Breakbulk Magazine Issue 5 2024

EMBRACING THE RUSH OF GLOBAL PROJECT LOGISTICS

Fluor’s Cyril Varghese on the Joy of Finding Solutions in a Complex Business

THE AMERICAS ISSUE

US Semiconductor Industry Raises Logistics Challenges Argentina’s Project Sector Gets Massive Boost Cracking the Gen Z Code Plus News and Features From Around the World

RED VS. BLUE

US ENERGY UNDER THE SPOTLIGHT

Opportunities for Collaboration Will Emerge, Regardless of Who Prevails in Elections

Embracing the Rush of Global Project Logistics

Fluor’s Cyril Varghese on the Joy of Finding Solutions in a Complex Business

Mark Your Calendars for Upcoming Breakbulk Events

Breakbulk Middle East

Feb. 10-11, 2025

Dubai World Trade Centre Dubai, UAE

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

Breakbulk Americas Sept. 30 - Oct. 2, 2025

George R. Brown Convention Center Houston, Texas, US

40 Americas Port Houston - Poised To Get Bigger and Better

New Chief Executive Officer Charlie Jenkins Speaks to Breakbulk Magazine Ahead of Breakbulk Americas in Houston

44 Americas Red vs. Blue: US Energy Under the Spotlight Opportunities for Collaboration Will Emerge, Regardless of Who Prevails in Election

48 Americas Mammoet Keeps the Modules Moving at World’s Busiest Airport

Heavy-Lifting and Transport Specialist Plays Key Role in Innovative Modular Expansion Project at Hartsfield-Jackson, Atlanta

53 Thought Leader AI and the Art of Transport Engineering

Technology Is Coming of Age, Says Project Logistics Expert

55 Americas Tamaulipas, Mexico: A Hotspot for Growth and Investment A Q&A With Economy Secretary Ninfa Cantú Deándar

58 Americas

US Semiconductor Sector Raises Logistics Challenges Domestic Manufacturing Desired, but Materials and Labor Are in Short Supply

62 Americas Argentina’s Project Sector Gets Massive Boost New Incentive Mechanism to Trigger Investment Surge

74 Global

Semi-Subs: The Mega Vessels Made for Modules

Oil & Gas, Renewables Keep Sector’s Largest Ships Busy

78 Global Cracking the Gen Z Code Strategies for Attracting and Retaining Tomorrow’s Leaders

Cover Story

Semi-Subs: The Mega Vessels Made for Modules

Shaping Hamad Port’s Future

QTerminals’ Caitlin Jean Geel Celebrates the Buildout of Qatar’s Gateway to World Trade

86 Middle East Quartet of Shippers Invest in UAE Gas Project

Rising Demand for Natural Gas as an Energy Transition Fuel Expected to Generate More Global LNG Projects

90 Africa

Advancing Africa’s Lobito Corridor Interest in Trade Route Grows as the West Seeks Critical Minerals

93 Asia

JGC’s Koichi Kaizu: The Master of Modularization

Logistics Partners Play Outsized Role in Modularized Projects, Says JGC Specialist

Beating a Path to Poland

Wind Energy, Nuclear Prospects and Infrastructure Upgrades Attract Logistics Companies to Central European Nation

100 Europe deugro Triumphs With Turkish Submarine Cable Delivery Forwarder Overcomes Freezing Temperatures, Sea Ice and Limited Daylight Hours in Race Against Time

WELCOME TO THE AMERICAS ISSUE!

If you are reading this magazine at the event, you’ll notice that many of the people appearing in this issue are also attending Breakbulk Americas, and that’s what this publication is really about—helping you get to know the business leaders who are making a difference in the industry, what they’re thinking and doing, and how their decisions are affecting the movement of cargoes around the world. Get to know them in these pages, and when you meet them in person—in Houston, or at another Breakbulk event—the conversation will be easy. At Breakbulk, familiarity breeds opportunity. Let’s take a look at some of the people featured in this issue. First up is our man on the cover, Cyril Varghese, Global Logistics Director at Fluor, who I met in Abu Dhabi at the first Breakbulk Middle East in 2016. Articulate, optimistic, and analytical are three words that immediately come to mind when I think of Cyril, and this profile added so much more. It presents a picture of an ambitious guy who made the most of every opportunity, eager to learn from his mentors and never losing the wonder of what a day can bring in the world of project cargo—it’s a great read. Next, we tackled the subject of what the U.S. energy project sector might look like based on the outcome of the November presidential election. While the party platforms are seemingly squarely opposed, you may be surprised to learn of several fundamental similarities revealed by writer Simon West.

We also have a new series called “Bookmarked” that features a book recommended by an industry member. In this issue, it’s “Ten Years to Midnight” by Blair Sheppard, recommended by Brian Putallaz, a Breakbulk Global Shipper Network member. At a special event at Breakbulk Americas, the two will discuss the book’s four crises and their possible solutions within the context of the project cargo and breakbulk industry. (Have a recommendation? Let me know!)

For us, the Breakbulk Media team, our goal is to present stories that come alive at Breakbulk events and you’ll find three in this issue. We have the first interview that Charlie Jenkins gave as the new CEO of Port Houston. Jenkins will deliver opening remarks at Breakbulk Americas. “How to Win Project Cargo Business: The Shipper’s Advice” was inspired by the Issue 4 cover story profile of Agustin Harriague, Mitsubishi Power, who will moderate the session. “Mining, Big Tech, Chips & SMRs: A New Ecosystem of Project Opportunity” arose from the article within featuring Bechtel’s Kristin Homsi and DHL’s John Lu who are also a part of the Main Stage panel. New this year at Breakbulk Americas are Round Tables— discussions that follow selected panels, giving attendees the opportunity to discuss sessions in more detail with panelists and their peers. From start to finish, the Breakbulk Media team will be there, covering the sessions and discussions to inform stories for the next issue and beyond–our own brand of circularity.

Best,

Leslie Meredith Marketing and Editorial Director Breakbulk Events & Media

Marketing and Editorial Director

Leslie Meredith Leslie.Meredith@breakbulk.com

Managing Editor

Luke King luke.king@breakbulk.com

Senior Reporter

Simon West simon.west@breakbulk.com

Designer Mark Clubb

Reporters

Damon Evans

Alex Keimig

Felicity Landon

Mary Shacklett

Malcolm Ramsay 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

Andrew Young Bechtel Corporation

Jake Swanson DHL Global Forwarding

Grant Wattman Combi Lift Americas

Portfolio Director Jessica Dawnay Jessica.Dawnay@breakbulk.com

To advertise in Breakbulk Media products, visit: http://breakbulk.com/page/advertise

Subscriptions

To subscribe, go to https://breakbulk.com/page/ breakbulk-magazine

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:

Movers & Shakers, page 12

Port Tampa Bay, Kuehne+Nagel, DHL Global Forwarding, deugro, Air Charter Service Dubai, Trans Global Projects, Superior Industries, Fluor, SANY America, Port Houston, Port of Port Arthur

UpFront: Goldhofer Extreme Transport Series, page 15 Buckingham Transport, Goldhofer

UpFront: Q&A With DP World Canada, page 26 DP World Canada

Interview: Charlie Jenkins, Port Houston, page 40

Charlie Jenkins, Chief Executive Officer, Port Houston

Main Stage session: Opening Remarks

Americas: Red vs Blue, page 44

Baker Hughes

Colin D’Abreo, Vice President and Director of Project Logistics - Global, Rhenus Logistics

Main Stage session: Energy Project Outlook: Competitive Positioning

Marco Poisler, Adjunct Professor, University of Houston

Cullen College of Engineering and  COO – Global Energy & Capital Projects, UTC Overseas, Inc.

Main Stage session: AI Transformation: A Journey of Implementation

Case Study: Mammoet Keeps the Modules Moving, page 48 Mammoet

Thought Leader – Ritesh Nair, page 53

Rhenus Project Logistics USA

Tamaulipas, Mexico: A Hotspot for Growth and Investment, page 55

Tamaulipas State Department, Shell, ExxonMobil

US Semiconductor Sector Raises Logistics Challenges, page 58

Kristin Homsi, Manager of Supply Chain, Manufacturing & Technology, Bechtel Corporation

Main Stage session: Big Tech, Chips & SMRs: A New Ecosystem of Project Opportunity

John Lu, Global Sector Head, Semiconductors, DHL Industrial Projects

Main Stage session: Big Tech, Chips & SMRs: A New Ecosystem of Project Opportunity

Argentina’s Project Sector Gets Massive Boost, page 62

Shell, ConocoPhillips, BHP, Rio Tinto, DHL Global Forwarding

Profile: Cyril Varghese, Fluor, page 68

Cyril Varguese, Global Logistics Director, Fluor

Main Stage session: Big Tech, Chips & SMRs: A New Ecosystem of Project Opportunity

deugro, Petrofac, Siemens, CB&I, ABB, Dragon Oil, Kuehne+Nagel, Alstom, Technip, SAL

Semi-Subs: The Mega Vessels Made for Modules, page 74

Roll Group, COSCO Heavy Transport, Fluor, COSCO Shipping Specialized, BigLift Shipping

Cracking the Gen Z Code, page 78

DHL Industrial Projects

Thomas Skellingsted, President, 4D Supply Chain Consulting Main Stage session: Closing the Talent Gap

Margaret A. Kidd, Program Director and Instructional Associate Professor, University of Houston Education Day Host

Shaping Hamad Port’s Future, page 84 QTerminals

Shippers Invest in UAE’s Ruwais Project, page 86

Abu Dhabi National Oil Company (ADNOC), Shell, TotalEnergies, BP, Mitsui, Technip Energies, JGC Corporation, ExxonMobil

Advancing Africa’s Lobito Corridor, page 90 Fracht, DSV

Interview: Koichi Kaizu, JGC Corporation, page 93 JGC Corporation, Shell, Mitsubishi, Fluor, deugro, Bolloré

Beating a Path to Poland, page 96

deugro, Baltic Hub, UTC Overseas, Vestas, Bechtel

Case Study: deugro Triumphs With Turkish Submarine

Cable Delivery, page 100

deugro, BBC Chartering, Port of Bremerhaven

BreakbulkONE Stories, page 105

deugro, dteq Transport Engineering Solutions, United Heavy Lift, Port of Hamburg, Vestas, DEME, BP

Key:

Breakbulk Global Shipper Network Member

INSIDE

Movers & Shakers

Extreme Transport: Navigating the Ohio River

Meet the ECMC

New Faces at Breakbulk Americas

Q&A With DP World Canada

Building on Women in Breakbulk Success

NEW! Round Tables: Deep Dive With the Experts

Power Moves Winners

Only in Texas

MOVERS AND SHAKERS

Highlighting Recent Industry Hires, Promotions and Departures

Port Houston

Charlie Jenkins has been appointed chief executive officer of Port Houston. Jenkins is a threedecade veteran of the port, most recently serving as chief channel infrastructure officer. He replaces long-time executive director Roger Guenther, who retired on August 30.

Jenkins said: “Port Houston has been an integral and essential part of my life for 34 years. I have a love and passion for the work we do and great respect for the brilliant, dedicated people that support our work here. The Port Houston team truly is committed to the work we do for the region and to support its vital maritime gateway – the Houston Ship Channel.”

Hear more from Charlie Jenkins in our exclusive interview, see page 40.

Port of Port Arthur

The Port of Port Arthur in Texas has named Andy Powell as its new deputy director. Powell brings decades of maritime industry expertise to the port, most recently holding leadership positions within G2 Ocean and its predecessor companies, Star Shipping and Grieg Star, in Atlanta.

Besides the U.S., Powell has worked in Norway, Brazil and Canada and has extensive experience in ocean carrier operations. “With new infrastructure and a customer-focused approach, the port is an incredibly important asset with an ability to serve domestic and foreign markets,” he said.

Trans Global Projects

Juliana Rocha has joined Trans Global Projects (TGP) as the company’s new head of air freight in Brazil. São Paulo-based Rocha’s 10 years’ experience in the sector has included a seven-year stint with Brazil’s DMS Logistics, where prior to her latest role she served as air freight customer care team leader.

“Her knowledge and expertise in managing complex air freight logistics will be a valuable addition to our team as we continue to grow across Brazil,” TGP said on LinkedIn. “This marks an important step in our strategic expansion plans, aimed at enhancing our operations and strengthening our position in the logistics and air freight industries.

Kuehne+Nagel

Yutaka Matsuyoshi has begun his new role as Kuehne+Nagel’s managing director for Japan. Matsuyoshi replaces Cedric Dulong, who has switched to the company’s Japan Development Program. Kuehne+Nagel has identified Japan as one of its strategic growth markets.

Matsuyoshi boasts 25 years of experience working in supply chain and logistics in countries including Japan, the UK, Hong Kong, China and Switzerland. The executive joined Kuehne+Nagel in 2022 as global head of operations for the international supply chain based at the company’s headquarters in Switzerland. Prior to that, he headed up global logistics at adidas for nine years. “Over the past two years, he has successfully led complex order management solutions projects with a strong focus on digitalization,” the company said.

Charlie Jenkins

Andy Powell

Yutaka Matsuyoshi

Juliana Rocha

DHL Global Forwarding

DHL Global Forwarding has selected Joseline Ventura as its new country manager for Panama and the Caribbean. Ventura previously served as the company’s country manager for El Salvador. The executive has been with DHL Global Forwarding since 2007, holding various sales, commercial and business development positions throughout Latin America.

“I feel fortunate to work in an organization that promotes diversity and equal opportunities,” Ventura said on LinkedIn. “As a woman, being in a leadership position in a country as significant for the region as Panama fills me with pride and satisfaction. It is a constant reminder that there are no limits to what we can achieve.”

deugro

Dominik Stehle has returned to deugro as the logistics specialist’s new chief commercial officer (CCO). Stehle previously spent a decade at deugro, serving as executive vice president between 2009 and 2019. He was also a founding member of the company’s ocean transport division, dship Carriers. Prior to his latest role, Stehle was CCO at United Heavy Lift.

“I am extremely pleased and excited to announce that Dominik will rejoin deugro as the CCO,” said Thomas C. Press, owner of deugro. “Dominik is not only familiar with our organization’s culture and operations but also brings a wealth of fresh ideas and perspectives from his experiences gained in the heavy-lift shipping industry. We are confident that his unique blend of insider knowledge and external insights will be instrumental in driving our company forward. Welcome back, Dominik.”

Air Charter Service Dubai

Elie Hanna has been promoted to CEO of Air Charter Service (ACS) Dubai, overseeing the company’s growth strategy throughout the Middle East. Hanna, who joined ACS in 2010, replaces Andrew Summers, who was recently appointed regional director of ACS’s European operations.

“Our future investment plans in the region need to be shaped based on local knowledge, and I and the rest of the board look forward to working closely with Elie to develop a strategy to further cement our place as one of the leading charter providers in the Middle East,” said Chris Leach, chairman of Air Charter Service. “The first step is the expansion of the private jet team in the region, with three senior members joining over the next two months.”

Port Tampa Bay

Michael Poole has been named Port Tampa Bay’s new chief financial officer (CFO). The executive will take charge of the Florida facility’s finance, risk management and procurement departments and ensure the financial strength of its overall operations. Poole’s fourdecade career has included lengthy stints as CFO at Florida’s Canaveral Port Authority and the Jacksonville Port Authority.

“Port Tampa Bay will greatly benefit from the addition of Michael Poole who is a talented and well-respected chief financial officer,” said Paul Anderson, president and CEO of Port Tampa Bay. “Michael’s familiarity with Florida’s seaports makes him an expert who is positioned to build on Port Tampa Bay’s financial strength and growth, including our recently improved rating from Fitch Ratings. We are fortunate to welcome him to our team.”

Dominik Stehle

Joseline Ventura

Elie Hanna

Michael Poole

Superior Industries

Matt Voigt has been promoted to senior product manager at Superior Industries, a U.S.-based manufacturer and global supplier of bulk material processing and handling systems. Voigt joined Superior in 2011, starting as an application specialist before rising to product manager of portable plants. In his new role, Voigt will guide Superior’s team of product managers, develop and lead new product development projects, and work closely with Superior’s dealer network to solve issues and serve customers.

“Matt has extensive knowledge of our product development process, is already considered a strong leader in our organization, and is a dedicated advocate for our culture both inside Superior and throughout the industry,” said Johnnie Garrison, vice president of sales.

Fluor

Fluor has tapped long-term employee Jim Breuer for the newly created position of chief operating officer (COO). In his new role, Breuer, who has spent more than three decades at the Texas-headquartered engineering and construction firm, will drive a “more holistic view” of the company’s markets, strengths and needs in project delivery and talent allocation across its three business segments – Energy Solutions, Mission Solutions and Urban Solutions.

Fluor, a member of the Breakbulk Global Shipper Network, has also announced the appointment of Kevin Hammonds as chief legal officer (CLO), replacing John Reynolds, who will retire from the company after nearly 40 years of service.

SANY America

Heavy machine manufacturer SANY America has named David Nicoll as its new CEO. Nicoll has spent the bulk of his career at Caterpillar, where most recently he served as the company’s vice president for earthmoving wheel loaders.

“With significant opportunities for growth ahead of us, David’s industry experience and hard-won knowledge in both the global and United States markets will be integral in making SANY a major player among American heavy equipment brands,” said Fei Xiang, chairman of SANY America. “I believe David is the best person to expand our mission and lead the operations of SANY America into the future.”

Freeport-McMoran

Mining firm Freeport-McMoran has appointed Tania Smith as its new logistics manager. Smith will oversee a number of project cargo operations and related activities, mainly focusing on Indonesian projects. The executive boasts more than 20 years of experience in project logistics, enjoying managerial positions with companies including Fluor and S&B Engineers and Constructors. Smith said: “I am looking forward to this new opportunity and ready to continue with what I am very passionate about, looking forward to sharing my experience and insights.”

Hareket

Turkey-headquartered Hareket has named Jon Anderson as its new regional managing director for the Middle East and Africa (MEA) region. Anderson has worked for more than 15 years in heavy-lift transport for companies including ALE and Roll Group, managing large-scale projects in the oil and gas, renewable energy, power generation and infrastructure sectors.

“It is always very exciting to start a new journey,” Anderson said on LinkedIn. “I look forward to working with and growing the Middle East team as we continue to build and expand our capabilities to best align ourselves with our clients’ needs.”

Jim Breuer

David Nicoll

Matt Voigt

Tania Smith

Jon Anderson

Extreme Transport

OHIO RIVER - CHALLENGES & SOLUTIONS

Buckingham Transport Mitigates Troublesome Turns With Goldhofer Equipment

Ride along with Buckingham Transport as it moves a 450,000-pound slug catcher 50 miles from the Ohio River to the project site in Steubenville, Ohio. The slug catcher measured 66 feet long, 13 feet wide and 14 feet high.

Overcoming Obstacles

Because the dock site for the river barge was not accessible by the dual lane trailer, Buckingham offloaded the vessel by barge crane to 12 lines of Goldhofer PST/ SL-E SPMT, drove it up the steep grade, and then transloaded it via gantry to a Goldhofer THP Dual Lane Modular Trailer for highway transport.

Buckingham acquired Highway Use permits to temporarily modify multiple turns along the 50-mile route. Through the use of its vehicle tracking and swept path technology, the team was able to identify and properly mitigate problematic turns along the route before the load’s arrival.

Heavy-lift from barge to 12 lines of Goldhofer SPMT for movement up the steep, riverside grade.

Credit: Buckingham Transport

Gantry crane positioned over slug catcher to prepare for transfer to the dual-lane trailer.

Credit: Buckingham Transport

View from the front as Goldhofer’s dual-lane trailer prepares to take on its heavy load.

Credit: Buckingham Transport

Transiting a dirt road.

Navigating a tight turn with wheels turning at an oblique angle.

Moving on a country road. Note that the slug catcher had to be rotated sometimes to accommodate road obstructions.

Credit: Buckingham Transport

Credit: Buckingham Transport

View of the convoy as it passes under a railroad bridge.

Credit: Buckingham Transport

Credit: Buckingham Transport

Did you know?

Note that the transport requires use of the entire width of the road.

Credit: Buckingham Transport

Traveling down the highway with its escort.

Buckingham Transport

Credit:

Driving through a small town restricting traffic.

Credit: Buckingham Transport

Steubenville, Ohio, was the birthplace of Dean Martin, “The King of Cool.”

MEET ECMC: THE VOICE OF OUR INDUSTRY

An influential industry non-profit, contributing to the success of Breakbulk Americas Education Day and the next generation of leaders

The Exporters Competitive Maritime Council (ECMC) was created in 1996 with the mission “to promote, foster and maintain a competitive export environment, effecting change through participation and initiation of key initiatives.” The purpose of ECMC has been to represent the interests of United States exporters and suppliers with respect to project cargo, export trade and transportation issues. Imported project cargo has recently been added to the purpose.

ECMC represents America’s largest project cargo shippers and their customers to shape a competitive export and import environment for projects around the world. ECMC is an organization whose purpose is to represent the interests of major United States exporters, importers and suppliers related to the transportation of capital projectrelated cargoes. Membership is comprised of U.S.-based

AT BREAKBULK AMERICAS…

MAIN STAGE: Closing the Talent Gap Thursday, Oct. 17 11:30am - 12:15pm

companies and third-party service providers working in the capital project supply chain. Member companies of the ECMC employ several hundred thousand people, generate billions of dollars in project cargo value in transportation revenue via maritime, road, rail, and air carriage per year. ECMC also advocates on behalf of the people who keep our industry moving: port labor, crane operators, seamen, truck drivers, customs officials, and others.

For 30 years ECMC has addressed key issues, working toward collaborative solutions. These topics have included:

U.S. EXIM Bank reinstatement

U.S. Maritime Administration waiver policies Crew change issues during COVID-19

U.S. truckload permitting in each state ISPM-15 issues for U.S. imports

IMO 2020 concerns Decarbonization

ECMC is building tomorrow’s leaders in the industry by supporting a variety of initiatives around educating the next generation. A committee focuses on working with universities and promoting internship programs within the member companies. ECMC also participates in the Breakbulk Americas Education Day each year.

