Breakbulk Magazine Issue 3 2024

THE MAVERICK FORWARDER

Fracht’s Ruedi Reisdorf on the Importance of Making a Decision and Staying One Step Ahead

THE EUROPE ISSUE

Why Poland Is the New Germany

Shelling Out for EU Shipping Charge

Ukraine: Trade Continues

Plus News and Features From Around the World

ENERGY OUTLOOK:

The World Needs More of Everything, Including Specialist Ships Capable of Carrying Essential Energy Infrastructure

The Maverick Forwarder Fracht’s Ruedi Reisdorf on the Importance of Making a Decision and Staying One Step Ahead

Mark Your Calendars for Upcoming Breakbulk Events

Breakbulk Americas Oct. 15-17, 2024

George R. Brown Convention Center Houston, Texas, US

Breakbulk Middle East Feb. 10-11, 2025

Dubai World Trade Centre Dubai, UAE

Breakbulk Europe May 13-15, 2025 Rotterdam Ahoy Rotterdam, Netherlands

32 Global Energy Outlook: More, More, More The World Needs More of Everything, Including Specialist Ships Capable of Carrying Essential Energy Infrastructure

38 Global EIC Assesses Energy Project Potential Around the Globe Four Energy Experts From the Energy Industries Council (EIC) Present an Outlook for Each of Their Regions

42 Profile From Shipping to EPC Logistics: A Journey of Determination Petrofac Logistics Manager Jamilya Garajayeva Found Career-Growth Opportunities Where She Least Expected Them

46 Global Tracking Technology Trends in Project Cargo Benefits and Business Use Cases

54 Thought Leader Why Poland Is the New Germany Poles Quietly Leading the Way in Engineering Excellence

56 Europe Shelling Out for EU Shipping Charge How Breakbulk and Project Cargo Specialists Are Coping With the Demands of the EU Emissions Trading System (ETS)

60 Europe Ukraine: Trade Continues

Ukraine War Rebuilding Must Wait but Project Cargo Remains Busy

64 Europe On the Road to Success

Motorcycle Fan Ruediger Fromm’s Journey From Apprentice Forwarder to Head of Logistics at Siemens Energy

68 Europe Throwback: CEC Future Hijacking: Logistics to the Rescue Minimizing the impact of disaster

Cover Story

Energy Outlook: More, More, More

Your Indispensable Partner

70 Americas Case Study: Endeavour Makes Final Journey With Bragg Local Logistics Knowledge Secures Space Shuttle Project for Bragg Companies

74 Americas Fighting Cyber Threats at America’s Ports As Port Cyber Defense Ramps Up, Non-Adversarial Port Machinery Manufacturers May Win in the Short Term

78 Thought Leader The Chain of Power Generation, Value Proposition and EVP Combating ‘Diversity Fatigue’ Is Key to Creating a Truly Inclusive Workplace

80 Middle East, Africa, Asia Philippines Embraces Winds of Change Poised to Be a Significant Renewable Energy Market in Asia

84 Middle East Port of NEOM: A Benchmark for the Maritime Industry CEO Sean Kelly on the Port’s Pivotal Role in Supporting NEOM Development

87 Middle East Red Sea Shipping: Turmoil Turned Opportunity? Uncertainty Looms but Some South Africans See a Silver Lining

90 Middle East On Location: DHL MEA Innovation Center Breakbulk Visits High-Tech Facility in Dubai

EUROPE,

HERE WE COME

We’ve got a doublethemed issue for you – this is the Europe issue and our annual energy focus – so take a seat and dive into some of the best analysis and insights you’ll find about the people and projects shaping our industry.

Where better to start than with the cover story? Writer Luke King visited Fracht’s Ruedi Reisdorf in Basel to get to know the man behind one of the last independently-owned (by Reisdorf himself as sole shareholder) global freight forwarders in the business. Read it and you’ll understand his business philosophy – and his personal interests such as investing in logistics start-ups. “I send an email and say, ‘Hey I read about you – your idea is really good. Do you need some more money, what are your terms?’”

For those looking for new business in energy projects, try Amy McLellan’s “Global Energy Outlook” where Drewry’s Peter Molloy says, “Indeed, all forecasts point to more of everything – fossil fuels, renewables, nuclear and storage.” But insufficient fleet capacity is a problem. Molloy will deliver the “MPP Fleet Outlook Overview” at Breakbulk Europe on Wednesday afternoon. Move onto the Energy Industry Council’s ensemble piece featuring four regional experts in Europe, the Americas, the Middle East and APAC who discuss both opportunities and challenges facing energy project development. Sharanya Kumaramurthy, the Europe section author, will discuss her analysis further at Breakbulk Europe’s “Project Outlook: Europe Focus” on Thursday morning.

To put a face to energy projects, read Jeremy Bowden’s profile on Siemens Energy’s Ruediger Fromm, who is a member of the Breakbulk Europe Advisory Board. An engineer by training, it’s no surprise he takes a pragmatic approach to logistics challenges. “Sometimes you cannot get a fix straight away – if you have a thin skin and quickly become stressed then it’s not the right job for you.” Fromm says. “You need to count, turn around and think about it – sooner or later there will be a solution.”

Don’t miss our four thought leaders, starting off with Elisabeth Cosmatos, CEO of Cosmatos Group and president of The Heavy Lift Group, who says it’s time for a new insurance model better suited to the industry. Eli Gjesdal, managing director of Empower Leadership Institute, urges leaders to align their actions with company values to create a workplace where everyone can thrive. Both women will be speakers at this year’s Women in Breakbulk networking event, scheduled for Tuesday. Then dship Carriers Americas’ president Dea Chincuanco addresses diversity fatigue, while 3P Logistics’ Ilya Goncharov makes the case for Poland as the new Germany. Crossing Poland’s border into Ukraine, we get an onthe-ground report from transport companies working on energy and infrastructure projects – and of course, delivering humanitarian supplies. The world keeps turning, despite war, terrorism and natural disasters, and breakbulk professionals move along with the tides of change, adaptable and resilient. Get to know the people who make projects happen within these pages and meet them at Breakbulk events. Best,

Leslie Meredith Marketing and Editorial Director Breakbulk Events & Media

Marketing and Editorial Director

Leslie Meredith Leslie.Meredith@breakbulk.com

Senior Reporter

Simon West simon.west@breakbulk.com

Designer Mark Clubb

Reporters

John Bensalhia

Jeremy Bowden

Heba Hashem

Luke King

Felicity Landon

Amy McLellan

Lori Musser

Malcolm Ramsay

Thomas Timlen

Liesl Venter

Breakbulk Magazine Editorial Board

John Amos Amos Logistics

Tina Benjamin-Lea Air Products

Dea Chincuanco dship Carriers

Elisabeth Cosmatos Cosmatos Group of Companies

Dennis Devlin Maersk Project Logistics

Dharmendra Gangrade Larsen & Toubro

Margaret Kidd University of Houston

Stephen “Spo” Spoljaric Bechtel Corporation

Jake Swanson DHL Global Forwarding

Grant Wattman Combi Lift Americas

Portfolio Director Jessica Dawnay Jessica.Dawnay@breakbulk.com

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A publication of Hyve Group plc. The Studios, 2 Kingdom Street Paddington, London W2 6JG, UK

Leslie Meredith

Speakers, exhibitors and

Breakbulk

Global Shipper Network members in this issue:

New Faces, pages 12-17

Dataloy Systems, Fuchs a Terex Brand, Relopack, Friday & Co Shipbrokers, Baggio Shipping & Chartering, Simex Transport and Forwarding, CHIREY Global Logistics Group

Port of Rotterdam Eyes Brighter Future, page 18

The Port of Rotterdam

Meet the Heavy-Lifters, page 19

The Heavy Lift Group (THLG)

Movers & Shakers, pages 20-21

Kuehne+Nagel, Total Movements, AsstrA-Associated Traffic, Hapag-Lloyd, Port of San Diego, S&B, Air Charter Service, Port of Houston Authority

Big Moves Make Waves, pages 22-23

DB Schenker, J M Baxi Heavy, deugro, Port of Lisbon, Eastship

Navigating Waves of Change, page 24

Eli Gjesdal, Empower Leadership Institute

Women in Breakbulk, pages 25-26

Elisabeth Cosmatos, president, THLG; Eve Gogarty, Business Development Director - Europe, PSA BDP; Eli Gjesdal, Empower Leadership Institute; Therese Langseth, Sale & Purchase Shipbroker, Friday & Co. Shipbrokers; Marianne Blechingberg, Oy Hacklin Logistics; Miriam Nagel, MOL Döhle Worldwide Logistics; Anne Saris, Business Manager Agrofood & Distribution, Port of Rotterdam

Logistics Challenge: What Would You Do?, pages 27-29

Bechtel Corp.

Energy Outlook, pages 32-36

Swire Projects, Blue Water Shipping, Iberdrola, Ørsted, dship Carriers

Jamilya Garajayeva: From Shipping to EPC Logistics, pages 42-45

Petrofac

Tracking Technology Trends, pages 46-49

Seaber, Globis Software, Fracht Group

Ruedi Reisdorf: The Maverick Forwarder, pages 50-53

Fracht Group

Shelling Out for EU Shipping Charge, pages 56-59

BBC Chartering, AAL, Harren Group, SAL Heavy Lift

Ukraine: Trade Continues, pages 60-62

DB Schenker, Dealex Transport, Negabarit Service

Ruediger Fromm: On the Road to Success, pages 64-67

Siemens Energy

Endeavour Makes Final Journey With Bragg, pages 70-73

Bragg Companies

Fighting Cyber Threats at America’s Ports, pages 74-77

Taylor Machine Works, Port of Galveston, Liebherr, Hyster, Taylor Machine Works, Tico

The Chain of Power Generation, page 78

dship Carriers

Port of NEOM: A Benchmark for the Maritime Industry, pages 84-86

Air Products, NEOM, Siemens Europe

Red Sea Shipping: Turmoil Turned Opportunity, pages 87-89

Hapag-Lloyd, dship Carriers

On Location: DHL MEA Innovation Center, pages 90-92

DHL Global Forwarding, SABIC

News from BreakbulkONE, pages 94-97

DHL Industrial Projects, Hareket Lifting and Project Transportation, Port Canaveral, BBC Chartering, Bahri

Key:

Breakbulk Global Shipper Network Member

165,730

• Water and Sewer by the Port Authority

• Extensive Electrical Distribution

• Site includes 13 buildings

• Preferential Berth Access

• Rail-served – 5 Rail spurs –Approx. 1,100 - 1,200 LF

• Rail service with PTRA

• ±1,000 feet to Deepwater Dock

• Reduced Property Taxes

• Cross-Dock Throughput Requirements available on Request

• Foreign Trade Zone (FTZ) designation, #84 – Ranked #1 FTZ in the U.S.

• Available immediately

New Faces at Breakbulk Europe 2024 Strategic Thinking at the Port of Rotterdam Meet the Heavy-Lifters Movers & Shakers

Europe’s Big Moves Make Waves Photo Contest

Women in Breakbulk Ambassadors

Navigating Waves of Change

Logistics Challenge: What Would You Do? Time to Rethink Project Cargo Insurance? Rotterdam Gift Guide

NEW FACES AT BREAKBULK EUROPE 2024

Add these exhibitors to your meeting schedule at Breakbulk Europe 2024.

Dataloy Systems

Erik Fritz, CEO, Dataloy Stand 2M25 Norway Technology

1. What is the most interesting thing about your business?

Dataloy stands at the forefront of merging maritime logistics with technological innovation, offering an unparalleled end-to-end voyage management system. With over two decades of pioneering work originating from Bergen, we’ve become synonymous with revolutionizing maritime operations worldwide. Our platform not only addresses current industry challenges but is designed with the foresight to anticipate future shifts, ensuring our clients remain ahead in their operations.

What sets us apart is our deep-rooted expertise and the reliability of our software, which integrates every phase of a voyage into a unified platform. This allows for optimized efficiency, reduced costs, and enhanced decision-making through advanced data analytics. Our commitment to innovation extends beyond mere functionality; it is about transforming maritime logistics into a more transparent, efficient and sustainable industry. As we consistently push the boundaries of what’s possible in voyage management, Dataloy is not just participating in the global trade landscape—we’re leading it, making our solutions not only fascinating but indispensable for the future of maritime operations.

2. What made your company want to exhibit at Breakbulk Europe?

Breakbulk Europe is a place where the future of maritime logistics is debated, designed and determined. The rationale for Dataloy’s participation at Breakbulk Europe is twofold: firstly, it offers an unparalleled platform for engaging with the industry’s thought leaders and decisionmakers, facilitating a deep dive into the current and future state of maritime logistics. Secondly, it provides a showcase for our latest technological advancements, demonstrating our software suite of Voyage Management System and Fleet Allocation and Scheduling (FAS) can significantly impact operational efficiency and drive forward the digital transformation of the shipping industry. Breakbulk

Europe is not merely an event; it is a confluence of ideas and innovations that are shaping the future of trade. By exhibiting, we position ourselves at the forefront of these discussions, aligning our solutions with the industry’s evolving needs.

3. What is your company’s outlook on project opportunities in Europe?

Europe’s maritime sector is at an inflection point, characterized by a heightened focus on sustainability, digitalization and resilience in supply chains. From an analytical standpoint, Dataloy views the region as fertile ground for deploying advanced logistics solutions that can navigate and capitalize on these trends. The European market is demonstrating a strong appetite for technologies that can deliver not only operational efficiencies but also compliance with emerging environmental regulations and enhanced supply chain visibility. This opens up significant opportunities for projects that leverage technology to achieve these ends. Our outlook is, therefore, fundamentally optimistic, underpinned by the belief that strategic investments in digital capabilities will unlock significant project opportunities across Europe, as we aim to contribute to a more efficient and sustainable maritime industry.

Fuchs a Terex Brand Jens Körting, Sales and Marketing Director, Fuchs a Terex Brand Stand 1D50 Germany Equipment

1. What is the most interesting thing about your business?

Fuchs specializes in the development and manufacturing of material handling equipment for various applications. Our comprehensive product range, which addresses the needs of the port, scrap, timber and recycling industries, is dedicated to delivering tailored solutions that precisely align with the unique requirements of our customers. The expertise of Fuchs combines the precision of German engineering with decades of experience to ensure highquality and efficient solutions for every sector that our equipment operates in.

2. What made your company want to exhibit at Breakbulk Europe?

Fuchs is participating at Breakbulk Europe to showcase our machinery to an international audience, forge new business connections and fortify existing relationships. We are looking forward to stimulating conversations, intriguing encounters and valuable insights. In particular, Fuchs is strategically concentrating on the deliberate expansion and proactive development of our presence in the port application sector. Within this strategic framework, our aim is to introduce machines exceeding 100 tonnes of operating weight in the future. The first significant stride in this direction has already been successfully accomplished with the launch of the new F120MH.

3. What is your company’s outlook on project opportunities in Europe?

The port sector remains a robust segment, evident in the numerous compelling projects currently underway at Fuchs, both in Europe and globally. We believe that our heightened focus on the port business, combined with the expansion of our product range to include even larger port machinery, will lead to an exciting trajectory. These additional machines not only diversify our portfolio but also facilitate innovative solutions for the challenges within this sector.

Relopack Sp. z o.o.

Marcin Królski, Transport Manager / Business Development Manager, Relopack Sp. z o.o.

Stand 1A53

Poland Equipment

1. What is the most interesting thing about your business?

Relopack’s greatest strength is our innovative approach to logistics and packaging solutions and combining services for the industry by providing our customers with a one-stop shop for packaging, relocation and transportation. As part of the Duisport Group, we have the ability to add value to our partners not only in Poland and Europe but we also take on challenges in global projects. Our mission is to take part in major projects that change the face of global industry and economy by putting climate responsibility and the safety of cargo entrusted to us first.

2. What made your company want to exhibit at Breakbulk Europe?

Breakbulk Europe provides us with an unparalleled platform to showcase our solutions to a diverse audience in the logistics and transportation sector. The event aligns perfectly with our mission to revolutionize logistics and

packaging through technology and sustainability. It gives us the opportunity to connect with industry leaders, potential customers and like-minded companies focused on addressing the unique challenges of breakbulk and project cargo. Exhibiting at Breakbulk Europe allows us to demonstrate our capabilities, discover new partnerships and stay abreast of the latest industry trends and needs.

3. What is your company’s outlook on project opportunities in Europe?

Our forecasts for project opportunities in Europe are extremely optimistic. With the continent’s growing emphasis on sustainability and digital transformation, we see significant demand for our logistics solutions. Europe’s strategic position in global trade, coupled with its commitment to green initiatives, create tremendous opportunities for companies like ours to contribute to more efficient and sustainable supply chains. We are particularly excited about the emphasis on projects related to renewable energy, electromobility, infrastructure development and digitization of the logistics sector, all of which align with our expertise and values. As such, we are actively seeking to expand our presence and partnerships across Europe to support these transformative projects.

Friday & Co Shipbrokers B.V.

Patricia Holverda, Office Manager, Friday & Co

Shipbrokers B.V.

Stand 2H20

Netherlands

Industry-related Services

1. What is the most interesting thing about your business? Quality over quantity. Friday & Co. Shipbrokers concentrates on brokering ships in niche markets. This focus means that we can act fast and know our niche market inside and out.

We love what we do and (as we see it) we’re pretty good at it, too: buying and selling dry cargo ships, heavy cargo ships, coasters, and tankers. Gauging and analyzing the shipping market. Providing advice. Determining the value of vessels. And, above all: assisting shipowners in the successful purchase or sale of seagoing vessels.

2. What made your company want to exhibit at Breakbulk Europe?

We believe that every day should feel like a Friday and we want to bring this positive feeling to life at our stand in Breakbulk Europe. Of course, we also want to further build our brand awareness and networks. The booth will be the base for our team of brokers where we can connect with clients (shipowners, brokers, banks) and other potential customers. It’s an opportunity to meet and greet in a place with a great atmosphere and where the best Dutch drinks and bites are being served.

3. What is your company’s outlook on project opportunities in Europe?

With offices in Rotterdam and Riga, our activities are primarily in Europe. Still, when an assignment demands it, we have no problem finding our way around the world. We are in good contact with the most important players in Europe, both on the supply side and the demand side. We are also familiar with the different types of ships, and we know our way around the financial, legal and practical aspects of a purchase or sale. We invest a lot of time in analyzing the available vessels and the market demand which makes us ready to take on any project!

Baggio Shipping & CharteringMultimodal Logistics

Pedro Arruda, CEO, Baggio Brazil

Stand 1G10

Italy

Freight Forwarder

1. What is the most interesting thing about your business?

Baggio is a family-owned Italian multinational with offices in the USA, Brazil, Italy, UAE, Algeria and Saudi Arabia, with a deep focus on project cargoes. We’re wellknown in the marketplace for bringing competitive, creative and reliable solutions that defy the status quo. A sound reputation throughout the worldwide shipping industry is one of the key pillars for our longevity and relevance in this market.

2. What made your company want to exhibit at Breakbulk Europe?

We perceive Breakbulk Europe as being the most interesting exhibition worldwide, as it gathers people from all continents. Exhibiting at this show is an opportunity to strengthen and broaden our network further, getting the opportunity to discuss with current and new agents, partners, clients and suppliers.

3. What is your company’s outlook on project opportunities in Europe?

Our HQ in Italy is experiencing strong growth over the past two years, which we don’t foresee fading in the short term. Moreover, we have steady demands from/to Europe from many other offices, mainly Brazil and Dubai.

Simex Transport and

Forwarding

B.V.

Ziya Quliyev, Managing Director, Simex Transport & Forwarding Netherlands Stand 2E103 Freight Forwarder

1. What is the most interesting thing about your business?

What truly makes our business fascinating is the diversity of projects we handle and the problem-solving skills required to overcome obstacles along the way. It’s a dynamic and ever-evolving field that demands innovation, adaptability and a relentless commitment to finding solutions.

From coordinating with multiple stakeholders to navigating regulatory hurdles and optimizing transport routes, every project is a unique adventure that keeps us on our toes. And it’s this blend of complexity and creativity that makes project logistics forwarding not just a job, but a thrilling journey filled with opportunities to make the impossible possible. Our team is comprised of passionate individuals who are dedicated to delivering exceptional service and exceeding our client’s expectations every step of the way. It’s this combination of innovation and expertise that makes our logistics company truly unique and exciting to be a part of.

2. What made your company want to exhibit at Breakbulk Europe?

We have attended many Breakbulk events as a visitor not just in Europe. This time we wanted to take part as an exhibitor. I think that Breakbulk Europe provides an unparalleled platform for networking and building relationships within the project logistics and breakbulk

industry. It’s a good opportunity to connect with potential clients, partners and industry leaders from around the world, allowing us to showcase our expertise and capabilities on a global stage.

3. What is your company’s outlook on project opportunities in Europe?

At the moment, we see a promising outlook for project opportunities in Europe. Several factors contribute to this positive outlook includinginfrastructure development, renewable energy initiatives andmanufacturing expansion Overall, we are optimistic about the project opportunities in Europe, and we remain committed to leveraging our expertise, capabilities and network to seize these opportunities and deliver exceptional value to our clients.

CHIREY Global Logistics Group Limited

Aron Li, Owner, CHIREY Global Logistics Group Limited China Stand 1F53 Freight Forwarder

1. What is the most interesting thing about your business?

Part of the CIMS group, CHIREY focuses on worldwide project logistics, heavy lift cargo, RORO, and chartering, as well as freight forwarding.

Headquartered in Qingdao and Shanghai, our service branches extend to Shanghai, Qingdao, Tianjin, Dalian, Guangzhou, Shenzhen, Ningbo, Xiamen, Lianyungang, Yantai, Zhoushan, Beijing, Xian, Chengdu and other major cities with branches and offices in China. We have partners in Europe, North America, Latin America, the Middle East, Southeast Asia, Africa, Australia and New Zealand, Central Asia, Japan and South Korea, etc.

2. What made your company want to exhibit at Breakbulk Europe?

Our company has been focusing on the international logistics business in China and European markets–the European market is very important to us. We used to visit Breakbulk Europe as visitors. This year, we exhibited to better develop our European business, showing our professional corporate image as being a professional logistics solution provider.

3. What is your company’s outlook on project opportunities in Europe?

The European project logistics market has unlimited potential, including various industries such as power, rail, cement and automobiles. There is a high demand for logistics solutions providers in the market, especially in the new energy market, including wind power, photovoltaic and new energy vehicles.

We have rich experience in logistics operations, andwe are confident that our professional operation team can provide one-stop integrated logistics supply chain solutions for customers.

Company name

ADY Express LLC

New Exhibitors at Breakbulk Europe

Stand number

2B70

Sector

Country

Freight Forwarder Azerbaijan

AeKo Dynamics 2J74 Technology Germany

Alatas Crane Services Worldwide 1E41 Equipment United Kingdom

Ast Uluslararasi Tasimacilik Ve Dis Tic Ltd Sti 1L25

Babaji Shivram Clearing & Carriers Pvt.ltd. 2L25

Baggio Shipping & Chartering - Multimodal Logistics 1G10

Best-Hall 2E71

Bruhat Logistics 2E84

CANSU ANTREPO LOJISTIK VE LIMAN HIZMETLERI A.S 2H34

Caucastransexpress 2F101

CENTRIMEX 1D51

Chinaland Shipping Pte. Ltd. 2E65

CHIREY Global Logistics Group Limited 1F53

Freight Forwarder Türkiye

Freight Forwarder India

Freight Forwarder Italy

Industry-related Service Finland

Freight Forwarder Singapore

Industry-related Service Türkiye

Freight Forwarder Georgia

Freight Forwarder France

Freight Forwarder Singapore

Freight Forwarder China

Clockwork Logistics 2C89 Technology United States

Dahlia Technologies Pte. Ltd 1D53 Technology Singapore

Dalian Chun An International Logistics Company Limited 2L30 Maritime Transport China

Dataloy Systems 2M25 Technology Norway

Delta Shipping Agency 2J24 Maritime Transport Romania

DeMase Trucking Co., Inc. 1A51 Road Transport United States

Digicom Customs 2D65

Industry-related Service United Kingdom

Epc Global Shipping Company Limited 2M54 Freight Forwarder China

ESL shipping 1F47

Faisal M. Higgi & Associates Co. Ltd.

