief Minister Raman
Singh that the Navy is keen on establishing a training base
at Dhamtari-based Pandit Ravishankar Irrigation Reservoir
(Gangrel Irrigation Reservoir) in Chhattisgarh. Singh
accepted the proposal while stating that the Chhattisgarh
Government will provide full co-operation for setting up of
the training base. The Chief Minister urged the senior naval
officer who called on him at his residential office in Raipur
to conduct rallies for recruitment of State's youth in the
Indian Navy. The district administration will make
arrangements for the special recruitment rallies, he said.
Source: World Maritime News
5th February 2015
The number of piracy incidents reported in 2014 in
Asia, a total of 183, is the highest recorded figure in the
five-year reporting period (2010-2014), piracy watchdog
ReCAAP said in its latest annual report. The figure
represents a 22% increase compared to 2013, when 150
incidents were reported. Out of 183 reported incidents, 168
were actual incidents and 15 were attempted attacks. Of the
actual incidents in 2014, 102 incidents (61%) occurred
onboard ships at anchor and at berth. These incidents
occurred at ports and anchorages in Indonesia (39), SCS
(23), Bangladesh (14), India (11), Vietnam (6), Philippines
(5) and Malaysia (4). The number of incidents reported in
the South Asian region in 2014 has increased compared to
2013 figures, mostly due to a rise in piracy activity in
Bangladesh.
Greek Officer Killed, Three Others Kidnapped
from VLCC off Nigeria
Source: G Captain
5th February 2015
One officer is dead and three others have been
kidnapped following an attack on a Greek-owned VLCC
anchored off the coast of Nigeria. In an emailed statement,
Aeolos Management, managers of the KALAMOS Shipping
Corporation-owned MT KALAMOS, has confirmed that the
vessel was attacked by a criminal gang at 2200 hrs on
February 3 while waiting to complete loading at a
designated anchorage at Qua Iboe, Nigeria, inside
territorial waters. During the attack, one officer sustained
gunshot wounds and later passed away while being
transferred to a nearby a hospital, the statement said. Two
other officers and an AB were taken by the gang and
remain unaccounted for, according to the company.
Philippines says Chinese Ship rammed Fishing
Boats in Scarborough Shoal
Source: Reuters
6th February 2015
The Philippines said that a Chinese coast guard ship had
rammed three Philippine fishing boats in the disputed
Scarborough Shoal area of the South China Sea and Manila
had protested to Beijing over the incident. China seized
control of the area after a three-month stand-off with the
Philippine coast guard in 2012. Beijing lays claim the entire
South China Sea, which is believed to be rich in oil and
natural gas deposits. Brunei, Malaysia, the Philippines,
Vietnam and Taiwan also claim areas of the sea where
about $5 trillion ship-borne trade passes every year. All
states except Brunei have a military presence in the
disputed areas."The Philippines strongly protested China's
continuing actions to harass and prevent Filipino
fishermen from legitimately pursuing their livelihood in
that area," the foreign ministry said in a statement on
Wednesday. The Manila government handed over two
Iranian Navy Foils Two Pirate Attacks
Source: World Maritime News
4th February 2015
The 33rd flotilla of the Iranian Navy fended off pirate
attacks on two Iranian oil tankers in the past week, the
FARS news agency reports. Armed pirates in five speed
boats attempted to hijack an oil tanker in the waters of the
Gulf of Aden three days ago, however; their attack was
17
protest notes to the Chinese Embassy in Manila, foreign
ministry spokesman Charles Jose said. Calls to the Chinese
Embassy seeking comment on the protests went
unanswered.
Monday, which lightened it enough for it to break free from
the reef during a high-tide cycle, the Navy said in a news
release. After the operation, the ship was able to transit
under its own power to Naval Fleet Activities White Beach
in Okinawa, the Navy said. "Safely refloating the vessel
required the right sea state, the right tide and the right
weather conditions to lessen any risks to personnel, the
ship and the environment," the release said. Japan and
Navy officials are now assessing the potential damage to
the reef. The cause of the incident remains under
investigation.
China Defends Ship's Actions against Philippines
in South China Sea
Source: Reuters
7th February 2015
China defended the actions of a coast guard vessel in the
disputed South China Sea after the Philippines accused it of
ramming three fishing boats and urged Manila to increase
"indoctrination" of its fishermen. The Philippines said that
a Chinese coast guard ship had rammed three Philippine
fishing boats in the disputed Scarborough Shoal area last
week and Manila had protested to Beijing over the incident.
The news drew a stern rebuke from China's Foreign
Ministry, which said that many fishing vessels from the
Philippines were "illegally lingering" in the waters
surrounding the Scarborough Shoal and did not abide by
China's management. "China's coast guard sent a dinghy to
drive them away and slightly bumped one of the fishing
vessels," Chinese Foreign Ministry spokesman Hong Lei
said at a daily news briefing. "We ask that the Philippines
strengthen education and indoctrination of its fishermen to
prevent such incidents from happening again. "China
seized control of the area after a three-month stand-off
with the Philippine coast guard in 2012.
Navy Vice Chief Reviews Underwater Weapons
Projects Taken Up by NSTL
Source: The New Indian Express
6th February 2015
US tarries on Aircraft Carrier Tech
VISAKHAPATNAM: Vice Chief of Naval Staff Vice
Admiral Sunil Lanba reviewed the status of underwater
weapons projects currently under development at the
Naval Science and Technological Laboratory (NSTL) in
Visakhapatnam. He chaired the 28th steering committee
meeting on Underwater Weapons and reviewed the
progress of various projects being taken up by the NSTL
related to the weapons. DRDO director-general V Bhujanga
Rao, Vice Admiral AK Chawla, NSTL director CD
Malleswar, senior officers from the Navy, project directors
and senior scientists of the NSTL participated in the
meeting. Sources said that issues pertaining to stealth
technologies which are proposed to be incorporated in all
the Indian Navy vessels were discussed during the meeting.
Source: The Telegraph
5th February 2015
India's Most-Advanced Warship to get the Missiles
that were missing
NEW DELHI: The Indian Navy wanted to share the latest
technology that the US is developing for its next generation
of aircraft carriers, but the Pentagon has quietly put the
request on hold till crucial agreements are signed. Officials
from India and the US are expected to meet again in New
Delhi with US undersecretary for technology, acquisitions
and logistics, Frank Kendall, scheduled to arrive by the end
of this month. Kendall led the US delegation in talks with
India's defence production secretary in the week leading to
President Barack Obama's visit last week. A joint statement
from President Obama and Prime Minister Narendra Modi
last week noted that India and the US will form a "working
group to explore aircraft carrier technology sharing and
design", as a part of the Defence Trade and Technology
Initiative (DTTI).