For more information, visit www.ecmc-us.org

ECMC BOARD MEMBERS

Stephen Spoljaric Chairman

John Amos Secretary & Treasurer

Diana Davila President

Tania Smith Director Of Committees

Jesus Mejias Vice President

NEW FACES AT BREAKBULK AMERICAS

Get to know some of these first-time exhibitors. And, if you’re coming to Breakbulk Americas, make a point to stop by and say hello!

HC Forklift America Corporation

Stand S40

United States Equipment

Davis Howard, Marketing Manager

What is the most important thing you want people to know about your business?

At HC Forklift America Corporation, a wholly-owned subsidiary of Hangcha Group, we specialize in making material handling easier. This is true across our extensive, full line of material handling equipment. Specific to this industry, our range of Heavy Duty Diesel Pneumatic Forklifts use well-known components, a comfortable, floating operator compartment and quality construction to ensure that our end-users can reliably move loads ranging from 26,000105,000lbs. Hangcha Group’s New Energy Initiative has led to the development of our new XH Series Heavy Duty Electric Pneumatic Forklifts. These forklifts are powered with Lithium Iron Phosphate (LiFePO4) battery packs and are able to keep up with and outperform comparable diesel heavy-duty pneumatic forklifts. We realize that customers are looking to reduce their emissions, whether because of internal green initiatives or government mandates such as California’s CARB. Our line of XH Series Heavy Duty Electric Lithium-ion Pneumatic Forklifts allow end-users to make the switch from I.C.-powered equipment, go green and even see a substantial ROI. Hangcha Group’s Heavy Duty Pneumatic Forklifts ultimately provide end-users with reliable equipment to make moving their materials easier.

Why did you decide to exhibit at Breakbulk Americas?

We recently launched Hangcha’s line of heavy-duty equipment in the United States. Although our heavy-duty equipment is mature in the global marketplace, we realize that the Hangcha brand is still new to people in this industry. With reliable equipment, a nationwide dealer network and parts to ensure uptime, we realized that it was time to enter this market. What better place to showcase Hangcha’s brand and the new 36,000lb at 48” load center XH Series Heavy Duty Electric Lithium-ion Pneumatic Forklift than at the industry’s premier trade show, Breakbulk Americas!

What is your company’s outlook on project opportunities in the Americas?

We have a very positive outlook for the project market in 2025. With the demand for zero-emission equipment increasing, our line of XH Series Heavy Duty Electric Lithiumion Pneumatic Forklifts has continued to allow end-users to achieve their goals of going green. We see this demand continuing to rise and look forward to providing zeroemission solutions that make material handling easier.

Mangum’s Transport Stand R03

Wilson, North Carolina, USA

Road Transport

Stephen Taylor, Director of Sales

What is the most important thing you want people to know about your business?

Heavy Haul and Over Dimensional Services – At Mangum’s, we’ve moved everything from aircraft to tanks weighing over 140,000 pounds. Our team of project managers and experienced truck drivers tackle the most challenging shipments in the industry. Mangum’s hauls with reliability and consistency the freight other companies refuse to haul.

Why did you decide to exhibit at Breakbulk Americas?

We’ve attended the show for the last few years and have made positive connections along the way. Many of our loyal customers attend Breakbulk Americas to meet industry leaders in manufacturing and transportation.

What is your company’s outlook on project opportunities in the Americas?

Based on customer feedback, our outlook is positive supporting mission critical projects with several large clients having projects through 2028.

TEFCO Transportation

Stand: S50

Jacksonville, Florida, USA

Road Transport

Garrison Gaylord, President

What is the most important thing you want people to know about your business?

Asset-based specialized transportation company located in the Southeastern United States.

Why did you decide to exhibit at Breakbulk Americas?

To speak with and develop relationships with current and potential customers.

What is your company’s outlook on project opportunities in the Americas?

Domestic manufacturing increasing along with power infrastructure needs driving demand.

NEW EXHIBITORS AT BREAKBULK

New Exhibitors

Countries Represented Bangladesh, Brazil, Canada, China, France, India, Mexico, Netherlands, Senegal, Singapore, Spain, UAE, USA

Sectors Represented

NEW EXHIBITORS AT BREAKBULK AMERICAS 2024

Connect with Ports & Terminals Powering Breakbulk Business

Get ready to explore the ports and terminals that keep the project cargo and breakbulk industry moving! This map shows where to find Breakbulk Americas exhibitors from across Canada, the U.S., and Mexico. If you’re attending the event in Houston, Oct. 15-17, stop by their stands to learn more about what they do and how they can help your business grow because meeting faceto-face is the best way to build new business relationships.

www.portcanaveral.com/

Cemus

L36 D P World FZE

www.234terminal.com/

www.dpworld.com/

www.jaxport.com/ H13 North Carolina State Ports Authority Ports Wilmington Virginia United States www.ncports.com/ J10 PISSA

Altamira Tamaulipas

www.puertosintegrales.com/en D10 Port Freeport Port Freeport Texas United States www.portfreeport.com/ F40 Port Houston Port Houston

www.porthouston.com J37 Port of Baltimore Port Baltimore

www.marylandports.com P15 Port of Beaumont Port Beaumont Texas

www.portofbeaumont.com

K30 Port of Brownsville Port Brownsville Texas United States www.portofbrownsville.com

C32 Port of Everett Port Everett Washington United States www.portofeverett.com

R60 Port of Galveston Port Galveston Texas United States www.portofgalveston.com/

D14 Port of Lake Charles Port Lake Charles Louisiana United States www.portlc.com/

G36 Port of Longview Port Longview Washington United States www.portoflongview.com/

D30 Port of Port Arthur Port Port Arthur Texas United States www.portpa.com/

N06 Port of Portland Port Portland Oregon United States www.portofportland.com/

M08 Port of San Diego Port San Diego California United States www.portofsandiego.org/

M07 Port of Stockton, California Port Stockton California United States www.portofstockton.com/

H15 Port Pascagoula Port Pascagoula Mississippi United States www.portofpascagoula.com/ J36 Port Tampa Bay Port Tampa Florida United States www.porttb.com/

D16 Ports America, Inc. Terminal LaPorte Texas United States www.portsamerica.com/

G46 Ports of Bremen and Bremerhaven Ports Bremerhaven Germany www.bremenports.de/ D36 Ports of Indiana Ports Indianapolis Indiana United States www.portsofindiana.com/ E36 Red Hook Terminals LLC Terminal Port Newark New Jersey United States www.redhookterminals.com/

H33 South Jersey Port Corporation Port Camden New Jersey United States www.southjerseyport.com/

S16 Port of Altamira* Port Altamira Tamaulipas Mexico www.tamaulipas.gob.mx/

S16 Port of Matamoros* Port Nuevo Tamaulipas Tamaulipas Mexico www.tamaulipas.gob.mx/

S16 Port of Tampico* Port Tampico Tamaulipas Mexico www.tamaulipas.gob.mx/

F16 SSA Marine Terminal Seattle Washington United States www.ssamarine.com/

F37 Terminal Link Texas

Terminal Seabrook Texas United States www.terminallinktx.com/

P36 The Port of Virginia Port Norfolk Virginia United States www.portofvirginia.com/

F30 The Port of West Virginia Port Follansbee West Virginia United States www.portofwestvirginia.com/

J34 Tradepoint Atlantic

Terminal Baltimore Maryland United States www.tradepointatlantic.com/

C31 Tulsa Port of Catoosa Port Catoosa Oklahoma United States www.tulsaports.com/

*Tamaulipas State Government

DP WORLD CANADA SETS SIGHTS ON EXPANSION

Scott Weston, vice president of business development at DP World Canada, speaks to Breakbulk about the company’s ambitious expansion plans in Canada, the deployment of some exciting new shipping methods and the key connections it is looking forward to making at Breakbulk Americas.

Q: Can you provide an overview of your company’s facilities in Canada?

A: DP World operates five terminals strategically located across Canada (Prince Rupert, Vancouver, Nanaimo, Fraser Surrey and Saint John), allowing us to effectively provide smart end-to-end logistics solutions for all our partners.

In Vancouver, DP World operates a full-service container terminal that allows for secure and efficient access to Asian and U.S. markets. DP World in Fraser Surrey, which is the largest multipurpose terminal on Canada’s West Coast, provides multimodal, steel, bulk and general cargo transportation options via all of Canada’s major railways, as well as road access. The terminal is well positioned to handle any breakbulk cargo and is equipped with “rotainer” capabilities, three quay cranes and covered storage capabilities.

The Fairview Container Terminal in Prince Rupert is a dedicated intermodal facility that’s been purpose-built to provide a high-velocity gateway for transpacific container trade. Since DP World took over operations back in 2015, cargo volumes have grown to over one million twenty-foot equivalent units (TEUs), which can be credited to the significant investments in equipment and infrastructure that have been made over the last several years.

DP World in Saint John uniquely provides container stuffing/ destuffing, breakbulk and cargo handling solutions within a

designated on-terminal facility. The multimodal terminal serviced by three Class 1 railways offers the closest and most efficient access to North and South American and European markets at competitive costs. DP World Nanaimo offers fast and direct connections to and from Canada. The deep-sea multipurpose terminal offers efficient shortsea container shipping and breakbulk and cargo services. The terminal also boasts four acres of dedicated space for lumber stuffing and more than 25 acres of waterfront storage.

Q: Which sectors would you deem particularly important for breakbulk and project cargo operations in Canada? Are there any specific industries that are driving growth or shaping demand at your terminals?

A: DP World’s Canadian terminals are strategically positioned to serve a diverse range of industries, each influencing the terminal operations in unique ways due to their regional relevance and commodity-specific requirements. DP World ports in Canada handle breakbulk from any sector: marine services and agriculture to lumber and automotive. For example, our terminals on the West Coast serve as a key hub for handling breakbulk cargo such as lumber and forest products.

Through DP World’s partnership with Canpotex, our Saint John terminal has been handling potash, which is a crop nutrient that is crucial for global food production. These operations are indicative of the sectors that not only drive growth but also shape the demand dynamics at our terminals.

Scott Weston

Q: Are there any planned or ongoing expansion projects at DP World’s facilities in Canada? If so, can you share details about the scale and scope of these projects?

A: DP World is actively engaged in several expansion projects at our Canadian terminals, with some recently completed and others still underway. Earlier this year, Port Saint John finished the first phase of the US$205 million West Side Modernization Project, which more than doubled its capacity to 325,000 TEUs and generated hundreds of local jobs. The project also brought in a new berth development and two new cranes that will allow Port Saint John to welcome larger vessels and accelerate throughput. With the completion of phase two expected by the end of next year, the West Side Modernization Project will bring more efficiency and fluidity to the Canadian supply chain.

At Nanaimo, the expansion of Duke Point Terminal includes the extension of the existing berth to 325 meters for international vessels and the replacement of the current diesel quay crane with two electric ones to optimize operations. The project will finish in 2026 and will connect Nanaimo to global markets while supporting local communities. Additionally, the 2023 completion of the Centerm Expansion Project in the Port of Vancouver, which added two super-post Panamax cranes and increased throughput capacity to 1.5 million TEUs, represents a significant investment in the future of international trade and helps position British Columbia as a leader in sustainability.

Q: DP World has recently deployed some innovative shipping methods to improve its operations, such as “rotainers.” Can you explain how these are being utilized in Canada and what benefits they provide in terms of efficiency and safety?

A: DP World in Fraser Surrey is the first marine terminal in Western Canada to export dry bulk cargo using rotating containers, or rotainers. These specialized containers are rotated 360 degrees within a ship’s hold to efficiently unload the contents. This method significantly enhances the safety and efficiency of the cargo handling process by maintaining a fully sealed system from mine to ship. Additionally, around the hatch of each vessel’s hold is a mobile dust suppression unit that emits atomized water to eliminate fugitive dust, minimizing the environmental impact and the risk of product loss or contamination.

Q: Can you outline some other exciting solutions for handling bulk cargo that DP World has incorporated or plans to incorporate into its operations?

A: DP World uses unique shipping methods for bulk cargo across our Americas region and globally. For our roll-on, roll-off (RoRo) offerings, we developed a state of the art “Cars in Containers” solution, which allows us to fit more cars in 53-foot shipping

containers and transport them by rail. These containers accommodate up to six vehicles versus the traditional four in a 40-foot container. We have been using these rail cars to transport finished vehicles from Mexico into the U.S.

Additionally, DP World has been ensuring our terminals can handle any kind of bulk cargo that comes our way. For example, at Brazil’s Port of Santos, DP World has partnered with Brazilian railway operator Rumo to build a terminal capable of handling 12.5 million tons annually of grains and fertilizers. DP World is continuing to uplevel our equipment offerings as well, prioritizing sustainability and efficiency. At the Port of Callao in Peru, we have added state-of-the-art electric equipment and have just built the first electric charging station for trucks in Latin America. This is all exciting stuff, but truly it’s just the beginning. We are focused on expanding the way we store and ship every kind of cargo globally.

Q: DP World will be participating as an exhibitor and sponsor at Breakbulk Americas. Who do you hope to connect with at the event and what relationships are you looking to establish or strengthen?

A: We are thrilled to be returning to Breakbulk Americas this year. The great thing about Breakbulk events is that they bring together industry leaders from across different sectors to discuss the evolution of the breakbulk market. We are looking forward to meeting potential customers, but also hearing insights from leaders on topics such as AI, sustainability and automotive, and discussing how we can better partner to ensure a smoother and more efficient breakbulk journey.

DP World is a Breakbulk Global Port Partner.

DP World handling breakbulk at Nanaimo, Canada. Credit: DP World

to g, oting women in the maritime industry through sharing knowledge and continuing education.

1,000 Members in U.S. + 4 Other Countries 250+ Companies Represented Events Hosted in 2023 83

MEET THE NEWEST MEMBERS OF WOMEN IN BREAKBULK - AMERICAS NETWORK

Enjoy the Women in Breakbulk Lounge on the exhibition floor, next to the Global Shipper Lounge. Relax, network and recharge in this all-new space, offering complimentary headshots on Wednesday and refreshments throughout the show. Free admission for Women in Breakbulk members –join at https://americas.breakbulk.com/page/women-in-breakbulk-form

Anat Mey-Paz, CEO, Exhilog

Don’t ever underestimate the importance you can have because history has shown us that courage can be contagious, and hope can take on a life of its own.

Andrea De Santos, Project Manager, Noatum Project Cargo

Be constantly updating, have established objectives and always fight for your ideals.

Brandy Kviten, Terminal Manager, Santini Export Packing

Networking with other women in the industry is extremely important to building relationships.

Brittany Bolton, Senior Project Coordinator, deugro

Stand up for yourself and your beliefs. Be heard!

Brooke Reiley, Director of Marketing, Atlantic Logistics

Advocate for yourself and make your presence known. Don’t be afraid to negotiate for what you deserve, whether it’s a promotion, raise or additional responsibilities.

Danielle Hopkins, Account Manager, deugro USA

Support other women, and build each other up. Give compliments and show compassion to each other because we are stronger together!

Danielle Srour, Global Pricing Manager, Stelno Logistics Services

Embrace learning new things, jump into more challenging roles and use new experiences to grow when opportunities are presented.

Diana Cortes

Marketing and International Sales Servygru Allroads S. de R.L. de C.V Mentorship, continuous education and collaboration are key to advancing your career and lifting others along the way.

Elizabeth Macin, Industry Consultant

Never forget your capacity to be surprised and curious.

Emily Carruth, Business Development Manager, Gebruder Weiss

Never be afraid to stand your ground.

Emily Lai, Deputy Chief Surveyor, Gulf Ports, National Cargo Bureau

Trust your gut, ask questions and don’t be afraid to try new things.

Indira Peralta Villalobos, Project Manager Logistics Mining & Renewables, DMI Projects Global Logistics

Más unidas y mayor contacto y colaboración. (More united and greater contact and collaboration.)

Jenene Martin, Director of US Freight Forwarding Sales, DP World Americas

Never give up – keep learning.

Jessica Nguyen, Trade Development Manager, Port Houston

Focus on building a strong network and keeping up with industry changes. Sharpen your technical skills, and communicate clearly and confidently.

Kasey Eckstein, Founder & Executive Director / President, WIMOs / Eckstein Trade & Transport “ET&T”

Certain individuals throughout your career will attempt to bring you down with their words. When you’re uncertain on how to react, be kind. You’ll never regret being kind. Let your success be your revenge, not your words.

Katherine Humbird, Assistant Sales Manager, Watco

Be confident in yourself. Don’t be intimidated by the industry, there is always something new to learn.

Kattya Distefano, Founder, Kattya & Co.

Be brave and bold - when you say yes to you the world moves better.

Lisa Riley, Director, JAS Forwarding (USA) Inc.

Keep your eye on the facts, facts and qualified analysis will win the day.

Pam Holdrup, Principal, Proven Logistics Solutions

Get to know folks in all aspects of the industry. Share your knowledge too.

Samantha McCurry, USA Logistics Manager, Fugro USA

Never quit. Always look for opportunities to grow in your field and the fields around you.

Samantha Shaver, Owner/VP Marketing, Shaver Transportation United States

Believe in yourself. Have confidence in your abilities and the hard work you have put in to be successful.

Sandra Guadarrama, Sr. Project Logistics Manager, Linde Engineering

Compete with yourself only, be open to learn from others every day, and most importantly, share the knowledge.

Savanna Vandehei, Port State Control Officer, U.S. Coast Guard

Take care of yourself! If you aren’t giving time back to yourself, you’ll quickly run out of time to give to others.

Scotti Green, Director of Sales, Equipment Management Services

Don’t just dream about success, work hard to earn it.

Soledad Pino, Project Manager, Noatum Logistics

Women are essential to our industry since we bring a different to approach to problems and can offer creative solutions.

Stephanie Esparza, Terminal Manager, Galveston, Ports America

Don’t feel like you have to lower your standards or tolerate unprofessionalism. You deserve to be treated with respect and should accept nothing less.

Taylor Dickerson, Vice President of Project Management, Kirby Corporation

By cultivating a network of allies and staying committed to your goals and morals, you can overcome adversity and thrive in this industry.

Vandana Solanki, Manager Commercial Breakbulk, Victore Ships Pvt Ltd

Build a strong network and seek mentorship to navigate the industry. Be assertive, confident and advocate for diversity and inclusivity.

Victoria Malbrough, Process and Control Specialist, Shell

Don’t wait for permission to be heard— trust in your skills and make your voice part of the conversation.

INTRODUCING ROUND TABLES

Extend the

conversation around key Main Stage topics with colleagues and experts

Breakbulk’s brand-new thought leadership program Round Tables is a series of 30-minute-long peer group discussions following select Main Stage sessions. Groups of up to 10 industry professionals will gather to gain a deeper understanding of the issues impacting the industry and work together toward identifying solutions and the action steps needed for success. Moderators and panelists from the corresponding sessions will join the groups.

Why join?

In addition to gaining knowledge about an issue of interest, Round Tables offers a networking opportunity not found elsewhere at Breakbulk Americas. You’ll connect with other industry professionals who share your interest, including many of the session speakers. The small group format allows for meaningful connections – ones that could lead to business opportunities in the future.

Where: The Round Tables area adjacent to the Main Stage

Sign up: To guarantee a seat, use the Breakbulk app to reserve your place at the sessions you’d like to attend. Walkins will be accommodated if possible.Get the app: https:// americas.breakbulk.com/page/breakbulk-meet-app

Schedule (Subject to change based on advance reservations)

Wednesday, Oct. 16

Session/Round Table Topic

Change to Fleet Capacity Issues

11:55am - 12:30pm

Discuss critical strategies and best practices for planning fleet capacity in the ever-evolving landscape of breakbulk and project cargo logistics.

What Shippers Want From Logistics Partners

12:55pm - 1:30pm

Share lessons learned on winning business from shippers, including shippers’ priorities, aligning shipper-supplier goals and presenting proposals that meet expectations.

Decarbonization Strategies

2:00pm - 2:30pm

How to respond to a shipper’s brief stipulating zero carbon emissions.

Energy Transition

3:10pm - 3:40pm

Discuss trends, opportunities and challenges in the energy sector, along with innovative approaches to secure and execute new energy projects.

Thursday, Oct. 17

Navigating Project Logistics Uncertainty 11:20am - 11:50am

Supply chain disruptions, price volatility, regulatory changes and geopolitical factors will come into play as you collaborate on ideas to reduce risk, increase agility and leverage technology.

The Talent Gap

12:20pm - 12:50pm

Share insights on innovative recruitment strategies, effective training programs and retention strategies for the new workforce.

CELEBRATING THE COMPANIES ENERGIZING THE WORLD

Energy cargoes are the backbone of global infrastructure and progress. We invited ocean carriers, heavy haulers, project forwarders, EPCs, energy companies and others in the sector to show us their most impressive work. Here are the Top 10 from 33 entries, determined by popular vote of over 8,100.

Companies

Meet us at Breakbulk Americas, Stand M36

Bragg used their Scheuerle 12-line dual lane trailer to transport the second reactor from the Port of Long Beach to the Bragg Long Beach Yard

United States

Credit: Juan Juarez

DeMase Warehouse Systems, Inc.

Meet us at Breakbulk Americas, Stand M06

Helping create a better tomorrow one transport at a time

United States

Credit: DeMase Warehouse Systems

Bragg

Express Global Logistics Pvt Ltd.

EXG handles two 325MT absorption towers at Kutch copper plant in Mundra India

Credit: India Express Global Logistics

CMA CGM

Meet us at Breakbulk Americas, Stand E30 Loading Siemens turbine onto container ship United States Credit: Motion Filmworks

deugro

A 250.5 tonne transformer on its 530-kilometer on-carriage from the Port of Houston to Fowlerton, Texas

United States

Credit: deugro

UTC Overseas

Meet us at Breakbulk Americas, Stand D21

Transporting a massive 500,000-pound transformer from Houston to Salida, navigating the challenging Sierra Madre mountains United States

DHL Industrial Projects

Meet us at Breakbulk Americas, Stand T40

Delivering essential equipment for an oil refinery expansion in the UK

United Kingdom

Credit: DHL Industrial Projects

Encompass Logistics - Agent for ATG

Meet us at Breakbulk Americas, Stand B09

79,000-pound lithium ion battery energy storage system (BESS)

United States

Credit: Encompass Logistics

Zuidnatie

Breakbulk handling by night

Belgium

Credit: Zuidnatie

dship Carriers

MV Charlie – Lifting Giants to New Heights

Germany

Credit: Malte Dibbern

Bookmarked

CAN WE CHANGE COURSE IN FIVE YEARS?