2F80

Maritime Transport Finland

Industry-related Service Saudi Arabia

Flexrent / TMH / Schaften Cranes 2K91 Equipment Netherlands

Friday & Co Shipbrokers B.V.

2H20

Fuchs a Terex Brand 1D50

Global Soluções 2C02

GreenRouter 1M22

Hapo International Barges BV 2C83

Heavy Haul Solutions 1G50

Holland Shipyards Group

Industrias Murtra Cadenas, S.l.

ISA / CNAN EL DJAZAIR

Italian Trade Agency & Assoporti – Italian Ports Association

2L54-M55

1J43-H44

1L10-K11

2G91-2F100

Industry-related Service Netherlands

Equipment Germany

Industry-related Service Brazil

Technology Italy

Freight Forwarder Netherlands

Equipment United States

Equipment Netherlands

Equipment Spain

Maritime Transport Belgium

Industry-related Service Italy

ITG Bohwa Shipping Limited 2M51 Freight Forwarder China

JCtrans 2K70 Association China

Kınay Transport and Logistics Inc. 2H74 Freight Forwarder Türkiye

Kratoss Seaworld Shipping And Logistics Pvt. Ltd 1J10 Freight Forwarder India

Logiswift DWC LLC 1C51 Technology United Arab Emirates

LV OVERSEAS

2C90-D91 Freight Forwarder France

MARGUISA 2F74

Maritime Transport Spain

Mizzen Digital 2C03 Technology India

Musfeld Kran AG 2A72 Equipment Switzerland

Noah Maritime GmbH 2J76

Noord Nederlansche P&I Club 1C24

ORIGIN LOGISTICS

Maritime Transport Germany

Industry-related Service Netherlands

2L21 Freight Forwarder Türkiye

Palco Transportation 2L24

Road Transport United States

PP AVIATION LOGISTICS 1H31 Air Transport Finland

Promaritime International 1C45

Freight Forwarder France

New Exhibitors at Breakbulk Europe

PORT OF ROTTERDAM EYES BRIGHTER FUTURE FOR BREAKBULK

Energy Transition Key to Port’s

Long-term Prospects

As geopolitical tensions escalate and supply chain woes deepen, ports worldwide find themselves grappling with unprecedented challenges and complexities amid an increasingly volatile global landscape.

The Port of Rotterdam, Breakbulk Europe’s host port for the third consecutive year, is no exception, with breakbulk handling last year falling to 6.5 million tons after a record-high 7.6 million tons in 2022. Speaking to Breakbulk, Hugo du Mez, adviser for strategy and analysis at the Port of Rotterdam Authority, attributed the drop to several factors including Russian sanctions, weak euro zone growth and the return of breakbulk cargo to containers.

“I don’t want to give the impression that all is doom and gloom, but the short-term outlook does not look too positive I’m afraid,” du Mez said.

Still, long-term prospects at Europe’s busiest deepwater hub remain strong, with energy transition translating into strong demand for steel and aluminum, non-ferrous metals and heavy-lift project cargo (HLPC) such as generators, turbines and electrolyzers.

So much so, Rotterdam is in the course of streamlining the layout of its terminals in the Waalhaven area of the port, a project designed to mitigate capacity constraints for future breakbulk storage and handling demand. Last year, metal logistics specialist Metaal Transport embarked on a new ninehectare terminal expansion, while C. Steinweg-Handelsveem has re-developed a former container terminal into a dedicated 48-hectare breakbulk hub.

“We keep on striving for better utilization and more room for the industry,” du Mez said.

And so to Breakbulk Europe 2024, the world’s largest gathering of breakbulk and project cargo professionals that this year will welcome a record 12,000 visitors. “I wouldn’t miss it for the world!” he said.

“I might be biased but since this event moved to Rotterdam it

has proven to be a great success. As always, one of the major attractions for me is that you get to meet so many people from all kinds of different companies. And everyone you meet is more than happy to tell you all about their business and what they feel is happening in the market. So there is a very positive vibe in those three days.”

The executive said he was especially looking forward to the Breakbulk Boulevard evening networking party on 21 May and a main stage program that will play host to a series of thoughtprovoking and engaging panel sessions covering hot topics from offshore wind and innovation to energy transition and the role of ports in supply chain efficiency.

“For many participants the networking on the exhibition floor is why they are there, but the diverse conference program and the excellent speakers proved to be one of the big attractions for me personally last year and I am really looking forward to the 2024 edition,” he said.

Regrettably, Du Mez is retiring at the end of the year so Breakbulk Europe 2024 will be his last as an employee of the port. “But who knows, I might still visit again in 2025!”

The Port of Rotterdam is host port for Breakbulk Europe 2024 and will be exhibiting at hall 2, stand 2B10.

*Exhibitor at Breakbulk Europe Visit: www.europe.breakbulk.com/home

Hugo du Mez

Credit: Port of Rotterdam

Association’s Members Handle Projects of All Kinds

Founded in 1987, the Heavy Lift Group (THLG) is an international association for specialized heavy transport companies whose combined forces offer unparalleled expertise and project experience to customers worldwide.

Its members specialize in large-scale industrial project forwarding, crane operations, machinery installation and rigging, vessel chartering, port operations, oversized road transport, engineering, aircraft charters, surveying and brokerage, barge operations and more.

The group was initially established by multiple West European heavy-lift operators in anticipation of the single European market and has since expanded to almost 70 member companies in North & South America, Asia, Middle East, Africa and Europe.

Drawing on the combined know-how, skills and technologies available to its membership, THLG is widely recognized as a leading industry alliance whose expertise extends to any specialized heavy transport requirement, from a single domestic job to the largest international multimodal project.

Becoming a THLG member is based on an organization’s ability to meet specific criteria, as well as a vote of confidence from the majority of existing member companies. Those joining can take advantage of a range of benefits, including participation in two highly regarded association conferences each year, held in various locations.

THLG strives to provide comprehensive services of the highest quality – based on the personal touch. More than a brand, THLG has built its reputation in the heavy-lift sector on the professionalism and know-how available to its member companies, to which it owes its success.

THLG Member Companies

(Blue indicates participation in the THLG Stand 2E50-F51 at Breakbulk Europe)

Algeria Ipsen Logistics

Argentina Rowners SA

Australia AAW Project Logistics

Austria Spedition Thomas

Bangladesh Shodesh Shipping

Belgium Aertssen Group

M. Lamberigts & Van Daelen

Bolivia Altius SA

Brazil Fox Brasil Project Logistics

Bulgaria Holleman Bulgaria OOD Stand 2K60

Canada KBB Transport

Chile Tecniproject

China Asia Imperial Cargo Logistics

Hisiang Logistics

Croatia Samer International DOO S

Cyprus Amathus Aegeas Ltd

Egypt Egyptian Global Logistics (Kadmar Group)

Finland Hacklin Logistics Oy Ltd Stand 2C71

Nostokonepalvelu Projects Oy

France Maritime Nantaise

Sogebras

Transport Paris International (TPI)

Germany Moller Survey Marine & Automotive Nautical

Transporter Industry International Sales - Sheuerle Stand 2M11

Rolf Riedl

Conical

Greece Cosmatos Group

India Mfc Transport

Total Movements Private Limited

Procam Group

Israel Dynamic Shipping Services (Dss)

Italy DCS Liburnus Project Srl

Kazakhstan Globalink Logistics Stand 2F30

Kenya Export Consolidation Service (K)

Lithuania Tomegris

Luxembourg Transpalux Sàrl

Malaysia CNC Freight Services Sdn Bhd

Mexico Tradelossa

Mozambique Grindrod Logistics Africa Stand 1L21-M20

Netherlands Van der Vlist Transportgroep B.V. Stand 2G31

Norway TP Shipping AS

Oman Khimji Ramdas Shipping LLC

Pakistan Star Shipping

Panama Nakama Worldwide Solutions

Peru Andina Freight SAC

Portugal L. Branco - Navegacao E Transitos, Lda

Qatar JSL Global

Romania Modpack System

Eastship Stand 2G14

Saudi Arabia Teamlifting EST Almajdouie Stand 2J20

Serbia Holleman Special Transport & Project Cargo Stand 2K60

South Africa Frits Kroon Vervoer

South Korea Shin- Jo Logitech Co., Ltd

Spain Del Corona & Scardigli Spain S.L.U

Taiwan EZ Link Corp.

Thailand Rhenus Project Logistics Stand 1B10

Turkey Kita Logistics, Inc.

UAE Consolidated Shipping Services Group Stand 2J35

UK Allelys Group Stand 1D25-E24

Ukraine Antonov Company

Uruguay Quantum Forwarding

US Barnhart Stand 1F10

Rhenus Project Logistics Stand 1B10

SPL Specialized Power Logistics

Valley Group

MOVERS AND SHAKERS

Highlighting Recent Industry Hires, Promotions and Departures

Kuehne+Nagel

Kuehne+Nagel Poland has selected Emilia Górska-Mytyk as new managing director following the retirement of Wojciech Sienicki. GórskaMytyk boasts more than 20 years of experience in logistics, enjoying stints with DHL Global Forwarding, Dartom, and Ligentia. The executive joined Kuehne+Nagel in 2016 as head of business development before a promotion to sales and marketing director.

In her new role, Górska-Mytyk will manage the company’s operations, overseeing some 1,700 logistics experts.

“Taking over as managing director of Kuehne+Nagel in Poland is a huge, honorable task, and an important responsibility,” she said. “I look forward to coordinating operations that will allow our company to continue growing in line with our Roadmap 2026 strategy.”

Meet the team at Breakbulk Europe, Stand 2E40-F41

Total Movements

India-headquartered international project forwarder Total Movements has brought in Abhinav Sinha as its new chief commercial officer. In a career spanning two decades, Sinha has held P&L, transformation, operations, and leadership roles with companies including Allcargo Logistics, Maersk Group and Tredence.

In his new role, the executive will be driving revenue growth, geographical expansion, digital transformation and new strategic initiatives.

Meet the team at Breakbulk Europe, Stand 2E50-F51

AsstrA-Associated Traffic

AsstrA has announced the appointment of Feride Albut as the company’s Middle East development manager for its industrial project logistics division. In her new role, the executive will be based in Abu Dhabi, and will focus on expanding AsstrA’s presence within the UAE as well as contributing to business development activities across the entire Gulf region.

“I’m excited to join the AsstrA IPL team and contribute to the growth of our business in the UAE,” said Albut, who previously served for 16 years as vice president of projects at MICCO, Abu Dhabi. “Leveraging my extensive experience in heading and stimulating the successful execution of multiple oil and gas, energy, and industrial projects, I’m committed to utilizing my skills to support various business development activities. Together, we aim to enhance our presence and establish enduring partnerships in this dynamic market.”

Meet the team at Breakbulk Europe, Stand 2E106

Hapag-Lloyd

Silke Lehmköster has started her new role as managing director of fleet at Hapag-Lloyd, taking over from Richard von Berlepsch, who will focus on selected projects and committee work. Lehmköster joined Hapag-Lloyd in 2005, starting with an apprenticeship at sea before rising to captain in 2018. She then switched to an onshore position, initially serving as senior director marine HR before becoming senior director for fleet management in April 2022.

In her new position, Lehmköster will be responsible for fleet management, developing innovative technologies for the company’s fleet and overseeing new construction projects, such as the ongoing completion of 12 ultra-modern large container ships with dualfuel technology and a capacity of 23,600 TEUs.

Meet the team at Breakbulk Europe, Stand 1F31

Emilia Górska-Mytyk

Feride Albut

Abhinav Sinha

Silke Lehmköster

Port of San Diego

San Diego City Council has selected Sid Voorakkara as the Port of San Diego’s newest port commissioner. Voorakkara, senior partner at ArroyoWest, an LA-based, minorityowned management consulting firm, joins a seven-member board responsible for setting the policies and goals that guide the California port’s activities and day-to-day operations.

“Sid brings a deep well of knowledge and vast experience to the Board of Port Commissioners,” said Frank Urtasun, chairman of the board of port commissioners. “He will hit the ground running and be of great service to the people of California and help us deliver on our promise to all San Diegans.”

Meet the team at Breakbulk Europe, Stand 2M01

S&B

Engineering and construction firm

S&B has named Jeffrey G. Sipes as its new CEO, taking over from J.W. “Brook” Brookshire, who will continue serving on the company’s board of directors. After a six-year stint with Bechtel, Sipes joined S&B in 2021 as CCO, overseeing business development and marketing activities – including new markets and geographies – as well as the firm’s strategic planning. The executive began his career more than three decades ago at engineering group Chicago Bridge & Iron Company (CB&I).

“S&B has unmatched strengths in many areas of the E&C market. I expect we will bring those capabilities to serving new clients as well as continuing to serve our traditional clients well,” Sipes said. S&B is a member of the Breakbulk Global Shipper Network, an extensive networking platform for executives operating at the top end of the project supply chain.

Join the Breakbulk Global Shippers Network, visit: europe.breakbulk.com/page/bgsn

Air Charter Service

Georgina Heron has been promoted to group client experience director at Air Charter Service, a new role that also sees her stepping up to the company’s board of directors. Heron joined the aircraft charter broker 18 years ago, beginning her career as an executive assistant to the chairman before moving to accounts and the group’s private jets team. Prior to her latest role, the executive served more than two years as director of transformation.

“Georgina was the perfect fit for a newly created position as director of transformation, which she has held for the past two years, focusing on the use of technology to improve the customer experience,” said Chris Leach, chairman of ACS. “Following her success in this role, she has moved into her new position where she will oversee every aspect of the customer experience – including training, aftersales, our flight representation team and onboard experience – ensuring that we continue to be market leading in the levels of service that customers can expect from us.” Meet the team at Breakbulk Europe, Stand 2H24-J25

Port of Houston Authority

Thomas Jones Jr. has been sworn in to serve a two-year term as a port commissioner at the Port of Houston Authority in Texas. Jones fills the seat of former port commissioner Cheryl Creuzot, who chose not to seek a third term. The City of Houstonappointed port commissioners serve for two-year terms without pay for a maximum of 12 years.

“I’m blessed and honored to have this opportunity to serve the people of Houston,” Jones said. “The port is a critically important business and economic engine for Houston, Texas, and the nation.” Jones is a founding partner of McConnell & Jones, believed to be the largest African American public accounting firm in the U.S. Now retired, Jones continues to serve the company as a consultant. Port Houston, the busiest waterway in the U.S., is host port for Breakbulk Americas 2024.

Sid Voorakkara

Jeffrey G. Sipes

Georgina Heron

Thomas Jones Jr.

BIG MOVES MAKE WAVES BREAKBULK EUROPE 2024 PHOTO CONTEST ENTRIES

Here is just a small sample of photos selected by our editors and submitted to this year’s contest. All photo and video entries will be on display at Breakbulk Europe in the plaza between halls 1 and 2. The top 10 photos will be showcased, determined by popular vote.

See all entries at:europe.breakbulk.com/page/photo-and-video-contest

DB SCHENKER - Global Projects & Industry Solutions (GPIS)

Roll On / Roll Off Shipment of Iron Ore Port Reclaimer - 1300-tonne Module

China

Credit: Schenker Australia Pty Ltd.

Meet the team at stand 2G80-H81

J M Baxi Heavy

Setting new records by transporting a 6,700-ton offshore process module under final alignment for loadout at L&T Hazira yard.

India

Meet the team at stand 2K10

deugro

Transhipment of 84-meterlong wind blades for a Swedish onshore wind farm project. Sweden

Meet the team at stand 2F20-G21

Port of Lisbon

Beer for Tagus River

Portugal

Credit: Manuela Patricio

Meet the team at stand 1J21-K20

Eastship

Eastship performing precision barge loading in Romania

Credit: Eastship

Meet the team at stand 2G14

Thought Leader

NAVIGATING WAVES OF CHANGE

By Eli Gjesdal, managing director, Empower Leadership Institute

In the fast-paced world of shipping and maritime, leadership is not just about steering ships through rough waters—it’s about setting a course towards inclusivity and progress. Being in this industry for decades, I´ve learned that success goes beyond just business growth; it´s also about fostering a culture of respect and empowerment.

My journey began in the 1980s in the shipping department of what is now Equinor. As the only woman in the department, I faced challenges that ignited a passion for championing diversity and inclusivity. Through ups and downs, I’ve realized the importance of embracing diverse perspectives and driving change from within.

As an active member, co-founder and first president of WISTA Norway (Women’s International Shipping and Trading Association), I’ve seen firsthand the impact of this organization in breaking down barriers and promoting diversity. It’s a driving force in creating a more inclusive industry, providing vital support for women to thrive in their careers.

The decision to found my own company was a strategic choice, aimed at bringing fresh perspectives to an industry in transformation. The widespread underrepresentation of women in shipping and maritime, along with instances of disrespect and harassment in the workplace, highlighted the need for change.

AT BREAKBULK EUROPE…

Women in Breakbulk Brunch

Tuesday, 21 May 12:00 - 14:30

Building Leaders From the Inside: A Practical Guide to Mentorship (Main Stage)

Wednesday, 22 May 16:00 - 16:45

Today, some companies and individuals are stepping up, taking charge and developing changes leading to tangible improvements in workplace culture and gender equality. Yet, there’s still much ground to cover.

As I navigate the waters of the shipping sector, my commitment to inclusive leadership remains strong. It’s not just about business growth; it’s about the growth and success of every individual on the team, both men and women.

At the heart of my leadership philosophy is the belief in serving others with dedication and empathy. Leadership isn’t just about numbers; it’s about nurturing a culture of respect and belonging. By infusing values and compassion into company culture, we drive sustainable growth and unlock the full potential of our teams.

I believe leadership values and behaviors are essential for shaping organizational culture and fostering success. They provide a guiding framework, instilling trust, accountability and engagement among team members. However, for these values to be effective, they must be consistently demonstrated through actions over time.

Changing behavior takes patience and commitment, but when leaders align their actions with stated values, it creates an environment where individuals feel valued and motivated to contribute their best. This alignment not only drives performance and attracts top talent but also ensures the long-term sustainability of the organization. In essence, leadership values serve as the foundation of a thriving organizational culture, where collective goals are achieved with integrity and purpose through consistent behavior change.

In an industry evolving rapidly, fostering a supportive and respectful environment is morally right, and it is also strategically smart. By embracing diversity and inclusion, we create a workplace where everyone can thrive.

As leaders in this industry, it’s our responsibility to steer toward a future where every individual feels valued and empowered. Together, let’s navigate the waves of change with determination, compassion and courage.

Eli Gjesdal is this year’s Women in Breakbulk Europe lead speaker.

MEET THIS YEAR’S WOMEN IN BREAKBULK EUROPE AMBASSADORS & SPEAKERS

New for 2024, a group of female leaders from around the world will be on hand at the Women in Breakbulk events to help you get the most out of the networking opportunities. Along with the WiB speakers, here’s their advice to female colleagues:

Amanda Bouin (Ambassador)

Global Senior Director of Energy

Geodis Project Logistics (Stand 2F31)

France

“You are not alone. Networking and helping other women are great ways to overcome the constraints that we sometimes face.”

Cynthia Worley (Ambassador)

Vice President Strategic Accounts

SEDNA

United Kingdom

“Don’t wait to be asked to dance.”

Emma Nash

Business Development Manager

Tuscor Lloyds Global Logistics

United Kingdom

“Anything is possible! Many years ago this industry was considered ‘male-dominated.’ I am pleased to say that today this is not the case, more and more women are choosing a career in logistics from operational to director level. Today there are more networking events such as Women in Breakbulk – get involved and use the opportunity to meet like-minded women. Take risks, share ideas and embrace new challenges.”

Eli Gjesdal (Brunch & Main Stage Speaker)

Director

Empower Leadership Institute

Norway

“Embrace your perspective, advocate for inclusion, connect with network and support, lead with integrity, and stay resilient!”

Eve Gogarty

Elisabeth Cosmatos (Brunch Speaker)

President, The Heavy Lift Group (THLG) (2E50-F51)

Greece

“Just be yourself and walk your path. You have nothing to prove to anyone.”

Business Development DirectorEurope

PSA BDP (Stand 2J64-K65)

United Kingdom

“I always feel that most of us are here because someone gave us a chance. I have always been grateful for mentor figures to learn and improve from. I think it’s hugely important to support each other, try to be a mentor when you can and pass what you have learned onwards!”

Maria Cartier

Linda Treuman Owner

Marina Projects

Netherlands

“Show yourself - your expertise and knowledge are an example for others.”

Market Development Manager

Port Milwaukee

United States

“Grow and leverage your network of both women and men. Share your story and promote the many great career opportunities the maritime industry offers for women. Stay true to yourself, be confident and take your seat at the table.”

WOMEN IN BREAKBULK ACTIVITIES

Tuesday, 21 May 12:00 - 14:30

Women in Breakbulk BrunchMentoring From All Angles

WISTA Networking Coffee

Wednesday, 22 May 16:00 - 16:45

Building Leaders from the Inside: A Practical Guide to Mentorship (Main Stage)

Sponsored by dship Carriers

Molly Grossman

Head of Business Development

SEDNA

United Kingdom

“You don’t need to sacrifice your feminine qualities to fit the expectations of a male-dominated sector. Stereotypical female traits such as empathy, patience and loyalty are what makes us outperform men in every sector. Lean in!”

Talia du Plessis

Key Account Manager

Sarens

United Kingdom

Marianne Blechingberg (Brunch Speaker)

Managing Director

Oy Hacklin Logistics Ltd

Finland

“Don’t get offended if you sometimes hear that women can’t do this and that. Women can and usually excel in whatever they want to achieve!”

Mirella Castle

Sales & Operations

Tuscor Lloyds Global Logistics

United Kingdom

“Believe in yourself and always look for opportunities to learn new things.”

Miriam Nagel (Brunch Speaker)

General Sales Manager

MOL Döhle Worldwide Logistics GmbH

Germany

“Embrace your expertise and let your skills speak for themselves. Build strong networks, seek mentorship, and don’t be afraid to assert yourself in a maledominated field. Your unique perspective and contributions are invaluable – trust in your abilities and aim high!

“It is a complex industry, overcome the hurdles with hard work and finding partners that can support you for technical solutions in their field of expertise. It really does “ take a village” to get to the finish line.”

Therese Langseth

Sale & Purchase Shipbroker

Friday & Co. Shipbrokers (Stand 2H20)

Netherlands

“Let’s pave the way as strong role models for future generations of women in the shipping industry. By demonstrating our expertise, leadership, and resilience, we can make the field more appealing and accessible to women, fostering diversity and innovation in maritime careers.”

Anne Saris (Brunch Speaker)

Business Manager Agrofood and

Distribution

Port of Rotterdam (Stand 2B02, 2B10, 2B20-C21, 2C20, 2D21)

Netherlands

“Be confident: believe in yourself and the value you’re bringing to the industry. Break stereotypes and challenge gender biases: it might have a bigger impact than it seems at first. Let the passion for the industry be a motivator and inspire others to get involved too.”

Join the Women in Breakbulk network and stay connected all year long: europe.breakbulk.com/page-en/women-inbreakbulk-form

LOGISTICS CHALLENGE: WHAT WOULD YOU DO?

A new series by John Amos, former head of global logistics at Bechtel Corp., who outlines a scenario that he encountered during his decades as a logistics professional. He’ll give you three possible actions to take in the given situation and then reveal what he did and why.

During the course of the construction of an infrastructure project there are many instances of design modifications, changes of delivery schedule and delays with suppliers and at the jobsite. In addition, emergency situations can crop up at any time, especially in the late stages of construction and start-up.

One example of this occurred when a project in Algeria required an amount of random length steel pipe on an emergency

basis. The only available pipe that would work was located in Kazakhstan and a large capacity cargo airplane was chartered. A logistics specialist was sent to witness the loadout and report.

Everything went as planned until the plane was ready to depart. The plane’s crew announced they would not leave until the charterer (that was us) paid their sizable hotel bill.

What would you do?

Option 1. Due to the emergency requirement for the pipe, pay the hotel bill and notify the project management so that they can sort out who ultimately will be responsible for this extra cost.