Source: NDTV
6th February 2015
NEW DELHI: When the Indian Navy commissioned its
most-advanced warship eight months ago, the INS
KOLKATA was missing its primary weapon system - the
Barak 8 long range surface-to-air missiles, 32 of which
were meant to be carried onboard in ready-to-fire mode.
NDTV has learned that the Barak 8 missile has cleared all
its tests and is ready for induction. The missile, designed to
intercept incoming anti-ship missiles at a range of at least
70 kilometres, has been made in partnership with Israel,
where it has successfully completed trials, and will be
refitted on the INS KOLKATA in either April or May, said
sources. The missile will simultaneously be fitted on board
the INS KOCHI, the sister ship of the INS KOLKATA,
which will soon be commissioned and subsequently, on the
last ship of the class, the INS CHENNAI.
Grounded Navy Ship freed from Reef off Okinawa
Source: Stars & Stripes
6th February 2015
U.S. Coast Guardsman shoots Two Colleagues,
Police Officer
A Military Sealift Command ship is again transiting the
seas after the U.S. Navy was able to remove the vessel from
a reef six miles off the coast of Okinawa. The USNS SGT.
MATEJ KOCAK was carrying 131 civilians and U.S.
servicemembers when it ran aground on Jan. 22. For the
past two weeks, personnel have been trying various ways to
refloat the vessel. Workers offloaded the ship's fuel on
Source: g Captain
6th February 2015
An active duty Coast Guardsman is in custody after
allegedly shooting two female colleagues and attacking
officers at a condominium complex in Cape Cod, resulting
18
in the death of one of the women. The shooting incident
began early morning in Bourne, Massachusetts. According
media reports, the alleged shooter, 31-year-old Adrian
Loya, an active duty member of the U.S. Coast Guard,
surrendered to police just after a standoff. Police recovered
three rifles and a handgun, reports say. The two women
who were shot were also in the Coast Guard and stationed
on Cape Cod, while the suspect was stationed in Virginia,
reports say.
Advanced System Laboratory (ASL), had filed a complaint
with the Prime Minister's Office (PMO) against Chander
citing various irregularities in the Defence Research and
Development Organisation (DRDO). Besides, two more
complaints against Chander were also lodged with the
PMO with copies sent to National Security Advisor (NSA).
In its reply sought under RTI by former DRDO employee
and activist Prabhu Dandriyal, the PMO stated that while
the complaint lodged by Gupta is being looked into, two
others have been sent to Cabinet Secretary for action.
Chinese Fishing Vessel Hijacked; One Feared Dead
PSU Plant for Missiles in Maharashtra
Source: citifmonline
7th February 2015
Source: The Asian Age
7th February 2015
One person is feared dead and three persons missing
after a Chinese fishing vessel was hijacked by pirates in
Togolese waters. The pirates reportedly stabbed one of the
men on the vessel which led to his death. The vessel, LU
RONG YUAN YU 917 had 22 Ghanaians and six Chinese
crew on board. According to the Commanding Officer of
the Ghana Navy Ships, Lt. Commander Victor Fianko, the
Ghana Navy is collaborating with their Togolese
counterparts to search for the three missing crew members.
In an interview with Citi News, Lt. Commander Fianko
narrated that his outfit received information that the
hijacked vessel had been abandoned and it was heading
towards Ghanaian waters. The Navy then sent a dispatch to
the eastern boarder of Ghana where the vessel was
intercepted.
Maharashtra is set to get a share from the "Make in
India" pie as Bharat Dynamics Limited (BDL) has conveyed
to the state government that it will be investing up to Rs
1,000 crore for setting up a manufacturing plant of shortrange missiles in Amravati. The defence sector public
undertaking is expected to start setting up the facility by
the end of this year, highly-placed sources in the
government confirmed. The state government had
allocated 200 hectares (500 acres) of land in Nandgaon
Peth in Amravati to the PSU in 2011 for setting up a
manufacturing unit of short-range defence missiles.
However, the project was shelved for technical reasons.
"With the change in government and change in defence
policy, Bharat Dynamics Limited has once again decided to
revive its plans for building up the facility in Maharashtra,"
a senior officer said, requesting anonymity. Sources
confirmed that this would be the first project coming up in
the state as part of Prime Minister Narendra Modi's "Make
in India" campaign.
Navy stops Tuo Jiang-Class Trials
Source: taipeitimes
7th February 2015
The Republic of China (ROC) Navy has put a stop to
trial runs of the new missile-carrying Tuo Jiang-class 618
stealth corvette due to serious design flaws that have
undermined the vessel's operations, senior navy
commander Lu Li-shih told the Liberty Times. Lu said that
several fundamentals flaws in the corvette's design, along
with it being packed with extra weapons and equipment
systems, resulted in the vessel having insufficient
buoyancy, which affected its maneuverability and stability.
Lu is a former captain of a Jin Jiang-class patrol vessel,
which are similar to the 618. "The core design concept was
to build a stealth fast-attack corvette with high
maneuverability," Lu said.
Manila says China starts Dredging at another Reef
in Disputed Waters
Source: voanews
8th February 2015
China has started dredging around the disputed
Mischief Reef in the South China Sea, a Philippine navy
commander said, signalling Beijing may be preparing to
expand its facilities in the area. Last year, Chinese
President Xi Jinping tried to set Southeast Asian minds at
ease over the country's regional ambitions, but Beijing's
reclamation work in the Spratlys underscore its drive to
push claims in the South China Sea and reassert its rights.
China has already undertaken reclamation work on six
other reefs it occupies in the Spratlys, expanding land mass
five-fold, aerial surveillance photos show.
Sacking Shame in DRDO Post-Favour Complaints
Source: The New Indian Express
7th February 2015
Nigerian Coast Now Deadliest on Earth
BALASORE: With Defence Minister Manohar Parrikar
intervening in controversial removal of Project Director of
Agni-V Rajesh Kumar Gupta, questions have been raised
over role and function of former DRDO chief Avinash
Chander whose service contract was abruptly terminated
earlier. It is suspected that Chander might have been
sacked on the basis of a complaint lodged by Gupta,
highlighting Chander's irregularities. Reliable sources said
Gupta, who is also Associate Director of Hyderabad-based
Source: thisdaylive
8th February 2015
A pirate attack that killed a supertanker crewman off
the coast of Nigeria has highlighted a growing threat off oilrich West Africa, as vessels carrying millions of barrels of
crude traverse a region that has become known as "pirate
19
alley". The 2 million barrel KALAMOS Very Large Crude
Carrier (VLCC) was heading to Nigeria's main oil terminal
when it was attacked, leaving the ship's Greek deputy
captain dead and three crew members taken hostage.