Exploring Insights from Blair Sheppard’s Book, “Ten Years to Midnight” on Urgent Global Crises and Their Impact on the Supply Chain Recommended by Brian Putallaz, Breakbulk Global

In Blair Sheppard’s book “Ten Years to Midnight,” the author presents a compelling case for the urgent timeframe within which the world must address four critical global crises to avoid catastrophic consequences. Here, “midnight” symbolizes a point of no return or a critical tipping point for humanity and the planet. Published in 2020, nearly half the allotted time has passed.

As the global leader for strategy and leadership at PwC and former dean of Duke University’s Fuqua School of Business, Sheppard brings a wealth of experience to this critical discussion. He cites post-World War II decisions, still in play today, as the cause of the predicament we

AT BREAKBULK AMERICAS…

Join the Breakbulk Global Shipper Network for free tickets to all Breakbulk events, exclusive parties and more.

Visit: americas.breakbulk.com/page/ breakbulk-global-shipper-network

Shipper Network Member

find ourselves in, saying “If we try to employ answers copied directly from those who guided us in the post-World War II period, we will be relegated to watching or, worse, participating in exacerbating our problems and cause irreversible harm.”

Through conversations around the world, Sheppard noticed a common thread of concerns, which he has distilled into what he dubbed as the ADAPT framework: asymmetry of wealth; disruption brought on by the unexpected and often problematic consequences of technology; age disparities –stresses caused by very young or

very old populations in developed and emerging countries; polarization as a symptom of the breakdown in global and national consensus; and loss of trust in the institutions that stabilize society. These concerns are in turn precipitating four crises: a crisis of prosperity, a crisis of technology, a crisis of institutional legitimacy, and a crisis of leadership.

In the second half of the book, Sheppard offers practical, and at times, counterintuitive solutions. For instance, in an age of globalization, he argues that we need to develop local, self-sustaining economies. He urges computer scientists and engineers to balance their number-oriented approaches with psychology and sociology; he wants poets who can code.

He advocates for more public-private partnerships, and most importantly, a new kind of leader. “Global leaders must have contradicting strengths to be successful,” Sheppard says. “We need people who are both technologically savvy and who deeply understand human beings;

Brian Putallaz

people who are massively humble, but incredibly heroic; people who are good at navigating politics, with a deep sense of integrity.”

Sheppard’s analysis serves as a wake-up call for the world: How will we rise to meet this moment to create a better future?

The Big Idea

When Brian Putallaz called with his recommendation of Sheppard’s book to Breakbulk, he also brought an idea – would we be interested in hosting a fireside chat between himself and Sheppard where they could discuss how the information in “Ten Years to Midnight” could affect the supply chain for industrial projects? The answer was a resounding, “yes.” At this year’s Breakbulk Americas, a podcast-style conversation between the two will be the centerpiece of a reception for shippers and carriers.

Breakbulk Magazine will cover the insightful discussion in the annual outlook issue available this November.

Editor’s note: Bookmarked will be a regular feature as we move into 2025. If you have a book recommendation, please let us know. Email: leslie.meredith@breakbulk.com

Author Blair Sheppard will join Brian Putallaz at this year’s Breakbulk Americas for a podcast-style conversation.

Credit: Blair Sheppard

ONLY IN TEXAS

In town for Breakbulk Americas? Make the most of your time with these one-of-a-kind experiences that’ll have you saying, “Only in Texas!”

Visit the Space Center Houston Explore over 400 space artifacts, immersive exhibits and interactive experiences, including a walk through the Skylab Trainer, the actual trainer that was used to prepare astronauts for America’s first space station. spacecenter.org

Walk Along Buffalo Bayou A 160-acre green space just west of downtown Houston, Buffalo Bayou Park offers scenic views of the downtown skyline with kayaking and walking trails. buffalobayou.org/location/buffalo-bayou-park

Most Authentic Tex-Mex in Houston Opened in 1973 by “Mama” Ninfa Laurenzo, visit Ninfa’s on Navigation to enjoy traditional dishes made with family recipes passed down through generations. ninfas.com/ninfas-on-navigation

Republic Boot Co. is one of Houston’s most beloved places to buy both stock and custom boots. www.republicbootcompany.com

Credit: Buffalo Bayou Partnership

Texas Longhorns

These iconic cattle, known for their impressive horns that can span up to seven feet, are a symbol of Texas ranching culture. You can see the official state herd at the Fort Griffin State Historic Site near Albany. thc.texas.gov/historic-sites/officialstate-texas-longhorn-herd

Line Dancing

A Texas favorite in honky-tonks across the state, line dancing will be part of the fun at The Rustic After-party, following Breakbulk America’s welcome reception on Tuesday evening. americas.breakbulk.com/page/ after-party-at-the-rustic

Best Pecan Pie in Houston

You’ll find the best pecan pie right here in Houston at Goode Company BBQ. Order online if you want to take one home or send it as a gift. shop.goodecompany.com/collections/all-pies

Step Into Jurassic World Explore environments inspired by the films, coming face-to-face with life-sized dinosaurs, including the mighty Tyrannosaurus Rex and the deadly Velociraptor. jurassicworldexhibition.com/houston

PORT HOUSTON - POISED TO GET BIGGER AND BETTER

New Chief Executive Officer Charlie Jenkins Speaks to Breakbulk Magazine Ahead of Breakbulk Americas in Houston

By Luke King

Taking the helm at Port Houston – the largest in the U.S. by waterborne tonnage – new CEO Charlie Jenkins has a simple mission: “To leave it better than I found it.”

The 34-year Port Houston veteran, most recently chief channel infrastructure officer, credits his predecessor, “friend and mentor” Roger Guenther with meeting the same test, and told Breakbulk of a program of improvement works that are expected to deliver bigger and better facilities for project cargo customers in the coming years.

Chief among them is Project 11 – a scheme of works already underway, and fully financed by Congress – that includes the deepening of the Houston Ship Channel. The aim is to improve navigation safety and facilitate the ever-larger vessels that need to transit Houston’s nationally-significant waterway.

Dredging began in 2022 and the process is expected to finish in 2028. “A

lot of that infrastructure in the upper channel has not been improved for generations,” says Jenkins.

“In terms of capacity, the depth of the water at the Turning Basin, for example, has not been improved since the 1950s. Right now, we’re at the point of a generational change up at the Basin, deepening it by four feet and working in partnership with the Army Corps of Engineers.”

A long-hoped for replacement of the 610 bridge, which straddles the Houston Ship Channel and provides just 135 feet clearance below, is another priority for Jenkins. “It’s a massive project to rebuild that bridge, with more capacity, make it a little bit higher, a little bit longer – that’ll be a very important project for the community,” he said.

While Jenkins acknowledges it’s not directly in the port’s remit to commission a bridge replacement project, he adds: “I’ll tell you, we do have some political clout, and that clout will be directed to help getting that bridge done.”

Largest Breakbulk Facility

While Houston is a major container port, its volumes also include an estimated 15-20% of breakbulk and project cargo – a substantial share of the Port Houston cargo mix.

“We’re very proud to operate the largest breakbulk multi-cargo facility in the United States,” says Jenkins. “We do have the largest steel complex and project cargo complex and we’re continually investing in that infrastructure to support general cargo, both waterside and landside.

“We’re also committed to developing our workforce to ensure they’re well-equipped with the skills necessary to accommodate the diverse cargo we handle.”

Port Houston facilities include four public general cargo facilities at the Turning Basin, Woodhouse, Jacinto Port and Care Terminals, as well as two private breakbulk facilities in the port –“all of which work to support Houston’s breakbulk industry,” says Jenkins.

“THE IMPORTANCE OF BREAKBULK AMERICAS IS VERY SIMPLE - THIS INDUSTRY IS ABOUT RELATIONSHIPS AND AT BREAKBULK, THAT’S EXACTLY WHAT YOU DEVELOP. YOU TALK, YOU EXPRESS, YOU EXPLAIN, YOU

- CHARLIE JENKINS

“So the channel’s being deepened, the bridge is going to be improved in the next few years and I think all of that is going to shift some of the market dynamics and the cost structure for our port’s part of the supply chain. This is a chance to offer more resource, more capacity.”

Jenkins joined Port Houston in 1990 after attending graduate school, holding “many different roles with increasing responsibilities.” He has led numerous departments in the organization, including container operations, strategic planning, environmental affairs, the grants department, financial planning, Bayport container and cruise development.

Of his promotion to chief executive officer on September 3, Jenkins says: “You know, it’s fantastic – very humbling and an honor. I’ve had many different leadership opportunities and a promotion like this was something that I always

Charlie Jenkins was appointed chief executive officer of Port Houston on September 3.

Credit: Port Houston

wanted, though I was equally happy to be a teammate supporting those in charge.

“I love Port Houston. I love what I do here and, I’m very glad I stuck it out because now I get a chance to try my hand on the tiller. I’m excited for it.”

“Smart People” Around Him

A “busy person” who struggles to switch off and doesn’t much care for watching TV, Jenkins says he intends to listen to the “smart people” around him.

As well as Port Houston’s 900 direct employees, he singles out the port commission, which he likens to a “secret sauce” in the organization’s success.

Away from work, the married father-of-three loves to hunt, fish and golf.

“I believe in working very hard and playing very hard. I’m just a busy person, it’s in my nature. I always feel like I have a lot of things I can do and accomplish, and I love the feeling of achieving results,” he says.

As he reflects on the many

changes he’s seen in the last three decades, Jenkins recalls a little of the port’s history. “We didn’t engage in the container market with any significance for quite a while up until the seventies when we built Barbour’s Cut Terminal,” he remembers.

“What happened around the rest of the world is that everybody converted their general cargo facilities into container facilities, and we didn’t. We realized the size of what these ships would likely be, and the cargo, and our forefathers were very wise in not putting the containers downtown –they moved them far outside of Houston to Barbour’s Cut.

“We therefore have a very significant number of general cargo facilities that haven’t been repurposed like at other ports.”

Tracking the Changes

In one of his last chats with Roger Guenther, the pair shared a laugh about their early days at the port. “We both worked weekends, and we had pagers,” Jenkins said. “And you had to carry quarters in your pocket, so if your

pager went off, you had to find a pay phone wherever you were. My, how times have changed!

“When you just think about the change in effectiveness and efficiency and the process changes to support that, and then the people changes linked with that, it’s been amazing. And there’s more to come, right?

“There’s always more that we will look to do better, cheaper, faster and with less risk. It’s just been an amazing ride in a place that has been growing –you know, the port itself has easily doubled in my career, even more than that.

“We’ve just become a very, very successful economic machine for the maritime industry, driving enormous amounts of cargo, and it it’s still growing. That snowball is gaining momentum – it’s not slowing.”

According to port calculations, Port Houston supports 1.54 million jobs in Texas, a further 3.37 million jobs nationwide and economic activity worth $439 billion – nearly 20% of total gross domestic product in Texas.

Port Houston’s cargo mix includes an estimated 15-20% of breakbulk and project cargo.

Credit: Port Houston

Unique Chance To Meet the Market

Turning to the Breakbulk Americas event taking place this October at the George R. Brown Convention Center in Houston, Jenkins said: “Breakbulk was the first interview I gave since my appointment, and we appreciate all the opportunities.

“For me, the importance of Breakbulk Americas is very simple – this industry is about relationships and at Breakbulk, that’s exactly what you develop. You talk, you express, you explain, you build trust and you follow-up with proven good business.

“It’s about meeting people. It’s about learning about what’s going on, staying on top of the game, and sharing our capabilities with the rest of the marketplace, to see how we can leverage those together.

“We’re excited Breakbulk is coming to Houston again.”

Involved in the project cargo industry since 2007, Luke King is managing editor of Breakbulk

Charlie Jenkins will deliver opening remarks at Breakbulk Americas in Houston on Wednesday, October 16.

*Breakbulk Exhibitor

Port Houston has 900 direct employees and supports 1.54 million jobs in Texas. Credit: Port Houston

RED VS. BLUE US ENERGY UNDER THE SPOTLIGHT

By Simon West

Opportunities for Collaboration Will Emerge, Regardless of Who Prevails in Election

The U.S. elections have turned the spotlight on the nation’s energy sector, with Democrats and Republicans offering contrasting visions on issues ranging from fossil fuels to renewables. But areas of cooperation are set to emerge regardless of who triumphs in November.

Key opportunities for bipartisan collaboration such as the Energy Permitting Reform Act of 2024, a bill put forward by Sen. Joe Manchin, I-W.V. and Sen. John Barrasso, R-Wyo. to speed up approvals for new energy and mineral projects across the U.S., suggest the future of American energy may be shaped as much by common ground as by division.

“Energy and transportation, which we obviously care about in breakbulk and logistics, is a bipartisan concern,” said Marco Poisler, chief operating officer (COO), global energy and capital projects, at UTC Overseas. “It doesn’t really matter who’s on top, we’re all concerned with energy and transportation needs.”

Some sectors such as critical minerals, semiconductors and nuclear power can look forward to ongoing support, no matter who occupies the

White House or controls Congress. For other industries, the outlook is less certain.

Offshore Wind Gains

A surefire success story for the Biden-Harris administration has been the buildout – almost from scratch – of offshore wind. By early September, the Interior Department had approved more than 15 gigawatts (GW) of capacity – enough to power 5.25 million homes. The American Clean Power Association (ACP) estimates that 14 GW of offshore wind will have been deployed by the end of the decade, rising to 30 GW by 2033 and 40 GW by 2035.

However, Donald Trump is no supporter of the industry. At a New Jersey rally in May, he reiterated his hostility toward the sector, vowing to shut down offshore wind projects “on day one” if re-elected.

Marco Poisler

Rachel A. Meidl, a fellow in energy and sustainability at the Center for Energy Studies at Rice University’s Baker Institute for Public Policy, said that regardless of the congressional result (alongside the presidential election, all 435 seats in the House and 34 of the seats in the Senate will be contested), Trump could take executive action to stall further buildout directly or indirectly. Such action could involve dragging out review processes for alternative energy and electrification projects, halting loans or other incentives and raising prerequisites for the eligibility of projects.

Executive powers, which could also include Trump’s appointment of a Republican chairperson of the Federal Energy Regulatory Commission, could be deployed against the electric vehicle (EV) and battery sectors as well, Meidl said.

Kamala Harris, meanwhile, has vowed to continue Biden’s climate legacy and invest in renewables. During the ABC News presidential debate on September 10, the vice president, an early sponsor of the Green New Deal, made no mention of offshore wind, but did stress how the U.S. must invest in “diverse sources of energy” to reduce its dependence on foreign oil. She also hailed clean energy as a driver of manufacturing and jobs.

According to Meidl, a Democratic win would see tax credits and incentives under the Inflation Reduction Act (IRA) – Biden’s acclaimed climate change law that has seen millions pumped into green energy projects – likely extend and expand. “If Republicans win, then amendment, repeal or reduced funding for the IRA is on the cards,” she added.

Offshore wind, though, would still face hurdles, even under a Harris-Walz (Tim Walz, Harris’s running mate and the governor of Minnesota) administration. Colin D’Abreo, Vice President and Director of Project Logistics – Global at Rhenus Logistics

said offshore renewables development should be a “top priority” for the next administration, with investment in ports, transmission lines and maintenance facilities deserving “special attention.”

“Currently, the Jones Act presents challenges, as we do not have the proper vessels or tonnage to support this industry,” he said. “In contrast, Europe has a strong offshore sector that generates many job opportunities, not only for the project logistics sector but also for other ancillary fields. The U.S. could adapt these successful strategies from Europe.”

Timothy Axelsson, director offshore wind at U.S. offshore supply chain provider Liberty Green Logistics, told Breakbulk he would like to see a fast tracking of the permitting process at the Bureau of Ocean Energy Management (BOEM), the federal body that oversees leasing and permitting for offshore projects.

Vessel financing, port development, an energy security program and more government initiatives to recruit, train and retain a qualified work force to construct and operate offshore wind farms were also on the director’s “wish list.”

Drill, Baby, Drill

Wind aside, Trump has vowed to boost domestic energy production, slash regulations, streamline permitting and end “market-distorting restrictions” on

oil, natural gas and coal. The former president’s policy platform, laid out in the 16-page document “Make America Great Again,” has been approved by the GOP and includes a promise to turn the U.S. into “the dominant energy producer in the world.”

“Republicans will unleash energy production from all sources, including nuclear, to immediately slash inflation and power American homes, cars and factories with reliable, abundant and affordable energy,” the platform says in a chapter on building the “greatest economy in history.”

Rob Benedict, vice president of petrochemicals and midstream at American Fuel and Petrochemical Manufacturers (AFPM), welcomed a further GOP pledge to cancel Biden’s rules to mandate the production of EVs while phasing out gas-burning cars and trucks.

“We’re encouraged that his policy platform includes strengthening U.S. energy and manufacturing and that it specifically calls for eliminating government vehicle mandates, which would apply to both EPA’s tailpipe regulation – a policy that will effectively ban most new gas-powered cars by 2032 – and California’s full ban on sales of new gas and traditional hybrid vehicles by 2035,” Benedict told Breakbulk

Wednesday, Oct. 16 2:20pm - 3:00pm

Colin D’Abreo

But the executive expressed concern about Trump’s position on tariffs. During the campaign trail, the former president has proposed a 10% hike on all U.S. imports paired with a 60% tariff on imports from China. Harris, on the other hand, would likely stick with the government’s “targeted tariffs” policy on specific Chinese goods.

“Global petrochemical demand is rising, and American manufacturers are poised to help meet that demand,” Benedict said. “We don’t want to see aggressive tariffs spur retaliatory policies that raise costs, blockade access to global markets or otherwise jeopardize our opportunity for global petrochemical leadership. The refining and petrochemical industries, and our markets, are global. We need policies that promote free and fair trade, and allow us to make the most of our advantages.”

Brian Putallaz, a member of Breakbulk’s Global Shipper Network, noted that neither Republicans nor

Democrats appeared to be advocating for reduced trade barriers. “Whether it be via tax incentives or via tariffs, I foresee a continued push in the increase of local content and domestic manufacturing requirements, regardless of who wins the White House,” he said.

Trump, meanwhile, has lambasted Kamala Harris for her alleged opposition to fossil fuels. “If she wins the election… oil will be dead,” the former president said during the ABC News debate.

The Democratic candidate has distanced herself from previous comments she made about hydraulic fracturing, or fracking, the controversial drilling technique that deploys a high-pressure mix of water, sand and chemicals to unlock shale oil and gas. Fracking is big business in the battleground state of Pennsylvania, a major producer of natural gas.

“I will not ban fracking. In fact, I was the tie-breaking vote on the Inflation

Reduction Act, which opened new leases for fracking,” Harris said during the debate, before reminding listeners that U.S. hydrocarbon production under her and Biden had surged to record levels – thanks in part to fracking – despite the administration’s focus on fighting climate change.

The vice president has also kept tight-lipped on the temporary “pause” on approvals of liquified natural gas (LNG) exports to non-free trade agreement (FTA) countries.

The Biden administration announced the freeze in January on climate grounds, although a court in July put the measure on hold while a legal challenge by Republican states played out in front of federal authorities. Detractors believe such a pause is unconstitutional, hurts local economies and deters investment in new facilities.

A Call for “Certainty”

Matt Armstrong, vice president of global government and regulatory

affairs at energy technology company Baker Hughes, said the next administration must focus on reducing the unpredictability of all long-lead, strategic energy projects.

“We should start by prioritizing the resumption of U.S. LNG export approvals by the Department of Energy, affirming supply-side policies that embrace the country’s natural resources and accelerate geothermal, hydrogen and carbon capture infrastructure and cutting red-tape to assure these projects can actually get built, along with the transmission lines, pipelines and storage infrastructure needed to meet growing global energy demand while meeting our net-zero commitments,” he said in an email.

Long-term stability could hinge on the readiness of policymakers to reach across the aisle. The divisive and often fractious state of U.S. politics over the last decade did not prevent the required support in 2021 of a US$1 trillion bipartisan infrastructure deal –a sign of the willingness of lawmakers

to collaborate when it comes to strategic, national interest.

D’Abreo said the law had had a “particularly positive impact” on logistics, especially in the heavy cargo transportation segment.

“We have seen significant improvements in bridge infrastructure, which have facilitated faster permit approvals by reducing the need for extensive bridge engineering analyses,” the executive said. “Enhanced road infrastructure has also contributed to smoother and more efficient transportation. The improvements in roadways and bridges allow us to take on more ambitious projects, which in turn creates additional opportunities for logistics.”

The bipartisan Manchin-Barrasso energy permitting bill, meanwhile, has already been approved by the Senate Energy and Natural Resources Committee and has dropped in the full Senate for debate. Proponents say the bill would streamline the application process for energy permits, guarantee

a minimum number of lease sales per year, end Biden’s ban on LNG exports, bring down prices and create domestic jobs.

Justin Williams, vice president of communications at the National Ocean Industries Council (NOIC), a non-profit representing the U.S. offshore sector, said the provisions in the bill including those for offshore crude and gas lease sales, already enjoy bipartisan support.

“The legislation provides future certainty,” Williams said. “It ensures that the next administration, regardless of candidate or party, follows policies recognizing the vital contributions of all forms of domestic energy to America’s prosperity. Advancing smart domestic energy policies is not just an industry concern; it’s an American issue that benefits every citizen.”

Colombia-based Simon West is senior reporter for Breakbulk.

*Breakbulk Exhibitor * BGSN member

Rhenus Logistics loads oversized components at a U.S. port.

Credit: Rhenus Logistics

MAMMOET KEEPS

THE MODULES MOVING AT WORLD’S BUSIEST AIRPORT

Heavy-Lifting and Transport Specialist Plays Key Role in Innovative Modular Expansion Project at Hartsfield-Jackson, Atlanta

By Felicity Landon

When plans were being drawn up to expand passenger facilities at Hartsfield-Jackson Atlanta International Airport, the challenges included security, safety and scheduling efficiency – not to mention minimizing disruption to operations and passengers at the world’s busiest airport.