Option 2. Advise the aircraft captain that you will not pay the hotel bill and contact the project management to contact the carrier’s head office that this is not acceptable.

Option 3. Advise project management to meet with the client and have them decide what action to take.

Find out what John did and why on the next page.

LOGISTICS CHALLENGE: WHAT JOHN DID

Option 1: I instructed my logistics specialist to pay the hotel bill so the plane could fly to the jobsite. This extra charge was not significant enough to cause a delay that would result in a much larger extra construction cost.

Bechtel is an active Breakbulk Global Shipper Network member and will bring a team to Breakbulk Europe. Interested in joining the BGSN? Learn more at europe.breakbulk.com/page/bgsn

DEVELOPING A BREAKBULK ENCORE

Europe Sequel Brings the World Together as Breakbulk’s Largest Event

By John Amos

After 14 years of successful development of Breakbulk Americas, it became evident to the management of the Journal of Commerce (Breakbulk’s owner at the time) that it was time to expand the conference beyond the shores of North America. More and more Europeans were attending Breakbulk Americas in New Orleans, and breakbulk and project cargo transportation was rapidly going global.

The Port of Antwerp stepped up to become the first host port for Breakbulk Europe. Many European shippers, ocean carriers and freight forwarders were queried to determine

how the conference should be structured and what the content should be. Thus Breakbulk Europe opened its doors in May, 2006 at the Hilton Hotel in Antwerp.

A program similar to Breakbulk Americas was designed and it was hoped that it would attract at least 400 attendees. In the end, more than 700 attended and it exceeded the Hilton’s capacity – Antwerp’s fire marshal almost shut it down. This meant a bigger venue was necessary, and the conference was shifted to the much larger Antwerp Expo.

Each year the conference took more of the Expo’s available halls to accommodate exhibitors. In 2014 there were more than 6,300 attendees and it has become Breakbulk’s largest event.

Breakbulk Europe then shifted to Bremen to accommodate continued growth and then on to Rotterdam where around 12,000 industry professionals are expected to attend this year.

One of Breakbulk Europe’s unique features is that it has become very popular from a social standpoint, with receptions in the host cities and fine restaurants that attract attendees late into the night. On the serious side, other organizations have tried to duplicate Breakbulk’s unique format and have failed to succeed, because their programs were too technical and they could not draw the size and scope of the Breakbulk community seen at Breakbulk Europe.

Breakbulk Europe’s continuing success can be attributed to two main areas. First is the wide range of exhibitors that attract attendees from many countries, who can in one location meet with a very wide variety of industryrelated companies. Secondly, the event has

Antwerp Expo. Credit: Hyve

developed a broad scope of education events that provide attendees with valuable information that can be used in the workplace. New features are added every year.

Non-transportation topics are also covered, including global economies, insurance, economic trading blocs and protectionism, and of course regional conflicts.

European transportation, logistics and economics have changed dramatically in the last nearly two decades. As project cargo continues to increase in size and weight, the cost of transportation becomes more challenging. Projects are increasingly built in remote locations, which require lengthy transport time and additional logistics complexities. Breakbulk Europe has responded with relevant subjects such as increased trade with developing African countries; and land transportation between Europe, Asia Minor and China, enabling attendees to find solutions to their breakbulk and project cargo challenges.

Two of the most prominent topics on everyone’s mind these days are decarbonization and energy transition. These topics are confronting shippers and carriers with potential high costs as governments impose stricter regulations and short implementation time periods.

Breakbulk will continue to strive for content to remain fresh and relevant within the changing nature of breakbulk and project cargo, and create forums for industry thought leaders to present new and unique solutions.

John Amos is one of the founders of Breakbulk and has more than 50 years of experience in logistics, procurement and construction management, including 26 years with Bechtel Corp.

Rotterdam Ahoy Credit: Hyve

Thought Leader

TIME TO RETHINK PROJECT CARGO INSURANCE?

Insurers Should Consider Annualized Risk Management Practices for Our Industry

By Elisabeth Cosmatos, CEO, Cosmatos Group

Transport involves risk and, where project cargoes are concerned, the stakes are high. For this very reason, the shippers, forwarders and transport companies specializing in project cargo moves have expertise that is sector specific.

When the cargo concerned is not only of immense value, but also out of gauge, and in need of special heavy-lift equipment and special permissions to move, barriers to entry for service providers will also be high.

Marine insurers often acknowledge the higher standards and better safety records that separate heavy-lift vessels from their general cargo counterparts, and it is fair to say that the same superior attention to detail runs through the project cargo supply chain.

Of course, comprehensive cover is critical, and project cargo specialists routinely adjust insurance limits to take account of the special loads we handle.

Unfortunately, where project cargo risks are concerned, even the very largest logistics provider is unlikely to control all of the

AT BREAKBULK EUROPE…

Women in Breakbulk Brunch

Tuesday, 21 May 12:00 - 14:30

assets involved in moving a load by road, rail, portside crane and sea. When a cargo is shipped FOB, other parties - who may well have long-standing and faultless service relationships with the freight forwarder – become part of the risk scenario.

From the insurance point of view, the logical recommendation would be for all parties in the supply chain to seek cover. However, if the third-party logistics provider, one or more stevedores, one or more trucking companies, the ship owner and manager, and any others involved are all paying extra premiums on a project basis, there is reason to suggest that cost but no value is being added by the insurer.

But rather than making a cost-based complaint, this observation comes from the point of view of a specialized company with 50 years of knowledge, skill and experience.

From this perspective, it should be a concern to insurers when their lead clients find themselves in a position – project by project – of either requiring subcontractors to take equivalent cover, asking the shipper for more funds or simply accepting extra exposure.

And the reason this should be of concern is that, despite what has been said earlier about the sector’s high barriers to entry, the heavy-lift business is also highly competitive.

While we always take full responsibility for cargo entrusted to our care, I do not believe that the purpose of our insurance partners is to undermine the competitive position of the specialized companies upholding best industry practice.

Surely, it is time to move away from a project-based premium model to adopt the type of annualized risk management practices insurers accept across the wider shipping industry. Doing so would better reflect the cumulative record for safety excellence being achieved by this specialized part of the transport industry.

Insurance in the heavy-lift sector is a topic of a THLG webinar in June 2024.

SHOP AROUND ROTTERDAM

Bring a Piece of the City Home With You

KEET Rotterdam

Concept store KEET is a mini department store in the heart of Rotterdam! Find home decor, kitchen and dining, fashion, kids apparel, Rotterdam merch, and more. Shop online or in-store! Oppert 2a, 3011 HV www.keetrotterdam.nl

SUSAN BIJL

SUSAN BIJL believes in longlasting products: quality over quantity. Everything is done with a strong love for minimalistic and functional design.

Nieuwe Binnenweg 94, 3015 BD www.susanbijl.nl

VICO Movement

Blending European quality, distinctive design, versatility and craftsmanship, VICO was born from the idea to create “Dressed Sneakers.” Quality footwear that resides at the intersection of timeless and contemporary design, VICO moves with you through everyday life. Goudsesingel 60, 3011 KD vico-movement.com/concept-store/

Foekje Fleur

The Bottle Vase Project was inspired by a collection of plastic trash from the river Maas in Rotterdam. Designer Foekje Fleur used the trash for molds to create durable porcelain bottle vases – bringing awareness to an important environmental issue. Piet Knoppertstraat 9, 3063 NV foekjefleur.com/bottle-vase-project

The GoodPeople

The GoodPeople is a menswear brand from Rotterdam creating clothing manufactured in Europe with a focus on contrast, the finest fabrics, and the best fit. Pannekoekstraat 52A, 3011 LH thegoodpeople.com

ENERGY OUTLOOK:

The World Needs More of Everything, Including Specialist Ships Capable of Carrying Essential Energy Infrastructure

By Amy McLellan

We are living in the interesting times that Chinese proverbs like to warn about. From multiple war zones and extreme climate events, from pandemic disease to explosive new technologies such as generative AI, the future seems more uncertain and harder to predict than ever before.

More upheaval may lie ahead. This year, more voters than ever before in history will head to the polls. At least 64 countries (plus the European Union), representing about 49 percent of the global population, will hold national elections, and the results will

shape our world for years to come.

In the U.S., the possible return of Donald Trump – at the time of writing ahead in opinion polls despite facing a barrage of lawsuits – could upend parts of the Inflation Reduction Act, which has been a shot in the arm for the nation’s renewables industry.

An expected shift in the balance of power in the European Parliament could put the Green Deal strategy to make Europe climate neutral by 2050 at risk if, as polls suggest, a populist right coalition emerges this summer with a majority for the first time. In the

UK, the opposition Labour Party, widely expected to dislodge the incumbent Conservatives, recently rolled back its pledge to commit £28 billion a year of additional capex to reach Net Zero.

Uncertainty: A Barrier to Investment

These shifting sands are bad news for those investing in the energy transition – not to mention the implications for a planet that is warming faster than ever. In the near-term, however, for those companies that ship, lift and

AT BREAKBULK EUROPE…

Thinking Outside the Box: Port Innovations to Overcome Issues of Space and Congestion (Main Stage)

Wednesday, 22 May 12:45 - 13:25

MPP Fleet Outlook | Overview (Main Stage)

Wednesday, 22 May 14:45 - 15:05

Assembling the world’s largest floating offshore wind farm off the shore of Norway. Credit: Mammoet

MORE, MORE, MORE

build the energy infrastructure on which we all depend, it is business as usual.

“Whatever happens, there’s going to be huge demand for energy in the coming years, whether it’s renewables or oil and gas,” said Peter Molloy, senior analyst –multipurpose shipping (associate) at Drewry Maritime Research.

Indeed, all forecasts point to more of everything – fossil fuels, renewables, nuclear and storage – as population growth and higher living standards continue to drive demand. Investment is tilting towards renewable energy, with demand for all fossil fuels due to peak before 2030, according to the IEA’s World Energy Outlook.

The share of coal, oil and natural gas in global energy supply – stuck for decades around 80 percent – will edge down to 73 percent by 2030, according to the IEA, but this is nowhere near low enough to deliver on climate targets.

Oil and Gas: Still a Sure Bet

Recent years have seen a recalibration of investment plans as publicly listed oil majors have had to temper their green rhetoric with some hardheaded decisions to keep producing highly profitable oil and gas.

This isn’t just to satisfy disgruntled shareholders. As delegates made clear at COP28, held in Dubai late last year, the world, and particularly the least developed nations, can’t yet afford to go cold turkey on fossil fuels.

“Oil and gas will continue to be required to bridge the energy demand gap whilst other sources establish themselves and scale up,” said Angus Milne, manager oil and gas offshore, UK & Ireland, energy systems at DNV.

For players in the project cargo sector, this means a healthy pipeline of contracts. “In the next 12-24 months we anticipate steady growth in the oil and gas sector with approximately a thousand oil and gas projects launching in that period,” said Namir Khanbabi, general manager of Swire Projects

A number of major projects are nearing Final Investment Decision (FID) this year, with operational start-up slated for the years 2026-2028. According to Global Data, these include upstream projects such as the deepwater Bonga Southwest/Aparo in Nigeria, the Brulpadda/Luiperd gas field in South Africa and the Elk-Antelope field onshore Papua New Guinea.

In the midstream sector, liquefied natural gas (LNG) liquefaction projects dominate as suppliers continue to bet on strong demand for LNG in the future. These span the globe, from the U.S. and Mexico to Mozambique, Nigeria and Papua New Guinea. Downstream there are 11 refinery projects targeting FID this year and a slew of petrochemicals projects in Indonesia, India and the U.S. (19 alone in Indonesia).

Refilling the Pipeline

Looking further ahead, Santosh Kumar Budankayala, senior analyst at Norway’s Rystad Energy, foresees a busy year of exploration drilling as heavyweight operators push into deeper waters in the search for new reserves.

Last year saw a 20 percent increase in the amount of acreage awarded to major players, some 112,000 square kilometers, all of which was offshore: 39 percent on the shelf, 28 percent in deepwater and the remaining 33 percent in ultra-deepwater.

Rystad Energy expects 50 more deepwater and ultra-deepwater exploratory wells this year compared to 2023, when conventional discoveries only yielded what Budankayala called a “bleak one billion barrels of oil equivalent (boe)”, down by two-thirds on the three billion boe found in 2022.

The hope is that the return to new frontiers will replicate the wildcat successes of the previous decade, such as Area 1/4 offshore Mozambique between 2010 and 2013, gas finds off the coast of Mauritania and Senegal between 2015 and 2017 and the Liza oil discovery in Guyana in 2015, which was the first in a string of finds across the Stabroek block, where following the March 2024 discovery, Bluefin, Exxon has now made 30 finds.

Production from the first three fields on Stabroek is due to hit 600,000 bpd later this year, just under a decade since that first Liza-1 well, a signal of the protracted timelines from first wildcat to first oil.

This year will see exploration drilling across South America, including Argentina where Argerich-1 marks the

country’s first ultra-deepwater well. In Africa, the oil majors are targeting a number of basins off Namibia and South Africa while in Asia-Pacific, there’s high impact drilling planned in Malaysia, Vietnam and Indonesia.

Europe too is seeing activity, with drilling in the Norwegian and Barents Seas. Should all this activity yield new reserves, then the pipeline of activity for the project cargo sector will remain buoyant into the early years of the next decade.

Wind Power: Renewed Energy Offshore

Wind power will continue to generate busy order books for the project cargo industry. The Chinese wind energy market will remain the largest in the world in 2024, with the country set to install over half the world’s wind energy capacity this year, according to Wood Mackenzie.

The pipeline for future projects looks strong, with more than 60 gigawatts (GW) of offshore wind capacity to be tendered this year, with the EMEA region holding more than 50 percent of expected tenders.

Project cargo specialists have built thriving businesses serving this growing market, wher the loadouts are only getting bigger. “We see big growth ahead for offshore wind,” said Brian Sørensen, global category head, wind and port service at Blue Water Shipping

“Our biggest pipeline for wind is Europe but in terms of expansion, we’re looking at Canada, the U.S. and Asia, particularly South Korea, and further down the road, Japan.”

In the U.S., which was hit in 2023 by high-profile offtake cancellations and billions of dollars of write-offs as the industry faced headwinds from soaring inflation, interest rate hikes and supply chain problems, there’s now a renewed push to deliver.

In New Jersey, Shell and EDF are developing the 1,510-megawatt (MW) Atlantic Shores wind farm, due online in 2027-2028, while off the coast of Virginia, Dominion Energy’s huge 2,587-MW Coastal Virginia Offshore Wind project is on track for first power in the second half of 2025. Avangrid, majority owned by Iberdrola, and Ørsted

Transiting the Corinth Canal in Greece with wind cargoes. Credit: Corinth Canal

are also pushing ahead with projects off the coasts of Massachusetts, Rhode Island and Connecticut.

we can see real momentum there again,” said Sørensen. “However, the pipeline is still a little unstable.”

The ‘Double 100’ Opportunity

Floating wind is another fast-emerging opportunity, albeit with more unknowns. Europe has four small floating wind farms today with a combined capacity of 176 MW, but there’s a 250 MW plant tendering off northern France, with results due this year, and a number of floating wind auctions planned in the Mediterranean, UK and Norway.

China’s Wenchang deep-sea floating wind demonstration in the South China Sea is the world’s first semi-submersible ‘double hundred’ - in waters deeper than 100 meters and with an offshore distance of over 100 kilometers.

“Floating wind is going to be a big opportunity, opening up regions that were previously too deep for offshore wind like Japan, parts of Scotland and California,” said Sørensen of Blue Water

Sørensen doesn’t expect to hit its stride until 2030 and beyond.

Fleet Constraints

In a world in which both oil and gas and offshore wind are booming to meet energy demand, the existing fleet of deck carriers, multi-purpose vessels and heavy-lift equipment is going to be stretched to its limits.

“There is not enough capacity,” said Milne of DNV. “The gaps in the fleet are due to instability and uncertainty in specification of requirements, for example, turbine sizes seem to be growing without standardizationation, while equipment failure incidents are causing concerns on reliability of designs.”

This was echoed by Sørensen at Blue Water. “We see a real bottleneck looming in 2027/2028, both in feeder and installation vessels. Shipowners

are still being cautious about making further investment in fleet capacity but we need to see action on this because there is not a lot of time to build new vessels and unplug this bottleneck.”

Khanbabi of Swire Projects put some numbers around this. “We observe about 1,000 heavy-lift/MPP vessels operating currently, and around 270 of that fleet are 20 years of age or older,” he said. “There are approximately 40 new vessels collectively under order, which probably only replaces 15 percent of the tonnage that is likely to be phased out of the existing fleet.”

Molloy of Drewry also questioned whether there’s going to be capacity to keep the energy sector’s project workload on track. “We’re going to need more deck carriers and heavylift vessels, and the order book is not there yet,” he said, putting the bottleneck as early as 2026. “For

Reactor transport in Kocaeli Province, Türkiye. Credit: Oznakliyat

2027/2028, there’s still time to react and newbuilds to be delivered.”

He pointed out that building slots are getting harder to find, with the only project carrier delivery announcement for 2026 coming from Germany’s dship Carriers. “We really need people to start ordering vessels in the next few months but what we see instead is people waiting for signals on interest rates, and also for more information about time charter,” said Molloy.

This wait-and-see game could prove costly. “Charter rates are going up, and will continue to do so as capacity tightens,” said Molloy. “The question is: have projects allowed for these increases?”

Port Space at a Premium

It’s not just vessels that are in short supply. The offshore wind industry also faces a looming choke point when it comes to port capacity.

“You need ports with very strong quays and a lot of space,” explained

Sørensen of Blue Water. “There are just not that many that have 200,000 to 800,000 square meters of space, and it’s expensive space because of the bearing capacity requirements.”

Unlocking this investment is likely to require government support to keep momentum in the energy transition.

Some bottlenecks are more intractable than others, with connections to the grid proving to be a major barrier to scaling renewables. Outdated and inadequate power grids are a ‘significant stumbling block’ to the energy transition, with Edvard Christoffersen, senior analyst at Rystad Energy, suggesting the world needs US$3.1 trillion of grid infrastructure investments before 2030.

This would require an eye-watering 18 million kilometers of grid network – in itself needing nearly 30 million tonnes of copper – to keep pace with the electrification agenda. Adopting large-scale battery storage solutions and grid digitalization can address

some grid intensity issues but this investment is taking time to scale.

This matters because the power grid issues are holding back other aspects of the energy transition, including renewable fuels. “Upgrades to the power infrastructure are necessary because some projects need power earlier to progress,” said Milne of DNV.

“Hard-to-abate sectors need hydrogen, ideally green hydrogen, but green hydrogen in the volumes needed requires sizable desalination plants which requires power and a good water supply.”

And that, in turn, sounds like more work for project cargo specialists.

Award-winning freelance journalist Amy McLellan has been reporting on the highs and lows of the upstream oil and gas and maritime industries for 20 years.

*Exhibitor at Breakbulk Europe Visit: www.europe.breakbulk.com/home

*Member of the Breakbulk Global Shipper Network. Visit: europe.breakbulk.com/page/bgsn

Yamal LNG project back-up heater.

Credit: Port of Gijon

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EIC ASSESSES ENERGY PROJECT POTENTIAL AROUND THE GLOBE

Four energy experts from the Energy Industries Council (EIC), a Breakbulk Events global knowledge partner, present an outlook for each of their regions, including project types with the most growth potential as well as regional roadblocks

Navigating Europe’s Energy Crossroads

By Sharanya Kumaramurthy, EIC Market Intelligence Manager

A paradox of progress and hindrance is unfolding in Europe’s energy-scape. The quest for energy security is driving offshore and frontier exploration in the oil and gas (O&G) sector, notably in the North Sea, where geopolitical tensions, inflation and inconsistent policies threaten to disrupt supply chains and delay projects.

Meanwhile, the offshore wind sector, buoyed by mature markets like the UK, Germany, Denmark and the Netherlands, welcomes newcomers such as Poland, Ireland, Norway and Lithuania. Yet, this burgeoning industry faces its trials with inflation, rising

AT BREAKBULK EUROPE…

Project Outlook: Europe Focus (Main Stage)

Thursday, 23 May 10:30 - 10:50

supply chain costs and infrastructure deficits leading to anticipated delays and momentum challenges.

The hydrogen market is a potential major player in Europe’s energy mix, driven largely by Germany’s ambition to replace Russian natural gas with European and global hydrogen supplies. Despite the fervor, commercial viability remains nascent, with the EU targeting a production of 10 million tonnes annually by 2030. Similarly, carbon capture and storage (CCS)

technologies gain favor, supported by the EU’s Net Zero Industry Act with ambitious goals for 2030. However, the complexity of CO2 transport and storage, particularly in the North Sea, underscores the nascent stage of CCS projects.

Amidst this, nuclear power is experiencing something of a renaissance, catalyzed by the Ukraine conflict and a growing recognition of its role in diversifying energy sources. Countries like the UK, France, Poland,

Osprey transports reactor for Hinkley Point C NPP, UK.

Credit: Osprey

and several Eastern European nations are reconsidering nuclear power, exploring both large-scale reactors and smaller modular reactors (SMRs).

The sustainable aviation fuel (SAF) sector is also beginning to capture the European interest, albeit slowly, with the UK leading through financial incentives. This collaborative effort between the energy and aviation sectors promises a gradual but significant shift toward cleaner fuels.

Europe’s energy landscape is at a crossroads, marked by ambitious plans and projects but also marred by formidable challenges. But a keyword here is resilience and the prudent diversification of energy resources.

Americas Surge in O&G and Clean Energy Investments

Redefine Future Prospects

By Pietro Ferreira, EIC Senior Market Intelligence Analyst, Americas

Oil and gas exploration and production (E&P) activities in the Americas are accelerating, particularly in Brazil,

Project Opportunities

Europe: Offshore and frontier exploration for oil and gas, offshore wind, hydrogen, carbon capture and storage (CCS), nuclear power, aviation fuel (SAF)

Americas: Oil and gas exploration and production, LNG exports, wind, solar, clean hydrogen, carbon capture and storage (CCS) Middle East: Oil and gas, power, renewable energy

APAC: Oil and gas field development, decommissioning (offshore oil and gas), renewables including hydrogen and carbon capture and storage

Guyana and the Gulf of Mexico (GoM). Brazil’s highly productive pre-salt projects have become a priority for its national oil company, Petrobras, which plans to invest over $70 billion in E&P over the next five years, with a special focus on floating production, storage, and offloading (FPSO) developments.

Meanwhile, Guyana’s Stabroek

block continues to yield exploration successes, driving ExxonMobil forward with multiple field development phases, including a significant $12.9 billion phase expected to be sanctioned in 2024. The GoM remains a strategic focus for international oil companies like Shell, BP and Chevron, which are investing in both standalone and

ExxonMobil’s Prosperity FPSO at Payara, Guyana’s third offshore oil development on the Stabroek Block. Credit: ExxonMobil

tie-back developments, underlining the region’s enduring potential.

Simultaneously, the U.S. has emerged as a key player in LNG exports, crucial to Europe’s energy security in the aftermath of the Ukraine conflict. However, the future of several proposed LNG liquefaction projects, representing a capital expenditure of $223 billion, hangs in the balance, pending federal decisions post the U.S. elections.

Parallel to these developments, the clean energy sector is flourishing, particularly in the U.S., which leads clean energy innovation in the Americas. Thanks to the $369 billion in tax incentives provided by the 2022 Inflation Reduction Act, projects across wind, solar, clean hydrogen and carbon capture and storage (CCS) are gaining momentum. Despite potential policy shifts with upcoming elections, bipartisan support for wind and solar suggests continued growth. Offshore wind, in particular, faces challenges, including supply chain delays, which have led to project cancellations, underscoring the complexities of transitioning to renewable energy sources.

As countries like Brazil and Colombia explore offshore wind opportunities, the U.S. is making strides in clean hydrogen, aiming to establish a nationwide infrastructure supported by significant government investment.