Security experts say the waters off Nigeria are now the
deadliest on earth, surpassing Somalia on Africa's east
coast, which gained notoriety due to months-long
hijackings, high-cost ransoms, and U.S.-led rescue
missions such as the one that inspired Hollywood movie
"Captain Phillips"."It's referred to as pirate alley – kidnap
alley," said Ken Johnson, regional analyst with Dryad
Maritime, referring to the stretch of West African coast
from the Gulf of Guinea off Nigeria to as far south as
Angola's capital Luanda. Johnson, who provides operations
and intelligence advice to the shipping industry, said there
was another deadly attack on a ship in the region last
month when pirates killed a Nigerian naval seaman aboard
the oil support vessel, MV JASCON. Another attack last
year on an oil products tanker, the SP BRUSSELS, killed
one crew member, Johnson said.
several big-ticket items, including two frigates that used to
be U.S. Coast Guard cutters. The nearly 50-year-old ships,
retrofitted with modern munitions and companion
helicopters, have been patrolling the archipelago's shores
for the past two years. Four more frigates are on order and
another two navy helicopters identical to the three already
in use are expected to arrive by May. The Philippines'
annual military spending is $2.6 billion, miniscule
compared to China's $132 billion military budget in 2014.
But Manila has focused its resources on improving its
capability to monitor and respond to developments in the
South China Sea.
Russia Sends Nuclear Submarine Troops on Arctic
Exercise
Source: Newsweek
9th February 2015
Nuclear units in the Russian navy have engaged in
exercises in the international waters underneath the North
Pole, a move which analysts believe is a thinly veiled
response to the news that NATO is to reinforce its eastern
European border with Russia."In particular we focused on
hazard and threat detection, but also on missile launching
and navigation manoeuvres, ice reconnaissance,
submerging and emerging from ice, using torpedoes to
undermine ice and many other issues," North Fleet captain
Vadim Serga said. Among the units which took part in the
exercises were the crews of several Borei-class ballistic
missile nuclear submarines, an upgrade of Russia's old
Delta 3, Delta 4 and Typhoon nuclear vessels. The Russian
captain also added that the Fleet's crew were given
theoretical as well as practical exercises, which were led by
vice admiral Anatoly Shevchenko, whose nuclear
submarine has ventured underneath the North Pole ice
several times before.
Japan Fears $25bn Submarine deal at Risk in Tony
Abbott Crisis
Source: The Australian
8th February 2015
Japanese officials have met to discuss whether Tony
Abbott's leadership crisis could threaten a potential $25
billion deal to sell submarines to Australia. In a sign that
the leadership instability is having an international impact,
members of Japan's National Security Council met with
their Foreign Ministry counterparts in Tokyo. They
discussed both the leadership crisis and the submarine
project. There is concern in Tokyo that if Mr Abbott is
deposed as Prime Minister, the Coalition's enthusiasm to
buy submarines from Japan will wane, reviving the hopes
of Germany, France and Sweden, which want an open
competition for the project. Mr Abbott and Japan's Prime
Minister Shinzo Abe have personally been the driving
forces behind the notion of buying submarines from Japan
and the offices of both leaders have pushed the concept on
to their respective defence bureaucracies. If Mr Abbott
were removed, the political impetus to strike a deal with
Japan would also be lost.
Has Somali Piracy ended?
Source: defenceweb
9th February 2015
The sharp drop in piracy in the Somali Basin is puzzling
security experts, who have been surprised by recent
developments. While they are not heralding "mission
accomplished," they are asking what factors have led to the
recent sharp demise in piracy off the Somali coast. The
High Risk Area off the Somali coast has seen over 700
attacks by pirates since 2009, but last year there were only
11 pirate incidents and no ship hijackings. No ships have
been hijacked in the area since the start of January 2013.
Toward the end of 2011, seven ships were being hijacked a
month. Security experts can point to no one reason for the
quiet in the Somali Basin, but suggest several factors have
combined to reduce the threat over the past year. Among
these are the presence of three international naval task
forces in the area, the extensive use by ship owners of
armed private security guards, and improved best security
practices for sailing through high risk waters off east Africa.
With the reduced threat of piracy in the Somali Basin, ships
owners are increasingly turning attention to piracy the Gulf
of Guinea. However, the most severe area for piracy is in
At China Sea Impasse, Manila Bolsters Navy
Source: Voice of America
8th February 2015
The Philippine Navy is upgrading its capabilities at a
time of continuing tensions with China over disputed
territory in the South China Sea. In recent weeks, an
Indonesian naval shipbuilder started work on two
"strategic sealift vessels" that the Philippines is acquiring
for more than $87 million and expects within two years,
said Commander Lued Lincunad, a navy spokesman. Each
one "will enhance our defense capability and operational
capabilities. It has a helipad and can accommodate three
choppers at any one time," Lincunad said.
As part of a five-year, $1.8 billion military
modernization program, the navy already has acquired
20
the South China Sea.
security agencies to work in tandem with scientific research
and development organisations in order to guard the seas
and the vital assets dotting the country's coastline.
North Korea Tests New Anti-Ship Missile
HSL to build Two Midget Submarines
Source: G Captain
8th February 2015
Source: The Hindu
9th February 2015
North Korea has test-fired a new anti-ship cruise missile,
images released by state media showed, demonstrating the
increased capability of the secretive state's outdated navy.
The images were released in the lead-up to U.S.-South
Korean military exercises this spring. North Korea
routinely seeks to raise tensions ahead of the annual drills,
although this year Pyongyang has also offered to suspend
nuclear testing if Washington calls off the exercises. The
missile appeared identical in design to a Russian anti-ship
missile, the KH-35, which is capable of flying at high
speeds meters above the sea.
Underwater capability of Indian Navy will get a shot in
the arm with the in-principle decision of Ministry of
Defence to place construction of two Strategic Operating
Vessels (SOVs) on Hindustan Shipyard Limited. The
Request for Proposal (RfP) will be notified in a couple of
months. Building two SOVs, also known as midget
submarines each costing an estimated amount of Rs.3,000
crore will be a prestigious project. "We are expecting to
ground work on the project by completing all the
procedures by the year-end and deliver it in three years,"
HSL Chairman and Managing Director Rear Admiral N.K.