Concourse D, the airport’s smallest and narrowest concourse, is being expanded to enable it to handle larger aircraft and cater to more passengers,

The modular approach was the best solution for reducing time spent going in and out of the security area by trucks entering and leaving and construction workers on site.

including widening the 44-year-old facility from 60 to 92 feet. This has necessitated building modules at a temporary construction yard set up on the south end of the airport, just north of the airport’s fifth runway, and over a mile from the concourse expansion site.

The main contractor for the project, a joint venture of Holder, Moody, Bryson and Sovereign (HMBS), subcontracted to Mammoet the task of lifting, transporting and delivering

the modules to the construction site –involving meticulous planning and designing a custom solution for supporting the modules as they are lifted individually by a Self-Propelled Modular Transporter (SPMT). The modules are then carefully moved along 1.25 miles of airport runways and taxiways.

Mammoet is currently contracted to move ten modules in the first two phases of the expansion plan on the north side of Concourse D. “Planning started in 2022, we performed a test in February 2024, and we moved the first module in April, followed by four more over four weeks,” said Mammoet engineer and team lead Jay Solomon.

“In September we will carry out another test lift because the next five modules are a different size. Then, in January 2025, we will start to move the second batch.”

Finding the Best Solution

The modular approach was the best solution for reducing time spent going in and out of the security area, trucks entering and leaving, construction workers on site, and so on. “Because the modules are being built on airport property, it is easy to transport them and there is no need for large cranes inside the facility,” said Solomon.

Each of the first five modules moved measured 32 feet wide and 43 feet tall, with lengths ranging from 96 to 192 feet and a maximum weight of 583 metric tons. Most of the mechanical, electrical and plumbing fitting out was completed before moving; each steel module, with concrete decks, was fitted with metal panels on the outside and glass windows already installed.

Mammoet has been working closely with HMBS and the design engineers, Thornton Tomasetti and Sykes Consulting. Efforts were made to find a way to lift and transport the modules, based on the JV’s ideas, but there were challenges.

The lift points were placed in positions which meant the module could

Credit: Mammoet

not be picked up in the middle since this could crack the concrete. The solution was to design a grillage support system to be placed between the module and the SPMT.

“We drive the SPMT underneath the module with the grillage designed according to the lift points, i.e. movable and adjustable,” said Solomon.

The transport has required 92 axle lines of SPMT with four power packs, with up to nine support locations and some axles shut off when required to create less bending. Further analysis of the structure and trailers led to the creation of some temporary bracing to ensure that nothing over-flexed during the move, leading to a crack in the module.

An additional challenge was that each module had to be set down into the ground at a greater differential than the plus/minus one foot typically allowed for on an SPMT. “We deployed 18 climbing jacks to help assist with the elevation difference,” explained Solomon.

Navigating Airport Restrictions

Physical management was only one part of the puzzle – Mammoet also had to work around time restrictions to allow the busy airport to continue operations. The first five modules were moved over five weeks, with the time allocated in each case between 1am and 4am on Wednesday.

“We had a three-hour window to move the unit, and we moved each one within one-and-a-half hours,” said Solomon. “So we were ahead of schedule each time.”

Each week, in a pre-set schedule, one module was moved into place early Wednesday morning. The SPMT remained onsite at least 24 hours to assist with and ensure the module was perfectly aligned, then the SPMT was driven back across the runways empty, to be reconfigured back at the construction site, ready to load and move the next module the following week.

Security was a major consideration. Before any opening of the fence into the airport, an outer layer of security was in place to cover the construction yard. Everyone entering the yard had to be pre-approved, with extensive background checks, ID and documentation processes.

Prior to moving each module, airport security came to the yard to carry out detailed inspections. Sniffer dogs were deployed to check equipment, module and onsite security. Anyone due to cross the fence was signed in, checked and required to wear airport security ID within the airport area.

There are “always” safety issues in a job of this nature, said Solomon. “But Mammoet is one of the best at that. We have safety meetings before and during the operations. If anything becomes different to what we plan, we stop and have a “Mammoet Minute” to discuss that and change accordingly. But there were no issues out there and everything went well.”

Mammoet had to work around time restrictions to allow the busy airport to continue operations.

Credit: Mammoet

Temporary Bracing

“We are used to moving big cargo; 192 feet long and 500 tons is not that large for us per se, but this task presented some challenges – the modules were not necessarily designed to be moved, so we had to work with them to accommodate the stiffness of the structure,” added Solomon.

“This was done by adjusting hydraulic pressure locations in the SPMT to limit deflections in the module. Additionally, some temporary bracing was added to the module to stay within the allowable deflection limits. We have done many modules like this before, but airports are just beginning to incorporate this modular method.”

Looking ahead, a phase three expansion will follow on the south side and Mammoet is already advising the JV partners on design alterations to make the modules easier to move.

The modules will be at a more advanced stage of fitting out in the second phase starting in January and in the planned third phase. “They were cautious at first about what could be put in the modules, then realized they could put more in, so each phase is becoming more modular with more material/items inside,” said Solomon.

In the first two phases of the expansion, the first six modules are for widening Concourse D and the following four for extending it to the north.

Modular Approach Catches On

“Here in the U.S., there are a lot more airport expansion projects coming up,” reports Solomon. “We believe we have found a really beneficial way to expand concourses at airports – and to expand facilities in other industries,” he said.

“We have been moving modular units like this for years. Now, more and more people in different industries are learning about this approach and understanding it is a good way to keep costs down, improve safety and shorten schedules.

“In this case, we didn’t have all the trucks going inside the security fence with all the steel, etc. It was just a case of shutting the runway down for one delivery. That meant less disruption to the public and a whole new building delivered easily. We continue to incorporate some of the knowledge and lessons learned into phase 2 – it’s a case of improving with each move.”

sense from the point of view of fabrication and installation. With our experience, Mammoet will be able to bring great value to other airport projects and into a wider range of construction projects.”

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

Modular design is “the way of the future,” Solomon concluded. “It makes *Breakbulk Exhibitor

Watch Mammoet move 500-ton modules at Hartsfield-Jackson Atlanta International Airport. Visit: https://www.youtube.com watch?v=vF4ojO08Sb0 Credit: Hartsfield-Jackson Atlanta International Airport

Mammoet believes it will be able to bring great value to other airport projects and into a wider range of construction projects. Credit: Mammoet

By Ritesh Nair, Rhenus Project Logistics USA

AI AND THE ART OF TRANSPORT ENGINEERING

Technology Is Coming of Age, Says Project Logistics Expert

Developments in robotics have come a long way since Karel Čapek conceived Rossum’s Universal Robot in his 1920 play and flirted with the idea of the artificial worker.

As the father of all thinking robots, “Freddy” would be proud of the outstanding progress his descendants have made since researchers at the AI Department of the University of Edinburgh christened him in the early 1970s.

AI is a tool of human creation which, if managed well, can be of great benefit to humankind.

While AI is still in its infancy, the more it is used, the better it will get. The middle part of the 2020s will be looked back upon as a defining moment in history that changed the way we did things. The field of supply chain, specifically project logistics, is no exception.

The advantages of AI in project logistics are many, but one of the most impactful areas is in the field of product design and transport engineering. Having AI collate data on project site locationroute information, bridges along the route, port capabilities and regional geopolitical news, etc. - can yield not only the optimum route, but also where to manufacture and the best mode of transport to get it to the project site.

Companies have already developed programs to help streamline workflow processes in operations

and warehousing, or provide route optimization based on live traffic patterns, or better support inventory management based on order-in-hand and expected seasonal demand.

Aiding Procurement Decisions

Let’s consider a scenario where an engineering, procurement and construction (EPC) contractor is deciding whether to procure from Europe, India or China for a project in the Midwestern United States.

In this case, AI could be instructed to model the risks, pros and cons of purchasing from each area, with parameters set as wide as was deemed necessary. Along with production costs or physical routing issues, considerations could include potential tariff changes or route closures, weather events, strike and delay, or even the likelihood of negative public attitudes to human rights in the source location.

Such an analysis would go far beyond conventional considerations of choosing which carrier has the most ideal ship or aircraft to carry the shipment.

Bigger organizations can be expected to invest and make proprietary developments to optimize their service offerings and even possibly experiment a tier-based, fee-supported service for AI-enabled service or analysis. Small to medium organizations that do not have the capital, or are riskaverse, will depend on SaaS providers for off-the-shelf offerings, which could give them a level playing field with the competition in their space.

Rhenus’ Automation division is already pioneering Robotic Process Automation (RPA), benefiting clients with increased productivity, reduced costs and better efficiency. Rhenus Automation is taking advantage of generative AI, partnering with IBM. We will expand its use across businesses on need-based situations that align with

Main Stage:

Transformation: A Journey of Implementation

Wednesday, Oct. 16 4:05pm - 4:30pm

Ritesh Nair

our overall strategy. We do so based on the conviction that it is only a matter of time before AI becomes an integral part of all business models: industries will have to learn how to adapt. Those who do not will be left behind.

With AI, Rhenus has the opportunity to be a predictive Logistics Solutions Provider (pLSP) where we can utilize our in-depth analysis of past client requirements and current market trends to help proactively prepare for potential challenges in the predictable future.

Changing Engineering Roles

One thing is for sure, from its codeto-image infancy, AI has already advanced to pre-teenage years of exploring text-to-design concepts. Already happening to an extent, in time, engineers will refine their ability to conceptualize so that AI can generate

complete product designs based on data fed to the model, with final tweaking taking place on a review basis.

There will be birth and growing pains. These include risks to privacy – a major concern – and the risk that shared data is vulnerable to cyber attack. Over-reliance on AI could affect the flexibility of a business to cater to its customers, while multiskilled workers will need to “upskill” continuously to stay relevant. As much as AI will be a tool to assist operations, it will also review performance. AI has also already interviewed and hired a human employee.

The impetus to overcome these challenges appears unstoppable. While AI may not yet be ready to override safety considerations, experiments are underway to use it in areas where margins for error are at issue - such as in quality control, forward planning, demand forecasts, etc.

In the supply chain, parallels can be drawn with identifying tolerance level to g-forces, for example, where the sum total of various calculations that ensure staying within tolerance limits is considered one key to the “art” of transport engineering. Today, it is a task that AI could easily take over.

In such a scenario, transport engineering jobs would also be likely to take on more of an editorial role - where the final results of AI are tweaked to requirements specific for the product or the project transport. Other job profiles in logistics will also be redefined as AI matures to every-day use.

We have seen just a glimpse of what AI can do.

Ritesh Nair is Vice President of New York Operations - Global Sales Director Projects, Rhenus Project Logistics USA.

*Breakbulk Exhibitor

TAMAULIPAS, MEXICO: A HOTSPOT FOR GROWTH AND INVESTMENT

We are thrilled to welcome the Tamaulipas State Department in Mexico as a first-time exhibitor at Breakbulk Americas 2024 in Houston. In a Q&A with Economy Secretary Ninfa Cantú Deándar, we find out more about Tamaulipas’s booming project sector, its role as a foreign trade hub and how the state is benefiting from riding the “nearshoring” wave.

Q: What is the current outlook for the industrial project sector in Tamaulipas? Are there specific sectors that the state is prioritizing for growth and investment?

A: Since Américo Villarreal Anaya’s (the governor of Tamaulipas) administration began in October 2022, 117 projects of private investment have been confirmed, representing an announced investment of 19,277 million pesos (about US$1 billion, at current conversion rates) and the creation of 27,250 jobs. These projects are categorized into various sectors including commercial and services, logistics, automotive, chemical and petrochemical, electric and electronics, medical and energy. Right now, we are working with 123 potential projects,

which could create more than 29,615 jobs and represent an approximate investment of 13,174 million pesos.

Q: Amid the global trend towards nearshoring, what steps is Tamaulipas taking to lure more international companies looking to relocate their operations closer to the U.S.?

A: We are taking actions to attract new investments, some of which are:

Expansion of the World Trade Bridge:

The expansion of the World Trade Bridge (a cross-border bridge linking Nuevo Laredo, Tamaulipas with Laredo, Texas) is essential for strengthening connectivity and efficiency in trade between the U.S. and Mexico, benefiting the economies of both nations and

supporting economic growth in the border region. The main objectives of this project are to increase transit capacity, improve trade efficiency, enhance security, boost trade volume and stimulate regional economic growth. This project (approved by the Biden administration in June) will allow the bridge to grow from eight to 18 lanes.

Expansion of Pharr Bridge

: This major infrastructure project is aimed at enhancing the bridge’s capacity and efficiency to facilitate trade between the United States and Mexico (the bridge connects Reynosa, Tamaulipas with Pharr, Texas). Some of the project’s benefits include an increase in the number of lanes from eight to 18 to enable a more efficient flow of trucks

The Port of Tampico in the state of Tamaulipas, a key hub for export-oriented cargoes. Credit: Tamaulipas State Government

and commercial vehicles, new facilities for customs and security inspections, upgraded control infrastructure for better traffic and customs management, a reduction in waiting times at the border and larger trade volumes.

The Tamaulipas-Bajío Highway: This key infrastructure project is aimed at improving transportation and connectivity between the northern region of Tamaulipas and Bajío, an important industrial and economic hub in central Mexico. This route facilitates efficient flow of goods from our maritime ports to Mexico’s central regions.

Soft landing services in Tamaulipas: Soft landing is designed to support overseas companies and investors in their entry and establishment in the state, providing a smooth and secure transition to the new market. Services include initial advisory and consulting,

establishment support, administrative and legal support, networking and business development, logistics and operations support. The benefits of soft landing include risk reduction for investors, quick market entry to allow companies to start their activities more quickly, and integration into the local business environment by leveraging local resources and networks for growth.

These actions

are designed to position Tamaulipas as an attractive destination for new investments and to foster a dynamic and growing business environment.

Q: In the previous edition of Breakbulk Magazine, you pointed to Tamaulipas’ strategic location for international trade and its “excellent connectivity and infrastructure.” How have these advantages translated into increased investment in sectors such as energy, power and infrastructure? Can you share any recent partnerships or agreements?

A: Since the arrival of new investments, our state has been preparing with all the infrastructure and services required by the new companies, such as improvements in our highways and international crossings, energy, electrical power and infrastructure.

Notable developments include:

Energy and Electrical Energy:

Wind energy projects: Tamaulipas has established itself as a leader in wind energy production in Mexico. For example, the Reynosa Wind Farm, one of the largest in Latin America, has attracted substantial investments and is significantly contributing to the country’s renewable electricity generation capacity.

Natural gas investments: The Burgos Basin remains a key area for investment in natural gas extraction. Companies such as Shell and ExxonMobil have shown interest in expanding their operations in this area, leveraging unconventional gas resources. These agreements align with Mexico’s energy policy, which aims to strengthen domestic hydrocarbon production.

Infrastructure:

Expansion of the Port of Altamira: The Port of Altamira is one of the primary logistics hubs in the Gulf of Mexico. Recently, its two container cargo terminals, Altamira Terminal Portuaria (ATP) and Infraestructura Portuaria Mexicana (IPM), have expanded their areas to increase waterfront space and acquired new yard cranes to enhance port operations. These actions position Altamira as a crucial point for international trade.

Highways and railways: Investments in modernizing highways and expanding the railway network have been key to improving Tamaulipas’ connectivity with the rest of the country and with the U.S. Recently, an agreement was signed with Kansas City Southern de México (KCSM) to enhance railway infrastructure, facilitating the movement of goods from the interior of Mexico to the ports and the border.

Q: How is Tamaulipas strengthening its logistics infrastructure to meet the rising demand from industry? Can you share details of any expansion projects or upgrades at the ports of Altamira, Matamoros or Tampico?

Ninfa Cantú Deándar. Credit: Tamaulipas State Government

A: Tamaulipas is strengthening its logistics infrastructure to meet the growing demands of the industry, particularly at its key ports: Altamira, Matamoros and Tampico. These improvements are crucial for consolidating the state’s position as a logistics and international trade hub. Here are details on recent expansion and enhancement projects at these ports:

Port of Altamira:

Capacity expansion: The Port of Altamira, one of the most important ports in the Gulf of Mexico, has undergone a series of expansion projects to increase its capacity and efficiency. Significant investments have been made in cargo terminals, including specialized terminals for containers, general cargo, and petrochemical products.

Infrastructure modernization: Beyond physical expansion, Altamira has modernized its technological infrastructure, including advanced cargo management systems and the implementation of automation technologies to speed up port operations. These improvements are aimed at reducing wait times and enhancing the port’s global competitiveness.

North Port in Matamoros:

Port infrastructure development: The Port of the North, located near the U.S. border, has seen a series of investments aimed at enhancing its infrastructure to handle higher cargo volumes. This port is being developed as a key point for offshore operations carried out in the Gulf of Mexico.

The Port of Tampico:

Rehabilitation and modernization: The Port of Tampico has undergone a rehabilitation plan to modernize its facilities and improve its operational capacity. Docks and storage areas have been renovated and new security and cargo management systems have been

implemented. These improvements aim to revitalize the port and make it more competitive in handling various types of cargo, including agricultural and mineral bulk.

Port Project “Tampico 1900”: This project involves a remodeling of the old customs house to create cultural, commercial and hospitality spaces, including restaurants, a boutique hotel and an event hall. This initiative aims to boost tourism and commercial flows into the southern region.

Q: Tamaulipas State Government is exhibiting at Breakbulk Americas for the first time this year. What do you hope to achieve at the event, and what conversations are you looking forward to having?

A: We are looking forward to promoting the competitive advantages, unique characteristics and the potential that our state has to offer in the attraction of new investment and cargo projects. Tamaulipas is an attractive destination for investment and the development of logistics projects. We are confident that we will discover new opportunities for collaboration and business and build strategic alliances to explore new development opportunities in the logistics sector.

Meet the Tamaulipas State Department team at Breakbulk Americas Stand S16.

*BGSN member

*Breakbulk Exhibitor

The Reynosa-Pharr International Bridge in the state of Tamaulipas. Credit: Tamaulipas State Government

The Port of Altamira. Credit: Tamaulipas State Government

By Mary Shacklett

US SEMICONDUCTOR SECTOR RAISES LOGISTICS CHALLENGES

Domestic Manufacturing Desired, but Materials and Labor Are in Short Supply

As geopolitical tensions mount, the U.S. is placing increasing importance on the domestic manufacturing of critical commodities such as computer chips. Prior years saw massive chip imports from China, Taiwan and Korea, but many believe this practice is no longer sustainable, and that supply chains, manufacturing locations and logistics operations must change.

To address the dearth of U.S. chip manufacturing, the CHIPS and Science Act was passed by Congress and signed into law by President Joe Biden in August 2022, with the goal of reducing reliance on Chinese chips by incentivizing the construction of onshore semiconductor fabrication plants in the United States.

AT BREAKBULK AMERICAS…

Main Stage: Mining, Big Tech, Chips & SMRs: A New Ecosystem of Project Opportunity

Wednesday, Oct. 16 3:10pm - 3:55pm

Construction is being backed by federal investments of $280 billion for the funding of domestic research and manufacturing of semiconductors in the U.S. A further $39 billion in subsidies are also committed to the manufacturing of chips in the U.S., accompanied with a 25% investment tax credit for manufacturing equipment purchases, and another $13 billion for worker training that includes strengthening and building resilience in the U.S. semiconductor manufacturing supply chain.

“The CHIPS Act has already initiated the construction of new fabs in the U.S., with major players like Intel, Micron, GlobalFoundries, TSMC AZ and Amkor leading the charge alongside their

engineering, procurement and construction (EPC) and general contractor (GC) partners,” said John Lu, global sector head, semiconductor fabrications at DHL Industrial Projects Lu references Intel information which states that each chip fabrication cleanroom will require at least 250,000 square feet, 5,000 on-site tradespeople, and 11 million hours to construct.

“This construction necessitates 600,000 cubic meters of concrete, 75,000 tons of steel reinforcement, and nine million meters of cable,” said Lu.

“Additionally, each fab will need 1,5002,000 process tools and 1,500 pieces of utility equipment, requiring a timeline of 3-4 years per fab.”

Strategic Decisions

This is a tall order, so in many cases, there is a strategic direction to locate much of this new semiconductor manufacturing capability near existing pockets of high-tech industry in locations like Boise, Idaho; Nampa, Idaho; Durham, North Carolina; Conshohocken, Pennsylvania; and Dallas, Texas.

“The advanced manufacturing projects we undertake bring specific demands driven by our customers’ desired outcomes, often related to speed to

John Lu

market and/or schedule and cost predictability,” said Kristin Homsi, manager of supply chain, manufacturing and technology at Bechtel. “This creates challenges not seen in the industry in the past.”

The cost to build a new chip fabrication facility in the U.S. was $31 million in 1970. It is $25 billion today. Constructing a fab is as much as 30% more expensive in the U.S. than it is in other parts of the world, while the build period in the U.S. is 900 days, compared with 600-700 days in Asia.

Part of this longer U.S. build is due to more stringent construction regulations, but there are also significant challenges in materials acquisition, logistics adjustments and finding skilled labor.

Lumber, steel, concrete, water supplies, nickel, lithium and other key

raw materials are in high demand. “Consequently many companies are competing for the same materials and equipment that go into these projects,” said Homsi. “There is a very real risk that demands on suppliers exceed their capacity to deliver. When this happens, lead times and cost may increase, and project outcomes are put at risk.”

With supply chain management systems, it’s often easy to gain visibility into the first-tier level of suppliers, but this visibility gets murkier when companies try to probe into deeper supply chain tiers, such as understanding the risks around subcontractors.

“To prepare for the impact of CHIPS on logistics, we recommend that companies diversify their supply chains to reduce dependence on single sources of critical components or materials by identifying alternative suppliers both domestically and internationally,” said Lu. “They must maintain adequate inventory levels and safety stock to buffer against disruptions, analyzing historical demand patterns, lead times and supplier reliability to determine optimal levels.”

Construction Challenges

Engineering and manufacturing the facilities for semiconductor fabrication requires a level of precision in construction that doesn’t exist in other types of building. This starts with the fab

facility cleanroom. There are thousands of square feet in cleanrooms for chip processing in chip fabrication buildings that require tens of thousands of tons of structural steel, and hundreds of thousands of yards of concrete to buildbut the construction challenges don’t end there.