The Middle East’s $979 Billion Leap

By Wan Afiq, EIC Market Intelligence Analyst, Middle East

The Middle East is undergoing a remarkable transformation, evident in its ambitious energy projects under development, with an estimated capital expenditure of approximately $979 billion. This colossal investment signals a regional shift toward not only enhancing oil and gas infrastructure but also embracing renewable energy, power projects and key energy transition initiatives. Leading this surge are the United Arab Emirates and Saudi Arabia, closely matched with 19.22 percent and 19.2 percent of the investment share, respectively, followed by significant contributions from Iraq, Oman, Qatar, Kuwait and Jordan. Remarkably, oil and gas projects still dominate the landscape, accounting

for 73.47 percent of these projects. However, the increasing allocation toward renewable energy (6.34 percent) and energy transition projects (5.24 percent) underscores a conscious shift toward sustainable energy sources.

The contract awards between 2019 and 2024 highlight the industry’s vibrancy, particularly in the upstream and downstream sectors. Yet, the renewable energy sector’s surge, with 42 contracts, reflects a pivot toward clean power.

Projected capacities for power and renewable energy from 2024 to 2028 place Saudi Arabia at the forefront, which aligns with its vision to balance its energy mix toward 50 percent renewables by 2030. This ambition mirrors the broader regional commitment to diversification of energy sources with Oman pioneering in green hydrogen projects.

As the Middle East navigates its energy ambitions, it stands at the cusp of redefining its identity from an oil-dominant powerhouse to a leader in sustainable energy. This transition is not simply a financial undertaking but a clear indication that the region is taking its cleantech plans seriously.

First wind components arrive at Port of NEOM for massive green hydrogen project. Credit: NEOM Green Hydrogen Company (NGHC)

Navigating the Shift From Traditional to Clean Energy in Asia-Pacific

By Khairun Suffia, EIC Market Intelligence Analyst, Asia Pacific

The Asia-Pacific energy landscape is experiencing a pivotal transformation, marked by a nuanced shift in the oil and gas sector. While exploration activities are anticipated to decelerate over the next five years, the momentum is building in field development efforts, highlighted by an uptick in the number of forthcoming final investment decisions (FIDs). This evolution signals a strategic move from seeking new reserves to enhancing the productivity of existing fields. However, the significant bidding rounds witnessed in countries like Malaysia, India, Indonesia and Australia indicate a revival in exploration efforts, suggesting a strategic recalibration rather than a full-scale retreat from discovery initiatives.

Decommissioning, especially in Australia, is emerging as a significant area of focus. With most offshore assets over 30 years old and poised for decommissioning, there’s a unique opportunity to repurpose these areas for renewable energy projects, particularly within the proposed renewable energy zones by 2025.

In the midstream sector, the shift toward gas-fired power plants and the consequent emphasis on LNG regasification capacity investment reflect the region’s transition to cleaner energy sources. Vietnam’s leadership in capex spending for midstream projects highlights the strategic investments being made to facilitate this transition.

The renewables and energy transition narrative is particularly compelling with a marked increase in project announcements and investments outpacing those in traditional energy sectors. Australia, India and China are at the forefront of this transition, driven by decarbonization targets and energy security concerns. The corporate power purchase agreement

(PPA) market’s growth, led by China, India and Taiwan, alongside significant investments in renewable energy, underscores the private sector’s role in this transformation.

The growing interest in hydrogen as a clean energy source, with significant projects being explored across Southeast Asia, alongside the focus on carbon capture technologies, points to a multifaceted approach to

the energy transition. The leadership of upstream and LNG players in carbon capture initiatives further exemplifies the oil and gas industry’s critical role in shaping a sustainable energy future for the Asia-Pacific region.

For 80 years the EIC has helped companies maximize business opportunities in the energy industries, whether sourcing or supplying goods and services, at home or abroad.

AAL loads a Toshiba transformer at Shanghai, bound for a wind project in Victoria, Australia. Credit: AAL Shipping

FROM SHIPPING TO A JOURNEY OF DETERMINATION

Petrofac Logistics Manager Jamilya Garajayeva Found Career-Growth Opportunities Where She Least Expected Them

By Heba Hashem

Jamilya Garajayeva, logistics manager for the supply chain function at Petrofac, is not one to shy away from complex projects. With 15 years of industry experience under her belt, she has steered the logistics and commercial activities for numerous onshore and offshore projects, supporting various multinational companies.

Today, she is responsible for the operational and commercial activities of renewable energy projects at Petrofac, an international service provider to the energy industry. Her transition to the renewables sector came after almost six years in the company’s functional support unit, where she oversaw oil and gas project logistics.

“I was attracted to the logistics industry due to its dynamic nature, constant challenges and its critical role in supply chain management,”

AT BREAKBULK EUROPE…

Women in Breakbulk –Building Leaders From the Inside: A Practical Guide to Mentorship (Main Stage)

Wednesday, 22 May 16:00 - 16:45

Garajayeva said. “I was eager to join logistics and to serve big oil and gas companies. It was so exciting to be part of such important projects.”

Despite her accomplishments, Garajayeva never really planned on a long-term career in logistics. Speaking at Breakbulk Middle East, she said that it all began when she decided to leave her comfort zone and expose herself to new challenges.

“I didn’t even think I would be able to manage all this. To me, it was a complex operational process. However, every day brought new challenges and opportunities to learn, which kept me engaged and motivated.

“What made it even more interesting is that logistics work isn’t something you can learn from books or theory. It’s all about handson experience and dealing with real-life challenges, which makes it quite difficult, yet rewarding.”

To break into the industry, she worked tirelessly and trained in logistics, chartering and supply chain management, gaining practical experience.

Her determination to tackle big challenges helped her to build confidence, grow stronger and handle unexpected problems. She embraced every opportunity to learn and grow within the field, eventually establishing herself as a professional in the sector.

The Ascent

Starting her career as a freight forwarder with a UK-based company, working at one of its branch offices in Baku, Azerbaijan, Garajayeva focused on learning all about this aspect of supply chain management. After familiarizing herself with ocean freight forwarding, she moved to other modes of transport, focusing on air and rail shipping for oil and gas companies.

“To be a service provider and a client are two different roles. That is why I invested time in each stage of the logistics chain, as it was complicated and there was so much information. I broke it down into blocks to understand how it all comes together

“I had to start from scratch and learn everything from the ground up. As a beginner, the most difficult part was becoming certified as a Dangerous Goods specialist, particularly in moving explosives and radioactive sources for drilling activities,” she said.

Soon after, she was asked to handle a major freight-forwarding project for an oilfield service company. It involved delivering explosives for oil-well drilling activities and required her to charter freighters from the United States to the Caspian region.

“I remember it was a weekend, and it was so stressful. I couldn’t find out what was happening with the charter as there was no proper communication. I stayed in the

EPC LOGISTICS:

office until the early hours of the morning to make sure the aircraft landed at the airport without issues,” she recalled.

“Thankfully, everything went according to plan and the explosives were successfully delivered. Despite the challenges, I took ownership and initiative to engage myself in complex projects. It was my third year as a freight forwarder, and it moved me to the air freight division.”

Stepping into EPC Logistics

While freight forwarding was mainly about chartering vessels and aircraft, working with EPC logistics was a completely different ballgame. The Middle East was also new territory for Garajayeva, but this did not deter her from joining Petrofac in 2010.

As a long-term expatriate who had previously lived in several countries, including Turkmenistan, Georgia and Azerbaijan, she was particularly drawn to the Middle East’s growing EPC industry and its promising opportunities for career advancement.

“One of the most significant turning points for me was when I first moved from freight forwarding to the EPC sector. There, I had a chance to work with a mentor who played an important role in guiding and shaping my professional growth. His wisdom and guidance were

instrumental in helping me to navigate the complexities of the industry and develop the skills I needed to succeed.

“I am also grateful to current management who recognized my potential and encouraged me to step into leadership roles within my organization,” she said. “They challenged me to think strategically and provided valuable support as I refined my professional skills.”

Joining Petrofac as a deputy logistics manager, Garajayeva had a clear goal – to enhance her knowledge on the operational and contractual sides of the business, empowering her to champion the company’s interests effectively.

“When it comes to EPC logistics, every time I stepped into a new project, I realized there was a lot to learn. What helped me was my determination to be part of something important. I wanted to tackle big challenges.”

With her focus today on the renewable energy sector, Garajayeva emphasized the vital role that the breakbulk industry plays in supporting EPC projects like wind farms and in providing logistics solutions for oversized and heavy-lift cargo. She

noted that the “industry’s resilience and ability to navigate market fluctuations and complex supply chains make it an integral part of the logistics landscape.”

Taking Ownership

As fulfilling as Garajayeva’s career has been, she admits that it entails making compromises. For example, the frequent traveling, oftentimes at short notice, means planning anything more than two weeks in advance is virtually impossible.

Her travel takes her to job sites, fabrication yards, seaports, customs facilities and oilfields, many of which happen to be in remote or developing parts of the world. Not only that, but the nature of the job requires her to be ready to respond to critical matters when they occur.

The industry itself is fast-paced and competitive, and logistics remains predominantly male-dominated. Additionally, pressure can come from external factors. For example, with 30 percent of global container trade transiting through the Suez Canal, the Red Sea shipping crisis that started in October 2023 is disrupting global supply chains and blocking containers

and vessels. During such critical times, a logistics manager is expected to mitigate and manage these delays.

In such a demanding environment, achieving a work-life balance is crucial for one’s wellbeing. Garajayeva finds that doing nothing is the best way to recharge after a long week at work. She de-stresses by prioritizing self-care and spending time with family and friends. Ultimately, however, she finds her career highly rewarding and fulfilling. “It feels good when you achieve milestones as management sets a high bar for projects. Seeing the positive impact of my efforts brings a sense of fulfillment and drives me to continue pushing forward. Also, knowing that I have made a tangible output and contributed to the success of the organization keeps me motivated every day.”

She added that the positive workplace culture and environment has contributed to her professional growth. “People here are friendly and supportive, and I feel valued by the company and my management. They prioritize our growth by organizing diverse training programs aimed to enhance our skills. Ultimately, it’s all about the people.”

Petrofac clean fuels project, Kuwait. Credit: Petrofac

Contentment and Aspirations

Garajayeva, who is part of a female leadership program at Petrofac that focuses on empowering women in industry, acknowledged that people still assume it’s hard for women in this technically challenging field. However, she believes that women’s conflict management abilities, attention to detail, organizational skills and flexibility are all valuable assets for the logistics industry.

“Social stereotypes can sometimes limit women from advancing in their careers. That said, many cases have proven that women are up to the challenging circumstances and their inclusion brings benefit to the logistics function as they are part of

the energy and oil and gas industries.”

Her advice for women starters who are breaking into the industry is to focus on what they can learn from each opportunity, instead of just considering how an opportunity may advance their career or lead to specific goals.

“See challenges as chances to learn and grow, and focus on your knowledge, skills and the experiences you can gain from every opportunity, regardless of where it may ultimately take you. My career has had highs and lows, but those moments where things didn’t go as planned ended up being the most interesting and rewarding.

“Don’t try to learn everything the hard way. It’s okay to ask for help or advice from experienced people I have been lucky to have great mentors

and colleagues who’ve helped me achieve more than I could alone.”

Garajayeva is clearly in it for the long haul and believes she has a long way to go. “I’m thankful to wake up every day and have a job I love. I enjoy achieving things and coming home to tell my family about them.

“For as long as I can, I will continue to enhance my knowledge. Of course, I have goals and I know what I want to achieve. But I’m also living in the moment, and where I will be in five years from now, life will show.”

Heba Hashem is an Arabic- and Englishspeaking freelance journalist based between Dubai, UAE and Niagara Falls, Canada.

“DON’T TRY TO LEARN EVERYTHING THE HARD WAY. IT’S OKAY TO ASK FOR HELP OR ADVICE FROM EXPERIENCED PEOPLE. I HAVE BEEN LUCKY TO HAVE GREAT MENTORS AND COLLEAGUES WHO’VE

Benefits and Business Use Cases

Technology marches on, with the latest in digitalization techniques and services proving to be a boon for logistics professionals. Deployed effectively, digitalization is reliable, efficient and results in fewer errors, meaning that teams can concentrate on customer satisfaction. Investment, development and deployment of digitalization for supply chain and logistics activities has developed significantly over the last five years.

AT BREAKBULK EUROPE…

Shaping the Future of Logistics (Main Stage)

Thursday, 23 May

12:35 - 13:20

The Future of Digitalization in Project Logistics (Futures)

Thursday, 23 May 12:40 - 13:00

By John Bensalhia

From a recent study carried out by the Council of Supply Chain Management Professionals, over 90 percent of companies involved in logistics and supply are investing in new digitalization tools. Benefit-wise, it’s a case of both less and more.

Arto Viitanen, VP of product at Seaber, a Finnish maritime software company, says that on the one hand, it means less manual data entry. “Often cargoes are manually punched in several times into spreadsheets, ERPs and VMSs.” This results in less human errors during data entry and voyage operations.

The other side of digitalization is that it offers more efficient scheduling, as “scheduling tools can be leveraged when data is accessible digitally”. Viitanen says that speed is a key factor, with “much improved quality and quicker turnaround times in internal and external communication”, plus “sped up stowage planning processes as cargo intake can be better estimated by chartering”.

Furthermore, as Christophe Moser, general manager at Globis Software explains, a single data model enables ‘one truth’ throughout the organization.

“No time is lost in correcting data and investigating discrepancies.”

Another benefit is the creation of end-to-end transparency on two counts: operational (“Providing operational teams and customers with near real-time information about their shipments,” says Moser) and financial (“Providing the finance team with insight into financial business drivers such as volume and profitability”).

Scalability is another advantage. “While manual processes typically face capacity challenges as the company grows, digitized processes can support operational upscaling, provided the required technical requirements are in place.” Moser adds that digitalization increases “process mastery,” which in turn enables the organization to adapt its processes to changing market conditions.

“AI is quickly developing as the driving force behind supply chain optimizations. But AI is only as good as the data you feed it with. Organizations that digitize with data and process quality in mind, will be able to leverage AI to ‘outsmart’ the competition.”

Complete Overview

Tim Killen, head of growth for the project sector at Fracht Group, says that integrated digitalization tools to manage complex supply chains for CAPEX and OPEX activities are gaining traction in the logistics and project cargo landscape.

“Large-scale CAPEX projects across all major industry verticals have complex and dynamic supply chain needs, so it is important that all key stakeholders in a CAPEX project provide the necessary good quality data to be able to have visibility and predictability across all aspects of a project’s supply chain: from procurement, manufacturing, expediting, transport in all modes, last mile delivery and warehousing/ storage of cargo prior to transferring to the site construction teams.”

A complete overview of all data and documents related to a project and the equipment to be delivered is essential for successful supply chain management and end-to-end project delivery.

But in the CAPEX project space, there are challenges in successfully digitizing the supply chain for each specific project.

“Many projects have bespoke designs, non-standard equipment requirements, along with a short execution duration whilst the project is constructed. This (coupled with a specialist and evolving supply chain, multiple interfaces and stakeholders with differing maturity of IT infrastructure and systems) can pose a challenge,” says Killen.

Although the nature of these issues vary according to each individual project’s duration and stakeholder maturity, timescales, technical challenges and costs associated with designing and mapping a bespoke digitalization project tool can sometimes prohibit deployment on a project.

Comments Killen: “The dynamic nature of projects, the relatively short execution durations and complex supply chain systems and stakeholders, all

need to be assessed well in advance to identify if the investment to be made to implement can have a significant and tangible value add versus more traditional methods.

“As the digitalization tools available and end-to-end data integration improves, we will continue to see the successful development and deployment of these systems. Most notably, this is currently successful in the wind industry, where cargo commodities are standardized and replication is easier to achieve across all aspects of the supply chain from inbound materials to outbound delivery and installation.”

Emerging Technology

Increasing supply chain efficiency is a key target at Docklab, which develops digital solutions using emerging technology like blockchain, AI and connected IT devices. “By making supply chains more efficient, this helps speed up the energy transition,” explains Aljosja Beije, CTO and co-founder.

“We come up with either ideas that we have internally or ones with external partners. We turn those ideas into digital solutions and evaluate whether there is a market demand for these. We also check whether these are feasible or not and then we spin them out into separate ventures.”

Docklab has various relevant solutions for project cargo. “We have a solution that allows for digital transfer of ownership of the Bill of Lading and other trade documents,” says

Beije. “It is based on the TradeTrust software toolkit developed by an active open-source community of which we are a partner and championed by IMDA, the Infocomm Media Development Authority in Singapore.

“Anybody can implement these software building blocks into their application. We also build an application around it that basically does the whole process. It’s relevant to both project and bulk cargo. You can do this digitally, which means much faster transfer of documentation.

“Before this, the normal way meant printing it off, putting it in a pouch and asking a courier to deliver it somewhere. Given the fact that project cargo can sometimes go to very remote locations, these kinds of digital solutions really help to speed up the whole process of documentation and maritime transport of project cargo.”

A recently-launched Docklab solution is ETS Navigator, which handles all the administration for offsetting carbon emissions of maritime transport. “It gives you extra testaments of CO2 emissions per voyage and it calculates the level of CO2 emissions that need to comply with the ETS regulations. It’s relevant for project cargo that is both coming in and out of Europe.”

Plenty of Paperwork

There is still much paperwork in project cargo, meaning professionals still spend valuable time keying in data. Docklab has developed (using

Tim Killen

Aljosja Beije

advanced AI models) a solution that can efficiently and flexibly read PDF documents and transform them into machine-readable code.

“It’s something that we use internally to support some of our ventures,” says Beije. For example, we use it for bunker notes – most of them are still paper documents. When booking in, we ask for scans instead of notes.”

Another notable player in the digitalization field is Seaber – a cloud-based real-time planning, optimization and communication solution for bulk cargo and vessels. This offers a multi-scenario schedule planning with easy drag-and-drop modification to the scenarios and a built-in TCE calculator that’s always up-to-date for the whole fleet, always reacting to any modifications.

“This can yield significant ballast distance reductions and improvement to fleet profitability,” says Viitanen. “As well as these, Seaber includes data automation for keeping the schedule up to date with operational updates such as ETA/ETB/ETD; support for

“AI IS QUICKLY DEVELOPING AS THE DRIVING FORCE BEHIND SUPPLY CHAIN OPTIMIZATIONS. BUT AI IS ONLY AS GOOD AS THE DATA YOU FEED IT WITH.”

- CHRISTOPHE MOSER

maintenance of many types of vessel/ cargo/port restrictions and related warnings; analysis of the competitive situation for spot market cargoes; and low friction communication platform between chartering, operations and COA scheduling.”

Going with the Flow

Meanwhile, Globis’ enterprise cloudbased software platform supports end-to-end logistical flows for breakbulk and project cargo. “The platform supports the key functions in the supply chain,” explains Moser. “Forwarding management, warehouse and terminal management, as well as transport management.

“It also covers the contracting and billing of logistical services. Business portals and advanced integration capabilities ensure an efficient collaboration with business partners and integration with your other applications.”

Globis maps the business requirements of the customer with industry best practices and the

software’s capabilities. “The Globis software is then configured according to the documented processes and key users are trained to get the most out of the platform. These implementations are performed by Globis consultants in partnership with integration partners.”

Globis is also capable of serving large and complex organizations with high demands on security, stability and scalability. “Large organizations can start with limited functionality in one subsidiary, but can expand to more subsidiaries and increase its functional footprint at the same time.”

Globis Founder & CEO Karel Van den Berghe says that the ‘Digital Twins’ of project cargo will enable companies to better simulate how the cargo needs to be handled, stored, and transported.

One trend quickly coming into effect is the end-to-end track & trace of project cargo. “This is quickly becoming the norm,” explains Van den Berghe. “Through the advent of cheap and reliable hardware, in combination with powerful software to offer all stakeholders full transparency.

“‘Data Spaces’ will enable logistics companies to collaborate more efficiently on large projects by offering all stakeholders secure access to realtime data, e.g. cargo details, prices, capacities, events and status updates.

“‘Federated Machine Learning’ is able to train AI-models based on the distributed data of different companies, without the need for these companies to share sensitive, internal information with other companies.”

Liberating Supply Chains

With digitalization continuing to thrive and grow in the bulk and project cargo sector, Docklab’s Beije considers what the future is likely to hold. “What we’ll see in the future is a greater move to the digital transfer of trade documents. In the maritime world, a lot of contracts are under British law, about 80 to 90 percent. That has been an important step in liberating maritime supply chains and transports from the shackles of having to use paper.

“The only reason why you had to do the Bill of Lading on paper was

because it wasn’t allowed to transfer title of cargo using the Bill unless there was a wet signature on it. The Bill of Lading is the most important maritime document and because it was on paper, everybody thought ‘forget about digitization because I still have to deal with paper anyway’. With that being removed, we expect digitalization to really take off in the maritime sector.”

Beije raises the potential for AI which he says could be very interesting for bulk and project cargo, with opportunities for tasks such as processing of documents. “But there are also other important applications of AI that can be very useful such as

cargo inspection or conveying the right instructions to cargo handlers,” he says.

“For example, if there are staff who don’t speak English, that can be challenging with very complex instructions. If you can use AI to relay visual instructions, this can help and also prevent potential cargo damage.

“In general, I think tech will help make transport more efficient, reduce emissions and costs.”

John Bensalhia is a freelance writer and author with 25 years’ experience of writing for a wide range of publications and websites.

*Exhibitor at Breakbulk Europe Register at: europe.breakbulk.com

THE MAVERICK

Fracht’s

Ruedi Reisdorf on the Importance of Making a Decision and Staying One Step Ahead

By Luke King

For serial deal-maker Ruedi Reisdorf there’s only one transaction that’s off the table. “Fracht is absolutely, definitely not for sale, nor will it ever be,” Reisdorf emphatically declares. The Basel-based executive is the owner and sole shareholder of Fracht AG – one of a rare breed of independently-owned project forwarders with a truly global footprint.

Despite having snapped up a string of other logistics companies, the animated freight forwarder simply can’t countenance the sale of his own. “What should I do with the money? Buy another forwarder? It wouldn’t be as good as our company!” There’s no hint he’s joking.

Fracht was established by his late father (and namesake) in 1955 and the younger Reisdorf attributes its success – it employs over 2,000 people and has more than 150 offices around the world –to its financial discipline, coupled with a willingness to act. “We have an extremely long-term view because I’m the sole owner. I keep the money in the company, so there is just a focus on business development and not, let’s say, on taking out money and satisfying shareholders.

AT BREAKBULK EUROPE…

Start-up Sessions (Futures)

Wednesday, 22 May 13:50 - 14:10

“That would complicate matters because the more shareholders you have, the more opinions you have, the longer it takes you to get a decision. At Fracht, we don’t get every decision right, but we take them extremely quickly. I think it was somebody from ABB that told me, you can make wrong decisions – but you have to make decisions. The worst thing is to do nothing.”

Born in Basel in 1961, Rudolf HansPeter Reisdorf says he was “born into freight forwarding” as “it was clear to my father and to me” that he would be the successor. “I became a real freight forwarder because I was trained on the job. I’ve been in the ports, I spent time in the countries where we had the transports when I was young, especially in the Arab world. So, I’ve been one year in Libya, one year in Kuwait, two years in Saudi Arabia, getting the generators out of the ports, doing customs clearance, loading of trucks, supervising, dealing with the different cultures.”

Thursday, 23 May 12:00 - 12:20

In the beginning, Fracht’s number one market was Switzerland, and Reisdorf remains proud of the company’s Swiss heritage. “In the early days you had pharmaceutical companies, of course, but also industrial clients like Brown Boveri & Cie of Baden, later ABB, which was with us more or less from the beginning.

“ABB later became part of Alstom

Power, then General Electric, and the ‘Swissness’ was slowly diluted over time. Engineering moved out of Switzerland because of the high costs. Switzerland used to be our absolute number one market, now it’s maybe number four or five.

Ruedi Reisdorf

FORWARDER

“Despite that, Switzerland still has a very good reputation abroad. I would say this reputation was better before –Switzerland made some mistakes like with Swissair, which became Swiss and part of Lufthansa, or Credit Suisse’s recent disaster – but in general, you have no closed doors being Swiss.”

International Expansion

Fracht’s international expansion began with Reisdorf’s father in the 1970s. “We started with Germany, and then the United States and China and so on. It accelerated over time but until about the year 2000, we were still a regional freight forwarder. We had maybe 30 or 40 offices, so we were still medium-size. Now you can say we are a multinational company. And of course, that put us onto

the radar of the very big companies.”