Mishra told The Hindu on Sunday, declining to elaborate
further.
Mauritian Warship Leaves Indian Shores
Source: The Times of India
9th February 2015
27 Indian Fishermen Held for Illegal Entry
KOLKATA: The Coast Guard Ship BARRACUDA, the first
ever naval ship to be built by India for a foreign nation, set
sail for Mauritius from the Garden Reach Shipbuilders and
Engineers (GRSE) Ltd in Kolkata. The ship was designed in
India as per requirements from the Government of
Mauritius. It was formally handed over to the Mauritian
government in December. "The BARRACUDA is an
Offshore Patrol Vessel (OPV) of unique design and has
wide-ranging capabilities. It is designed to safeguard the
safety and security of the Exclusive Economic Zone (EEZ)
of Mauritius. "The ship can carry out anti-piracy and search
and rescue operations, anti-smuggling and anti-drug
surveillance, anti-poaching operations in the EEZ of
Mauritius including fisheries protection.
According to Verma, export of the warship is not only a
significant milestone in Indo-Mauritian co-operation but
has added yet another feather in the cap of the company
that delivered India's first indigenously built warship INS
Ajay to the Navy in 1961.
Source: Dhaka Tribune
9th February 2015
Bangladesh Navy officials have detained 27 Indian
fishermen on charges of fishing in the Bay of Bengal by
illegally entering Bangladesh's maritime boundary. They
were held at Fairway Baya area in the Bay of Bengal on
Saturday afternoon. Two fishing trawlers were also seized.
Navy sources said the detainees unlawfully entered
Bangladeshi waters and were fishing in an area located
some 80 nautical miles from Mongla port when the Navy
held them. The fishermen hailed from India's South 24
Parganas. A case was filed against them and they were
handed over to Mongla police. On February 4, the Navy
detained 34 Indian fishermen and seized three trawlers
from the same area.
Govt Sinks another Foreign Illegal Ship in Batam.
Source: antaranews
12th February2015
' Maritime Security should be Part of Curriculum'
Source: The Hindu
10th February 2015
The Ministry of Marine Affairs and Fisheries along with
the Navy sunk a Thailand-flagged illegal fishing vessel that
was caught in the Natuna Sea, Riau province, last October
30. "The sinking of the ship proves that we are serious
about eradicating illegal fishing practices in our seas. This
is also an effort to protect our country's sovereignty,"
Minister of Marine Affairs and Fisheries Susi Pudjiastuti
said after witnessing the sinking. The ship, KM LAUT
NATUNA 28 that weighed 80 Gross Ton was drowned in
the Dempo Strait, 60 nautical miles from Batam Island.
Three Indonesian Navy ships and three observatory ships
of the Ministry of Marine Affairs and Fisheries were
involved in the operation. A local authority who helped
intercept the illegal ship in the Natuna sea last October 30
stated the captain and 11 crew members on board (all Thai
nationals) were catching fish when they were caught.
Earlier, Foreign Minister Retno Marsudi had noted the
The security of the seas surrounding India has financial,
diplomatic and geopolitical ramifications. Hence the need
to incorporate coastal and seaward security subjects in
school and college curriculums, Commodore G. Prakash,
director of the Maritime Warfare Centre at the Southern
Naval Command, has said. "Citizens must be made aware
of the significance of maritime security and its link to the
growth of the country and its ties with nations across the
seas," he said while speaking on 'ocean and national
security' at the World Ocean Science Congress, jointly
organised by Kerala University of Fisheries and Ocean
Studies (KUFOS) and the Swadeshi Science Movement, on
Saturday. S. Anantha Narayanan, director of the Naval
Physical and Oceanographic Laboratory (NPOL) who
chaired the session, pointed out the need for maritime
21
move to sink foreign vessels was neither illegal nor
barbaric. The move was expected to act a deterrent against
illegal fishing and would stop poachers from entering
Indonesian waters. It would also assure Indonesia's
maritime economic sovereignty, he had stressed.
the GoA area," Skuld noted. There is therefore the risk of
offending the laws of littoral states which could see vessels,
crews and PMSC personnel detained and subjected to
prosecution, the P&I club added. Lower oil prices were
unlikely to deter armed gangs from continuing to plunder
small product tankers in the region this year, Skuld
predicted.
Indian Navy Issues RFI for New Missile Corvettes
Source: Defence World
10th February 2015
Nigeria: 'Coastal Insecurity threatens 98 Percent
of Nigeria's Trade'
The Indian Navy has issued a Request for Information
for six new Indian-built missile corvettes primarily as
surface warfare vessels. Under the Next Generation Missile
Vessel (NGMV) programme, the navy requires "Surface
warfare capabilities, low RADAR, acoustic, magnetic and
IR signature, high endurance and credible AMD/AA
capability". The navy's RFI leaves out specifics of
displacement. However, it appears that it could be looking
for 2,000-2,500 ton vessel class – smaller than the brand
new Kamorta-class ASW corvettes that began inductions
last year, but significantly larger than the Indian-built Kora
and Khukri class of surface warfare corvettes.
Source: Allafrica
13th February 2015
98 per cent of Nigeria's bulk trade is currently being
threatened by the increasing insecurity in its coastal region
which is gradually extending to the greater part of the Gulf
of Guinea, Commandant, Armed Forces Command and
Staff College (AFCSC) Jaji, Kaduna, AVM John Chris
Ifemeje, has said. AVM Ifemeje said bulk of the country's
trade is done through its maritime environment which has
continued to attract some security challenges with
attendant legal implications. Speaking at a seminar for
Senior Course 37 of the Department of Maritime Warfare
tagged 'The Law of the Sea' in Jaji, the commandant
highlighted crude oil theft, pipeline vandalism and
operation of oil refineries as some major challenges being
faced which extend to the greater Gulf of Guinea (GOG).
"These economic activities which extend to the greater Gulf
of Guinea (GOG) have continued to attract some security
challenges with attendant legal implications in recent
times.
Navy Vessel MHADEI clocks one Lakh Nautical
Miles
Source: The Times of India
11th February 2015
NEW DELHI: The iconic INSV MHADEI has now clocked
one lakh nautical miles while traversing the oceans around
the globe, a milestone for the sailing vessel which figured in
the naval tableau during the Republic Day parade last
month. The tableau titled 'Bharatiya Nau Sena Aur Nari
Shakti' depicted the sterling achievement of four Navy
women officers who had braved the vagaries of the seas to
participate in the voyage from Goa to Rio de Janeiro in
Brazil on board MHADEI. The 23-tonne MHADEI, which
has crossed the equator 10 times, the prime meridian four
times and the international dateline twice, has notched
several awards since it was inducted into the Navy. Officers
who have sailed on it have received a Kirti Chakra, a
Shaurya Chakra, two Tenzing Norgay National Adventure
Awards, a McGregor Award for Military Reconnaissance,
two National Maritime Achievement Awards and two Chief
of Naval Staff Commendations, among others.