Cleanrooms must have air cleaning and filtration systems that purify air to a Class 10 particulate level, which means 10 particles of 0.5um size per cubic foot of air. This compares to the Class 100,000 rating that is needed for a hospital room. Equipment that “eats” welding dust must be used to achieve this level of cleanliness, while epoxy paint to color the edges of anything that is cut on site so emissions can be prevented must also be deployed.

Piping and other mechanical work must be done offsite to avoid onsite contamination, and workers must follow “clean construction” protocols to keep materials clean, minimize particle intrusion and ensure the cleanroom can operate successfully when it’s completed.

What fab construction supply chain managers are already learning is that offsite construction activities should be conducted as close to the fab construction site as possible and specially-trained labor, if it can’t be found locally, must be brought in from other areas to avoid delays.

Addressing Supply Chain Issues

Chip fabrication plant construction supply chains face challenges, but there are also opportunities for creatively addressing them. These opportunities range from new ways to modularize and distribute manufacturing, to the use of artificial intelligence (AI) for logistics and risk management assessment and planning, to new approaches for sourcing goods and finding labor.

Modular building for chip fabrication plant construction is being considered as

Concrete pour at fab facility. Credit: Bechtel

Kristin Homsi

a way to near-source manufacturing activities so they are closer to the sites of new fabrication builds. A second motivation is a desire to manufacture products simultaneously and in parallel across multiple remote sites so that delivery timelines can be performed in tandem and accelerated.

“The idea of modularization has been growing for many years,” said Bechtel’s Homsi. “Originally, it was motivated by cost considerations. Today, virtually every project is working on plans for moving more and more construction offsite. In one recent project, we built over 250 modules at four offsite module yards. Offsite manufacturing allows us to work at many different sites in parallel. These sites could be in the vicinity of the project or spread out across the world.”

Because fab construction engineering and project execution require degrees of precision and know-how that exceed what is needed for other types of construction, it’s essential to perform upfront planning so knowledge and skills gaps can be identified.

”We can address these issues because we integrate the engineering of facilities through a global workforce,” said Homsi. “This allows us to ease the pressures of talent in a singular geography and, at the same time, take advantage of cost differences in economies. However, taking this approach also increases the need and intensity of integrating engineering.”

Skills Gap

Homsi said that a skills gap also exists. “The current craft workforce in both the U.S. and Europe is insufficient to handle

the increase in demand coming from advanced manufacturing industries,” she said.

“It’s not all bad news though. This is a great opportunity to broaden the workforce by encouraging more women and the younger generations to enter a non-traditional career path. This makes it critical to put in place very specific training programs that can allow this workforce to apply those skills and redefine them for the specifics of the semiconductor industry.”

To adapt the chip fabrication supply chain to the fulfillment of materials and labor requirements, logistics will also need to change. At the least, this will require more routes from modular manufacturing facilities to the final site.

“Customers must be flexible and share their forecasts early on, collaborating as true partners with freight forwarders,” said Lu. “Suppliers of materials used in building fabs will be impacted. These suppliers may need to scale up their production by expanding current facilities or constructing new ones, often near the fab sites.

“This presents additional logistic challenges, especially when building in unfamiliar locations or countries - add to this a potential one million worker shortfall in the broader U.S. economy by 2030. Participating in workforce programs to ensure a steady supply of engineers and workers for the semiconductor industry is vital.”

Managing Risk

With materials and labor in short supply, supply chain execution and risks for chip fabrication facility construction must be

managed like never before. This involves the use of technologies such as AI and analytics for the optimization of supply chain routes, as well as canny assessment of supply chain risks.

“In this environment, a unique offsite manufacturing plan can be created based on craft availability, cost/schedule objectives, road and waterway access, etc.,” said Homsi. More offsite manufacturing with modular factories can mitigate situations including jobsite hazards such as weather or visibility that can’t be predicted, and this can help the standardization and manageability of logistics schedules, although logistics must be rendered more flexible in order to respond to a broader range of possibilities for materials sourcing and transport.

“From a transportation perspective, substantial volumes of construction materials must be moved via air, ocean and land to the job sites,” said Lu. “These challenges are compounded by the Red Sea situation, water shortages at the Panama Canal, and conflicts like the Israel-Hamas and Russia-Ukraine wars, which disrupt normal shipping routes and extend transit times.”

Bechtel’s Homsi additionally emphasizes the importance of optimized logistics and the integration of the design, engineering, procurement and construction activities in semiconductor fabrication facility construction.

“This is an industry that continues to advance in scale, complexity and, at the same time, looks for faster schedules and lower costs,” she said. “The intense level of integration is a significant challenge to delivering semiconductor facilities and can only be achieved through platforms and tools that have taken decades to perfect, and that are refined to adapt specifically to the unique challenges of the semiconductor industry.”

Mary E. Shacklett is President of Transworld Data, a technology analytics, market research and consulting firm. She is a noted technology analyst and commentator who often writes about the supply chain.

*Breakbulk Exhibitor * BGSN member

Fab facility construction. Credit: Bechtel

ARGENTINA’S PROJECT SECTOR GETS MASSIVE BOOST

to Trigger Investment Surge

By Simon West New Incentive Mechanism

Political and regulatory risks have long hindered Argentina’s project development, but new legislation aimed at luring investment to sectors such as energy and mining is poised to recharge a faltering economy and unlock serious cargo-carrying opportunities for breakbulk and project cargo.

The so-called Incentive Regime for Large-Scale Investments, or RIGI, is part of a sweeping reform package known as the Law of Bases (Ley de Bases, in Spanish), spearheaded by President Javier Milei to deregulate

the economy, rein in public spending and end a severe financial crisis that has seen annual inflation this year approaching 300%.

The Law of Bases, whose final congressional approval in July was described by the right-wing libertarian Milei as a “historic and monumental milestone,” contains a flurry of provisions to overhaul taxes, relax labor laws and privatize certain state-run entities including energy developer Enarsa.

But for big-spending businesses – those investing more than US$200

million in a single project – it is RIGI generating the most buzz. Eligible companies are set to enjoy a cut in the corporate tax rate from 35% to 25% for the next 30 years, exemptions from new taxes introduced over the same period, a waiver of import duties, reduced dividends and the right to international arbitration in the event of disputes arising from the promotion regime.

Gonzalo Santamaría, partner at Buenos Aires law firm Marval, O’Farrell and Mairal, said that while multiple sectors including forestry, tourism,

technology, steel and energy stood to benefit from the new mechanism, most of the legal queries his company had received were linked to exportoriented oil and gas, mining and large-scale infrastructure projects.

“RIGI was designed as a carve out, of sorts, of Argentine legal risks,” Santamaría told Breakbulk. “The legislation has certain similarities and points in common with previous promotion regimes passed during the Alberto Fernández and Mauricio Macri administrations, but it includes benefits and incentives for large

investments that supersede all of the previous investment promotion programs combined together.”

New Spending Promises

RIGI has already ignited intent from some major enterprises.

Horacio Marín, CEO of Argentina’s state-controlled energy company YPF, said the first project to be built under the mechanism would be an oil pipeline called “Vaca Muerta Sur,” designed to carry crude from the vast Vaca Muerta shale formation to an export terminal in the province of Rio

Negro on the Atlantic coast. The project, whose first phase of construction began in May, could begin operations as early as 2026.

According to Bloomberg, YPF is in advanced talks with U.S. pipeline company Energy Transfer to help finance the US$2.5 billion project, which calls for the construction of the main segment of the pipeline, the export terminal near Punta Colorada, storage tanks and offshore floating monobuoys.

Vaca Muerta, a 30,000 squarekilometer reserve thought to hold one of the world’s largest deposits of unconventional oil and gas, has been a key source of project work over the last decade. Alongside YPF, other heavyweights to commit resources to the formation in northern Patagonia include Shell, ConocoPhillips, Wintershall and Mexico-based Vista Oil & Gas.

But rapid development has flagged logistical issues that successive governments have tried to remedy to ensure Vaca Muerta reaches its full potential and matches the success of the shale revolution in the U.S. In particular, a shortage of pipelines and processing plants has thwarted efforts to export liquefied natural gas, or LNG.

“Vaca Muerta Sur will be the country’s first RIGI energy project,” Marín told local broadcaster Radio La Red shortly after the legislation had been approved, adding that the pipeline would “end the current bottleneck in the transportation of oil from Vaca Muerta.”

Argentina‘s YPF is the main player at Vaca Muerta shale formation.

Credit: YPF

Adriana Lara, principal energy analyst at consultancy Wood Mackenzie, pointed to other worldscale infrastructure projects seeking to monetize rising output from Vaca Muerta, such as an LNG liquefaction plant being developed by YPF and Malaysia’s state energy firm Petronas. The facility in the province of Rio Negro would have a yearly capacity of 25 to 35 million tons from 2032 onwards, according to YPF’s second-quarter earnings webcast.

“This LNG project also requires a dedicated pipeline, and the overall project cost could be well above US$20 billion. (YPF’s) Horacio Marín has announced that RIGI was definitely necessary for this project to start,” Lara said.

In the mining sector, Australiaheadquartered BHP announced in late-July it had formed a joint venture (JV) with Canada-listed Lundin Mining to acquire 100% of Filo, the owner of the Filo del Sol copper project in the resource-rich Vicuña district on the Argentina-Chile border. BHP also took a 50% stake in Lundin’s nearby Josemaría copper project

In a statement, Filo said the project would benefit from “recently passed legislation” in Argentina aimed at supporting mining activity, though a spokesperson in BHP’s Chile office declined to comment on whether the

new rules would prompt the company to pursue any new projects or expand existing ones.

Anglo-Australian mining company Rio Tinto had already announced a US$350 million capital injection into its Rincón lithium project before the legislation had been approved. Rio Tinto bought Rincón – a large, undeveloped lithium brine project located in the heart of the “lithium triangle” in Argentina’s northern Salta Province – for US$825 million in 2022.

A 3,000-ton-per-year lithium carbonate starter plant is slated to come online by the end of 2024, while a feasibility study for full-scale operations is expected to be finished by the third quarter, the company said.

Speaking to Breakbulk, Guillermo Caló, managing director of Rincón, said Argentina’s longstanding investment rules had helped kickstart numerous mining projects, but more recent measures had raised risks for largescale investment. RIGI sought to counter these challenges by offering investors stability and legal certainty.

“RIGI has the potential to facilitate, de-risk and accelerate investment decisions, particularly for projects like Rincón,” Caló said.

A Buzz Around Breakbulk Breakbulk movers active in Argentina are buzzing with excitement at the

prospect of a wave of new project announcements.

Lucas Bianchi, founder and CEO at Interborders, a Buenos Aires-based logistics firm specializing in the transport of heavy machinery, industrial equipment and other project cargoes, described RIGI as a “significant opportunity” for project logistics to tackle bigger and more ambitious ventures, while Pablo Hanacek, country manager for Argentina at DHL Global Forwarding, highlighted the “considerable prospective investments” the mechanism could spur.

“The joint venture between BHP and Lundin Mining confirmed a trend of fresh announcements following on from the reform which should continue into the near and middle term and possibly beyond,” Hanacek said.

Construction of the Rincón 3000 demo plant, Rio Tinto Rincón, Argentina. Credit: Rio Tinto

Pablo Hanacek

Despite this, RIGI has faced sharp criticism from Milei’s opponents who argue the government is giving away too much to multinationals while paying scant attention to the development of domestic supply chains. Quoted by the Buenos Aires Herald, Matías Kulfas, an economist and former production minister under one-time President Alberto Fernández, said the tax breaks and foreign currency benefits included in RIGI were “totally excessive and unnecessary.”

Detractors also warn that expanding large-scale fossil fuel and mining projects could derail Argentina’s goal of reaching net-zero by 2050, although Milei’s climate change skepticism suggests those particular concerns may fall on deaf ears.

Investors in Argentina, meanwhile, are still grappling with a volatile economy characterized by high

inflation, currency devaluation, sovereign debt crises and fluctuating growth. A lack of confidence in the Argentine peso has led to capital flight and financial instability, increasing the country’s vulnerability to external shocks.

Furthermore, foreign direct investment inflows could remain sluggish as long as strict currency and capital controls persist. Those restrictions limit the ability to purchase foreign currencies such as the U.S. dollar, choking capital flows in and out of the country and spooking foreign businesses wary of devaluation and unpredictable policy shifts.

According to Hanacek, these economic concerns should not be dismissed.

“Big investments are good for the country, but can they really stave off currency limitations and indeed save the

economic environment? Should exchange controls continue to be tight for the next 6 to 12 months, RIGI could suffer from losing its shine,” the executive said.

“In the end, while the reform offers a great chance for economic growth and diversification, the true success of these projects will rely heavily on tackling the current economic challenges and maintaining a stable and clear policy environment. The recent increase in unemployment to 7.7%, which now affects 1.7 million people, underlines the urgent need for productive investments that can create real jobs and bring tangible benefits for everyone in the country.”

Colombia-based Simon West is senior reporter for Breakbulk.

*Breakbulk Exhibitor * BGSN member

Pacific

Terminal Services Company (PTSC) is a part of The Pacific Companies, and has 30+ years of stevedoring experience and performs a wide range of services all along the West Coast including bulk cargo, barge work, break bulk, RoRo, and project cargo. Our core team ensures that all cargo operations are carried out with the safety of the crew and protection of the cargo as highest priorities.

GlOPOllTIC Al AND (CONOMIC CONSID(RATIONS

Breakbulk cargo continues to play a significant role in global trade. While the logistics industry has seen a rise in containerization and technology-driven efficiency, breakbulk remains vital due to the unique nature of the cargo it transports and the economic and geopolitical forces at play.

Geopolitical and Economic Influences on Breakbulk Cargo

The breakbulk market is deeply influenced by geopolitical dynamics and economic conditions. Trade policies, tariffs, and international relations can significantly impact how and where breakbulk cargo is moved. For example, tensions between major trading partners or shifts in trade agreements can disrupt traditional shipping routes, forcing logistics providers to adapt by finding new routes or ports to handle the cargo. This flexibility is crucial in ensuring that breakbulk goods, which often include critical infrastructure components, reach their destinations despite geopolitical challenges.

Economic factors also play a significant role in the breakbulk sector. Fluctuations in currency values, commodity prices, and economic stability in different regions can affect the demand and supply for breakbulk cargo. For instance, a surge in infrastructure projects in emerging markets often leads to increased demand for construction materials, machinery, and other goods typically transported as breakbulk. Conversely, economic downturns can reduce this demand, affecting shipping volumes and routes.

Adapting to Changing Demand in the Breakbulk Sector

The breakbulk industry is currently experiencing a shift as global demand patterns evolve. One notable trend is the increasing need to transport components for renewable energy projects, such as wind turbines and

large energy storage systems. This shift is partly driven by global efforts to transition to more sustainable energy sources, which require specialized logistics solutions for transporting oversized and heavy components. Additionally, ports and logistics providers are investing in infrastructure and technology to handle the unique challenges associated with breakbulk cargo. Enhancements such as expanding terminal capacities, acquiring advanced cranes, and utilizing technology to improve cargo tracking and management are becoming standard practices. These investments are essential for adapting to the changing demands of the breakbulk market and ensuring that ports can efficiently handle a diverse range of goods.

Technology and Sustainability in Breakbulk Shipping

Technology is playing an increasingly important role in improving efficiency and sustainability in breakbulk shipping. Advances in cargo handling equipment, such as electronic quayside cranes, have enabled ports to handle larger volumes and heavier loads with greater precision and speed. These technological improvements not only enhance operational efficiency but also contribute to reducing the carbon footprint of shipping operations by optimizing cargo handling processes. In addition to equipment upgrades, there is a growing emphasis on decarbonizing the supply chain. For example, the expansion of

DP World Callao included the implementation of electric powered equipment and the first electric charging stations for trucks in Latin America, reducing emissions and supporting global carbon reduction goals. This shift towards more sustainable operations reflects a broader industry commitment to environmental responsibility, which is increasingly becoming a priority for shippers, carriers, and consumers alike.

Innovative Solutions in a Dynamic Trade Environment

The breakbulk sector is also witnessing innovation in how cargo is transported. Traditional methods such as roll-on/roll-off (RoRo) shipping for vehicles are being supplemented by new solutions that offer greater flexibility and efficiency. Companies, including DP World, are innovating the best methods for transporting cars in containers that allow for more versatile shipping options.

Overall, the breakbulk market remains a dynamic and vital part of the global supply chain, shaped by a range of geopolitical, economic, and technological factors. As the industry continues to evolve, logistics providers and ports must remain agile, investing in the necessary infrastructure and technology to meet current and future demands while aligning with sustainability goals. This adaptability will be key to maintaining the flow of breakbulk cargo and supporting global trade in an ever-changing environment.

TRANSFORMING TRADE TOGETHER

At DP World, we know not all cargo can be moved by container. As construction, energy storage, wind farms, and heavy machinery businesses across the Americas adapt to meet growing demand, so does their need for agile breakbulk supply chains to keep their unusual cargo flowing seamlessly.

Our American operations seek to become the ultimate partner for leaders by providing innovative and efficient solutions for the breakbulk sector in all markets.

Fluor’s Cyril Varghese on the Joy of Finding Solutions in a Complex Business

By Luke King

Global logistics director Cyril Varghese’s induction in the world of transportation came unexpectedly in 2004, when a friend told how her uncle was working for a shipping company in the Middle East, and looking to hire a salesperson.

Brimming with the confidence that comes with youth, the naval architect, who had just finished his MBA, declared himself a perfect fit for the role, assuring his prospective boss that his background

allowed him to “speak the same language” as the ship buyers.

The only problem? This was deugro , a distinguished German freight forwarding firm – and the role had nothing to do with selling ships.

Nevertheless, Salim Rajan, at that time deugro’s regional vice president for the Middle East, saw potential in the untested Varghese and enrolled him in the deugro

Most Promising program – the first time a candidate from India had

participated in the development scheme for promising young leaders.

An initial posting in Singapore followed, starting an “exciting and steep” learning curve. “I had no experience in freight forwarding, nothing. I didn’t even know what a bill of lading was,” recalls Varghese.

Starting his journey in Singapore, the apprentice forwarder was taken under the wing of David Kwok - then an executive vice president of deugro.

THE RUSH OF GLOBAL PROJECT LOGISTICS

Varghese remembers: “David took a personal interest in me and for the three months I was there, he would carve out two hours with me every day, explaining concepts and nuances related to the industry. From container types, to ship types, from Incoterms to target client segments, from pricing dynamics to tender management.

“Every time there was a visitor in Singapore, either from an overseas office, or a client who was coming in, he would ask me to join him for all these meetings, as well as exquisite evening meals. He gave me my first exposure to my professional network - and the dining experiences were a bonus.”

Future Friend and Mentor

One of those visitors – and a future friend and mentor – was Klaus Behrmann, then working for deugro in Malaysia. “We met for dinner and immediately connected over some popular hard rock classics,” recalls Varghese. “He told me – ‘You’re going to be my apprentice and I’m going to be your sorcerer, and I will transform you.’” Behrmann would continue mentoring his protégé until he passed away in 2013.

“After three months, I left Singapore and I had a very basic grounding, at least from a theoretical perspective,” says Varghese.

Subsequent postings were planned for Varghese in Dubai, United Arab

Emirates, and then South Africa. But in Dubai, Varghese convinced the management to allow him to focus on generating some revenue before he was moved to the next destination. “We didn’t have LinkedIn, so there was a lot of focus on building client relationships and client referrals to support the sales drive.”

His first break came when Ahmed Al-Bazz, logistics manager at Petrofac, asked him to ship a 20-foot GP container from Ningbo to Sharjah, and “held his hands all the way through” until the shipment was invoiced.

“I still remember the $20 profit I booked on that shipment – my first shipment,” says Varghese. “Later, he would engage me on many more shipments, especially from the U.S., once he realized that the bachelor was happy to stay late and work with the Houston office to get him an update by the time he got to the office.”

Thrill of the Sale

Varghese started “loving” his sales role and invested heavily in building his network. Clients like Siemens, CB&I, ABB, EMAL, Crescent Petroleum, Dragon Oil, Hunt Oil and Alstom kept him busy and learning. Three months became six years.

“I stayed put in Dubai and handled many very interesting Middle East projects. I was given management

responsibility of the Dubai office in 2008 and was proudly running the company’s most profitable office by 2010,” says Varghese.

When industry veteran Steve Drugan, who Varghese considers “one of the greatest project forwarders of all times,” joined deugro, Varghese started getting exposed to a larger scale of opportunities with the bigger EPCs.

“I always wanted to experience the complex and competitive landscape of logistics in India so took the opportunity to move there, when deugro opened an office in India. We did some exceptional shipments for companies like Larsen & Toubro, Reliance and Siemens during my stint.”

In 2012, Varghese returned to the Middle East and joined Kuehne+Nagel Ibrakom, where he handled project shipments for companies like Technip, DNO, Petrofac and Dragon Oil, among many others.

AT BREAKBULK AMERICAS…

Cyril Varghese will be moderating this session on the Main Stage: Big Tech, Chips & SMRs: A New Ecosystem of Project Opportunity

Wednesday, Oct. 16 3:10pm - 3:55pm

Beginning of “A Great Run”

During late 2014, Raj Desai, then leading the Supply Chain Commercial Strategies group in Fluor, reached out and asked Varghese to join the company in Houston – the start of what he calls “a great run.”

Varghese initially started with global logistics responsibilities, focusing on a commercial and strategy role for the company.

He says: “For the size of the organization, I was genuinely surprised at the speed at which we were able to bring concepts to fruition; from setting up a container negotiations desk, a chartering desk, a module ocean transport desk, our centralized Logistics Competence Centre in New Delhi, Fluor’s Fabrication Logistics desk, our Supply Chain Summit and the Fluor Supply Chain

Services portfolio – to name a few.

“The Fluor culture, steeped in integrity, mutual respect, along with an environment that allows us to innovate, is an ecosystem that helps us get exceptional talent to work with us.

“The quantum and diversity of the transport solutions we manage, from large LNG, chemical and refinery modules, equipment for the largest mining, advanced technology and life sciences projects, keeps our team intellectually stimulated.”

Fair and Balanced Terms

With his background in project freight forwarding, Varghese is uniquely placed to seek value from his logistics service providers, while “always trying to treat them fairly.”