Fracht’s focus on project cargo –today it generates around 50 percent of the company’s turnover – was also instigated by his father. “In the end, you had to carry him out,” the younger Reisdorf reminisces. “In his last days he was not ‘working’ anymore, but he was coming to the office because it was his baby, and to see whether I was doing a good job. He stopped coming at the age of 89.

“Sometimes I think the younger generation lacks a little bit because they’re not traveling as much as the older generations did, they don’t want to get their hands dirty. Maybe they want to go to a nice office in Singapore, but they don’t always want to go somewhere less appealing.

Ruedi Reisdorf, owner and sole shareholder of Basel-based Fracht AG.

Credit: Fracht

“THERE ARE GENERALLY ONLY TWO THINGS ON MY TABLE: PROBLEMS AND OPPORTUNITIES, BOTH OF WHICH COST MONEY. ONCE WE DECIDE TO ACT ON AN OPPORTUNITY, FORTUNATELY IT DISAPPEARS FROM MY DESK”

“Young people are extremely well trained theoretically, but they sometimes lack the hands-on practice. And this, I think, our industry will dearly miss in some years, when the old experts slowly get into retirement age.”

In full control of the business by 2001, Reisdorf continued the tradition of growing the business in the family’s trademark careful and considered way. “Today of course there are more opportunities than in the past, and we take them, but we don’t do what we can’t pay. As soon as you get money from the bank or other institutions, you have to report to them. Repayment will always come at the worst time, when things are not doing so well. As I say, we make quite substantial investments, but we pay them ourselves.

“And as we are profitable, we can invest every year, let’s say, again and again and again.

“It’s more or less the same strategy as my father, though he was quite prudent. They say the older you get,

the less risk you take. Well, I can say I’ve not yet come to that age.”

One of Fracht’s major acquisitions was that of Polytra BV, a reputed Belgium forwarder with a large network in Africa. Following the sale in 2018, Reisdorf was thanked by Polytra owner Maurice Velge for his “very professional negotiations” and for fostering “a climate of mutual trust” during the transaction.

“That was a typical Fracht takeover,” recalls Reisdorf. “Baron Velge had a son, but the son did not want to run the company and so he was looking for the company that best follows the values of his business. And we did the deal really in an oldfashioned way, with a handshake. Our contracts are two or three pages, no more. And what is important, you have to know that the one you’re dealing with is also a gentleman.

“Everything was respectful and professional and the deal was smooth. This is the way we are doing business. We had the same experience a bit

earlier in Brazil, with the company Nuno Ferreira, as Mr. Ferreira also had a son who did not want to continue.

“When you know the seller, you know they run a good company. You are really buying people and when they know they will get an environment which is at least as good as what they’re used to, then they stay with you.”

Early Riser

As a media representative, I’ve been calling on Fracht for a decade but this is the first occasion I’ve been invited to Reisdorf’s cavernous personal office, which is kitted out with oriental rugs and assorted keepsakes from his world travels.

The Swiss cuckoo clock chimes early in the Reisdorf household and the Fracht boss’s 12-hour working day begins in the office at 6 o’clock. “The first thing is emails, then meetings,” he says. “There are generally only two things on my table: problems and opportunities, both of which cost money. Once we decide to act on an opportunity, fortunately it disappears from my desk.”

Over lunch at the Schützenhaus, a converted 16th century rifle lodge a short stroll from Fracht headquarters in Birsigstrasse, Reisdorf is greeted like a regular customer and our conversation turns to his personal interests. “I do sports – I’ve tried them all, but alas there’s no extraordinary talent. Despite that, I do a lot of cycling and general fitness in the gym, and I enjoy skiing trips. I love to travel – there are not many countries that I have not seen and, of course, during holidays I take the chance to meet some business friends.

“I love old cultures and history and I find it very sad how little we have learned from history. Sometimes, it seems we’ve learned nothing. I doubt there are many people in the world who have seen more temples, churches and other historic places.

“I watch crime stories and sports on television and I go to the stadium now and then for concerts. I also enjoy participating in the Basel carnival.” (The

Project cargo today generates around 50 percent of Fracht’s turnover Credit: Fracht

carnival is the biggest in Switzerland and the main Protestant carnival in the world.)

“I should also mention that since the beginning of our company, we’ve had a Fracht football club, where every Thursday we play football and have dinner with some beers.” Talk of football neatly leads to Fracht’s sponsorship of Club Internacional de Fútbol Miami (Inter Miami CF).

“You can say it’s the biggest contract we ever signed,” Reisdorf said. The cost of the sponsorship doubtless soared following the arrival of star player Lionel Messi at the club, but Reisdorf seems satisfied Fracht is getting its money’s worth. “We have some seats that we can enjoy with our customers, and the Fracht name is on the right sleeve. And of course, everybody that buys a shirt sees our logo, even those who buy one on the black market,” he jokes.

“The main thing is that the whole Fracht family around the world has one team to follow. So whether somebody is in Congo, in China or in Australia, they all watch to see how our Miami team is doing. This brings the whole company together.”

Investments

Back in the office, following a hearty lunch of veal with mushroom sauce paired with an easy-drinking red wine from the canton of Ticino, Reisdorf tells me about his hobby of investing in promising start-ups.

“I would say I study innovation in logistics in my spare time. I look at all the start-ups and what they’re doing and when I find an interesting opportunity, I invest – especially in those with a connection to logistics. I’ve invested in some of the very successful start-ups, but of course I’ve also invested in some that do not make it, both Swiss and international.

“I send an email and say, ‘Hey I read about you – your idea is really good. Do you need some more money, what are your terms?’ And let’s say within one or two weeks, I’ve either invested or not. You have to see things quickly. Whether

you look at it for months, or for only for a week, you will get to the same conclusion.

“You can’t train it, but I like to think I have the ‘evil eye’ for detail, something my father also had. You look at an invoice, for example, and there’s a clue something’s wrong, so you go after it and you find it. It’s the same with companies. I mean, I look at them and there might be one word that gets my attention.”

Reisdorf says Fracht has undertaken around ten acquisitions, and made approximately 20 investments in promising start-ups. At fast-moving Fracht, due diligence is not a protracted affair. “A lot of that is based on gut. Our due diligence is extremely quick. I mean, you usually know the company anyway.”

The Future Is Female

Barring something unforeseen, the future of Fracht will, for the first time, be in female hands. Reisdorf has a daughter and a stepdaughter waiting in the wings, both in their early 20s and currently studying logistics and international trade. “I promised my girls that I won’t stay around that long,” he quips.

But what sort of business will they inherit? “It will actually be a completely different business,” he says. “Digitalization will be huge, but not only for logistics. I think everything we now call ‘office work’ will change with artificial intelligence. This is a new revolution, as big as the railroads 150 years ago.

“But I feel confident about that because, like everything else, it’s a new tool. If you apply it in your favor, it will bring advantages and you just have to connect it with your strengths and capabilities.”

As our interview draws to a close, Reisdorf concludes: “Where we see big potential in the future is Africa. We are already very big there – in subSaharan Africa, we have, I think, 25

offices in 18 countries. Okay, everybody has been talking about Africa for 40 years already and let’s say there have unfortunately been some political setbacks, especially in West Africa with the coups and the terrorism, but Africa has to rise, and will rise.

“The whole of Europe has an interest in developing Africa as well, otherwise immigration will become an even bigger issue. So we should definitely do much more in Africa. Fracht wants to be there to help, and to see that people make a good living.

“Whatever happens, we want to continue the way that we are doing business. Always adapting to new situations, and even being ahead.

For example, we were one of the first forwarders to achieve ISO 9000 (in 1990). Then we did ISO 14,000 when nobody cared about the environment and we were among the first to develop a CO2 emissions calculator.

“I invested in blockchain about six years ago, so we try to be ahead because when we see things coming, why should we wait? Just do it - and then you don’t have to follow when the others are running after it.”

Meet Ruedi Reisdorf and the Fracht team at Breakbulk Europe, Stand 2G34-H35.

Luke King is a freelance reporter and communications consultant who has been involved in the project cargo industry since 2007.

*Exhibitor at Breakbulk Europe, Visit: www.europe.breakbulk.com/home

Ruedi Reisdorf and family enjoying one of many holidays around the world. Credit: Ruedi Reisdorf

WHY POLAND IS THE NEW GERMANY

Poles Quietly

Leading the Way in Engineering Excellence

Iremember that 10-15 years ago some producers of lowbed semitrailers were embarrassed when we discussed how some of the components of their trailers were made in Poland. Today, on the roads of the USA or Germany you can see plenty of super-heavy loads with “Made in Poland” markings and it no longer surprises anyone in our field.

How did this happen? Poland is increasingly being recognized as the “new Germany’’ of Europe, not just for its burgeoning economic growth but also for its important role in the project cargo business. With its strategic location, robust economic policies and growing industrial base, Poland is fast becoming a pivotal hub for heavy industry and project cargo in Europe, drawing parallels to China’s manufacturing prowess.

Poland’s economy is on an upward trajectory, its growth underpinned by access to cheaper energy resources and a favorable business climate which attracts a slew of manufacturers and industrial projects.

As firms previously oriented toward traditional manufacturing strongholds like Germany and Italy begin to pivot to Poland, the country’s appeal as a cost-effective yet high-quality manufacturing hub is reinforced. Why? I think it’s because Poles know how to work hard. They are doers, not dreamers and will

AT BREAKBULK EUROPE…

Project Outlook: Europe

Focus (Main Stage)

Thursday, 23 May

10:30 - 10:50

By Ilya Goncharov

retain this even in 2024, while some other countries might have relaxed.

Poland’s evolution into a manufacturing and project cargo powerhouse has earned it the moniker “China inside Europe”. This comparison stems from Poland’s ability to produce heavy industrial goods, such as bullet tanks, boilers and tank vessels, traditionally associated with countries known for their manufacturing scale and capacity.

Quality Manufacturing at Competitive Prices

Poland is carving out a niche for itself by offering high-quality manufacturing at prices that undercut Europe’s traditional leaders like Germany and Italy. This competitive edge is bolstered by an influx of investment in various sectors, ranging from boilers to wind turbines and transformers. The result is a robust, diversified industrial base capable of catering to a global clientele seeking cost-effective yet reliable project cargo solutions.

Poland’s approach is one of quiet confidence. Without the fanfare of flashy marketing, the country is letting its growing project cargo business speak for itself. The results are

impressive, with a significant increase in export and import shipments that underscore Poland’s rising stature in the global market. Made in Poland.

Amid its industrial growth, Poland is also focusing on energy transition and infrastructure development. A commitment to construct three new nuclear power plants (each costing about US$10 billion and set to generate thousands of jobs as well as substantial tax revenue) and 24 small modular reactors, in collaboration with American and European partners, signifies a strategic move toward sustainable and reliable energy sources. This pivot not only supports domestic industry but also ensures Poland’s position as a vital energy and industrial hub in the long term.

While Poland is on the rise, Germany faces challenges, notably in project cargo logistics due to stringent permit processes and infrastructural constraints. Germany’s decision to phase out nuclear power contrasts sharply with Poland’s ambitious nuclear and renewable energy initiatives, further emphasizing their diverging paths.

In conclusion, Poland’s strategic investments, favorable business climate and commitment to energy and industrial advancement are setting the stage for its emergence as a pivotal project cargo and industrial hub in Europe.

With its sights set on sustainable growth and innovation, the country is well-positioned to redefine its role on the European and global stage, reminiscent of Germany’s past economic dominance, but with a distinctively Polish flair.

Ilya Goncharov is Global 3PL Group Project Manager, 3P Logistics Group

Ilya Goncharov

To celebrate Breakbulk Europe's 20th anniversary in 2025, we are making Breakbulk Europe bigger and better than ever:

• Extended show times, now 3 full days!

• Additional hall!

• Floorplan refresh including Superhighways

SHELLING OUT FOR EU SHIPPING CHARGE

How Breakbulk and Project Cargo Specialists Are Coping With the Demands of the EU Emissions Trading System (ETS)

Did you do your carbon calculations correctly? Did you buy a sufficient number of EU Allowances (EUA)? Did you calculate the cost of the EUAs correctly, and did you assign that cost to the relevant cargo or client accurately? Might there be a better way to achieve the aims of the EU ETS?

Few would argue with the aims of the European Union’s Emissions Trading System (ETS) and the need to reduce CO2 emissions. However, as the ETS became applicable to shipping from January 2024, ship owners and operators have had to take on another significant regulatory and administrative burden, as well as responsibility for a new layer of complexity.

For BBC Chartering, implementing the requirements of the EU ETS has impacted the administrative burden of all departments – chartering, operations, accounting, IT, business systems, fleet procurement and management, said a BBC spokesperson

AT BREAKBULK EUROPE…

MPP Fleet Outlook (Main Stage)

Wednesday, 22 May 14:35 - 15:35

By Felicity Landon

“There is a very high administrative burden of checking, counter-measuring and reconciliation of data received from vessel owners. Moreover, many customers are more or less unwilling to pay extra charges. It is almost impossible for the carrier to assign the ‘fair share’ of charges to the individual clients, due to the nature of the breakbulk/project market (freight charged by weight, volume, square meter, unit, etc.),” he said. “Also, there is a very high burden to register own ETS accounts to be able to purchase EUAs directly without going through third parties, banks or bunker suppliers (to avoid further third-party costs).

“More so, there are very high costs due to required additional resources/people to handle the administrative tasks. And there is an impact on cash flow, due to the requirement to purchase EUAs and hand these over to owners more than one year before owners must pass them on to authorities.”

Added Cost

Felix Schoeller, commercial director and strategy director at project heavy-lift carrier AAL, pointed out that bringing shipping into the remit of the EU ETS did not make a huge impact on the ETS as “we are just a small fraction of the trading scheme ”

He said: “The ETS requirements have been in place for other industries such as power generation, construction, steel and manufacturing for many years. But, of course, for customers and owners it is a big impact; there is the added cost, making provisions, properly calculating the ETS, making sure you have the credits when you have to submit them, and so on. For AAL, it took preparation and a lot of open dialogue with customers to explain to them what’s coming their way, because the shippers have to cover the cost.”

AAL did not need to hire additional people for handling the ETS demands, Schoeller said. “We have a very good analytics team. And as there are already many industries that have

Felix Schoeller

SAL’s MV Maria in Helsinki, Finland. Credit:

to purchase EUAs, there are a lot of service providers that can help you deal with it. Columbia Ship Management, our ship manager, has a very good set-up for this. As for the trading partners to buy credits from, there were a lot of options already, as many industries had already been trading EUAs, so we joined an infrastructure that was already established.”

For AAL, the main focus was on transparency. “I think we were the first in the breakbulk/project/MPV sector, for our liner service to Europe via the Middle East to Asia and also Asia to Europe, to introduce a fixed surcharge, making it very simple for customers to understand what this would actually mean. In effect, it adds about $3-$4 per freight tonne,” said Schoeller.

“It was important that customers knew where they were and that there were no surprises. So this was about making sure it is transparent and that it works internally for us.”

As an example, for a full ship of energy-related project cargo, AAL can “very simply show transparently how much it is going to cost the customer ” Were customers surprised by the new system? “EPCs or construction companies in Europe knew about it because they were likely subject to ETS already. Others were not aware – that’s why we needed to talk about it early. Asian shippers responsible for sea freight to Europe might not have been aware of it.”

Generally, the UN SDGs, decarbonization and sustainability are very current topics anyway, Schoeller said, “so there was plenty of opportunity, throughout 2023, to discuss this with our customers, so when they saw ETS charges on their invoices, it wasn’t a surprise. Everyone understood why it is being done, so there was very little pushback.”

As a general trend, major companies want to track their carbon footprint for their entire supply chain, he added. “This is just becoming a more present topic that you have to deal with.”

AAL operates a fleet of 22 ships and has six newbuildings on order, with four of these to be delivered this year. The newbuilds are equipped with the latest technology, which will automatically help to reduce ETS liabilities because of their lower emissions, said Schoeller.

“They are dual fuel, methanol ready; in a few years they will run on methanol in certain areas and trades. Shipbuilding technology has moved on and ships already consume a lot less fuel than traditional ships. Our flagships are between 26,000 and 32,000 dwt, so they have a good carbon footprint because they are larger and can take more cargo.

“With the new ships, there will be a significant reduction in emissions even with conventional fuel, and once they are operating with methanol there will be an even more substantial reduction.”

ESG and sustainability remain very important for AAL and the wider sector,

he added. “We are already looking at our next newbuilding program, for the end of the decade – hopefully we can push emissions even lower.”

Customer Transparency

Sören Bibow, CFO of Harren Group and managing director of SAL Heavy Lift, set the scene by noting: “CO2 reduction goes strongly along with fuel saving. This has been an ongoing process in the company for years and would go on irrespective of EUA trading.

“However, as an operator of an owned fleet and booking cargo directly with clients, the EUAs are fully our responsibility. It was quite a project ensuring the correct measures and price mechanisms to offer our clients a customerorientated transparent pricing.”

He divided the ETS topic into parts. First, technical. “You measure your systems on board and work with your external auditors to verify the CO2 consumption. Then you allocate the CO2 consumption of the individual cargo and destinations, amend charter parties, set up trading accounts, etc., to a transparent and fair market price. SAL worked well ahead of the deadline, putting the necessary infrastructure in place and reorganizing teams in-house to be live with the starting point 1 January 2024.”

Smaller and medium shipping companies outside the EU prepared nothing, he said, and at the start

31,000 DWT HL MPV AAL Kembla loading a cargo of renewable energy transformer units in Hamburg, destined for the Far East. Credit: AAL Shipping

Sören Bibow

most firms were not able to open any accounts to buy EUAs. “At the end of February 2024, the EU informed the companies about the country where they have to open accounts, but this will take quite some time. Until this is finalized, they are fully exposed to price changes.”

He pointed out that the EUA price at the beginning of the year was about €75. It dropped to €50, then by mid-March was up to €60. “So there is a lot of volatility. The risk is that a company could calculate ETS costs based on €60 but end up paying €100 per EUA later down the line.”

Emissions data must be recorded, verified and reported for every ship calling at an EU port, and EUAs – carbon credits – purchased. The first bills, when EUAs are surrendered, must be paid by September 2025 for emissions reported this year. The system is being phased in, with 40 percent of emissions covered by EUAs this year; 70 percent in 2025; and 100 percent from 2027.

Port choices matter. EUAs must be purchased for 100 percent of emissions from voyages between EU ports, or 50 percent for voyages between an EU and non-EU port.

There has been much talk about the possible unintended consequences of the EU ETS. In container shipping, there was speculation about whether ships might reorder their routes to call at transshipment hubs just outside the EU, to avoid the 100 percent levy. However, the European Commission, late in 2023, announced that Tanger Med and East Port Said would be fully included in the ETS regime. Since then, the crisis in the Red Sea, with ships diverting around the Cape of Good Hope, has changed all preconceptions – and, of course, increased ETS liabilities due to the much longer voyages.

Cost Exposure

BBC Chartering said the Red Sea crisis had made the ETS more expensive because of the distances being covered. But in general, when it comes

to changing routes, there is not a lot to be achieved, the spokesperson said. “Certainly, reduced consumption helps to reduce exposure to costs, but only to a certain extent. Our experience is that many clients expect us to include the ETS-related costs in the freight rate, rather than paying a specifically mentioned ETS-surcharge.”

Inbound to Europe, Schoeller said AAL tries to minimize the ETS impact on a voyage as much as possible. As he pointed out, with ETS still discounted at present, the cost differences are not so great. “But when it goes to 100 percent, then routing will definitely adapt to the most economical way.”

Bibow said that SAL had taken time to consider the issues around port calls. “But in the multipurpose and heavy-lift markets, the routes are following the cargo and limiting the potential cost-saving optimization.”

In the end, he said, it makes sense to put a price on CO2 and that’s something that ties in with the ESG policies of Harren Group. “So the general idea behind the EUAs, I really agree on. For us, it is an administrative task and one of the many things we have to cope with. We all share the view that reducing CO2 emissions is very important. On the one hand, we might argue it’s a complicated way to do it. But I really believe that in a couple of years we will see the same, probably in a different way, measured by the U S

and China. The EU allowance trading is most likely the first step in many steps we will have to cope with.”

At BBC Chartering, the view was similar. “To be clear, the cause for this system is right and to be supported since we need to battle climate change,” he said. “Yet we think that the implementation for the shipping sector has not been thought through far enough and that the shipping industry should have been consulted more thoroughly beforehand.”

Schoeller described the overall response from customers to the ETS charges: “People are willing – they are not opposed to this. Consider a large hydrogen plant being built. The owner is a European energy company. The components come from a Western manufacturer. A European logistics company is involved. These are all players for whom ESG and the carbon footprint topic is very important. That’s why ETS credits and reports are very important for the whole value chain.”

He concluded: “Let’s hope the money is put to good use to reduce emissions. We hope the EU uses the money [from ETS} to support changing the energy mix.”

Felicity Landon is an award-winning freelance journalist specializing in the ports, shipping, transport and logistics sectors.

*Exhibitor at Breakbulk Europe, Visit: www.europe.breakbulk.com/home

SAL’s Lone leaving Emden, Germany. Credit: SAL

UKRAINE: TRADE CONTINUES

Ukraine War Rebuilding Must Wait but Project Cargo Remains Busy

Forwarders and breakbulk specialists report a roaring trade in both imports and exports for Ukraine, despite Russia’s invasion more than two years ago. Breakbulk spoke to Oksana Antipa, a Ukrainian national who fled when the war started and has recently joined Synex Logistics Group. A former key account executive for DB Schenker in Kyiv, she is now based in Gdynia as Synex branch manager for Poland.

“Ukraine is a huge country and the war means there’s massive demand for a long list of materials,” Antipa says. “Buildings are being re-built, factories are still operating,

AT BREAKBULK EUROPE…

Capacity & Contingency Planning: Maintaining an Agile Supply Chain (Main Stage)

Wednesday, 22 May 10:50 - 11:35

By Breakbulk Staff

agriculture continues, so there’s constant demand for raw materials.

“Life is going on, universities are working, children are going to school and people are trying to live a normal life. But the buses, trains and trams were ruined, so I get a lot of requests regarding this type of cargo, including brand new electric buses from China.”

In addition, Antipa says “huge volumes” of stainless steel rounds are being imported to Polish and Romanian ports, bound for Ukraine. Baltic Hub Container Terminal is a facility of choice for smaller shipments coming in on container vessels, while breakbulk ships usually call at Port Gdynia.

Ukraine’s exports, on the other hand, also remain strong, according to Antipa. These include more routine items such as grain, timber, lumber, honey, sunflower oil, fruit, vegetables and finished steel products, but also cargoes unique to Ukraine. “For example, Ukraine manufactures very interesting Sherp utility task vehicles that can be driven on the mountains and go in the water – they

are very unusual and are in demand in the USA, in Canada and worldwide.”

Antipa adds: “Nevertheless our primary task at the moment is imports, helping to get all the materials needed into Ukraine. We are working closely with our partner Dealex Transport in Ukraine, we support each other and have built a very good setup. Ukrainian freight forwarding companies are now asking for help, because we have the warehouses, special rates, special contracts for freight, and knowledge of the Romanian and Polish ports.”

While Odessa port remains officially closed to maritime traffic, Antipa says a “special corridor for small breakbulk vessels” exists to facilitate the import of critical cargoes such as building materials and stainless steel. “After the war, enormous projects will naturally come – not only rebuilding of houses, but relocation of factories, electricity projects and there will be even greater demand for equipment.”

Industry Recovery

Ongoing closure of Ukraine’s airspace means heavy-lift carrier Antonov Airlines is unable to carry out

domestic operations, though it says it has “partially relocated” the airline to Germany, thanks to established relations with Leipzig/Halle airport.

“There is also a base for operational work and aircraft maintenance,” says Dmytro Prosvirin, commercial director at Antonov. “In this way, we are able to continue working on international air routes, meeting the demand in the market of extra-heavy and oversized cargo. Five aircraft of the An-124-100 type make flights all over the world, except for areas where flights are restricted for security reasons.