New Navy Ship named for BISMARCK
Source: KFGO
13th February 2015
BISMARCK has a naval ship named in its honor.
Former Attorney General Bob Wefald, who was behind the
drive to get a Navy nuclear sub named for North Dakota
says the decision, came as a complete surprise. In fact, he
once asked if the Navy might consider naming a ship after
the capitol city and was told that name belongs to the
German Navy. Wefald says the joint high-speed USNS
BISMARCK will be built next year. The double hulled ship
will be Navy owned but is not a war ship and will be
operated by civilians. It can transport 300 troops and
military equipment and is equipped with a landing pad for
helicopters and can travel at 35 knots over long distances.
Do Not Use Security Guards in SE Asian Waters:
Skuld
Source: seashipnews
15th February 2015
With piracy and armed robbery on the increase in
Southeast Asia, P&I Club Skuld has warned shipowners to
be wary of taking on the services of private maritime
security companies (PMSCs). While PMSC arrangements
may be common for the Gulf of Aden and surrounding
areas, owners were warned in an advisory to be very
cautious about such arrangements in this region."The
littoral states in this part of the world take matters of
security very seriously and at present there are no
arrangements or regulations in place that would allow
armed PMCs to be on board vessels in the same way as in
21st Century is of the Seas: Navy Chief
Source: Business Standard
12th February 2015
Terming the 21st century as the "Century of the Seas",
Chief of Naval Staff Admiral R.K. Dhowan said the seas
have gained new found importance "because of their
linkages with the blue economy". Speaking at the Asian
Security Conference on "Asian Security: Comprehending
the Indian Approach" organised by the Institute for
22
Defence Studies and Analyses (IDSA), he said the economic
centre of gravity was shifting to Asia. He said the region
has evident maritime linkages and the interest of the Asian
nations was linked to unhindered free flow of oil and trade
to the region. He said Asian nations have vast maritime
interests and the responsibility of protecting these assets
falls on the maritime agencies, as well as the navies of the
region.
PLA could Refit Two Soviet era Kiev-class Aircraft
Carriers
Source: WantChinaTimes
15th February 2015
China's ability to modify its two decommissioned Soviet
era Kiev-class aircraft carriers which now serve as hoteltheme parks in Tianjin and Shenzhen has been discussed in
a recent article on Beijing-based website Sina Military
Network. The Kiev and the Minsk were the first two vessels
of four Kiev-class aircraft carriers built for the Soviet navy
back in the 1970s. Also known as aviation cruisers, the
45,000-ton vessels can be equipped with 80 to 200
surface-to-air missiles, two dual-purpose guns, eight closein weapons systems and 10 torpedo tubes. The ships have a
speed of 32 knots and are capable of carrying between 12
and 13 Yak-38 fighters with vertical take-off and landing
capability. The ships can also carry 14 to 17 Ka-25 or Ka27/29 helicopters.
U.S. Navy Considers Setting up Ship Base in
Australia
Source: Bloomberg
11th February 2015
The U.S. is in talks with Australia about "basing" Navy
vessels in its main South Pacific ally, Chief of Naval
Operations Admiral Jonathan Greenert said, a move that
would risk inflaming tensions with China. "We're doing a
study together with the Australia Defence Force to see what
might be feasible for naval cooperation in and around
Australia, which might include basing ships," Admiral
Greenert said during a speech at a university in Canberra.
It was unclear if Greenert was referring to permanent
basing or rotational placement of ships. U.S. is in the midst
of a "pivot-to-Asia" that will see 60 percent of its naval
forces deployed in the region by 2020, a response to its
growing strategic importance. It's a policy China claims is
an attempt to contain its own military expansion into the
South China Sea and Indian Ocean.
Kuwait Foils Attack on Large Oil Tanker by Somali
Pirates
Source: worldtribune
14th February 2015
Kuwait Oil Tanker Co. said one of its vessels came under
attack from pirates during a voyage to Djibouti. The
company said the crew of the BURGAN tanker confronted
and drove off the pirates without injuries, Middle East
Newsline reported "They operated according to standard
security procedures," Kuwait Oil Tanker chief executive
officer Talal Al Khaled said The attack on Feb. 8 marked a
rare attempt by Somali-based pirates to capture an oil
tanker. BURGAN, owned by the Kuwaiti company, was
loaded with 40,303 tons of aviation fuel and was moving
through the Gulf of Aden to the Horizon terminal in
Djibouti. Officials said the Indian Navy, with a counterpiracy contingent in the Gulf of Aden, also participated in
driving off the attackers on Burgan. They said the pirates
approached BURGAN on four boats.
Marine Base
While Australia has no formal U.S. naval bases, it has
agreed to host as many as 2,500 Marines in the northern
city of Darwin and the two countries regularly hold joint
military drills. "This would not be a radical departure in
alliance policy which is seeing an increased tempo of access
to Australia by U.S. marines and will see more visits from
the U.S. air force in the years to come," said Rory Medcalf,
head of the National Security College at Australian
National University, where the speech took place.
Australia's Submarine-Building Capacity Trashed
by Officials Overseas: Xenophon
Eastern Naval Command to Induct 3 Vessels and
Anti-Submarine Ship
Source: ABC News
15th February 2015
Source: Deccan Chronicle
13th February 2015
The reputation of Australian-made submarines has
been "trashed" overseas by the Government organisation
responsible for securing the country's next fleet,
independent senator Nick Xenophon says. He said officials
from the Defence Materiel Organisation (DMO) questioned
Australia's capacity to build submarines during high-levels
talks with Japanese and European manufacturers late last
year. "Apparently the overseas sub-makers were stunned
by the comments made by our own DMO," Senator
Xenophon said. "Any such comments are disgraceful."
Senator Xenophon said the comments were interpreted by
the manufacturers that the Government favoured building
a fleet of up to 12 submarines overseas, despite having
promised prior to the 2013 election to give the contract to
Government shipbuilding company ASC in Adelaide.
VISAKHAPATNAM: The Eastern Naval Command is
inducting three more immediate support vessels. They will
be deployed along the east coast. The ENC inducted three
ISVs into its 83rd ISV squadron based at Vizag in June
2014. "The ISVs will be inducted in the next 10 days," ENC,
Commander-in-Chief Vice Admiral Satish Soni said. ISVs
are armed with machine guns and also carry modern
navigational
and
communication
equipment.