“There is a tendency to look at logistics cost, however loosely

calibrated, as a static number,” he says. “People understand that commodity prices change, whether that’s oil, copper, nickel or steel, yet they somehow believe that freight is a fixed number.

“We’ve been working hard to educate stakeholders around the dynamics of freight, encouraging a shift of mindset from lowest unit price to lowest landed cost, with a focus on schedule and treating freight as a commodity that goes through volatility and cycles.

“Nobody gains by keeping freight rates lower than operating costs. It’s important that the market realizes that these are extremely capitalintensive investments that shipping lines, for example, need to make. The returns should be at a respectable level for investments to continue and for the sectors to retain competition.”

Fluor, with its joint venture partner JGC Corporation, is delivering multiple aspects of the LNG Canada project, including engineering, procurement, fabrication and delivery of modules. A 11,000 ton dehydration and mercury removal module is pictured doing the last mile over the road in Kitimat, British Columbia.

Credit: Fluor

Great Expectations

So what does the Fluor executive expect from his logistics partners?

“A significantly large percentage of the freight forwarders are comfortable pricing for a very welldefined scope,” he says. “So if I send a packing list, they know how to price because they know what the cargo looks like, where it’s coming from, where it’s going and so on, and they can come back with a proposal.

“The problem EPCs have is, when a freight forwarding contract is placed, there are multiple purchase orders for materials and equipment that are still being negotiated. We may not know at that stage where a lot of materials are coming from, the mode of transportation, the stowage factor – there’s potentially a lot of missing information.”

He adds: “A true project forwarder is able to aggregate the intelligence that they’ve gained over multiple years of executing similar work and bring those insights into their pricing, instead of speculating on unit rates.

“For example, when a freight forwarder is pricing for, say, 20,000 tonnes of structural steel or pipe spools, insights around the stowage factor, assumptions on the percentage split between breakbulk and containers, average weight that is typically stowed in a container, optimal bundle, etc, can help build up a landed cost and help the proposal stand out.

“An intentional drive to utilize insights from data may also help them carve out additional scopes that are typically left with other stakeholders, which will help in improving margins, while generating value for the EPC from a landed cost perspective.”

Varghese believes freight forwarders are sitting on a “treasure trove of data based on what they’ve transacted in the past.”

He says: “Meaningful interactions that I enjoy with our partners is when they are aware about the projects that

we are tracking, are able to provide insights at the early stages, bring sector-specific and project-specific solutions to the table and work their way into a top-of-the-mind recall.”

Global Traveler

Away from work, the married fatherof-two enjoys cooking meals with his family – “I try my hand at a range of different global cuisines and different music genres help me unwind.

“I love traveling with my family, interacting with different cultures and savoring diverse cuisines. Every time we make a family trip, whether that’s our recent trips to Japan or Brazil or road trips in the United States, there’s always somebody local from my network, who can share insights

and help with the planning,” he says.

As our conversation draws to a close, Varghese touches on the well-documented challenges faced by the sector in finding – and retaining – the talent of tomorrow.

“When we were growing up in the industry, our generation would have been perfectly OK with working on a documentation role for many years, before you got a chance to do something meaningful or impactful,” he recalls.

“And then you’d probably start with the, let’s say, ‘low impact’ clients and slowly get experience before you meet face-to-face with a VIP client. But, today, the younger generation needs a little bit more of an instant gratification and recognition – and there’s nothing wrong with that.

Cyril with his family enjoying Houston. Credit: Cyril Varghese

“It is for the industry to take cognizance of the fact that the dynamics are different. You cannot expect a youngster to come to an office at nine in the morning, leave at five and just do paperwork for the next 10 years. They want to see the purpose of what they’re doing.”

A Seat at the Table

Varghese expands: “The younger generation needs to have visibility, recognition, appreciation and affirmation. A seat at the table with their senior leadership, visibility in front of peers and clients, continuous opportunities to learn, innovate and challenge, and an organizational willingness to look at learning as a two-way street will assist in retention, once we have talent on board.

“As an industry, we have not socialized the appeal of a career in project freight forwarding, nor have we collectively invested in an infrastructure surrounding training and development for the stakeholders that join the industry. Fluor is currently conceptualizing a number of initiatives to address this gap.”

The logistics veteran’s advice to the younger generation is to “network, to genuinely show interest and to use the tools which are available to build a meaningful network, so that you can help people and also receive help when you need it. Integrity and transparency are key to success, as you build up your subject matter expertise that will propel you into leadership roles.”

Hour of Need

Varghese would also like to stress to the younger generation that the breakbulk industry “runs on personal relationships, and comes together at the hour of need.”

One such example is the passing of his mentor, Klaus Behrmann, in 2013. Varghese recalls conversations with well-wishers like Fuat Miskavi, another project logistics professional, who offered to pay for overseas treatment when Klaus was on his deathbed.

“I’VE NEVER HAD A DULL DAY IN MY WORKING LIFE IN TERMS OF CONTENT. EVERY DAY IS DIFFERENT. I GET AN ADRENALINE RUSH WHEN WE’RE ABLE TO UTILIZE OUR ORGANIZATIONAL INTELLIGENCE TO FIND INNOVATIVE SOLUTIONS.”

Varghese says: “During one of our trips to Turkey, Klaus passingly mentioned to me that, when he died, he wanted his ashes to be immersed somewhere in the Mediterranean Sea. After the cremation, I consulted with his wife and daughter and they entrusted me to make the arrangements.

“Not knowing where to start, I called my friend, Dennis Geertz from SAL, who called back shortly confirming that MV Trina was loading in Jebel Ali and was scheduled to discharge in the UK. The family and I met Captain Matthias Pfeiffer and he hosted me and the family on board the ship and told us that he will support us in fulfilling Klaus’ last wishes.”

A few weeks passed and Varghese received a parcel from Capt. Pfeiffer, with a photo book of the ceremony at sea, including handwritten letters to Mrs. Behrmann and a large copy of the captain’s logbook, stating the exact coordinates where the ceremony was conducted.

In his photobook, Capt. Pfeiffer explained how this was a first for him, and that he had to read up on age-old maritime customs for burials at sea.

“In a solemn ceremony, he waited for calm seas, summoned the crew, by ringing the bell nine times (signifying the end of one’s shift), after which he officiated a prayer, used sacramental oils for the ceremony and climbed down the gangway to respectfully immerse the ashes,” says Varghese.

“He then recorded the coordinates in his logbook and did three rounds around the coordinates to form a circle of foam (signifying the circle of life), before he proceeded to his destination.”

Varghese admits he still gets “tears and goosebumps” when he sees the photobook.

Creative Logistics Solutions

But what of the future? “The scale of some of the capital investments that we see on the horizon require extremely creative logistics solutions, to the extent that clients agree to design modules that fit our recommended ship types,” says Varghese.

“The diversity of these projects, the focus on global sourcing and modularization will all ensure that logistics will continue its stride from the back-end to the driving seat.

“We are also excited about the interest that our clients are showing in our supply chain services portfolio, where we can utilize our organizational intelligence, global reach, market relationships, volume leverage and data-driven market insights to generate value for our clients.”

Summing up his career to date, Varghese concludes: “I’ve never had a dull day in my working life in terms of content. Every day is different. There are always new and interesting challenges and opportunities and I get an adrenaline rush when we’re able to utilize our organizational intelligence to find innovative solutions.”

Involved in the project cargo industry since 2007, Luke King is managing editor of Breakbulk

*BGSN member *Breakbulk Exhibitor

SEMI-SUBS: THE MEGA VESSELS MADE FOR MODULES

Oil & Gas, Renewables Keep Sector’s Largest Ships Busy

By Felicity Landon

Semi-submersible vessels could be described as the unsung heroes of project cargo and heavy-lift shipping – and in some parts of the industry, there’s scant knowledge of where, and how, semi-subs really come into their own. This is the view of one industry stakeholder to the Breakbulk Editorial Board member who would like to foster a better understanding – and appreciation – of semi-subs.

“It’s a topic that most people in project logistics don’t actually understand very well, or have a lot of expertise in,” he said. “Perhaps they don’t need to understand or use semi-submersibles every day – semisubmersibles are definitely a niche area, and we should recognize their importance as they relate to modular and offshore projects.”

Edward Talbot, USA managing director at Roll Group agreed that “industry can always learn and understand more about the more specialist end of the heavy-lift market.”

Roll Group owns and operates a fleet of “highly adaptable” transport vessels, including semi-submersible, multifunctional vessels and wide deck carriers, which the company says are suited for “a wide variety of situations and circumstances.”

As to when it makes sense to consider a semi-submersible, Talbot says: “It is a case-by-case, project-byproject basis. Project teams should consider not only the cargo and routing, but the entire logistics strategy from vendor to foundation.”

COSCO Heavy Transport, which operates the world’s largest fleet of semi-submersible heavy-lift vessels, took delivery of the 65,000dwt SP2 vessel Xiang Tai Kou in January. Measuring 231.10 meters LOA and 46 meters wide, it brought the total COSCO semi-subs fleet to 16, the majority of which are DP2 classed. The largest of the fleet is the 255-meter LOA, 98,000dwt Xin Guang Hua.

No other newbuilds are currently planned, said Peter Hansen, president of COSCO Heavy Transport, noting increased demand for semisubmersible heavy-lift vessels as the

COSCO Heavy Transport operates the world’s largest fleet of semi-submersible, heavy-lift vessels.

Credit: Cosco Shipping

oil and gas market remains strong, while the renewable energy market is adding to client requests.

“We do not see a considerable change in geographical demand, even with the introduction of renewable cargoes,” he noted. However, he reported requirements to perform floatover mating installations of increasingly large topsides, and said COSCO had “built

accordingly to meet market demand.”

Do customers have to be creative or flexible on timing to ensure access to the ships they need in the places they need them? Hansen said: “Demand for vessels is good, so it is wise to plan accordingly, and secure tonnage required for projects as early as possible.”

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Flexibility Is Key

From the EPC’s point of view, flexibility is everything. Ben van der Hoeven, director module logistics at Fluor, in the Netherlands, said: “When we develop solutions for our clients, we would advise them on the design of a plant or project – and would already know what kinds of vessels we need, how many and the duration of employment of these vessels. As an EPC we have a big say in finding a match; we can go very big and have fewer shipments or smaller with modules but need more voyages. We are constantly working on finding an optimum there.”

He described COSCO’s X-class as the “workhorse” of the industry, “Simply because you tend to design towards the vessels that are available in the market. For us, from a modular construction perspective, we don’t want to look at the unique, big units of COSCO or Boskalis, we want to look at units where there are sufficient sister ships. That is very important for us.”

One unique vessel on its own is often not regarded as a strategic solution, explained Van der Hoeven. “It could be a solution for the big oil companies, for example when they need to move one large rig or FPSO, but if you have a multi-voyage modular project, you need to be able to use sister vessels. That said, Fluor does have large one-off projects from time to time, that require the services of these top-end-of-the-market, semisubmersible vessels.

“You can plan it, and change ships if needed, without having to change the engineering or design. From the starting point, we like to look at ship types where there are sufficient sister ships or technically equivalent ships and we would design a project in a somewhat strategic, conservative way to make sure we would not be without tonnage.”

COSCO says its vessels have been designed in close consultation with leading offshore, oil and drilling companies in order to incorporate the latest developments in the industry and “to provide the safest, fastest and most reliable transports and installations within the semi-submersible market.”

Van der Hoeven, who previously held commercial positions with Damen Shipyards, Boskalis (Dockwise) and RollDock, said: “We have active dialogues ongoing with the shipowners, who also approach us and say – hey, we are thinking about a newbuilding, what would you like us to build? The question from time to time passes my desk and then I will have an opinion.

“I would be happy if there was more tonnage of this and that in the market – that would make me smile, but that is not necessarily the same thing as would make the shipowners smile. Owners like to have a differentiating factor on their vessels, I like to have sister vessels. But in general, there are usually good discussions ongoing over a cup of coffee.”

“A FEW SHIPOWNERS, WITH THE RIGHT COMMERCIAL AND STRATEGIC VISION AND THE FINANCIAL ROBUSTNESS TO DO IT, ARE NOW STEPPING FORWARD TO INITIATE

NEW BUILDING”

-

BEN VAN DER HOEVEN

Growing Environmental Awareness

As for innovation, Van der Hoeven points to size, capacity and, to some extent, speed – but more sustained speed. There is also increasing awareness of a project’s CO2 footprint, and therefore questions around fuels. An EPC is likely not in a position to reject ships that burn fossil fuel. “But if you have a vessel that can burn cleaner fuels, you may get some brownie points that just may tip the balance regarding the award of a contract.

“We would certainly say to the shipowner, it helps if you come up with solutions that supports Fluor to deliver solutions for our clients that demonstrate efforts to reduce the environmental footprint of a project.”

The pressure to adopt clean fuels will build - “and it has to,” he said. However, semi-subs are exceptionally strongly built, and they are built to last. “There are some older vessels still around and still in excellent shape.”

Hansen noted that the COSCO Shipping group, with its total fleet of more than 1,400 vessels, is spending considerable resources in evaluating alternative fuel sources. “Our parent company, COSCO Shipping Specialized, recently put two LNG dual-fuel powered ro-ro vessels into service,” he said.

The market is fairly quiet for large modular projects at present, according

to Van der Hoeven. There has been a tendency towards projects with smaller modules, but he predicted that the larger modules “will come again. Although fossil fuels and traditional chemicals may be in a mature phase on their S-curve, they will continue to form the lion share of our industry.

“Many of the renewables and sustainable projects, recycling and upcycling projects, are still at the beginning of their S-curve and time will tell whether large-scale growth towards more mature business will lead to more and larger modules being shipped.”

Global Developments

There have been unexpected knocks – for example, the delay (or extended timescales) on projects in the Middle East, where operators were gearing up for huge demand and newbuilds were being considered to serve this, and the impact of Russia’s invasion of Ukraine, pushing back key energy projects.

“Nobody expected that we would have the war in Ukraine. If that wasn’t there, there might have been further developments in the Russian Arctic,” said Van der Hoeven. “Global developments, including present tensions in the Middle East, impact shipping needs and also the supply situation; it’s a fine balance of supply and demand and the scales can be

Ben van der Hoeven

tipped very quickly, so there is a reluctance to build new ships too intensively.

“In the minds of shipowners, it hasn’t been too long since we saw a market with an over-supply of deck carrier tonnage, causing a doldrums period of several years with prolonged idling of vessels. A few shipowners, with the right commercial and strategic vision and the financial robustness to do it, are now stepping forward to initiate new building. A prime example is BigLift Shipping/CY Logistics, whose new ballastable module carriers will soon enter service.”

Van der Hoeven says there is more demand for flat deck carrier tonnage in general, though “whether that is going to be semi-submersibles remains to be seen. It depends highly on the location of projects. At the moment, many of the semi-submersibles are engaged in

the renewables industry. If we separate out that part, we are still in need of potential semi-submersibles if the location of a project requires.”

Hence, he said, there is room for some semi-sub newbuilds. He pointed to Canada and Australia as key areas, due to their large tidal variation.

“Semi-submersibles have much bigger ballasting capabilities than other vessels. In certain locations we need that – where the tidal variation is so big that you do need ships with significant ballast capability.”

Some of the ballastable module carriers, however, also have high spec ballast systems to offer similar performance as the semi submersibles, Van der Hoeven noted.

Semi-submersibles have another big advantage, he added – they can be used in conjunction with piggyback systems, carrying barges that are loaded with modules. “There are applications of

semi-submersibles in the market where a barge is the solution for the last mile – drop it off in deep water and the last mile or upriver stretch can be done by barge.”

Another reason to consider piggyback concepts is a possible reduction of the high day rates commanded by semi-submersibles by pre-loading barges and following up with a relatively straight forward barge float-on operation, the Fluor executive said.

“This can avoid having to develop a full-depth material offload facility, with the barge able to be pushed into a shallow material-receiving facility,” Van der Hoeven concluded.

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

*Breakbulk Exhibitor * BGSN member

Roll Group owns a fleet of adaptable transport vessels, including semi-submersibles and wide deck carriers.

Credit: Roll Group

CRACKING THE GEN Z CODE

By Alex Keimig

Strategies for Attracting and Retaining Tomorrow’s Leaders

Two years ago, Breakbulk Americas main stage panelists weighed in on addressing the industry talent gap. The message was clear: connecting emerging talent to the right roles in breakbulk, logistics and project cargo is as much an exercise in crossgenerational diplomacy as it is in hiring practices.

A recent report by Market Research Future (MRFR) expects the industry to

grow at an estimated compounded annual growth rate of 4% through 2030, by which time Generation Z - the generation of people born between the late 1990s and early 2000s - will make up 30% of the overall workforce.

The U.S. Bureau of Labor Statistics reports that approximately one-quarter of the employees in the transportation and warehousing industry are currently 55 or older, so meeting personnel

needs to support growth remains a serious consideration for many companies.

Next Gen: Meeting Their Demands

While the industry undergoes increasing new technologization through the implementation of AI tools and streamlined processes, a disconnect remains. The science and tools continue

to evolve, but are some approaches stuck in the past?

All eyes are trained on Generation Z. As the youngest new professionals still entering the workforce – born sometime between 1997-2012 and aged somewhere between 12-27 years – Gen Z is better-educated and more willing to cut their losses than any generation before.

According to Pew Research, 66% of

them have pursued some form of higher education, and these graduates are demanding more flexibility, increased job security and higher remuneration. In fact, in a recent report on diversity, equity, and inclusion in the workplace, McKinsey & Company reported that workers aged 18-34 are almost 60% more willing to quit in response to the loss of remote work options when compared to older colleagues.

Main Stage: Closing the Talent Gap Thursday, Oct. 17 11:30am - 12:15pm Sponsored by AT

This reinforces an inverse relationship between flexible working policies and talent shortages across industries: sectors with less flexibility and an unwillingness or inability to offer remote opportunities have faced – and continue to face – some of the largest skills gaps across jobs, including construction and manufacturing.

What does this relationship mean for an industry with both a deeply ingrained reliance on hands-on, boots-on-the-ground work that often can’t be completed remotely and a need for fresh, innovative talent?

It means it’s time to get creative.

THE KEY THREE

Thomas Skellingsted, Breakbulk Americas 2024 main stage panelist and president of 4D Supply Chain Consulting Ltd. in Houston, Texas, is a proven professional with over 30 years of experience in logistics, heavy-lift and project cargo operations.

Margaret Kidd, Breakbulk Americas 2024 student poster competition chair and Education Day host, is an instructional associate professor and director of the Supply Chain and Logistics Technology program at the University of Houston. She keeps all ten fingers on the pulse of student opportunity and is no stranger to communicating across the generational aisle.

Suhaib Kaissi, master’s student and teaching assistant at the University of Houston, as well as a lifelong global learner, keeps one foot in business and the other in academia. After several years with an MBA and a career in oil and gas, he took a brief detour to complete a postgraduate program on Artificial Intelligence at the University of Texas and is now pursuing his M.S. in supply chain and logistics technology.

With input from these three key voices – each representing a unique corner of the intersections of business and higher education – plus a survey of emerging professionals (sent to past participants of Breakbulk Americas’ Education Day), we set out to answer the big questions about attracting the fresh talent leaders need: how are young people finding the right jobs, weighing commitments and successfully embedding with companies in the industry?

If you’re short on time, don’t leave without digesting this crucial bite: while our Key 3 and survey respondents agreed that young job seekers value high salaries and a strong work-life balance, they also reported the value they see in establishing trust, relationships and good communication between potential employers and prospective candidates. New professionals want their suitors to walk the modern walk – not just talk the talk.

AI-Powered Job Search

Our Key 3 agreed: recent graduates and young professionals are finding their breakbulk jobs through people – not pages. Kidd cited professors, peers, campus career centers and professional organizations as being the most common ways that young professionals connect with available roles.

Skellingsted agreed. “I believe the industry and young talent need to establish closer connections from an earlier stage,” he said. “This way, both parties can better understand each other’s expectations and align them sooner, rather than waiting until it may be too late to bridge the gap.”

Kaissi presented an interesting addition: “AI tools have made job searches more efficient by personalizing job recommendations, streamlining applications and providing instant feedback. AI has improved access to [hiring] opportunities.” In fact, logistics company DHL‘s new consolidated, AI-powered careers site does just that. Upon launch, it led to an initial 25% increase in jobseekers per job.

Kaissi did caution, however, about the potential for young jobseekers to cite “concerns about the depersonalization of the hiring process.”

He added that short-form video content, including “employee

Thomas Skellingsted

Margaret Kidd

Suhaib Kaissi

testimonials, day-in-the-life videos and virtual office tours” as recruitment tools may be more likely to capture the interest of young job seekers, providing “a more authentic glimpse into company culture.”

These observations seem to align with those of young professionals: of those surveyed, the most common and successful methods of job searching were university career services offices, referrals from known individuals and company websites rather than social media or job boards.

Why It Matters

Companies can’t expect that the right young talent will come knocking down their doors with a few listings on the usual job boards. Establishing a presence that directly represents their culture and opportunities – especially with face-to-face engagements like mentorship and networking events or developing a good relationship with local higher education programs – helps build transparency, trust and connection with the talent pool, and allows companies to have a hand in intentionally cultivating the talent they wish to recruit.

Weighing Up Their Opportunities

According to our Key 3, young professionals are most heavily basing their employment decisions on these factors: salary, flexibility and the experience that can be gained.

“Young professionals and recent graduates entering the job market often prioritize high salaries and a strong work-life balance,” said Skellingsted. “They tend to seek opportunities that allow them to work less while earning more, which often includes preferences for remote work and flexibility over being tied to a traditional office environment.”

He also emphasized “well-defined training and education plans for new hires, including interns” – another example of young talent valuing

transparency as well as opportunities for advancement.

Kaissi agreed that “opportunities for professional development, networking and gaining valuable industry experience” are high on Gen Z’s wish list, but also cited a potential negative: the hiring process itself. The time it takes decision-makers to review applications or make hiring choices can lead to precisely the wrong attrition: that of in-demand, highly sought candidates.

“The efficiency of the hiring process is becoming more crucial with the rise of AI,” he added. Emerging professionals may expect companies to make the same use of AI as they do, allowing for sleeker, condensed timelines due to the potential for automation.