“Part of the flights are carried out in the interests of Ukraine while the remaining shipments are project cargo, including satellites, turbines, gas and oil production equipment and generators, general cargo and missions under the Nato Salis program.”

The carrier’s base at Gostomel

airport on the outskirts of Kyiv suffered significant damage, though Prosvirin reports that repair works are underway. “Plans are being developed for the restoration and development of the airport after the end of hostilities in Ukraine,”

he adds. Turkish engineering firm Mabtec, for instance, intends to build a logistics and transportation hub at Gostomel, once Ukraine’s airspace is operational again.

In general, Antonov sees a recovery of logistics activity following the Covid-19 pandemic, with particularly strong demand from the industrial and energy sectors. “It is worth noting the increased interest from companies in the aerospace industry over the past 20 years, and we predict a further increase in the number of orders in this industry,” concludes Prosvirin.

Motoring On

From his office in Kovel, a city in north-west Ukraine close to the Polish border, the owner of heavy transport company Negabarit Service tells Breakbulk that a wide-scale rebuilding effort is still a distant prospect.

Dmytro Prosvirin

Antonov has “partially relocated” to Germany, thanks to established relations with Leipzig/Halle airport. Credit: Antonov

Europe

Despite the war, Ukrainian heavy hauler Negabarit Service has invested more than €12 million in new equipment.

Credit: Negabarit Service

“At the moment, Ukraine is maintaining its state more than rebuilding, especially considering the destruction of energy facilities, ports and infrastructure, houses and roads,” says Oleg Kozel. Notwithstanding the war, Negabarit is busy and has continued to invest in equipment.

Established in 2002, the family firm has more than 150 trucks and more than 180 trailers in its fleet.

“Our company is involved in the delivery of construction equipment and energy equipment for infrastructure facilities,” Kozel explains. “We deliver a lot of different vehicles, including buses, trams, trolleybuses, trucks for cities, especially in frontline areas.

“Despite the difficult times and the war, several factories were also built in Ukraine, so we are involved

in the transportation of equipment from the ports of Romania, Poland, Germany, and Belgium. Of course, we also transport a lot of humanitarian equipment to support cities and towns with critical infrastructure.”

Like many Ukrainian companies, Negabarit has been affected by personnel shortages. “Many workers went to war from the beginning of the invasion, including our logistics manager Ivan Trofimuk, who participated in the Breakbulk exhibition in 2021 in Bremen, as well as many drivers and other workers,” the company director says.

“Of course, it affects our work when professional people leave us for a while, but we encourage and support these people in every way. The risk that some of our employees will join the army is

always present, but we are quite positive about it and are ready to adapt to such conditions. Despite all the risks, our company invested more than 12 million euros in new equipment during the war.”

Turning to future opportunities, when the war finally ends, Kozel says: “As everyone knows, our country did not have high-quality road infrastructure or bridges to begin with, so this will require significant updating. We should also not forget about green energy – we have a large country, so this is a promising direction.

“Even during the war, Ukraine was able to survive without Russian gas and oil and significantly develop the extraction of its minerals, therefore this market is also quite promising.”

*Exhibitor at Breakbulk Europe Register at: europe.breakbulk.com

ON THE ROAD TO SUCCESS

Motorcycle Fan Ruediger Fromm’s Journey From Apprentice Forwarder to Head of Logistics at Siemens Energy

It’s been a long road for keen biker Ruediger Fromm, who began his career as a humble apprentice but is now responsible for global end-to-end project logistics at Siemens Energy

Fromm has been with Siemens and its subsidiary for about 16 years, working his way up to his current position (officially, Head of Logistics Project Entity, Siemens Energy).

Based in Erlangen, Germany, Fromm says he is now an “old man” at 52. The divorced father-of-two –he has a 22-year-old daughter and

AT BREAKBULK EUROPE…

A Circle of Possibilities:

19 year-old son – holds degrees in economics, transport management and engineering, and is a member of the advisory board for Breakbulk Europe.

Fromm was born and grew up in Luebeck, northern Germany. After he left school, he had planned to be a teacher, before deciding to switch to project logistics. “Starting from scratch, my initial plan was to teach apprentices in the shipping sector – economics, engineering and that kind of thing. But then I applied for an apprenticeship with a heavy-llift trucking freight forwarding agent because that was a prerequisite for teaching in this field.”

His first job was with Otto Longuet GmbH & Co. in Luebeck, where he trained as a Speditionskaufmann or forwarding agent, from 1992-1994.

Wednesday, May 22 11:45 - 12:30

Fromm recalls: “The manager who hired me told me, ‘Ruediger, you will do your apprenticeship here in my company and then you will go to Bremerhaven and study transport economics and engineering there, and then you will be ready to make a career in the heavy-lift business.’

By Jeremy Bowden

To be honest, before that, I had no clue about logistics or heavy-lift. So, I said ‘okay’, and from there everything went like clockwork.”

He attended Bremerhaven University of Applied Sciences, gaining a DiplomWirtschaftsingenieur (graduate industrial engineer) in business administration and engineering, and transport management and engineering between 1994 and 1997.

“After I completed my studies at Bremerhaven, I started with several positions in heavy-lift and project logistics companies,” Fromm recalls. “By then any thought of teaching apprenticeships was behind me, although when you are a manager and responsible for people, you are also a sort of teacher. In fact, sometimes it feels like a kindergarten – but that’s the normal life for a manager, I think!”

His first job after leaving university was as a technical expert with C. Gielisch GmbH in Stuttgart, and by 2006 he reached the position of managing director at Felbermayr Deutschland GmbH in Hilden, before moving to Siemens.

Career Challenges

As far as challenges are concerned, Fromm says there are many in his role, but perhaps one above all: “How to say this in a diplomatic way –when the coach of the national soccer team does something wrong, then you have 50 million head coaches who know better – it’s the same in the UK as in Germany.

“With a company like Siemens or Siemens Energy, it’s sometimes a bit like that, everybody else seems to think they know more about logistics than you do. Siemens is not a

logistics company, obviously, we are an engineering company producing great products – and logistics is a function.

“But if something goes wrong then everybody knows better! Perhaps the most challenging thing is explaining to colleagues what the dimensions and constraints of logistics are – sometimes it’s fun, sometimes not so fun.

“I realize quickly if there’s someone that I’m talking to who is unaware of these dynamics, from the way he or she is asking questions. Sometimes people need to be informed of the basics associated with moving such large and complex pieces of equipment – for example, a generator bus, which weighs 300 tonnes or more. We are not in the parcel business; it is a much bigger business.”

Ruediger’s successful career is evidence that he has earned the trust of his colleagues. “It helps that I worked for heavy-lift companies – the other side of the desk from now.

I can contribute with my market knowledge and the network I have, and of course my operational know-how and experience – I know what a heavy-lift configuration looks like and how it functions and so on.”

Complex Projects

He said that each and every job was complex, so it was hard to pick the most challenging. “We have one project right now that is still ongoing, but it is somehow related to the war in Ukraine so I can’t talk about it – a pity not to be able to. There was also a tough project in Brazil where we had to deliver big transformers more or less to the middle of the Amazon rainforest. And also in Africa, where it’s quite often a challenge – we have big projects in Kenya and Ethiopia.

“And to be honest, more and more the European projects are becoming more complex, harder and more challenging generally – partly due to erosion of the infrastructure. Previously we would have a plan A and at least a plan B, and many times a plan C and D. But nowadays it’s even difficult to find a plan A or to make the job feasible.”

He said this was caused not only by infrastructure issues, but also by challenges arising from climate change. For example: “Bridges are becoming weaker – in Germany there are new requirements regarding aesthetic analysis of bridges, which makes them more expensive and complicated. In the wind business, fast-rising demand means a shortage of heavy-lift equipment, and with one wind turbine

needing at least 10-15 transports, coordinating is getting tougher.

“Climate change means inland waterways, which we use whenever possible, are less predictable. Projects are not as easily planned as before because you have high waters in times when they are normally low, and the other way around as well. It seems everything is in motion right now, and we have to be more flexible and agile to adapt to new requirements and situations.”

Fromm said regulation was less of an issue as “everyone has to deal with it,” and permits were normally forthcoming once a project had been approved. “It’s not an advantage for one company over another – so it doesn’t really hinder our business, at least in the transportation

of the goods. To build a power plant, of course, many permissions are needed, but if permission is issued to build a power plant, then it would be crazy not to get a permit for transportation – authorities are collaborative once planning has been approved.”

Outside Europe, in Africa and South America, he said logistics was improving – “There is a business case now, so companies are investing in equipment in these regions and facilities are steadily improving over time.”

Keeping Calm Under Pressure

For Fromm, the best way to deal with an often high-pressure work environment is to always trust that there will be a solution. “Sometimes you cannot get a fix straight away – if you have a thin skin and quickly become stressed then it’s not the right job for you. You need to count, turn around and think about it –sooner or later there will be a solution.”

In his spare time, Fromm likes to ride a motorcycle to relax. “That’s my way of meditation, for one or two hours after a stressful day, then I’m relaxed again because I have to concentrate on the road.” He brushes off any safety concerns. “Yes, everything is dangerous, but you can reduce this by riding in the right way. I’m not a racer, but sometimes it is fun to drive a bit faster!”

Looking ahead, Fromm believes that, technically, little is likely to change in the sector, although increased digitization will make a difference. “We still have to move things using heavy lift vessels by sea, road or rail, so technically not that much will change in the future. You cannot beam a cargo from A to B!

“I think via digitization we should gain more transparency through data to find more opportunities to work smarter – becoming more effective by bundling more shipments and so on. But in the end, I think software will definitely not take over our business. In the end, it’s still mechanics.”

He suggests that in the future, companies will have increasingly diverse

Riding a motorcycle is Fromm’s favorite way to de-stress. Credit: Ruediger Fromm

Credit: Ruediger Fromm

supply chains, which could make his job more complicated. “In the past, almost everything came from China or Asia to Europe, but in the future more of a mix from Europe, the Americas and Asia. For us in logistics this could make it more complex, at least in the tender stage when we do not know which continent the components will come from. How to calculate contract budgets for this type of situation could become more of a challenge.”

Summing up, Fromm returns to the football analogy. “I’m convinced working in the area of project logistics is like playing in the Champions League because it contains all transport modes and all parts of the logistics business.

“So when you’re building a power plant, you not only have all the really heavy stuff, but also the tiny screws and widgets, and all the timing and storage considerations – altogether, it’s one of the most challenging disciplines.”

Jeremy Bowden is a freelance journalist, researcher and analyst, specializing in energy matters with a focus on the energy transition.

*Siemens Energy is a member of the Breakbulk Global Shipper Network. Visit: europe.breakbulk.com/page/bgsn

“... PREVIOUSLY WE WOULD HAVE A PLAN A AND AT LEAST A PLAN B, AND MANY TIMES A PLAN C AND D. BUT NOWADAYS IT’S EVEN DIFFICULT TO FIND A PLAN A OR TO MAKE THE JOB FEASIBLE.”

Four pieces of advice from energy logistics leader Ruediger Fromm:

1. Make sure all your non-logistics colleagues understand the scale, limitations and dynamics of heavy-lift operations.

2. It is important to maintain flexibility and agility in logistics operations, especially to overcome the growing challenges of aging infrastructure and climate change

3. Stay calm and always trust that the team will find a solution

4. Use digitization and software to improve efficiency and work smarter

CEC FUTURE HIJACKING: LOGISTICS TO THE RESCUE

Minimizing the impact of disaster

On November 7, 2008, I was happily attending a family lunch in Singapore when I received a phone call advising that the 15,000 tons of steel plate that was specially manufactured in Austria for the construction of an offshore oil and gas platform in Batam, Indonesia, and loaded on the MV CEC Future, had been hijacked near Somalia.

My phone immediately started “running hot” with questions from the project manager, engineers and procurement personnel asking the obvious: “How long will the pirates hold the vessel?” This, of course, was an impossible question to answer with any semblance of certainty, so I set out to decipher what actually happened and establish a timeline for the vessel’s release.

“According to a statement of facts presented to the court, Ibrahim and

other Somalis were armed with AK 47s, a rocket-propelled grenade, and handguns when they attacked and seized the vessel,” the Captain reported. “The ship is owned by Clipper Group, a Danish company, and contained cargo belonging to a Texas-based company.”

By Murray Cooper

To minimize construction downtime, we formed a task force to source steel plate from steel stockists and steel mills that had the production capacity to meet our requirements, and have the deliveries made to the Batam fabrication yard as soon as possible.

My role was to coordinate and align communications with all of the supply chain stakeholders. The steel mill in Austria was able to reschedule their production line to supply 80 percent of the steel plate required with the balance coming from several other sources.

After renegotiating vessel charters with armed security guards to ensure a safe passage through the Gulf of Aden and finalizing the loadout plan, I traveled to Austria to coordinate the interface between our project team and the steel mill’s customer service and logistics team member.

Murray Cooper

I must say that I was extremely impressed with the precision planning and shipment execution program that the steel mill had implemented. The steel plate was loaded by overhead gantry cranes in the steel mill’s dispatch area directly onto barges and then barged down the Rhine River system

to the Port of Rotterdam, where the cargo was efficiently moved from the barges to a charter vessel.

The second shipment departed Rotterdam about 90 days later than the original shipment and arrived at Batam without incident.

The original shipment arrived on the

MV CEC Future into Batam about nine months behind schedule and apart from a severe financial blowout, including a US$1.7 million ransom payment, all of the crew on the MV CEC Future were released unharmed by the pirates who were later arrested and sentenced to jail time in the United States. This incident subsequently became the inspiration for the 2012 Danish movie, A Hijacking. Available to stream on Apple TV, Amazon Prime and YouTube.

Murray Cooper is the director of corporate governance for LV Group and formerly Senior Manager Global Logistics & Trade Compliance for McDermott International. His career path involves logistics assignments both as a shipper and a project logistics service provider.

By Malcolm Ramsay

CASE STUDY: ENDEAVOUR MAKES FINAL

Local Logistics Knowledge Secures Space Shuttle Project for Bragg Companies

In the annals of aerospace history, few spacecraft have the same iconic status as the shuttle Endeavour. First launched in 1992, the shuttle served NASA for nearly 20 years and completed 25 missions before being retired in 2011. Its final voyage was not through the cosmos, however, but across Exposition Park in Los Angeles, as part of a monumental breakbulk move to deliver the vessel to the California Space Center.

An essential part of this project was heavy-lift specialist Bragg Companies which coordinated the complex move to the final site in South Central Los Angeles. Dennis Jenkins, project director at the space center, explains: “We wanted a single contract for both the move and lift to ensure seamless coordination between the operations. The Foundation elected Bragg after an extensive competitive search that included each bidder producing preliminary move and lift plans.”

A pre-construction contract for the project was signed in early 2022, with preparatory work lasting nearly two years. During this phase, the project team worked diligently to ensure that all aspects were carefully coordinated and in early 2024 the final set of the Endeavour was completed, marking the end of construction and the beginning of a new chapter for the spacecraft.

President and CEO of Bragg Companies, Scott Bragg reflected on the effort involved, noting that “when a job is as high-profile as this and has such a high level of public interest, safety and execution must be at their highest level. For Bragg, this is how we operate on all of our jobs. We are glad

to be part of a historic project here in our home of Southern California.”

This local insight proved vital, with Jenkins noting that a key reason for selecting Bragg for the project was their deep knowledge of local logistics.

smooth transportation. Again, the Liebherr 1750/2 and Liebherr LTM1160 were deployed. A large dirt ramp was constructed in anticipation of the tank’s journey down State Drive to its final destination.

By Malcolm Ramsay

Real-life Launch Position

The historical significance of the cargo demanded a careful approach, with every stage requiring meticulous planning and delicate handling. Justin Lambert, general manager at Bragg Companies, explains: “The scope was to stack all real flight certified components of the Endeavour to simulate a real- life ‘launch position’ in a new building called the Samuel Oschin Air and Space Center.”

This new building is the latest stage of a phased expansion of the science center and as such was not fully built when the project took place. The team therefore had to deliver all flight components and position in a ‘stacked’ configuration, with the remainder of the building to be erected around the modeled launch.

The process commenced with the transport of the AFT Skirts and Solid Rocket Motors (SRMs) from Mojave, California, to the job site in Los Angeles. For both of these moves, the team used a 825-ton capacity Liebherr 1750/2 crawler crane, while the SRMs required an additional 190-ton Liebherr LTM-1160 hydraulic crane. Once on-site, these components were lifted and set into place, laying the groundwork for subsequent phases.

The next stage focused on the External Tank (ET), requiring meticulous preparation to ensure

JOURNEY WITH BRAGG

Utilizing an Enerpac 110 Ton Cube Jack System, the ET was carefully jacked up before being relocated using SelfPropelled Modular Transporters (SPMTs). This intricate process ensured the safe and precise positioning of the tank.

The culmination of the move centered on the relocation of the Endeavour itself, which required the use of three cranes: the Liebherr 1750/2 and Liebherr LTM-1160, as well as a 500-ton Liebherr LTM-1400 hydraulic crane. This involved a series of meticulous steps, including the preparation of a large ramp for the shuttle’s removal from the California Science Center Pavilion Building. After being carefully detached from its existing Base Isolators, the shuttle was raised to the proper elevation using the Enerpac jack system.

Specialized Frames

The shuttle was then lifted over 10 feet using the Enerpac system to facilitate the placement of specialized transportation frames before embarking

on its final journey to the Samuel Oschin Air and Space Center building, where it was lifted, upended and set into place using the Liebherr 1750 crawler crane.

Bragg demonstrated its engineering expertise by custom designing and fabricating the two large lifting frames specifically tailored to the Endeavour shuttle. The frames, attached to the saddles already affixed to the shuttle, enabled Bragg to safely execute the jacking sequence while maintaining absolute control and ensuring level alignment both horizontally and longitudinally.

“Once the unit was clear and on State Drive, it was then jacked back down off the Transportation Frames using the Enerpac 110 Ton Cube Jack System and transported down the remaining portion of State Drive on our company owned SPMTs in preparation for rigging and final set,” Lambert explains.

Across all the moves a variety of rigging gear was used, one notable component being a large yellow

vertical sling, refurbished by Bragg Companies in collaboration with the California Science Center Foundation. This specialized sling, the same one used for 30 years of flight operations at the Kennedy Space Center, was instrumental in the lifting, upending, and precise positioning of the Endeavour, showcasing the attention to detail and commitment to historical accuracy.

In addition to the vertical sling, the relocation effort benefited from the utilization of a 250-ton Hydra-set, on loan from NASA for this historic event. This sophisticated rigging equipment facilitated the setting of Endeavour with remarkable precision, allowing for incremental vertical and rotational movements via separate controls of the crane. This level of control was essential in achieving the tight tolerance alignment of the shuttle’s mating points, underscoring Bragg’s dedication to seamless integration.

“Some of the hardware had been transferred from NASA to the

Welders work on the structure. Credit: Bragg Companies

Foundation while other pieces were on loan from NASA,” Jenkins adds. “Science Center consultants (former space shuttle processing personnel) were responsible for the actual rigging to the flight vehicles and for defining the technical specifications for theme and lift operations, with Bragg handling the actual transport and lift under the direction of the Foundation Move Director.”

Overcoming Challenges

Finally, Bragg leveraged its own 200-ton J&R Engineering Hydraulic Power Rotator to facilitate the precise positioning of the External Tank (ET) between the Solid Rocket Boosters (SRBs) and the scaffold. This compact yet powerful rotator enabled Bragg to incrementally rotate the ET tank into position, further enhancing the tight tolerance alignment of the mating points.

Overcoming challenges was integral to the project’s success and Lambert reflected on the most daunting aspects of the installation, citing the intricate rigging required for attaching the ET

and Endeavour as particularly difficult. “Most challenging part of the stack was attaching the ET and the Endeavour,” Lambert noted, highlighting the tight tolerances and delicate maneuvering required for a successful installation.

As the shuttle Endeavour takes its place in the Samuel Oschin Air and Space Center, it serves not only as a symbol of human ingenuity and exploration but also stands as a testament to the breakbulk

achievements of Bragg Companies, the California Science Center, and all involved, inspiring future generations to reach new heights.

“This high-profile job of hauling the Endeavour was a great honor,” concluded Scott Bragg.

Based in the UK, Malcolm Ramsay has a background in business analysis and technology writing, with an emphasis on transportation and ports.

Endeavour installed in ‘launch’ position. Credit: Bragg Companies

The Samuel Oschin Air and Space Center. Credit: Bragg Companies

FIGHTING CYBER THREATS AT AMERICA’S PORTS

As Port Cyber Defense Ramps Up, Non-Adversarial Port Machinery Manufacturers May Win in the Short Term

By Lori Musser

Cranes and drones, forklifts and fleet cars – almost any hard asset deployed by seaports or terminal operators can be infected with malicious code thanks to everpresent software. It can happen during manufacture or after deployment.

U.S. seaports have expressed concern and take their role in preserving national security seriously, but they must balance risk with economic responsibility.

Ensuring a seamless, efficient and cost-effective flow of cargo to “deliver prosperity” is, after all, a top priority, according to the American Association of Port Authorities.

That means nobody expects to see a wholesale replacement of multi-

million dollar cranes, equipment, operating software and other technology at America’s seaports, even if the tech was purchased from or assembled in a country that the U.S. now deems adversarial. The cost would be prohibitive in most cases. The riveting sight of behemoth cranes traversing oceans on heavylift vessels is not going away.

There are more cost-effective ways to manage cyber threats related to existing port assets and the U.S. is determined to ensure that new hard assets and software brought into seaports and the marine transportation system in general, do not inadvertently introduce more cyber threats.

An Ounce of Prevention

Regardless of the national origin of existing or new terminal equipment, software and infrastructure at America’s seaports, the federal government has upped its role in managing the related cyber risk.

On February 21, 2024, President Biden signed two executive orders. The first clearly addressed cyber threats: Amending Regulations Relating to the Safeguarding of Vessels, Harbors, Ports, and Waterfront Facilities of the United States, updating Title 33, Code of Federal Regulations, Part 6 . The second expanded authorities for the United States Coast Guard, or USCG, to protect the nation’s

Cranes delivered to Port Everglades meet rigid specifications and multi-layered security approval processes.

Credit: Port Everglades

These announcements ensure “Coast Guard authorities are aligned with emerging cybersecurity threats, and reflects the commitment … to safeguard maritime critical infrastructure,” according to Rear Admiral Wayne Arguin, Coast Guard Assistant Commandant for Prevention Policy, in the Coast Guard’s maritime professionals blog of February 22, 2024.

On the same day, the Coast Guard published proposed updates to cybersecurity requirements for certain U.S.-flagged vessels, ports and other marine transportation facilities. Comments relating to reportable cyber incidents and reporting of such incidents were due April 22, 2024.

The U.S. Coast Guard now has Cyber Protection Teams that work with local Coast Guard units, ports and terminal operators, among others, evaluating system security and investigating incidents.

The USCG is ramping up cyber defense in the country’s maritime transportation systems with an influx of 1,200 new Marine Science Technicians – cyber spotters.

Pre-emptive Action

Ports typically rely on competitive bidding with precise specifications to purchase new cranes and other highdollar assets - specifications that can and often do name countries of origin and manufacture. Ports and terminal operators may have preferences for operational reasons. It may make sense, for instance, to stick to a single manufacturer of a particular crane, to streamline maintenance and minimize workforce re-training.

Glenn Wiltshire is the acting port director for Port Everglades.

In a recent purchase of a series of ship-to-shore cranes, the port’s specifications included requirements related to software and security, brands and country of origin.

“When we started the purchasing process in 2017, we worked with Liftec as our crane consultant and developed a detailed component list. We named brands. It was more for consistency with systems we already had in an existing crane,” said Wiltshire.

The Chinese firm ZPMC was selected. While the port didn’t anticipate an issue with Chinesemade crane management software at the start of this multi-year procurement, it had specifically requested the Toshiba MitsubishiElectric Industrial Systems Corporation (TMEIC) crane automation system, a Japanese product.