An INS KAMORTA class anti-submarine ship will also be
commissioned next year. The ENC also has plans to expand
its ammunition depot at INS KALINGA in Vizag. He said
that 2,000 acres will be acquired to set up another airfield
at Bobbili where a squadron of MiG 29K aircraft will be
stationed.
23
Maritime Policy & Law
up 70% of the population, can be easily provided electricity
for basic domestic purposes via solar energy. But no one
will ever talk about that," he added. The former Navy chief
has written an open letter to the prime minister, expressing
his disappointment about dilution of Liability Act for
setting up these nuclear power plants. These will absolve
the nuclear plant manufacturers of responsibility in case of
accidents in and around the site. He also said that the
suppliers will get away completely, with the liability of
Rs1,500 crore coming from a pool funded by Indians.
Owners held Not Liable under Charterparties
signed by Manager in Breach of Implied Warranty
of Authority
Source: Reed Smith
2nd February 2015
The claimant had chartered four vessels, the charter
parties for which had been signed by the vessels'
commercial manager. Each charterparty contained the
phrase "the disponent owners signatory in contract",
followed by the manager's name. During the negotiations,
the manager had made it apparent that it was acting on
behalf of Owners, and had said that Owners were being
kept informed of the progress of negotiations. When the
vessels were withdrawn from service, Charterers brought a
claim against the manager and the registered owners of the
vessels, arguing that in fixing the charterparties the
manager had been acting as the Owners' agent, that
Owners were bound by the charterparties, and that they
were in breach by withdrawing the vessels. Charterers said
that the phrase "disponent owners" in the charter parties
was used in the sense of the manager having the power to
fix charterparties on behalf of Owners. Owners denied that
they were party to the charterparties and, if they were, that
the manager had authority to act on their behalf. The Court
held first that the manager had signed the charterparties as
disponent owner, in the sense of being the manager of the
vessels. The phrase "disponent owner" could be used to
refer to a party who was the agent of the registered owner,
if he was a manager with very wide powers (although the
court acknowledged that the use of the phrase in this
context is both rare and unusual). The Court also held that
Owners had not expressly authorised the manager to
conclude the charterparties. Charterers' claim against
Owners, therefore, was dismissed. The manager, however,
was liable to Charterers for breach of an implied warranty
of authority.
16 Ships detained on Hours of Rest Deficiencies in
Paris MoU
Source: World Maritime News
2nd February 2015
Preliminary results from the Concentrated Inspection
Campaign (CIC) on STCW Hours of Rest, carried out
between September 1 and November 30, 2014, in the Paris
MoU region show that 16 ships were detained as a direct
result of the CIC for deficiencies related to hours of rest.
Main areas of concern are hours of rest not being recorded
properly and watchkeeping personnel without sufficient
rest. The CIC questionnaire was completed during 4,041
inspections. A total of 912 CIC-related deficiencies were
recorded and 16 ships (14% of the detentions) were
detained as a direct result of the CIC during the 3 month
period. Paris MoU Secretary General Richard Schiferli said
"Insufficient rest of watchkeeping personnel has already
caused several incidents over the past years. It may be the
cause of fatigue, which can have major consequences for
safety and the environment. 2 watch systems are
particularly vulnerable in this respect."
AMSA bans Vessel from Australian Ports for 12
Months.
Source: PortNews
2nd February 2015
Anti-Nuclear Protests by CNDP in Nagpur
For the first time, the Australian Maritime Safety
Authority (AMSA) has banned a vessel from entering or
using any port in Australia for 12 months. Indonesian
flagged container ship RED ROVER (IMO9481673) was
issued with a direction not to enter or use any port in
Australia for 12 months after being detained by AMSA
three times since September 2014. The most recent
detention was on 28 January 2015 in Fremantle, Western
Australia. All three detentions identified failings in the
vessel's Safety Management System, including a lack of
effective passage planning and failure to use appropriate
chart s and publications. This is the third vessel operated
by PT Meratus Line (Company Number 0313623) which
has been banned from accessing Australian ports for a
period of time. All three of these vessels repeatedly
demonstrated they were not operating or being managed to
meet applicable standards despite repeated advice by
AMSA to take action to improve performance.
Source: The Times of India
2nd February 2015
NAGPUR: Close on the heels of the Indo-US nuclear deal,
the Coalition for Nuclear Disarmament and Peace (CNDP)
has kicked off a two-day anti-nuclear campaign in the city.
They are protesting the possible environmental, economic,
health as well as political hazards the nuclear plants may
cause around the nation. A public meeting to support the
cause was at the Mure Memorial Hospital premises. It was
chaired by former chief of Indian Navy Admiral Ramdas.
Other activists like Lalita Ramdas, Kumar Sundaram,
Yashveer Arya and Satyajeet Chauhan also spoke. "It is a
myth that in the near future India would be unable to
generate more electricity without using nuclear power,"
said Admiral Ramdas while interacting with TOI. Talking
about fulfilling the demands of regions where electricity
was never introduced, he said, "The rural areas, that make
24
making insurance, or some other form of financial security,
compulsory. The Danish Maritime Authority (DMA) said
that the Convention's implementation will set a new
springtime course calling Danish companies and
shipowners to prepare for new insurance and certification
requirements. In addition, the Authority urged Danish
shipowners with ships of or above 300 GT to forward
applications for certificates to the DMA as soon as possible
and well in advance of 14 April 2015 to avoid any problems.
Mariners take aim at Autonomous Sailing “Buoy”
Source: G Captain
3rd February 2015
Race organizers of the "Microtransat" apparently got
the response they were looking for from the IMO and
French Coastguard. Their race across the Atlantic using
autonomous, 4 meter-long sailboats allegedly does not
have any conflicts with the International Rules for
Prevention of Collisions at Sea (COLGREGs) because these
vessels would be classed as a buoys, not vessels. Because
there's nobody on board and it's floating in the ocean, it
must be a buoy… or a piece of debris, as one of our Forum
members described. In the Microtransat's Frequently
Asked Questions page, they bring up the question: Do the
boats have to include any kind of autonomous collisionavoidance system to prevent collision with other floating
objects? In response, the race organizers say no, citing that
these boats do not carry passengers or cargo and thus do
not satisfy the definition of a vessel according to
COLREGS.