Young respondents unanimously agreed that competitive salary is an important factor in evaluating a job offer, but they also agreed that it wasn’t the only factor. Secondary considerations varied widely, however: some valued flexible work hours or remote work options highly, while others focused on a clear path for advancement and good health care plan benefits.

Why It Matters

Companies are selling their “brands” just as strongly as applicants are selling theirs as employees. All the advice given to young professionals in the process of building a resume – listing and exemplifying unique, valuable skills and

experiences – applies to companies looking to attract top talent as well.

In an industry where flexible working options are highly sought but not always practical, companies need to get creative in looking for unique, alternative benefits to offer emerging talent. Offering a competitive, balanced package is essential to tipping the scales in your favor.

Increasing Longevity

When it comes to retention, “companies that actively engage with students early on and offer mentorship programs during their education tend to have greater success in securing the right interns and promoting long-term retention,” said Skellingsted. That well-defined training that he listed as a selling point also “plays a crucial role in fostering long-term employee commitment.”

“Young talent always wants to grow. The moment you hire them and put them in a corner to do only “their tasks” is the moment you sign their exit papers,” agreed Kaissi, emphasizing the importance of opportunities for advancement.

Structured opportunities for continuous learning and professional development, such as mentorship programs, certification courses and workshops, are key attractions. These offerings not only enhance young employees’ skills, but also demonstrate that the company is invested in their long-term growth.

Students are given a tour of the show floor at Breakbulk Americas 2023.

Credit: Hyve

According to student job and recruiting platform Handshake, nearly 50% of this year’s graduates say they’re more likely to apply to a company that provides employer-sponsored upskilling resources.

“The global capital projects sector needs to do a better job in implementing strategies to retain talent,” said Kidd. “Gen Z [workers] want to know what the career trajectory is, as well as the training and formal mentorship opportunities available.”

Respondents reported that factors that could potentially cause them to leave a job within the first year of employment vary in nature but usually boil down to compensation and advancement. If young talent can find better opportunities for growth, salary

increases or greater flexibility from another organization, they may be tempted to switch.

Why It Matters

It’s no longer enough for companies to start new talent at a competitive compensation level relative to industry peers; they must keep delivering on those benefits past the first year of employment. Remember that earlier statistic about Gen Z’s greater willingness to leave a job that isn’t suiting them? The days of the easy-to-recruit lifelong professional ended along with guaranteed pensions and the relative economic stability that preceded the mass layoff cycles of the late 20th century. Now, with the rise of the job-hopper economy, those two birds in

GEN Z: A NEW PERSPECTIVE ON THE WORLD OF WORK

Higher college enrollment by recent high school graduates

Lower generational workforce participation, adjusted for age

Lower college enrollment by recent high school graduates

Higher generational workforce participation, adjusted for age

Job-hopping to get the best benefits Loyalty and longevity to increase earnings

More willing to cut their losses if a job isn’t working for them

Expect clearly defined paths for growth and advancement

Seek flexibility in working environment, including opportunities for remote work

More likely to pursue employers who are willing to invest in them with upskilling opportunities

Have the potential to help close the industry talent gap

More willing to stick it out and wait for things to improve

Expected organic progression of growth and advancement

Expect to work on-site or in the office each day

the bush really can be worth more than the one in the hand.

Debrief: Where Do We Go From Here?

Ultimately, the factors that weigh most heavily in young professionals’ decisionmaking when it comes to industry jobs can be boiled down to security, surety and stability.

Solidifying your brand’s value through networking with local colleges and universities, as well as professional organizations that enroll student members, can be an invaluable piece of the puzzle when it comes to closing the talent gap.

*Breakbulk Exhibitor Gen Z

Not as concerned with employers providing explicit plans for extra professional development

Have the ability to directly shape the young professionals they wish to employ

Mentorship and educational opportunities are low-risk strategies to help establish a positive presence. Then, deliver on that reputation when it comes time to hire by offering not just competitive pay, but verifiable work-life balance and flexibility with a clear path for growth.

Once you’ve found your talent, don’t rest on your laurels: ensure that you’re providing ample opportunities for professional development and a path for advancement, and keep your tangible compensation offerings, like salary, competitive.

In closing, Kidd said: “There is a rich world of knowledge transfer that is occurring, and we must accelerate to bridge the talent gap and prepare today’s workforce to be tomorrow’s leaders.”

Alex Keimig is a U.S.-based freelance journalist specializing in academics, innovative research and practical technology, including project management and logistics.

By Simon West

SHAPING HAMAD PORT’S FUTURE

QTerminals’ Caitlin Jean Geel Celebrates the Buildout of Qatar’s Gateway to World Trade

It’s been a record-breaking year at Qatar-based port operator QTerminals’ flagship facility, Hamad Port.

The complex, located south of capital city Doha, hit a major milestone in August after handling its 10 millionth twenty-foot equivalent unit (TEU) since it began operations eight years ago. A few weeks before, the port had set a new productivity record of 234.26 berth moves per hour (BMPH) when it welcomed the container vessel MSC Elisa XIII to its docks, beating the previous high of 220.38 BMPH.

Since its launch in late-2016, Hamad Port has fast evolved into a key hub for international shipping and a major gateway for breakbulk and other cargoes. Construction work designed to avoid capacity constraints has included the completion of the first two phases of the port’s container terminal 2 (CT2), a project

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Women in Breakbulk Networking Lounge T17

Meet with customers,

network and enjoy daily refreshments (ticket required)

that has boosted handling capacity to five million TEUs per year.

Caitlin Jean Geel, contract and commercial manager at QTerminals and a key member of the team that oversaw the development of CT2, said the project had been hugely rewarding.

“Honestly, it is job satisfaction seeing a megaproject like CT2 come to fruition,” Geel told Breakbulk. “There are so many proud milestone moments during a project like this, for example when construction begins after months of design work, or watching the offloading

of the ship-to-shore cranes and other terminal equipment, or when handing over the site at the start of operations.

“It is a real sense of achievement knowing that I was part of a team that successfully delivered that project. There is so much to consider when undertaking port development and expansion projects, yet the main objective remains the same – how does the company operate and how will it make profit from what is built?”

Geel, who studied quantity surveying at South Africa’s University of Pretoria, began her career working on greenfield developments in the coal mining sector, gaining precious insight into the full life cycle of an industrial project from concept feasibility studies and tendering to construction and project closeout.

Seeking a fresh challenge, Geel decamped to Qatar a decade ago, working in contract variations and claims at a surveying firm while studying for a master’s in construction law and arbitration. In 2019, she joined the project team for the construction of CT2.

“My background experience is not initially linked to the shipping and logistics industry, yet here I am, fascinated and gaining knowledge of this profession,” Geel said.

Caitlin Jean Geel

A Crucial Gateway

Hamad Port has been crucial in facilitating the smooth flow of goods and materials for the successful buildout of megaprojects such as the construction of the North Field liquefied natural gas (LNG) venture – the largest of its kind in the world – and the expansion of Hamad International Airport in Doha.

Last year, the port handled more than 1.3 million tons of breakbulk including machinery, steel, dry bulk, building materials, fertilizers and petrochemicals.

Geel’s role at QTerminals involves supporting the technical and project development department during the planning and execution of construction projects at Hamad Port and at the company’s European operations at Kramer Rotterdam Port in the Netherlands and Antalya Port in Türkiye. A typical day involves liaising with key stakeholders and developers and meeting with project managers, engineers, consultants and contractors.

“It can be spent in the terminal for maintenance work and onsite observing construction work, or at a desk evaluating proposals and reviewing designs. Tasks are often done remotely so even though I am based in Qatar, I am engaging with our business units in the Netherlands and Türkiye.”

Geel said the department was currently focused on the goal of implementing environmental, social and corporate governance (ESG) measures into all of the company’s projects and capex investments, including demolition work, repairs, maintenance, refurbishment, expansion and new works to its existing operating terminals.

A Diverse Workplace

A key tenet of the company’s ESG strategy is creating an inclusive workplace culture, and Geel, keen to touch on the role of women in

the industry, said her professional experience in Qatar had been “positive and enriching.”

“Similar to any of the other male-dominated industries, female professionals face the same challenges – it is how you manage and rise above those challenges that will gain you respect in the industry,” she said.

“Working in the maritime, shipping and logistics industry can be empowering but you need to have solid communication skills and confidence in yourself. I am grateful to have been mentored by a few colleagues who were eager and kind to pass on their wisdom. Here at QTerminals, there is a concerted effort to acknowledge and appreciate all female employees.”

Geel admitted that despite industry-wide efforts, progress toward gender diversity remains slow, with the sector still falling short when it comes to appointing and promoting females to leadership roles.

A recent positive has been a push to encourage more women to explore and pursue science, technology, engineering and mathematics (STEM) disciplines, a move designed to strengthen the region’s maritime sector. For young women about to embark on a career in logistics and shipping, Geel offered some sound advice.

“Take on the opportunity, as the local and international industry offers varied career pathways, and it exposes you to so much more than just transporting cargo. No matter which role you start at, it is not necessarily where you will be a decade later in your career, especially with technological advancements such as AI. Learn to embrace change and find the balance between your hard skills and soft skills.”

Colombia-based Simon West is senior reporter for Breakbulk

*Breakbulk Exhibitor

RoRo operations at Hamad Port’s general cargo terminal (GCT).

Credit: QTerminals

QUARTET OF SHIPPERS INVEST IN UAE GAS PROJECT

Rising Demand for Natural Gas as an Energy Transition Fuel Expected to Generate More Global LNG Projects

In July, a quartet of shippers announced their investment in a major UAE gas project led by Abu Dhabi National Oil Company (ADNOC) Shell, TotalEnergies, BP, and Mitsui each took a 10% stake in the Ruwais liquified natural gas (LNG) project, attracted by its climate-friendly credentials. The move underscores a new trend toward lower emissions gas developments, with more projects expected to proceed soon.

Significantly, the LNG export terminal in the industrial city of Ruwais in Abu Dhabi is set to be the first facility in the Middle East and Africa (MENA) region to run on clean power, making it one of the lowest-carbon-intensity LNG developments in the world.

“The project will be fully electric and powered by nuclear and solar energy sources,” said Sean Harrison, an analyst at energy research company Wood Mackenzie, following news of the new partners in Ruwais LNG. “This will reduce the project’s emissions,

AT BREAKBULK AMERICAS…

Main Stage:

How to Win Project Cargo

Business: The Shipper’s Advice

Wednesday, Oct. 16

12:00pm - 12:45pm

By Damon Evans

making exports into markets with stringent emission regulations more appealing and will help align with the international oil companies’ (IOC’s) strategies for reducing emissions.”

Due to start commercial operations in 2028, the facility will leverage AI and the latest technologies to enhance safety, minimize emissions and drive efficiency, said ADNOC, which operates the project with a 60% share.

The LNG project consists of two 4.8 million tonnes per year (t/y) processing trains with a total output of 9.6 million t/y, which will nearly triple the UAE’s existing LNG production capacity.

The state-backed oil and gas company announced its final investment decision (FID) to build the export project in June. That month it also awarded a $5.5 billion engineering, procurement, and construction (EPC) contract to a joint venture led by Technip Energies and also including Japan’s JGC and the UAE’s NMDC Energy.

Technip Energies is managing the construction of the plant, including logistics scope. Breakbulk understands that Fadoua Jabra, project transport manager at Technip Energies, is leading the logistics.

Besides the EPC deal, ADNOC Gas, the gas and LNG division of ADNOC, last October awarded U.S. energy services company Baker Hughes a contract to provide two electric liquefaction systems (e-LNG) for the Ruwais complex.

New Climate-Friendly Equipment

The new LNG production trains will be driven by Baker Hughes’ 75-megawatt BRUSH electric motors and feature the company’s compressor technology, making Ruwais LNG one of the first all-electric LNG projects in the Middle East. Compressors are essential for cooling natural gas to about -162 degrees Celsius and transforming it into a liquid state for shipping.

An e-LNG facility uses large electric motors to drive the refrigerant compressors instead of gas turbines, or other mechanical drives. E-LNG systems offer the opportunity to generate power from several sources, including renewable energy or nuclear. This helps either reduce or eliminate greenhouse gas (GHG) emissions. Their use reflects the broader industry trend toward electrification and sustainability in industrial applications. Moreover, these new compressors, powered by electric motors, are typically smaller and more compact than gas turbines or mechanical drive systems used in traditional compressors. The absence of a large gas turbine, which tends to be bulkier due to its size and associated equipment like fuel systems, exhaust systems and cooling systems, reduces the overall footprint of the compressor system. Instead, E-drive systems need electrical components

“STARTING IN 2030, THERE WILL BE A SUPPLY GAP AS DEMAND FOR LNG CONTINUES TO GROW. TO ADDRESS THIS, NEW PROJECTS NEED TO REACH

FINAL INVESTMENT DECISIONS

(FID) WITHIN THE NEXT ONE TO THREE YEARS” - SINDRE KNUTSSON, RYSTAD ENERGY

like transformers, inverters and control systems, which can add to the overall size, but they are usually more space-efficient than the equivalent mechanical components in gas-driven systems.

Lower-Emission LNG Projects

Lower emissions projects, such as Ruwais LNG, will be vital for LNG to prosper in a low-carbon world, according to energy research company Wood Mackenzie. Consequently, new LNG projects plan

to deploy electric motors to drive the compressors that liquefy the gas, rather than gas-to-power turbines.

TotalEnergies is planning to use electric liquefaction trains at its proposed Papua LNG project in Papua New Guinea (PNG), which is targeting FID in 2025. Technip Energies and Clough have been carrying out the front-end engineering and design (FEED) work for the three-train development. Papua LNG will be built within the existing PNG LNG complex, operated by ExxonMobil in Caution Bay. Indeed, demand for more LNG

producing projects is rising, especially as natural gas is increasingly viewed as a key energy transition fuel. As a component in the energy transition, LNG can decrease carbon emissions in processes where it displaces coal, which has a large carbon footprint. Crucially, LNG can easily be shipped to regions where a lack of native natural gas resources hinders the scaling back of coal usage.

The LNG market is predicted to be well-supplied over the next five years, thanks to new projects coming online during this period, according to energy consultancy Rystad Energy. However, “starting in 2030, there will be a supply gap as demand for LNG continues to grow. To address this, new projects need to reach final investment decisions (FID) within the next one to three years,” Sindre Knutsson, partner, gas & LNG research, at Rystad Energy told Breakbulk

“By 2032, up to 50 million tonnes of new (currently non-FID) LNG projects will be necessary. Depending on the size of these projects, this

The Ruwais LNG project in Abu Dhabi will be the first LNG export facility in the MENA region to run on clean power. Credit ADNOC

may translate to around ten or more projects reaching FID to fill the gap. Key regions for development will include the U.S., Qatar and Western Africa, with additional opportunities in the Americas — such as Argentina, Mexico, and Canada—as well as in Southeast Asia,” added Knutsson.

Investment Decisions

Meanwhile, there has been a spate of FIDs recently, said Fraser Carson, principal analyst, global LNG at Wood Mackenzie. “There have been three FID announcements so far this year, representing just over 13 million tonnes per year (t/y) of sanctioned capacity. In mid-June, ADNOC greenlit its 9.6 million t/y Ruwais LNG project. Later that month, the Haisla Nation and Pembina formally sanctioned the 3.3 million t/y Cedar LNG project, Canada’s first floating LNG (FLNG) export facility.

“Also in June, Malaysia’s Genting signed a $1 billion engineering, procurement, construction, installation, and commissioning (EPCIC) contract with Wison New Energies to construct a 1.2 million t/y FLNG facility for a project in Indonesia,” Carson said.

Wison New Energies, based in China, will build the FLNG facility at its shipyards in Nantong and ZhouShan. Following the successful yard performance test, the FLNG unit is due to be transported to Teluk Bintuni, West Papua, Indonesia, during the second quarter of 2026, for final commissioning.

Looking forward, Wood Mackenzie sees potential for up to 80 million t/y of new LNG export developments to be sanctioned over the next two to three years. Carson added: “There are several U.S. LNG projects that are well placed

to make a positive FID announcement, despite the impact of the pause on Non-Free Trade Agreement (FTA) approvals. We could see a U.S. project sanctioned by the end of this year.

“Securing financing and EPC contracts, and continuing marketing momentum, are the key next steps for these projects. Outside the U.S., we see good FID potential for projects in Mexico, Qatar, Papua New Guinea and Mozambique. In PNG and Mozambique, project partners will be focused on completing FEED and awarding EPC contracts. In Qatar, FID timing will depend on project cost estimates and marketing.”

Damon Evans is a freelance journalist, analyst and consultant, specializing in the energy sector with 20 years of experience. He is based in Singapore.

ELME Spreader was born this year. So was the disco. Welcome to booth N33 and celebrate with us! George R. Brown Convention Center.

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ADVANCING AFRICA’S LOBITO CORRIDOR

Interest in Trade Route Grows as the West Seeks Critical Minerals

Development corridors are a hot topic in Africa at the moment, as several countries seek to extend and diversify trade routes. Few, however, are garnering as much attention as the Lobito Corridor, which links Angola’s deep-sea port of Lobito in the west with the Democratic Republic of the Congo (DRC) in central Africa and Zambia in the east. Spanning some 1,300km from Angola to Zambia, and another 400km to Kolwezi in the DRC, the continentstraddling project is ambitious and complex.

Such projects in Africa don’t come easy. More often than not, they experience slow take-offs due to a combination of infrastructure deficits, regulatory and bureaucratic

hurdles and funding challenges. Political instability, along with capacity and skills gaps, often exacerbate the situation.

The Lobito Corridor faces all these challenges and more. Involving a diverse range of parties — including three African governments, the United States, the European Union, a consortium of private sector players, investment institutions and banks – it will require considerable time to get right.

But for Africa experts Fracht, Lobito has the potential to become “the fastest, most reliable and efficient” of a number of trade corridors in the region. Amaury Luyckx, managing director of Fracht Belgium, told Breakbulk: “We have been active on the Lobito

By Liesl Venter

Corridor since the very beginning – and we are still the pioneers.

“Although there is still a lot of work to be done before we get there – I estimate a minimum of one year before we really see some larger volumes moving – we cannot underestimate the importance of this new solution. A consortium of two major companies, Trafigura and Mota-Engil, together with technical advisor Vecturis SA, has been awarded the mandate to operate the railway, independently from politics.

“Moreover, Lobito has the great advantage to be a rail corridor, which is interesting for larger volumes, and also a greener corridor - which is more and more a requisite of our clients that are focusing on the sustainability of their business.”

A vessel arrives at Angola’s Port of Lobito carrying cargo destined for the DRC.

Credit: Trafigura

The major issue, Luyckx said, is that shipping lines do not regularly call on the Lobito port due to a lack of demand at present, especially on the import side. “That being said, with the freight rates going down currently, shipping is back to being a volume game and Lobito can offer that opportunity for extra volumes,” he added.

Challenging China’s Dominance

According to Cobus van Staden, co-founder and managing editor of the China Global South Project, an independent startup tracking China’s influence across the Global South, Lobito Corridor is an attempt to “deliver a creative solution to China’s belt and road initiative.”

Fresh from a trip to Washington, Van Staden notes that the project is the topic of much discussion, especially given that the targeted materials are predominantly already secured by China. “The U.S. and parts of Europe are intent on accessing critical minerals without Chinese involvement, as China currently controls the flow of most of these through the eastern side of Africa,” he said.

Notably, copper is driving the interest for Lobito, considering lithium, graphite, and cobalt demand is cyclical and may only partially justify the billions required to make this a functioning corridor.

“China has a stronghold on

the critical mineral supply chain, having invested extensively in the entire mining value chain across Africa for years. Lobito will go a long way in challenging this dominance,” said Methembeni Moyo, head of the Africa Practice at NSDV, a law firm specializing in African mining, construction, energy and environmental law.

Like Van Staden, she warns that while the U.S. and EU now have direct access to much-needed critical minerals, it is unlikely that the Lobito Corridor alone will significantly loosen China’s grip. The impact may be limited without direct investment in exploration, mining and processing.

According to Van Staden, there is no denying that if the best version of the Lobito Corridor is realized, it will significantly advance the continent. Therein, however, lies the problem. “As with all these global gateway projects in Africa, they are cultivated and involve numerous initiatives and diverse stakeholders, which makes the process complicated. And complications in Africa often mean a long timeline, which is one thing this project cannot afford.

“For the Lobito Corridor to be successful and fully realize its potential, it must move quickly. China has already taken note of the U.S.’s intent and has responded with upgrades and refurbishments to the Corridor from the Copperbelt to the port of Dar es Salaam,” he said.

Growing Optimism

Zambian Minister of Infrastructure Charles Lubasi Milupi is optimistic. “When we came into office three years ago, opening Zambia up towards the West was a priority and we are moving very quickly,” he told Breakbulk. “The funding for Lobito is secured and the Memorandums of Understanding have been signed. It is not a question of if it will happen, but when.”

Milupi said Zambia had long depended on exporting and importing through South Africa and Tanzania only. “If we want to export to the Americas and Western Europe, we utilize ports on the eastern part of the continent to reach the West. That does not make sense. How do we grow these markets if we don’t have a direct route? Zambia and the DRC can and will benefit from this development. We expect to see many projects emerging from the corridor’s development.”

He noted that Zambia is steadily increasing its mineral production. “We want to see our copper production rise from 800,000 tons annually to at least three million tons. This will require a significant investment in capital equipment. There is no better way to transport this to the Copperbelt than via rail. Project cargo will increasingly be transported via the Lobito Corridor because it makes more sense from a transit time and a cost perspective.”

While U.S.-China politics continue to influence the development of this corridor, the African countries involved are not entangling themselves in these dynamics. They have no intention of severing their strong ties with China.

“Lobito is not the game-changer for the DRC but rather one of several strategies we have to enhance our country’s trade,” said Ila Ngongo, chief of staff at the DRC Ministry of Infrastructure. “Production in Kolwezi is set to increase fourfold over the next decade or two.

“We cannot rely on just one or two options for moving project cargo. That’s why the Lobito project cannot

Amaury Luyckx

Charles Lubasi Milupi

be limited to merely upgrading and extending the railway line. It must also include road developments and other initiatives to streamline the efficient cargo movement.”