Port Everglades was ahead of the curve. It had already specified TMEIC, a non-Chinese component/system. Moreover, multiple levels of security oversight, including port, county, state and federal, were already in place. “New cranes [and other equipment] are scrutinized. We look at layers of protection, firewalls and other measures, and add additional layers when needed,” Wiltshire added.

With new regulations looming, Wiltshire says the port is in a good position, but will further ramp up protective measures.

Real Threats

Of course, ports may prefer or be required to limit sourcing for national security purposes, or for U.S. federal grant funding eligibility. Many grants come with domestic content preferences known as Build American, Buy American, or BABA.

That proved fortuitous. In February 2024, a U.S. Maritime Security Directive was issued related to China-manufactured ship-to-shore cranes and their operating software. Owners and operators of certain critical port infrastructure are now required to take immediate steps to close vulnerabilities and mitigate unsatisfactory cyber conditions posed by the prevalence of Chinamanufactured STS cranes in the U.S. and the threat of disruption to U.S. critical infrastructure.

China-manufactured ship-to-shore cranes comprise the majority of the global market and about 80 percent of those in use in the U.S. Because they can be controlled, serviced and programmed remotely, these types of cranes are vulnerable to exploitation, which threatens the maritime elements of the national transportation system, according to the USCG. Marine and port cyber threats are surging, with more sophisticated perpetrators trying new ways to disrupt systems in U.S. vessels, shipyards, waterways and port facilities, the USCG reports. Its recently released 2023 Cyber Trends and Insights in the Marine Environment reported “an uptick in nation-state actors targeting critical U.S. infrastructure,” including the Marine Transportation System (MTS).

The report said incursions by China-sponsored VOLT TYPHOON, “a group seeking to hack into U.S. infrastructure systems using network-facing devices,” in part triggered the February 2024 cyber executive order.

Rear Adm. John C. Vann is commander Coast Guard Cyber. He said, in an April 1, 2024 MyCG update, “As stewards of maritime trade, it is our collective responsibility to safeguard our ports and marine transportation system against malicious cyber activity.

Glenn Wiltshire

maritime infrastructure.” He noted the potential for financial losses and “cascading effects on global economies” following cyber attacks on American port infrastructure.

The cyber trends report noted that ransomware attacks increased 80 percent in 2023, with more sophisticated perpetrators and higher requested ransoms, and that shipping lines and service providers, liquid natural gas processors and distributors, and petrochemical companies are common targets.

One of the nation’s weak spots was identified as network-connected operating technology in port facilities because they often “rely on outdated software and network protocols, and have insufficient access controls.”

Regulations are forthcoming that will allow the Coast Guard to require vessels and waterfront facilities to mitigate cyber incidents that could cause harm.

Invigorating American Production

Of course, using more American-made assets at America’s ports and terminals might make it easier to safeguard national security. Unfortunately, that dog won’t hunt – not today. Very little in the way of maritime cranes and equipment, or even software – especially the increasingly preferred zero-emissions types – is made or assembled in America.

There are, however, a number of prominent European-based manufacturers, including those who specialize in the highly desirable zero-emissions technology.

In a recent letter expressing support for the EPA’s proposed waiver of Build America, Buy America requirements for Clean Ports grant funding, the American Association of Port Authorities, or AAPA, documented preliminary research on the domestic market

of zero-emissions port equipment manufacturers. They reported a paucity of domestic manufacturers.

In its letter, the AAPA underscored the importance of the EPA adopting the proposed BABA waiver. There simply isn’t enough domestic production, though there are broad federal broad plans to invigorate this type of manufacturing.

In the meantime, ports and terminal operators continue to buy cranes and equipment globally, and along

Zero-Emissions Port Equipment Manufacturers: A Scarcity of U.S. Suppliers

Ship-to-shore cranes

Rubber tire gantry cranes (RTGs)

Rail-mounted gantry cranes

Straddle carriers/shuttle trucks

Mobile harbor cranes

Reach Stackers

Loaded container handlers/top picks, equipment container handlers

Yard tractors

Drayage trucks

None

Mijack (pilot demonstrations)

None

None

None

Taylor Machine Works

Taylor Machine Works

Orange EV, TICO, Taylor Machine Works by 2025

Nikola, Kenworth, Toyota Forklifts

Locomotives and railcar movers

Harbor craft

Shore power cable management systems

Source: AAPA

Taylor Machine Works, Liebherr, Hyster

Shuttlewagon

None

None

Port of Galveston grounded its own fleet of Chinese-manufactured drones “to get ahead of potential threats”. Credit: Ports America

with that, deploy strategies to ensure that all new assets that arrive on American soil are free of malicious technology and stay that way.

Grounded Espionage Drones

American concerns are not limited to ground-based assets and software. For example, over the last decade, there have been widespread reports of drones being used for hacking and interception of information.

In 2019, the U.S. Department of Homeland Security expressed particular concern over Chinesemade drones and by early 2020 the U.S. government had grounded hundreds of drones.

Brett Milutin is executive deputy port director at the Port of Galveston. Like other organizations across the country, the port, in an abundance

of caution, disrupted its own fleet of Chinese-manufactured drones. Milutin said: “We had no evidence whatsoever, but when issues came to light [elsewhere] the port was proactive. We wanted to get ahead of potential threats, so we grounded our fleet.” In the case of drones, while it was difficult to find replacements, the investment was far less than that associated with replacing, for example, port cranes.

In late December 2023, the Biden Administration signed into law the American Security Drone Act as part of the National Defense Authorization Act for 2024. There is now a full ban on using drones (at the federal level) made in China, Russia, Iran and North Korea.

What Is in Store

evolution. While these systems improve seaport and marine transportation systems operations and efficiency, they also introduce new and challenging threats.

Those supply chain members involved in procuring and delivering port and terminal cranes and equipment have a rosy future ahead, sustained by large-scale U.S. federal funding programs. However, sourcing may shift in the long term, with domestic production capacity receiving new federal support. Where U.S. manufacturing falls short, production in non-adversarial countries may find new opportunities.

Based in the U.S., Lori Musser is a veteran shipping industry writer.

The maritime industry is evolving at a record pace. Cyber-connected systems figure prominently in that *Breakbulk Americas exhibitor

THE CHAIN OF POWER GENERATION, VALUE PROPOSITION AND EVP

By Dea Chincuanco

Combating ‘Diversity Fatigue’ Is Key to Creating a Truly Inclusive Workplace

The ever-growing global demand for power, driven by both the massive energy consumption of progressive nations and the projected growth of emerging markets, underscores the importance of sustainable power generation, as highlighted in the IEA World Energy Outlook 2021.

To meet the evolving needs of the marketplace, innovative solutions for power generation and emissions reduction have received substantial economic and political inputs, while energy companies have responded by updating (if not innovating) their value propositions, investing in power generating technology, generative AI capabilities, acquisitions, organizational restructuring, and assets – all of which require financing. These inputs for increased productivity are normative, but is the same true for Employee Value Proposition (EVP)?

Although the immediate concerns of the Great Resignation may have eased post-pandemic, talent acquisition and retention remain one of the greatest resource inputs in

AT BREAKBULK EUROPE…

Women in Breakbulk –Building Leaders From the Inside: A Practical Guide to Mentorship (Main Stage)

Wednesday, 22 May 16:00 - 16:45

Sponsored by dship Carriers

profitability. While this concept is not novel, it warrants closer examination. Are material incentives truly equitable? Is there alignment between organizational values and the actions of leadership? Ultimately, is EVP a checkbox or a genuine priority?

Undoubtedly, profitability is essential for corporations to thrive and sustain themselves. Material offerings are a single aspect to consider in achieving (leveled) parity, but it is predominantly the corporate values that lead to its structure – a structure fostering professional growth and providing opportunities within revenue generating divisions, potentially leading to advancement into senior leadership and the C-suite.

A recent piece in the Wall Street Journal titled “Women Aren’t Getting the Big Jobs at Goldman Sachs, and They’re Heading for the Exits” was thought-provoking yet laced with typical criticism. It described how professional women advancing into leadership often find their roles limited to non-revenue-generating functions, hindering their potential for growth into C-suite positions.

Moreover, it pointed out instances where the few women who did progress faced challenges, as some top leaders would undermine their capability in board meetings or public arenas, making it difficult to envision them leading at a higher level.

This reality is further underscored by a forecast presented at the World Economic Forum’s Davos Agenda in January 2023, indicating that “It will take 155 years to reach gender parity in the Political Empowerment

Dea Chincuanco

subindex of the World Economic Forum’s Global Gender Gap Report.”

To move the needle today for a better tomorrow, it is essential to remain vigilant against Diversity, Equity and Inclusion (D&EI) fatigue. Engaging with organizations such as Catalyst, founded in 1962, and participating in Catalyst’s Men Advocating Real Change (MARC) initiative can have significant impact.

Enbridge, the Canadian multinational pipeline and energy company, was honored with a Catalyst award in 2022 for their diversity dashboard, which fosters transparency with both internal and external stakeholders.

Mobilizing measuring tools in ethical business practices such as those provided by Ethisphere, which aims to advance the standards of ethical business practice, enables professional leaders to be more conscientious and strategic in their long-term planning towards a brighter future for all.

Dea Chincuanco is president of dship Carriers Americas.

PHILIPPINES EMBRACES WINDS OF CHANGE

AT BREAKBULK EUROPE…

What’s Next for the Energy Transition Market? (Main Stage)

Thursday, 23 May

10:50 - 11:35

WPoised to Be a Significant Renewable Energy Market in Asia

By Thomas Timlen

ould-be regional leader the Philippines has the ambition to increase the share of renewable energy in its energy mix to 35 percent by 2030 and to 50 percent by 2040, up from the current share of 20 percent.

In pursuit of these goals in the coming years, suppliers of project cargo transportation services stand to benefit from a steady stream of opportunities,

not limited to the movement of onshore and offshore turbine components, but also from ongoing initiatives to enhance and expand the nation’s transportation and energy infrastructure.

Among ASEAN countries, the Philippines is well positioned to continue its renewable energy journey, as Janna E. Smith, a researcher at Global Energy Monitor tells Breakbulk

Royal Cargo remote transport operation of turbine blade.

Credit: Royal Cargo

“Global Energy Monitor’s Global Solar and Wind Power Trackers have cataloged more than 3 GW of operating utility-scale solar and wind capacity in the Philippines, the third largest capacity among ASEAN countries. The Philippines is also the eighth largest in the world for total prospective utilityscale solar and wind capacity combined, with 99 GW in either announced, preconstruction, or construction phases.”

The Philippines has achieved notable progress in the past in its pursuit of enhancing sustainable energy, despite the challenges posed by its terrain and infrastructure limitations. Looking ahead, the same innovations adapted to overcome past challenges will play a role in the further expansion work that lies ahead. Dimerco Express’ Director of Ocean Freight, Dick Jimenez, briefed Breakbulk on approaches that have proven useful.

Physical Challenges

“In light of the Philippines’ wind power initiatives driven by the government’s commitment to cleaner energy sources, the movement of this project cargo presents both challenges and innovative solutions within the country’s diverse landscape,” said Jimenez.

“Given the archipelagic nature of the Philippines with numerous islands, mountainous terrains and remote locations where wind power projects are often situated, transporting project cargo poses logistical complexities. However, the use of modern equipment

allows the delivery of oversized cargo, despite these challenges.”

He added: “In regions like Visayas, where large-scale wind power projects are prevalent, options such as roll-on/ roll-off ships and chartered vessels cater to the transportation needs of sizable cargo. Additionally, the deployment of barges facilitates cargo delivery to remote islands.

“In Luzon, a key region for industrial and infrastructure development, the transportation of heavy and oversized cargo is facilitated by a fleet of modern multi-axle trucks equipped with super-low bed chassis and other advanced features. These vehicles navigate through varied terrains delivering cargo to its destinations.”

In practice, Dimerco has moved a wide range of oversized and heavy freight to remote areas in Batangas by utilizing multi-axle trucks with remote control super low bed chassis, even in areas lacking paved roads.

One transportation stakeholder in the Philippines with a track record directly linked to the wind sector is Royal Cargo. The company’s Senior Vice President for Projects and Heavylift/Crane and Erection Division, Rodrigo “Toddy” A. De Roma, informed Breakbulk that the company has proven its expertise in transporting wind turbine generator components, successfully handling transportation projects for wind farms including the 32-turbine Balaoi & Caunayan, the 6-turbine Nabas II and the 14-turbine Caparispisan II projects

“In response to the emergence of third-generation wind turbine generators with blades spanning up to 95.5m, Royal Cargo stands up to the challenge by providing comprehensive end-to-end solutions for clients,” said De Roma. “Our fleet includes specialized prime movers, trailers, cranes, lifting equipment, blade lifters and trailers specifically designed for oversized and heavy cargo.”

Clean Energy Goals

The new energy initiatives will require significant financing. The Organisation for Economic Co-operation and Development (OECD) has estimated that the Philippines will need investments amounting to US$337 billion by 2040 to achieve its clean energy goals. Despite advantages such as optimal terrain and location for wind power, a lack of related policy and restrictions on foreign ownership and investment seemed to have restricted growth in the sector. Recent policy adjustments appear to be addressing these issues.

One example of an easing of foreign ownership and investment restrictions is seen with the Australianbased global financial services firm Macquarie Group Ltd., which has expressed interest in investing in the Philippines’ renewable energy.

Macquarie is a global financial services group operating in 34 markets, specializing in areas such as resources, agriculture and commodities, energy and infrastructure, with

Janna E. Smith

Dick Jimenez

Rodrigo “Toddy”

A. De Roma

“GLOBAL

ENERGY MONITOR’S GLOBAL SOLAR AND WIND POWER TRACKERS HAVE CATALOGED MORE

THAN

3

GW OF

OPERATING UTILITY-SCALE SOLAR AND WIND CAPACITY IN THE PHILIPPINES, THE THIRD LARGEST CAPACITY AMONG ASEAN COUNTRIES”

a track record in the Asia-Pacific region. It has been operating in the Philippines for over 15 years, with more than 1,000 direct employees through Macquarie Offshore Services, which supports the company’s global business across operations, finance, technology and risk management.

Macquarie has direct experience in the country, having won a bid in 2021 to manage the first and largest-ever infrastructure fund for the Philippines. Subsequently, a Macquarie Asset Management-led consortium acquired a majority stake in Energy Development Corporation (EDC), the Philippines’ largest renewable energy company.

Alongside the easing of foreign ownership restrictions on renewable energy development, there has also been movement involving foreign companies obtaining Wind Energy Service Contracts (WESCs). The Department of Energy (DOE)’s data shows that it has issued 21 WESCs to foreign-owned companies, 17 of which are onshore projects and four that are offshore wind energy projects.

The contracts provide Dublinheadquartered Mainstream Renewable Power with exclusive development

rights for two onshore wind projects; the 100 MW Santa Ana Cagayan Wind Project located in the Municipality of Santa Ana, Cagayan Province and the 340 MW Panaon Wind Project located on Panaon Island in the Leyte Province. The projects, which have already commenced early-stage development activities, are about 500 kilometers from the capital city, Manila.

The DOE’s Energy Secretary Raphael P.M. Lotilla said: “With the Philippine economy now thriving, marked by good growth and optimistic forecasts, we are pleased with the positive response of foreign and local investors to pour in capital in our country’s renewable energy sources.

“Mainstream will be bringing in financial muscle and technological heft to work with our world-class workers throughout the construction and operational phases of all these projects, which means more employment for our people and livelihood opportunities in these areas.”

The Aboitiz Group, a conglomerate active in energy and infrastructure, confirmed in late March that it has earmarked US$2.6 billion as this year’s

capital expenditure (capex), allotting a big chunk to renewable energy projects. In 2023 the group’s capex in renewable energy was US$1.1 billion, illustrating the scale of this year’s increase.

Transparent Policies

Key OECD recommendations to fast-track developments in energy efficiency include a harmonized implementation plan; public budget allocation for local government units; regulatory reforms; data collection and transparency; improved access to finance; and capacity building for local impact.

DOE Undersecretary Rowena Cristina Guevara said that addressing regulatory challenges and bureaucratic hurdles will encourage investments in clean energy projects in the Philippines, adding that the country needs to strengthen its mechanisms, monitor and evaluate its initiatives.

Global Energy Monitor’s Smith sees evidence of this happening in real time.

“In order to facilitate this anticipated increased capacity, the Philippines’ government is working to implement transparent investment policies.

Bangui, Ilocos Norte, Philippines. Credit: Shutterstock

“For example, the recently implemented Green Energy Auction Program (GEAP) provides a platform for bidding on renewable energy projects. Domestic policies such as these, that prioritize renewable energy over fossil fuel-based energy supplies, signal the country’s commitment to renewable energy goals.

“Domestic and international investors’ continued interest in the Philippines’ renewable energy may in turn serve to reduce barriers to this new sector, and allow for lower levelized costs of energy (LCOEs). Likewise, the construction, transportation and renewable energy technology sectors across the Philippines are growing, and

are critical to the success of the Philippines’ energy transition.”

Such efforts, however, are not without their challenges, Smith warns. “At present, only 3 percent of the Philippines’ 99 GW of prospective capacity is currently in the construction phase. Further, the Philippines’ energy mix continues to rely on fossil fuels, and needed updates to the country’s energy infrastructure are stalling renewable energy projects that are ready for grid integration.

“There is clear interest in building out the Philippines’ renewable energy sector, but the government must continue to develop supportive renewable energy policy in order to

encourage further growth, and reach the country’s full renewable energy potential.”

In view of the project cargo sector’s ability to facilitate the numerous renewable energy projects to date, and the improvements that have been realized with respect to increased involvement of foreign investment and ownership, the prospects for continued opportunities as new projects come alongside the expansion of existing facilities and infrastructure all bode well for the industry.

Thomas Timlen is a Singapore-based analyst, researcher, writer and spokesperson with 31 years of experience addressing the regulatory and operational issues that impact all sectors of the maritime industry.

Royal Cargo offloading wind turbine components.

Credit: Royal Cargo

PORT OF NEOM: A BENCHMARK FOR THE MARITIME INDUSTRY

By Simon West

CEO Sean Kelly on the Port’s Pivotal Role in Supporting NEOM Development

Against a backdrop of soaring construction activity, Port of NEOM is taking on a significant role in Saudi Arabia’s ambitious economic transformation plans.

AT BREAKBULK EUROPE…

Thinking Outside the Box: Port Innovations to Overcome Issues of Space and Congestion (Main Stage)

Wednesday, 22 May 12:40 – 13:25

The port, located at NEOM’s industrial city of Oxagon, is being reshaped into the main gateway serving NEOM and the kingdom’s northwest region, acting as a crucial hub for the influx of materials and equipment and the outbound distribution of finished products.

Speaking to Breakbulk, Sean Kelly, managing director of Port of NEOM, said the target was to build one of the world’s “most advanced and sustainable ports” and create a new benchmark for the maritime industry.

“The port is Oxagon’s first operational asset and supports the wider economic ambitions of NEOM – from the import of goods and materials required

during its development phase and as a new global port serving the region and beyond,” Kelly said.

Sean Kelly

“We are welcoming an increasing number of ships, including calls from two of the world’s largest shipping lines – MSC and CMA CGM. We have also recently announced a new common feeder service starting in April by Folk Maritime, a new Saudi-owned carrier. These services offer direct connectivity between NEOM and international trade routes via Jeddah.”

Billed as the world’s “largest construction site”, NEOM is one of several so-called giga projects that Saudi Arabia is developing as part of its Vision 2030 plan to pivot the economy away from oil and gas toward more sustainable, private sector-driven industries.

The 26,500-square-kilometer business and logistics zone located in northwestern Tabuk Province will eventually house docks, industrial plants, sports stadiums, clean

energy facilities and a hi-tech, smart city dubbed The Line. Such extensive building work is expected to have a major impact on cargo flows in the coming years.

The port, equipped to provide container, general cargo, bulk, and roll-on/roll-off ferry services, has already begun to receive materials for the region’s developing infrastructure and its tenants.

Kelly pointed to the port’s pivotal role in handling out-of-gauge cargo for a new green hydrogen production facility, billed as the world’s largest. Slated to start in 2026, the project, which is being developed by NEOM Green Hydrogen Company, or NGHC, a joint venture between ACWA Power, Air Products and NEOM, will deploy some four gigawatts, or GW, of solar and wind energy to produce about 600 tons of green hydrogen per day.

“We are handling shipments of construction materials and equipment including 190 wind turbines comprising 570 wind blades, each 86 meters long and weighing 20 tonnes, plus 22 hydrogen storage tanks, each 100 meters long and weighing 1,000 tonnes,” Kelly said.

“The arrival of these shipments has widened awareness of Port of NEOM among project cargo and breakbulk carriers; we are currently receiving bi-weekly calls from major carriers working on sizable projects across NEOM.”

Primed for the rise in demand, the port has embarked on an extensive development program that includes a new container terminal capable of handling the world’s largest container ships.

Terminal 1 – which constitutes the first phase – is expected to open

“WE ARE WELCOMING AN INCREASING NUMBER OF SHIPS, INCLUDING CALLS FROM TWO OF THE WORLD’S LARGEST SHIPPING LINES - MSC AND CMA CGM.” SEAN KELLY

in 2025 and will boast a throughput capacity of 1.5 million twenty-foot equivalent units (TEUs) per year. The ambitious plans include the construction of 3.5 kilometers of quay walls and an 18.5-meter-deep marine basin, and the widening of the port’s channel to 550 meters.

The port is also expanding and upgrading its general cargo areas to support rising project cargo volumes. By next year, the Port of NEOM will have the capacity to handle 20 million freight tonnes of general cargo and bulk, Kelly said.

“The investment to date is over SAR 12 billion (about US$3.2 billion) and we will continue to accommodate capacity expansion in line with demand. As part of this investment, Liebherr is delivering 10 mobile harbor cranes. ZPMC will provide ten ship-to-shore gantry cranes, 30 electric rubber-tired gantry cranes and six automated rail mounted gantry cranes. ZPMC will be working with Siemens Europe to deliver the automation components.

“The port has significant reserve design capacity for general, project, bulk and container handling and can be quickly expanded to create space and storage depending on the mix of future demand. Optimizing technology is a key part of how we’re improving storage efficiency, and the port will incorporate automated equipment and management systems.”

Sustainability is also a top priority for Port of NEOM. Its target of net zero emissions supported by 100 percent renewable energy includes solutions such as solar-powered building designs and all-electric equipment.

In addition, quay walls and buildings will use low-carbon steel rather than concrete, 100 percent of material excavated from a channel widening initiative will be reused in regional construction and a pipeline is being used for disposing of dredged material, removing the need for trucks.

Meanwhile, new technologies in the port sector are being tested through the Oxagon x McLaren 2024 international accelerator, a program

designed to foster new innovations. According to Kelly, participating scale-ups would work with experts from both the port and McLaren to drive maritime innovation.

“The port offers a live testbed for these technologies, with the opportunity for commercialization,” the executive said. “This first port dedicated Oxagon x McLaren accelerator focuses on several areas of innovation including cargo release optimization, predictive maintenance and automated inspections and autonomous container handling.

“We’ve already received over 100 international applications to the accelerator from scale-ups in the port industry and are excited to see the outcomes from the shortlisted participants in the coming months.”

Colombia-based Simon West is senior reporter for Breakbulk.

*Exhibitor at Breakbulk Europe, Visit: www.europe.breakbulk.com/home

*Global Shipper Network member

Nighttime at Port of NEOM, Oxagon’s first operational asset.

Credit: NEOM

RED SEA SHIPPING: TURMOIL TURNED OPPORTUNITY?

Uncertainty Looms but Some South Africans See a Silver Lining

By Liesl Venter

Shipping disruption caused by escalating Houthi attacks in the Red Sea, ongoing since December, have emerged as one of the biggest maritime challenges in decades. The strategic waterway has become a focal point of uncertainty and with each passing day, the situation intensifies, casting a shadow of doubt over the stability of international shipping routes.

Instead of navigating through perilous waters, most vessel lines are opting to divert around Africa, leading to soaring costs and emissions. Predicting the trajectory of the situation is difficult, leaving the shipping industry apprehensive. As disruptions continue, stakeholders have been warned to brace for ongoing impacts on pricing, space, utilization, reliability and transit times.