ClassNK Approval of New Corrosion Resistant
Steel gives Shipowners New Options
Source: Class NK
5th February 2015
Leading classification society ClassNK (Chairman and
President: Noboru Ueda) issued approval for Nippon Steel
& Sumitomo Metal Corporation's newly developed
corrosion resistant steel (NSGP™-2) for use on the upper
deck and/or inner bottom of crude oil tanker cargo oil
tanks (COT). Following earlier approvals of steels for the
inner bottom plating of COTs, this marks the first time that
approval has been granted for corrosion resistant steels for
both the top and bottom parts of the COT, providing
owners and shipyards with a practical alternative to coating
systems. The innovative development is expected to
significantly lessen the financial costs associated with
applying protective coating to conventional steel during
ship construction and after going into commission.
Kochi to host first World Ocean Science Congress
Source: Manorama Online
4th February 2015
KOCHI: Eminent oceanographers, environmentalists,
naval exponents and maritime industrialists from across
the world will converge here for the maiden edition of fourday World Ocean Science Congress (WOSC)-2015,
beginning at Jawaharlal Nehru International Stadium on
February 5. Kerala Governor Justice P. Sathasivam will
inaugurate the Congress, which will deliberate on finding
sustainable means to utilise ocean resources without
causing damage to the oceans and their marine life. Union
Minister of State for Agriculture Mohanbhai Kalyanjibhai
Kundariya will also participate in the Congress. State
Minister for Fisheries, Ports and Excise K. Babu will
preside over the function. Prof. K.V. Thomas, MP; Dominic
Presentation, MLA; S. Sharma, MLA; and National
Fisheries Development Board (NFDB) Chief Executive Dr.
M.V. Rao will participate in the inaugural function. The
WOSC, jointly organised by Swadeshi Science Movement,
Vijnana Bharati, Kerala chapter and Kerala University of
Fisheries and Ocean Studies (KUFOS), Kochi, will have
four Plenary Sessions, 13 Technical Sessions, exhibitions, a
Round Table on Shipping and Ocean Resources, besides a
National Fishermen's Meet.
DMA urges Shipowners
Removal Regulations
to
prep
for
Seacurus launches New South-East Asian PetroPiracy Cover
Source: Marine Link
6th February 2015
Specialist marine insurance intermediary Seacurus has
developed a petro-piracy endorsement which can be added
to existing Kidnap & Ransom (KR) insurance cover in
response to the evolving threats to ships, their cargoes and
crews when transiting the South China Sea, Malacca
Straits, Indonesian Archipelago and Gulf of Guinea.
The new cover from Seacurus recognises the need to
protect crews against the potential for a kidnapping
situation, and ship and cargo owners against the risk of
business interruption and property theft. In addition to the
benefits of a $1m marine K&R policy, the cover includes as
standard such additional benefits as loss of hire
($500,000), loss or theft of cargo ($500,000), loss of
bunkers ($250,000), and loss or theft of money ($50,000)
- all within an aggregate policy limit of $5m.
Wreck
Inspection Team Investigates Corruption at CSSC
Source: World Maritime News
4th February 2015
Source: Sino Ship News
9th February 2015
With the upcoming entrance into force of the Nairobi
International Convention on the Removal of Wrecks on
14th of April 2015, new regulations will be implemented
affecting all signatory countries. Among several provisions,
the Convention is aimed at placing financial responsibility
for the removal of certain hazardous wrecks on shipowners,
SHANGHAI: The anti-corruption inspection team, sent
by the central government of China, has found corruption
activities in the state run shipbuilding conglomerate China
State Shipbuilding Corporation (CSSC), it said in a working
brief. The central government started anti-corruption
25
inspections, directly oversaw by the president Xi Jinping,
on 13 state-run groups including China State Shipbuilding
Corporation, the China Shipping Group and oil giant
Sinopec at the end of November 2013. Liu Zu, the leader of
the team, said they have found the company's supervision
mechanism weak, which has led to corruption activities in
the procurement department involving senior officials in
the company. The team has reported the information from
the inspection to the Central Commission for Discipline
Inspection and investigations continue.
ILO Revises
Convention
Seafarers'
Identity
The International Chamber of Shipping updates
Flag State Performance Table
Source: PortNews
13th February 2015
The International Chamber of Shipping (ICS) has
published its annual Shipping Industry Flag State
Performance Table. ICS Secretary General, Peter Hinchliffe
remarked "The very largest flag states, such as the
Bahamas, Liberia and the Marshall Islands, as well as Hong
Kong, Singapore, Cyprus and Greece, all continue to
demonstrate very impressive levels of performance, as do
all of the other large European and Asian flags." Given the
nature of the indicators that ICS uses, whether or not a flag
is missing one or two green squares on the ICS Table may
not be especially important. For example, the fact that a
certain IMO Convention may not have been ratified by a
flag state does not necessarily mean that its requirements
are not being implemented in practice. Amongst the 19
largest ships registers, covering more than 85% of the
world fleet, none have more than three potential indicators
of negative performance.
Documents
Source: World Maritime News
11th February 2015
International Labour Organization (ILO) held a
tripartite meeting of employers, seafarers' unions and
governments in Geneva, to consider possible adjustments
to the Seafarers' Identity Documents Convention (Revised),
2003 (ILO 185), the International Chamber of Shipping,
shipowners' representative at the meeting, said in a release.
ILO 185 requires ratifying nations to issue resident
seafarers with Seafarers' Identity Documents (SIDs), and to
facilitate the entry of foreign seafarers holding SIDs into
their territory for the purposes of shore leave, transfer and
transit. However, since its adoption in 2003, the
Convention
has
failed
to
achieve
widespread
implementation, in large part because the technical
standards adopted have been superseded by the
technologies and infrastructure now used for the issuance
and verification of ePassports. Most notable among the
recommendations agreed by the tripartite meeting was a
proposal that the technical specifications for Seafarers'
Identity Documents, within the annexes to ILO 185, should
be updated in order to bring them into line with those
technologies currently used for ePassports.
COSTA CONCORDIA
Sentenced to 16 Years
Captain
Found
Introducing Smart Containers
Source: World Maritime News
13th February 2015
French liner CMA CGM has increased its capital
investment in the TRAXENS startup as it strives to
introduce the industry's first containers equipped with
tracking sensors. In 2015, TRAXENS, developer of
innovative containers monitoring systems, will equip the
first CMA CGM containers with its patented technology.
The technology will enable the customers to know in realtime not only a container's position, but also its
temperature, the vibrations it will be subjected to, any
attempted burglary, the presence of traces of specific
substances in the air or even the regulatory status of the
cargo. "With this technology, CMA CGM brings the
shipping industry into a new era.
Guilty,
Source: G Captain
12th February 2015
SEWOL Ferry Disaster: South Korean Coastguard
Officer Sentenced to Four Years in Jail on
Manslaughter Charges
An Italian court sentenced the former captain of the
COSTA CONCORDIA cruise liner to 16 years in prison for
his role in the 2012 shipwreck that killed 32 people off the
Tuscan holiday island of Giglio. Francesco Schettino was
commanding the vessel, a floating hotel as long as three
football pitches, when it came too close to shore and hit
rocks off the island, tearing a hole in its side. Schettino was
convicted of multiple manslaughter, causing a shipwreck
and abandoning his passengers in one of the highestprofile shipping disasters in recent years. He was also
accused of delaying evacuation and abandoning ship before
all the 4,229 passengers and crew had been rescued.
Prosecutors had asked for a prison sentence of 26 years for
Schettino, who has admitted some responsibility but
denied blame for the deaths that occurred during the
evacuation. The court sentenced Schettino to 10 years for
multiple manslaughter, 5 years for causing the shipwreck
and one year for abandoning his passengers.
Source: abc.net
14th February 2015
A South Korean coastguard ship commander has been
jailed for four years on manslaughter charges related to last
year's Sewol ferry disaster which killed more than 300
people. The court in the southern city of Gwangju found
Kim Kyung-il guilty of professional negligence resulting in
death, a court spokesman said. Prosecutors said Kim,
whose vessel was the first on the scene as the Sewol listed
and sank, bore responsibility for the botched rescue effort
that wasted precious time and delayed the evacuation of
passengers from the stricken ferry. He was also charged
with making a false report that he had broadcast an
evacuation order through loudspeakers. The overloaded
and unstable Sewol was carrying 476 people when it
capsized off the southern island of Jindo last April.
26
Maritime Environment
decision comes as global air pollution from shipping in
ports is projected to quadruple by 2050 from current
levels, according to the OECD's International Transport
Forum.
Currently ships are responsible for more than 3% of
global greenhouse gas (GHG) emissions. The European
Commission estimates that CO2 emissions from ships
sailing in European waters amounted to 180 million tonnes
in 2010. If these emissions were reported as a country,
maritime transport would be Europe's eighth largest
emitter.
According to the third greenhouse gas study conducted
last year by the UN's shipping body, the International
Maritime Organisation (IMO), if other sectors of the
economy reduce emissions to keep global temperature
increases below 2 degrees Celsius, while shipping
emissions continue on a business-as-usual trajectory, then
by 2050 shipping emissions could comprise a whopping
10% of allowable global GHG emissions.
Turkish Environmentalists boycott Ship Carrying
Radioactive Waste
Source: World Maritime News
3rd February 2015
Environmentalist groups are urging Turkish authorities
to prevent a ship, believed to be loaded with radioactive
waste, from entering Turkish waters. Namely, Chevronoperated FPSO KUITO has left Angola recently and is
approaching Aegean port of İzmir, where Aliaga shipyard is
situated. The vessel is supposed to dock in Izmir's Aliaga
shipyard for dismantling. According to head of Chamber of
Environment Engineers (ÇMO), Baran Bozoğlu, quoted by
Turkish newspaper Today's Zaman, the ship contains
intensively high radioactive materials and waste. Bozoğlu
urged the authorities to stop the ship before it enters
Turkish waters and examine it. He also raised concerns on
whether the ship had actually been cleared to enter Turkish
waters calling the relevant authorities to inform the public
on the matter. The Turkish law prohibits entrance into the
country's national waters to vessels containing nuclear
wastes, restricting them to 12 nm from shore. The FPSO
KUITO is owned by Sonasing and operated by OPS, both
JV companies between SBM Offshore and Sonangol.
MISCELLANEOUS
HHI Posts USD 2 Bln Loss
Source: World Maritime News
13th February 2015
Monitoring Ships' Energy Performance Step in
Right Direction
The world's largest shipbuilder Hyundai Heavy
Industries (HHI) recorded a loss of USD 2 billion (KRW
2.21 trn) in 2014 as opposed to KRW 146.3 billion profit in
2013. The South Korean shipbuilder's full year revenue
dropped 3% year-on-year totalling in KRW 52.58 trn. The
full year figures were in line with expectations as HHI
continued its losing streak throughout 2014, recording
KRW616.6 billion and KRW1.175 trillion losses in the
second and third quarter of 2014 respectively. The fourth
quarter was considerably better for HHI, as its net loss
dropped from 227.8 billion won in 2013 to 37.9 billion won
in the October-December period.
Source: World Maritime News
9th February 2015
Introduction of fuel monitoring consumption
mechanism for ships, approved by the European
Parliament, can help CO2 and fuel use cutting happen
indirectly, according to Transport and Environment (T&E)
NGO umbrella organization. The regulation, which still
requires the support of the Parliament plenary, only
monitors fuel consumption, covering CO2 and not air
pollutants like SO2 or NOx. Should it go ahead, all shipping
companies calling at EU ports will, for the first time, have
to measure and publicly report ships' energy performance,
including carbon emissions. Ship operators will be required
to publicly report three metrics to measure the energy
performance of ships: the theoretical energy performance
of the ship known as the Energy Efficiency Design Index
(EEDI); its real-world fuel consumption; and its energy
efficiency. The more cargo a ship can carry using the same
amount of fuel, the more efficient and cheaper it is to run.
"The proposed law does not cut CO2 and fuel use
directly but can help make it happen indirectly.
Transparency in ships' energy performance contributes to
better-informed decisions on which types of ships,
companies and routes to use. This move is a stepping stone
to an eventual measure to require actual emissions
reductions, which is what is urgently needed," Sotiris
Raptis, clean shipping officer at T&E, said. The
environment committee vote and the Council of Ministers'
Five killed, Four missing in Petrobras FPSO
Accident
Five people were killed and four are missing following
an explosion a day earlier in a Brazilian offshore oil and
natural gas field run by Petroleo Brasileiro SA, said
Norway's BW Offshore Ltd, which owns the production
ship on which the accident occurred. The death toll rose
from three, according to Petrobras, as the oil company is
commonly known, and Brazilian oil regulator ANP. All the
workers killed on the platform were BW Offshore
employees, BW said. While the company didn't detail their
precise nationalities, it said nearly all the workers on board
were Brazilian. Ten others were injured, with two in critical
condition, BW Offshore said, with these figures confirmed
by Petrobras and regulator ANP.
27
designed & printed by: facebook.com/adworldpk
Source: G Captain
13th February 2015