Amid the turmoil, there’s a glimmer of hope in Africa. Commander Tsietsi Mokhele, a maritime and ocean economy expert and president and executive director of the Africa Oceans Council (AOC), notes that the

influx of vessels around the South African coast presents opportunities as increased maritime traffic could stimulate economic growth and trade expansion in the region.

“The Suez and Panama Canals pose significant risks to shipping, even during peaceful times,” he says.

“There has been a longstanding need for a configuration that mitigates these risks, and circumnavigating Africa presents the solution.”

Mokhele immediately acknowledges the prevailing mantra that the Cape Sea Route is longer than the Suez and, therefore, more costly with higher emissions. “I don’t necessarily agree that it is more costly. There has been a notable oversight, considering the real economics of international shipping logistics and maritime trade.

“Empirical evidence suggests that whilst the route is longer, the Cape can compete successfully against the Suez route on as many as 11 trade lanes crisscrossing the Cape.”

Of course, he says that for the

Cape Sea Route to become a viable alternative to the risky Red Sea and, in part, the Panama Canal, it has to be fiercely competitive, agreeing that it is not the case at present.

“It all depends on the availability and functioning of a globally competitive full-service maritime hub near the Cape. South Africa is the only country with the location, infrastructural capacity and capabilities to develop and offer maritime hub services at scale necessary to impact the immediate crisis and long-term shipping requirements.”

AT BREAKBULK EUROPE…

Capacity & Contingency Planning: Maintaining an Agile Supply Chain (Main Stage)

Wednesday, 22 May 10:50 - 11:35

Makings of a Transshipment Hub

Mokhele says South Africa already has the makings of an international transshipment hub developing around the twin ports complex of Algoa Bay, with Port Elizabeth serving as a regional gateway port while the new Port of Ngqurha was purpose-built as a dedicated international transshipment port.

“Algoa Bay holds a distinctive advantage as it sits directly along the primary shipping route. In contrast to other areas that serve traffic from a single direction, like east, north, or west, it accommodates incoming and outgoing maritime traffic effortlessly. This means minimal or no need for ships to divert from their course to access bunkering and other off-port services.”

Peter Besnard, CEO of the South African Association of Ships Operators and Agents (SAASOA), acknowledges Mokhele’s perspective that the crisis’s potential for opportunity, particularly in increased bunkering and port services demand, holds merit. However, he emphasizes that shipping costs persist at elevated levels across sectors, making this route option costly and probably unsustainable in the long run.

“Vessels are required to take on additional bunkers, stores and provisions for the additional number of days required to round

the Cape, estimated to be 10 to 12 days to Europe,” says Besnard.

“With vessels required by IMO regulations to use low sulphur fuel for $700 plus per metric ton and considering that South Africa is the most expensive globally, the additional cost for a vessel rounding the Cape could be anything from $50,000 to $100,000 incurred over and above normal costs which the lines want to recover and add to the overall cost of the cargo ultimately finding its destination.”

The Transnet National Port Authority (TNPA), responsible for the regulatory functions at all of South Africa’s eight commercial ports, says it has seen a definite increase in bunkering calls. “There were 217 bunker vessel calls between January and February this year, of which 47 were due to the Red Sea crisis,” says Captain Rufus Lekala, TNPA chief harbor master. “The calls have mainly been at Durban and Cape Town ports. The Port of Cape Town had more calls largely due to the higher number of tankers.”

The Challenges of Rerouting

Mokhele and other South African maritime experts’ aspirations for a long-term African shipping hub appear to be dashed from the start. The TNPA is not optimistic that it will see longterm benefits over the Red Sea crisis.

“Our view is that the affected countries are working on resolving the situation as this cannot be sustainable for shipping lines and the global logistics chain. It is difficult to comment on the duration of this crisis. Therefore, opportunities may be for a minimal period and not worth making substantial capital investments to accommodate the diverted vessels. Once the situation normalizes, the vessels will return to the shorter, more cost-effective route,” says Captain Lekala.

Yorck Niclas Prehm, head of

research at Toepfer Transport, says there are no indications that lines will not return to Suez once the crisis ends. It is, however, anyone’s guess how long the situation will continue. He warns that the situation will continue to significantly impact rates in the MPV sector for all – whether opting to reroute or use Suez.

“In February 2023, 63 percent of ships sailed via Suez compared to only 37 percent opting to go around the Cape. Only 27 percent used the Suez Canal in February this year, and 73 percent took the longer route. There are costs for those using the route and those who are choosing not to,” he tells Breakbulk

“Urgent cargo that cannot be delayed is still moving through Suez, but the cost is high as the premiums and security measures come at a price. The costs involved are calculated day to day depending on the risk. Rerouting via the Cape also carries a higher cost as the sailing time is longer, and therefore, the utilization of vessels is higher.”

The situation will continue for the foreseeable future. “In the MPV sector, there is the benefit of some room for maneuver as more forward planning can happen. We have also seen the sector less impacted by the crisis than container lines, as there is a different approach to cargo loading,” says Prehm.

Additional tonnage miles created by ships sailing via the Cape will continue increasing fleet utilization, the Toepfer executive adds. On the operational side, this will require adjustments to mid-term and longterm scheduling that will ultimately help stabilize the charter market.

Niels Rasmussen, chief shipping analyst at BIMCO, says container vessels and gas tankers, in particular, have been most affected. “Transits are nearly 70 percent lower than last year. The reduction in Suez Canal transits has only been 16 percent and 41 percent for bulkers and multipurpose

Commander Tsietsi Mokhele

ships. The impact on these sectors has consequently been less pronounced, but for all sectors, the rerouting results in increased demand for ships and, therefore, higher freight rates than would otherwise have been the case.”

Adapting to Higher Costs

Increased costs have been unavoidable, says dship COO Christoph Dehlau, indicating that the shipping company had to adapt swiftly, redirecting its vessels from the Red Sea. “We have worked hard to ensure minimal disruption to operations and scheduling.

“While longer voyages may lead to challenges such as tonnage shortages and potential delays on forward fixed business, our team has been adept at rerouting vessels efficiently and renegotiating shipment times to maintain smooth operations.”

However, fuel consumption and bunker expenses have naturally risen, with vessels spending more time at sea.

“Navigating vessels around the Cape also does involve some considerations. Slight variations in weather patterns and differences in the availability of bunker hubs compared to previous routes may necessitate minor adjustments. Additionally, occasional backlogs at hubs such as Gibraltar are possible, which could result in slight schedule disruptions and increased transit times. However, these challenges are generally manageable and do not present significant operational hurdles,” Dehlau says.

Shifts in Demand

Interestingly, the entire situation has led to a notable shift from customers, notes Dehlau. “Many clients are proactively seeking reroutes, with a notable number issuing internal policies to avoid the Red Sea entirely. This shift in mindset underscores the paramount importance placed on ensuring the safety and security of both cargo and crew.

“It’s crucial to note that while enhancing security measures can be somewhat effective regarding piracy, terrorist threats present a different level of complexity and risk. Unfortunately, there are no instruments available to deter these threats effectively. Therefore, redirecting vessels remains the most prudent course of action to prioritize the safety and security of our crew and cargo.”

According to Rasmussen, considering that it is impossible to know how long the attacks on merchant ships will continue, the main risk for the industry will be whether shipping companies can recoup the additional costs for sailing via the Cape from their customers.

“The impacts are, of course, dependent on the origin and destination of the ships. For example, a ship sailing from Singapore to Rotterdam will sail 3,500 nautical miles (equal to 42 percent) longer via the Cape than via the Suez Canal. The extra cost for a specific voyage will be the additional fuel needed to sail the longer distance, whereas more ships will be needed for the whole market to transport the same amount of cargo.”

Already, container carriers have injected more ships into the affected

trades to maintain the average frequency of sailings. A HapagLloyd spokesperson says the liner is looking at additional costs in a U.S. dollar two-digit million range every month. “It is just too early to conclude shifts in customer demand or trade patterns. At this stage, our focus remains on ensuring the continuity of our customers’ supply chains. We have increased capacity, adapted our services and increased the frequency of departures to meet evolving needs.”

For Mokhele and others hoping to see more benefit for South Africa, the Red Sea crisis underscores the vital importance of resilience in global supply chains, emphasizing the necessity for project and breakbulk shippers to consider a broader range of routes and delivery options for their cargo.

“The Suez Canal is one supply chain. The current crisis offers the ideal opportunity to explore alternative routes not only as an immediate solution but as a viable option in the future.”

Liesl Venter is a transportation journalist based in South Africa.

*Exhibitor at Breakbulk Europe, Visit: www.europe.breakbulk.com/home

dship had to adapt swiftly, redirecting its vessels from the Red Sea. Credit: dship

ON LOCATION: DHL MEA INNOVATION CENTER

Breakbulk Visits High-Tech Facility in Dubai

Breakbulk was delighted to receive a recent invitation to tour the DHL Middle East and Africa (MEA) Innovation Center in Dubai. The 450-square-meter high-tech space was launched in 2021 to support the Emirate’s ambitions to be a leading logistics hub for the region, and is one of four such facilities run by DHL

– the others are located in Singapore, Chicago and Cologne in Germany –that are spearheading the future of logistics and pushing the boundaries of customer-centric innovation across the world.

Our guide for the day was Irina Albanese, head of the DHL MEA Innovation Center and a tireless

By Simon West

champion of green solutions and innovative technologies that reduce carbon emissions across the logistics supply chain. “We try to be that place where we bring people together – academia, our partners, our customers. We believe that supply chains play a pivotal role in driving sustainability.”

Irina Albanese, Breakbulk’s Leslie Meredith and Arnoud Dekkers at the DHL Innovation Center in Dubai.

Credit: Hyve

Albanese pointed to advances in electrification as a key “lever” in decarbonizing transportation. “There is a lot of discussion about what makes sense for heavier weights – are we looking at electric or hydrogen? And actually we’re looking at both. Hydrogen is probably going to be more relevant for industrial projects, and we’re investing heavily in partnerships with producers of the first hydrogen trucks. We do have hydrogen trucks on the road and here in the Middle East we already have our big electric trucks as well.”

One of the facility’s fundamental goals is improving supply chain optimization. Arnoud Dekkers, head of business development for DHL Industrial Projects Middle East & Africa, explained how a container management software (CMS) tool within DHL’s material management system has been deployed for client SABIC to enhance efficiency and cut costs when moving materials and equipment.

“With the SABIC project (in Saudi Arabia), there are not only container movements but a number of project logistics cargoes that need to be moved. We were originally using Excel as a platform where we would capture all the information regarding the container numbers, storage details, detention and other factors. The number of Excel sheets just became inundated! So our in-house developers built the container

management software, which has optimized our supply chain.

According to Dekkers, the CMS oversees the entire container lifecycle, from arrival in ports to the job site then back again as an empty container. The CMS can also be integrated with DHL’s cargo planner tool to maximize space utilization and minimize transport costs. “So by leveraging technological advances within DHL, we have been able to progress sustainability as well as operational excellence in delivering for our clients.”

Digital solutions stand poised to revolutionize project logistics, offering unprecedented opportunities for efficiency, optimization and innovation. AI-driven computer vision systems, for example, allow computers to “see and understand” vast quantities of data that normal operators may not see. Albanese used the example of how the technology could be deployed to analyze video feed from security cameras.

“We have an algorithm trained to pick up any abnormalities and give us instructions if something is going wrong. Sometimes the human eye will not be able to pick up nuances, for example, during the loading or unloading of cargo. If we train our AI algorithms, they can pick it up from that video feed earlier than humans and give us those instructions. We already apply those models in health and safety. Our next aspiration is to work with our partner start-up companies in that field to really develop the solutions for industrial projects.”

Dekkers explained how AI-computer vision was being deployed to enable drones, or unmanned aerial vehicles, to autonomously identify objects and obstacles during the transport of cargo, optimizing delivery routes and enhancing operational efficiency. In Dubai, Dekkers showed us an ordinary drone that had been equipped with cameras and sensors.

“Another level of risk mitigation”. Arnoud Dekkers demonstrates the latest in drone technology. Credit: Hyve

Irina Albanese. Credit: Hyve

“With the involvement of computer vision and AI, it can review assets, review personnel and support us in the execution of industrial projects. It gives us another level of risk mitigation when you have this technology as an overarching support. But at the same time it allows for remote working. For example, you are transporting a transformer weighing 70 or 80 tons in an isolated location. You can put a drone

in the air, then in a remote place such as an office, you have health and safety experts or logistics professionals who are looking at real-time information of what the drone is seeing, which is then relayed back to the office space. You can then align within the team to ensure the safe execution of a project.”

Colombia-based Simon West is senior reporter for Breakbulk.

You can find out more about DHL’s Innovation Centers at Breakbulk Europe 2024, taking place on 21-23 May at Rotterdam Ahoy. DHL’s Industrial Projects team will be exhibiting at Stand 2A30-B31.

Visit: www.europe.breakbulk.com/ home

*Breakbulk Global Shipper Network member

Visit: europe.breakbulk.com/page/bgsn

Irina Albanese, Arnoud Dekkers and Leslie Meredith with mobile robot “Spot”.

Credit: Hyve

Breakbulk Events & Media’s biweekly BreakbulkONE newsletter keeps the industry connected between Breakbulk events in Rotterdam, Houston and Dubai. Here’s a selection of recent subscriber favorites. Subscribe at https://breakbulk.com/page/one

DHL: MITIGATING AND MANAGING PROJECT RISKS

In the wake of the Covid-19 pandemic, the landscape of industrial projects has undergone significant transformation, prompting businesses to reassess their strategies and adapt to the evolving dynamics.

Speaking to  Breakbulk , Peter Dudas, head of global commercial and tendering strategy at DHL Industrial Projects , said that Covid-induced disruption put many businesses into “extreme self-preservation mode.”

On the one hand, projects were suspended or even canceled, and on the other shipping rates escalated to historical highs, commitments were abandoned, and risk appetites were re-evaluated in turn.

Consequently, some traditional engineering, procurement and construction contractors “no longer want the risk associated with construction activities.” At the same time, project owners are seeking “more control and visibility, leading to a more integrated approach that also changes who procures logistics and shipping services, and how,” he said.

One notable trend that became dominant in project logistics in 2023, Dudas noted, is the shift towards modularization, intensified by travel disruptions during the pandemic.

Moreover, the surge in “green” projects, such as large-scale green hydrogen initiatives, presents unique logistical challenges due to the magnitude and complexity of the projects. This paradigm shift has necessitated a recalibration of

value propositions by forwarders to align with evolving cargo flows and project requirements.

In response to these changes, cargo owners have assumed a more proactive role in managing logistics risks, Dudas said, with better planning, contracting strategically and splitting scopes.

“This ‘unbundling’ means less opportunity for forwarders hedging commercial risks which actually may hinder competitiveness,” he said. “At the same time the sector is crying out for better solutions to support their sustainability efforts while also managing the HSE risk of projects.

“As an industry, we collectively need to recognize that there are inherent risks in the industry that no single party will be able to mitigate beyond certain parameters and work together to respond when those thresholds are breached.”

DHL Industrial Projects takes a holistic approach to navigate the changing landscape. Collaboration with colleagues across divisions enables a deep understanding of macro trends, while customer feedback informs its value proposition.

DHL Industrial Projects is exhibiting at Breakbulk Europe, Stand 2A30-B31

Peter Dudas.

Credit: Hyve

HAREKET DELIVERS AKKUYU NUCLEAR CARGO

Hareket Heavy Lifting and Project Transportation has delivered a shipment of out-of-gauge components for the construction of the Akkuyu Nuclear Power Plant’s third reactor in Türkiye.

The cargo, comprising the reactor’s heaviest components, included a 434-ton generator stator, a 263-ton rotor, a 240-ton LP2 inner casing, and two 52-ton cooler units.

The components arrived at Akkuyu’s own purpose-built port in Mersin in southern Türkiye and then discharged directly from the vessel onto the company’s Scheuerle and Goldhofer SPMTs. The pieces were transported from the terminal to a temporary warehouse site and unloaded using equipment including a SBL1100 gantry crane.

The cargo will be kept in storage ready for installation.

“Since the power plant is in construction phase, one of the most important things (for transporting such heavy cargo) is the road conditions on the route,” Samet Gürsu, operations director at Hareket, told  Breakbulk . “Site roads are changing all the time and there is a need for continuously making route checks inside the plant.”

Akkuyu, Türkiye’s first NPP, is being built in Mersin province by Russian nuclear conglomerate Rosatom, with work on the first of four 1.2 gigawatt reactors beginning in late 2017.

Once up and running, the US$20 billion plant is expected to provide about 10 percent of Türkiye’s electricity demand, with completion

of all four reactors slated for 2026.

Istanbul-headquartered Hareket, which has been supporting the project since construction work began, said the unique safety and regulatory requirements of NPPs call for extra security precautions when transporting heavy and oversized cargo to and from the job site.

“All items going in to or out of a plant are examined carefully,” Gürsu said. “There are protocols inside the plant to follow, while all heavy transport operations are accompanied by the plant’s own escort cars as well as ours to guide traffic and make the operations safer.”

Hareket is exhibiting at Breakbulk Europe 2024, Stand 2G50-H51.

PORT CANAVERAL BOOSTS HEAVY-LIFT CAPACITY

Florida’s Port Canaveral has expanded its cargo handling and heavy-lift capacities after investing US$7.4 million in a second mobile harbor crane.

The new crane, a Liebherr LHM 600 ‘evo 6’, is an upgrade on the last generation mobile harbor crane and joins the port’s Liebherr LHM 600 ‘evo 5’, which began operations in early 2019.

“The addition of a second mobile harbor crane will enhance the port’s competitive advantage and increase its capacity to manage heavy-lift and breakbulk/project cargo,” Capt. John Murray, CEO at Port Canaveral, told Breakbulk. “It will serve to meet the rising demands of space launch providers and their related cargo requirements, supporting their operations effectively.”

Weighing 696 tons and standing 320 feet tall, the Liebherr LHM 600 ‘evo 6’ boasts a maximum lift capacity of 154 tons and a jib length of 200 feet. Its 20-container reach allows for containers to be stacked nine high on deck, versus an 18-container reach for the ‘evo 5’.

The crane chassis, boom assembly and other components were transported to Port Canaveral’s North Cargo Berth 5, or NCB5, aboard BBC Chartering’s multipurpose vessel BBC Moonstone Terminal operator Ambassador Services handled offloading operations.

Assembly, testing and certification of the new crane was expected to be completed by midto-late March, the port said.

“Port Canaveral has seen substantial growth in terminal operations, marked by rising demands for cargo services.  We’re collaborating closely

with our terminal operators to pursue opportunities in diverse cargo types that align with the demands of our region, fostering synergies along the way,” Murray added.

Port Canaveral, located in central Florida close to Orlando, derives 80 percent of its revenues from its cruise business, but the facility with its 11 deepwater berths is also a key hub for breakbulk, project, container, RoRo and other cargo operations.

The port last year launched its newly renovated North Cargo Berth 3, or NCB5, following the completion of a US$48 million overhaul.

BBC Chartering is exhibiting at Breakbulk Europe, Stand 1B31. Port Canaveral will be exhibiting at Breakbulk Americas 2024 in Houston on 15-17 October.

BBC Moonstone delivers LHM 600 to Port Canaveral.

Credit: Port Canaveral

BAHRI CLAIMS WORLD RECORD FOR FLOATING DESAL PLANT

Bahri Desalination, a division of Saudi state shipping company Bahri, has set a new Guinness record for the world’s largest floating seawater desalination plant built on a marine barge.

The 123-meter-long, 37-meterwide plant, which can produce 50,000 cubic meters of purified water per day atop a customized flatboat, is one of three such facilities in the kingdom built by Bahri, the state-led Saline Water Conversion Corporation (SWCC) and water treatment specialist Metito Saudi.

The project, located near Al Shuqaiq port on Saudi’s Red Sea coast, deploys “industryleading innovations” including reverse osmosis treatment, remineralization and integrated ultrafiltration, Bahri said.

“We are honored to receive

this distinction from Guinness World Records that validates our status as pioneers in engineering large-capacity, mobile seawater desalination solutions,” said Eng. Ahmed Alsubaey, CEO of Bahri.

“As a leader in transportation and logistics, Bahri strives to develop innovative water projects that strengthen Saudi Arabia’s infrastructure and self-sufficiency. This record reflects our cutting-edge work in deploying sizeable mobile floating desalination capacity where it is needed most along our coastlines.”

Saudi Arabia is one of the world’s largest water desalination markets.

The kingdom’s water consumption tops 8 million cubic meters per day, one of the highest rates in the world, according to the U.S.-Saudi Business Council. Consumption

is forecast to reach 12.3 million cubic meters per day by 2040.

But arid landscape, low rainfall and a lack of lakes and rivers, along with aggressive industrialization and rapid population growth, are putting huge pressure on the country’s ability to quench its thirst.

In a bid to tackle potential resource scarcity, the SWCC, responsible for about 70 percent of the country’s desalinated water output, is spending billions of dollars on world-scale water and wastewater systems. More recently, the government has adopted public-private-partnership, or PPP models, as a procurement strategy, as the country seeks international investment and know-how to support its infrastructure plans. Bahri is a sponsor at Breakbulk Middle East.

Bahri desalination barge, Saudi Arabia

Credit: Bahri

PROJECTS IN THIS ISSUE

Project name: Argerich-1

Story: Energy Outlook

Country: Argentina

Sector: Oil & Gas

Developer(s): Equinor in partnership with Shell and YPF

Project name: Atlantic Shores Offshore Wind

Story: Energy Outlook

Country: U.S.

Sector: Renewables

Developer(s): Atlantic Shores Offshore Wind (a Shell New Energies and EDF Renewables N. America partnership)

Project name: Bonga Southwest/Aparo

Story: Energy Outlook

Country: Nigeria

Sector: Oil & Gas

Developer(s): Shell Nigeria

Project name: Brulpadda/Luiperd

Story: Energy Outlook

Country: South Africa

Sector: Oil & Gas

Developer(s): Total E&P South Africa

Project name: Coastal Virginia Offshore Wind

Story: Energy Outlook

Country: U.S.

Sector: Renewables

Developer(s): Dominion Energy

Project name: Elk-Antelope Onshore Gas Field

Story: Energy Outlook

Country: South Africa

Sector: Oil & Gas

Developer(s): Total E&P P&G

Project name: Stabroek Block

Story: Energy Outlook

Country: Guyana

Sector: Oil & Gas

Developer(s): ExxonMobil

Project name: Wenchang Deep-Sea Floating Wind Project

Story: Energy Outlook

Country: China

Sector: Renewables

Developer(s): CNOOC

Project name: Mabtec Logistics & Transportation Hub at Antonov Airport, Gostomel

Story: Ukraine: Trade Continues

Country: Ukraine

Sector: Infrastructure

Developer(s): Mabtec Engineering and Consultancy

Project name: Balaoi & Caunayan Wind Farm Story: Philippines Embraces Winds of Change

Country: Philippines

Sector: Renewables

Developer(s): ACEN in partnership with UPC Renewables

Project name: Caparispisan 2

Story: Philippines Embraces Winds of Change

Country: Philippines

Sector: Renewables

Developer(s): North Luzon Renewable Energy CORP; ACEN

Project name: Nabas-2 Wind Power Project

Story: Philippines Embraces Winds of Change

Country: Philippines

Sector: Renewables

Developer(s): PetroWind Energy Inc.

Project name: Panaon Wind Project Wind Project Story: Philippines Embraces Winds of Change

Country: Philippines

Sector: Renewables

Developer(s): Mainstream Renewable Power

Project name: Santa Ana Cagayan Wind Project Story: Philippines Embraces Winds of Change Country: Philippines

Sector: Renewables

Developer(s): Mainstream Renewable Power

Project name: NEOM Green Hydrogen

Story: Port of NEOM: A Benchmark for the Maritime Industry Country: Saudi Arabia

Sector: Energy Transition

Developer(s): NEOM Green Hydrogen Company (NEOM, Air Products, ACWA Power)

Project name: Akkuyu Nuclear Power Plant

Story: Best of BBONE Country: Türkiye

Sector: Nuclear Energy

Developer(s): Akkuyu Nuclear JSC

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