Tackling the Hurdles

Kris Van Heerden, general manager at DSV in South Africa, notes that the Lobito Corridor is still in its early days. “Today, the cost per unit using this corridor remains too high compared to other solutions for project cargo and breakbulk in the region, and that is including using rail as a transport mode.

“The lead time from Lobito to Zambia is promising at eight or nine days, but the corridor must be competitive. Currently, there are not enough return loads.”

He also points out that Angola’s Port of Lobito still relies heavily on charters. “More shipping lines need to call at Lobito for it to work effectively in the long run. While the developments around Lobito are exciting and logistics operators are closely monitoring the situation, project cargo will continue

to use preferred routes into the DRC until all the pieces are in place.”

Van Heerden anticipates that, for the foreseeable future, heavy loads will continue to be transported to the DRC and Zambia via Namibia’s Walvis Bay, South Africa’s Durban and Richards Bay ports, and Tanzania’s Port of Dar es Salaam. “Lobito is an exciting development, but it will not materialize overnight. The two critical logistics questions will always be how quickly it can be delivered and at what cost.

“Although the lead times from Lobito look good on paper, the lack of schedule reliability and insufficient return loads make rates too high compared to the other three ports with their well-established vessel movements.”

Progress Underway

Milupi admits much still needs to be done. “While part of the railway is already operating, there are a lot of refurbishment and upgrades that have to take place. We have to extend the railway line in places and we need roads and other infrastructure as well. We have signed two MOUs linking Zambia to Angola via road: one along the Lobito Corridor and the other in the western part of the country. We are moving forward - slowly, but surely.”

The DRC has also signed MOUs and contracts to initiate their part of the project. In Angola, a 30-year concession has been awarded to the aforementioned consortium comprising Trafigura, Mota-Engil, and Vecturis for rail services and logistics support for the corridor.

The consortium, in turn, has committed to a six-year agreement

to transport minerals via the existing Lobito Atlantic Railway on behalf of Kamoa-Kakula, a joint venture between Ivanhoe Mines and Zijin Mining. Export capacity along the corridor’s railway line is expected to reach around one million tons by the end of the decade, and Trafigura estimates this will increase to 450,000 tonnes per annum by 2025. Rehabilitation work at the port and along the railway has started. An order for 275 new wagons to operate on the railway line has been placed, with the first consignment expected before year-end. In July, the first vessel docked at the Port of Lobito’s mineral terminal for the first delivery via train to the Copperbelt. Currently the freight train runs twice a week. The goal is to see it operational six times a day.

To achieve its goals, the Lobito Corridor will need to navigate several tough challenges - perhaps the most significant being proving its commercial viability. The corridor’s complexity is heightened by its span across multiple jurisdictions, requiring government regulators to align policies to ensure efficient development across countries.

Experts agree that the economics will be challenging. “Moving enough cargo to justify the considerable construction, operation and maintenance costs while competing with regional alternatives will not be easy,” said Van Heerden. “The Lobito Corridor, however, does make sense.

“Now, it’s about making it happen.”

Liesl Venter is a transportation journalist based in South Africa.

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Kris Van Heerden

Fracht transported transformers for the INGA Dam in DRC, which powers copper production in the Copperbelt and supports the development of the Lobito Corridor.

Credit: Fracht Group

JGC’S KOICHI KAIZU: THE MASTER OF MODULARIZATION

AT BREAKBULK AMERICAS…

Main Stage:

How to Win Project Cargo

Business: The Shipper’s Advice

Wednesday, Oct. 16

12:00pm - 12:45pm

At JGC Corporation in Japan, freight forwarders and other logistics partners are held in particularly high regard, given their ability to make or break a project’s success.

“Since JGC is engaged in megaprojects, any delays in the shipment of components, heavy equipment and structures can lead to additional project costs amounting to millions

Logistics Partners Play Outsized Role in Modularized Projects, Says JGC Specialist

By Damon Evans

of dollars per day,” said Koichi Kaizu, a logistics subject matter expert for module transportation at JGC, in an exclusive interview for Breakbulk

“Therefore, robustness and certainty in our logistics execution become critical for overall supply chain management, and the performance of the logistics service provider significantly impacts our logistics execution performance.

“As a result, we prioritize trust and accountability in our long-term partnerships with logistics companies. This helps us manage unexpected events, such as the COVID pandemic,” the logistics expert added.

Kaizu is charged with shipping heavy cargoes and equipment to energy projects across the globe, including modules heavier than the steel structure of the Eiffel Tower.

Established in 1928 and headquartered in Yokohama, JGC is a global engineering company that specializes in the design, procurement and construction of large-scale industrial plants and facilities, particularly in the energy transition sector.

It operates in various business fields such as oil and gas, chemicals, renewable energy, life science and infrastructure development and says its biggest market is energy construction projects, including liquefied natural gas (LNG) plants.

Global Operations

The company is working on multiple LNG projects around the world, among them the Shell-led LNG Canada project, one of Canada’s largest-ever energy projects. JGC uses a modular construction approach, where much of the project is built offsite overseas, before being transported and installed at the final location.

The LNG Canada modules, for instance, were fabricated at various

yards across the world, including China, Italy and Indonesia - the largest weighing in at more than 9,500 tons.

LNG Canada, a joint venture company encompassing Shell, Petronas, PetroChina, KOGAS, and Mitsubishi, is building an LNG export terminal in Kitimat, British Columbia. A joint venture between JGC and Fluor is in charge of delivering multiple aspects of the Canadian megaproject, including engineering, procurement, fabrication and delivery of modules, as well as construction of the project’s infrastructure and utilities, marine structures and LNG storage tanks.

Elsewhere, JGC is currently executing multiple floating LNG (FLNG) plant projects simultaneously. An FLNG plant is a specialized vessel used for the production, liquefaction, storage and transfer of LNG at sea, with technology that’s often used to tap small-scale offshore gas fields.

JGC is responsible for the engineering, procurement and commissioning work for the FLNG topside, the associated onshore facilities and the management of the overall project.

A Modular Approach

JGC uses a modular construction approach for projects built in remote areas, where there are inevitably labor availability and cost concerns. Indeed, Kaizu believes the greatest challenge for JGC when executing projects is the location of the energy plant site, since

the construction site management cost is a significant element.

A logistics partner’s role in a modularized project is especially pronounced, emphasizes Kaizu. “A one-day delay in an individual piece of equipment remains the impact of a delay in one unit of work pack (a group of related tasks) in a conventional project –but in a modularized project, it becomes the impact of a delay in one module.

“If we consider a module in terms of work pack volume, it is equivalent to several thousand units of work pack volume and, therefore, a delay in a module means a delay in several thousand units of work pack at construction site. As a result, the impact on the site and the entire project is enormous.”

It’s no surprise, then, that Kaizu values reliability and speed as key traits among JGC’s logistics partners. “Mitigation measures are also important – if there is a delay in delivering a shipment to the construction site, for whatever reason, such as a manufacturing delay, then we might be able to choose air freight to recover the schedule.

“However, for modules, we don’t have that transport option, as due to the size and weight, they can only be shipped by sea.”

JGC’s first experience using the modular approach was for the Gorgon LNG development in Australia. “Since then, we have gained more experience, and we are continually improving the modularization design process,” noted Kaizu. “As a result of the design progress, the module size and weight got larger and heavier than ever before. To transport these giant modules, we need to use very large semi-submersible vessels.”

The company’s modules tend to be fabricated in countries such as China, Indonesia, and Thailand, Kaizu said. “We then transport them to the energy plant construction area. We have completed these types of energy construction projects in Australia, as well as the Arctic area of Russia.”

An advanced design “JI Module” (JGC Integrated Module) weighing 10,000 tons onboard a Cosco semi-submersible vessel. Credit: JGC

Seeking Long-Term Partnerships

While JGC does not often seek opportunities to deviate from its well-established logistics partners, business opportunities do exist for new players, said Kaizu.

JGC is said to be “very happy” with its legacy partners deugro, Bolloré and a few other forwarders, though it continues to explore potential collaborations with other suppliers. “We are looking for trusted partners to be added to our future projects, but we also want to be a trusted partner for them too,” said Kaizu.

“In addition to the basics, such as cost, speed, quality, and capability, we are seeking trust and accountability. This is of utmost importance. As we experienced the market volatility and disruption during the pandemic, we need a certain amount of accountability and trust which goes beyond common practice,” stressed Kaizu.

“We feel a strong obligation to retain our reliability, credibility and accountability to our partners,” he added. “We select partners for long-term relationships.”

For its modular energy projects, JGC engages two different types

of logistics partners – international freight forwarding companies and module transportation ocean carriers. “In terms of the freight forwarding company, we expect them to have the capability and ability to manage materials shipments to various destinations as we execute projects across multiple locations,” said Kaizu.

“Typically, we use four or five fabrication yards for one project. Therefore, our freight forwarding company needs to manage equipment shipments from our global suppliers to four or five different final destinations, which includes managing import duty exemptions,” he added.

Minimizing Carbon Emissions

JGC is actively involved in various energy projects across the world that are focused on reducing greenhouse gas emissions and advancing sustainable energy solutions. Now, the major energy companies are also looking to their contractors and suppliers, such as JGC, to manage their environmental footprints.

“Reducing emissions is our big homework, as our clients increasingly ask us to demonstrate how we will

minimize carbon emissions during the EPC project execution. To respond, we need to develop our program and we need cooperation from our partners, such as shipping companies,” noted Kaizu.

Looking ahead, Kaizu, who has worked in logistics and shipping at JGC for 20 years, considers the African and North American markets to be the most active for energy projects over the next decade. “In Africa, we expect LNG projects, while in North America, we are exploring ammonia and nuclear power projects, as well as LNG.”

Kaizu said long-term energy market trends are difficult to predict, but in the near-term he states “there is a general market understanding that coal plants will disappear very soon. Next to disappear will be oil refinery and oil-fired power plants.” However, he regards natural gas and LNG to be “sustainable for the next 10 to 20 years, playing a role in the energy transition.”

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Damon Evans is a freelance journalist, analyst and consultant, specializing in the energy sector with 20 years of experience. He is based in Singapore.

A JGC conventional design module weighing more than 5,000 tons being transported by the Dockwise Forte semi-submersible heavy-lift vessel. Credit: JGC

By Luke King

BEATING A PATH TO POLAND

Wind Energy, Nuclear Prospects and Infrastructure Upgrades

Attract

Logistics Companies to Central European Nation

In the next two years, a new €250 million offshore wind terminal will open in Gdańsk, underscoring Poland’s commitment to energy transition and indicative of a focus on renewable power that is generating substantial business for the project forwarding community.

The central European nation is enjoying an unprecedented period of growth. Unemployment has fallen below 5% for the first time since 1990, when Poland was beginning its post-communist transformation, while GDP per capita may overtake that of the United Kingdom by 2030, according to the World Bank.

Freight forwarders have been quick to seize the opportunity, evidenced by a steady stream of new office announcements in Poland from the logistics sector in the last 12 months.

Among those with new Polish operations is deugro, the Germanheadquartered project cargo specialist, which opened an office in Gdynia, a port city a few kilometers north of Gdańsk on the Baltic Sea coast, in October last year.

Mariusz Rutowicz, country manager for Poland, explained the motivation to Breakbulk, citing deugro’s “long history in successfully completed projects in Poland.”

He said: “Poland is at another very important threshold of infrastructure development. “Our current government has implemented several huge investment programs that require specialized serviceincluding in the field of logistics.

“Many logistics companies are currently investing in Poland to keep up with the development of global

connections and strengthen the supply network.”

Infrastructure upgrades, including road, rail and port facilities, have also enhanced Poland’s logistics capabilities, Rutowicz said. He pointed to major projects at Gdańsk, Szczecin / Świnoujście and Gdynia

Mariusz Rutowicz

ports, plus new terminals at Baltic Hub – all of which are “making the country more accessible and efficient for logistics operations.”

Intervention by the state has also been encouraging, Rutowicz added.

“The Polish government has been supportive of business investments, offering incentives and creating a favorable regulatory environment for foreign companies. This includes tax incentives, grants and streamlined administrative processes.”

UTC Overseas – a global forwarder that opened a Gdańsk office earlier this year – offered some additional reasons for the company’s foray into Poland.

“Decarbonization has an enormous influence,” said Jakub Walasek, director of UTC’s Poland office.

“It involves building new lowemission power plants, mostly gas-powered. Additionally, the exchange of old coal-fired plants to gas-powered plants is a big thing.

“The war in Ukraine will end one day and the country will need to be rebuilt. Poland is the closest in terms of history and culture to Ukraine so a lot of business will be done this way.”

Renewables a Major Driver

Rutowicz said that substantial investments in renewable energy, particularly wind and solar power, was a “major driver” for the significant growth in the Polish heavy-lift market.

Such investments are leading to “increased demand for project cargo and specialized logistics services, creating opportunities for logistics providers to support the transport of large and complex components,” he said.

“Szczecin, as the location for the new factories of wind turbine components, holds strategic importance due to its proximity to the Baltic Sea, which is emerging as one of the main areas for offshore projects in Europe.”

Another recent development was the European Commission’s approval (under EU “state aid” regulations) earlier this summer for Poland to invest €194 million in the aforementioned new offshore wind terminal.

“After years of delays, there is a green light from the European Commission for the construction of a terminal in Gdańsk for Polish wind farms on the Baltic Sea,” wrote Jan Szyszko, deputy minister of funds and regional policy, in a July social media post.

The terminal will be located at Baltic Hub – Poland’s largest container

port – and will facilitate the installation and servicing of wind turbines in the Baltic Sea as part of Poland’s plans to generate up to 51% of electricity from renewables by 2040.

The total cost of the project is €253 million, with the balance financed by the beneficiary, Istrana, which will build the terminal. It is expected to be operational in 2026 and will operate under a lease between Istrana and the port authority ZMPG until 2055.

Separately, renewable energy manufacturer Vestas announced plans to build a new offshore nacelle and assembly factory in Szczecin to meet “rapid offshore growth.”

The Szczecin facility will assemble nacelles and hubs for Vestas’ flagship offshore wind turbine, the V236-15.0 MW, and is expected to create 700 direct jobs when it starts operations in 2025. “The factory will support domestic and global demand and will play a crucial role in supporting Poland’s offshore wind market and industry,” the company said.

In January 2024, Vestas revealed plans to build a second factory in Szczecin, this time a blade factory, located at a site in northern Szczecin, close to the nacelle and assembly factory. It is expected to come online a year later, in 2026, adding more than 1,000 direct roles.

“Poland is transforming its energy system and is a promising wind energy market with good conditions both onshore and offshore,” said Nils de Baar, president of Vestas Northern & Central Europe.

“Poland has a highly skilled labor force and growing wind industry that can become an offshore hub for the Baltic Region – and the rest of Europe.”

“Highly Significant” Nuclear Announcement

Poland’s plans to start building its first nuclear power plant in 2026, in partnership with Bechtel, are well publicized, but the government’s recent approval of 24 small modular reactors (SMRs) is described as

DSV transported a petrochemical column wash tower weighing 850 tons from Gdańsk to Płock, in what it claims is the largest shipment ever to move on the Polish rivers.

Credit: DSV Poland

Jakub Walasek

“highly significant for project forwarders” by deugro’s Rutowicz.

“Future investment in these reactors represent a substantial logistical undertaking, involving the transportation of large, complex, and sensitive components,” he said.

“The opportunities for project forwarders are considerable, including the need for specialized transport solutions, handling equipment and expertise in managing oversized loads and hazardous materials.

“Moreover, the construction of these reactors will likely span several years, providing long-term projects and steady demand for logistics services. Project forwarders can also benefit from partnerships with reactor manufacturers, construction firms and other stakeholders.

“Overall, the SMR projects present a unique chance to demonstrate logistical capabilities, innovate in transport

methodologies and contribute to Poland’s energy transition, positioning project forwarders as critical players in this sector.”

The Polish government says building the SMRs across six sites by 2030 will help accelerate the phasing out of coal as well as ensure stable power supplies as the country reduces its use of fossil fuels.

Challenges, as Well as Opportunities

Lawyer Łukasz Chwalczuk, also president of the Polish Heavy Transport Association and a board member of ESTA, says his firm has assisted a number of international project forwarders to establish Polish operations with a view to exploiting the “huge opportunity” he sees in his home country.

Despite the strong prospects, Chwalczuk described a number of issues that were hindering heavy cargo operations in Poland. “Before the war in Ukraine, 70% of drivers in Polish trucking companies were Ukrainians and many of them have returned home to fight, so there is a big gap to fill there.”

Aside from a driver shortage, Chwalczuk bemoaned a lack of digitalization in the heavy haul process. “Road permits are still printed on paper so, for the last two or three years, our association has been putting a lot of effort and money to try and introduce digital permits for heavy transport.

“Some of our small neighboring countries already have a digital system and Poland is, from my knowledge, one of the last to still be on paper, and rather behind – so we need that to change.”

Walasek from UTC added that difficulties arose due to aging infrastructure that is not always well maintained. “Sometimes, even new bridges suffer from a lack of documentation and construction problems. Other than that, the weather in Poland is very unreliable, so if you plan to transport any heavy items on the river, you can be lucky or very unlucky.”

Notwithstanding the difficulties, logistics companies continue to tread a path to Poland in search of business that is currently hard to come by elsewhere in Europe, said Chwalczuk.

“Germany was a very big market for heavy transport for many years, but for the last year or two it became super difficult to find good contracts. In terms of the Polish heavy transport market, we see many, many jobs.

“Poland is building a lot of highways, express roads, the infrastructure sector is looking good. There are rail projects too, and huge money is being spent.”

Involved in the project cargo industry since 2007, Luke King is managing editor of Breakbulk.

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UTC Overseas handled three oversized LPG storage tanks, each weighing 385 tons, which were loaded onto a barge using SPMT trailers, before reaching their final destination in Poland.

Credit: UTC Overseas

Łukasz Chwalczuk

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Forwarder Overcomes Freezing Temperatures, Sea Ice and Limited Daylight Hours in Race Against Time

Cable loading operations at the Pikkala Prysmian factory. Credit: deugro

Battling against both time and the elements can lead many projects to go awry but global logistics group deugro successfully navigated any such challenges in its recent delivery of tens of kilometers of submarine cables from the icy shores of Finland to Türkiye - a feat demanding unprecedented coordination and speed.

Contracted to transport 54 kilometers of submarine cables, deugro faced tight time pressures to complete the move, with success hinging on seamless coordination as well as innovative engineering solutions that could mitigate a series of technical and environmental challenges.

“All teams had to collaborate closely and precisely like clockwork to deliver the project safely and successfully within the specified timeframe and budget, as any delay or disruption in the supply chain would have had significant negative consequences for the entire project,” Stefano Sortino, project coordinator at deugro Milan, tells Breakbulk. “To keep all parties proactively and continuously informed and the overall project on track, daily status reports on the operational progress were crucial.”

The Turkish Crossing Project was initiated at the start of this decade, as part of a broader effort to enhance Türkiye’s power infrastructure. Designed to link the Turkish electricity grid with nearby markets, it involved design and installation of High Voltage AC (HVAC) submarine cables across the Dardanelles Strait, connecting Europe and Asia, and across the Izmit Gulf on the easternmost edge of the Sea of Marmara.

Turkish Electricity Transmission Corporation (TEIAS) awarded the contract for the Dardanelles link to Italian energy and telecom cable specialist Prysmian Group in 2021 with the final delivery and construction stage ready to begin in late 2022.

German-headquartered freight forwarder deugro was initially invited to provide a simple quote for ocean

transportation of cables from Finland to Türkiye, however as timeframes shortened, the coordinating team at Prysmian Powerlink requested a complete turnkey, all-in-one solution instead. This entailed tank engineering, installation and spooling, as well as provision of relevant personnel and equipment.

With a total weight of 3,300 metric tons, the cables represented a substantial transportation challenge in themselves, even before consideration of the route - from the Prysmian’s cable manufacturing facility in Pikkala, Finland, to the job site in the Dardanelles Strait, Türkiye. Near to the capital Helsinki, Pikkala faces harsh winter conditions with sea ice common in the Gulf of Finland and many hours of darkness.

Pre-Planning and Modification

The extreme winter conditions in Pikkala added an additional layer of complexity to the project and, facing

“ALL TEAMS HAD TO COLLABORATE CLOSELY AND PRECISELY LIKE CLOCKWORK TO DELIVER THE PROJECT SAFELY AND SUCCESSFULLY WITHIN THE SPECIFIED TIMEFRAME AND BUDGET” - STEFANO SORTINO, deugro

these challenges head-on, deugro’s Milan team quickly moved to identify a suitable vessel. This meant securing a ship that would not only be available at short notice, but also meet the technical demands of transporting such a significant and delicate load. After comprehensive analysis of the requirements, the vessel chosen was the heavy-lift BBC Xingang, identified by deugro Chartering for its capability to handle the unique cargo.

“To safely stow, secure and transport the 54 kilometers of submarine cables, the heavy-lift vessel had to be equipped with two static tanks, which were installed in the box-shaped cargo hold,” Sortino explains. “The first fixed tank was able to accommodate 23.9 kilometers (1,460 metric tons) of HVAC cables and the second 30.1 kilometers (1,840 metric tons).

The design, production and installation of the static tanks were executed in collaboration with BBC Chartering, who developed and installed the modifications at the Port of Bremerhaven, Germany. Further alterations were also then needed to ensure safe and efficient spooling operations during cable pick-up and delivery to the cable-laying vessel.

“Because a wave-breaker in the bow section of the vessel prevented the positioning of the loading chute in the central part of the vessel and installation of a straight spooling line to the hold, deugro developed an ad-hoc solution to allow for the safe loading of cable from the side of the vessel,” Sortino adds.

Working with cable spooling partner Futura, the teams then installed a chute on the right side of the ship’s bow, with several rollers welded across the wave-breaker to overcome the obstacle and allow the cable to be safely repositioned in a straight line for the next activity — providing “a seamless handshake” from factory to tank.

A final challenge to be overcome was the opening type of the McGregor holds. For this deugro worked closely with the carrier to find a suitable

loading sequence, allowing movement of cargo into the holds in a precise order—enabling safe completion of all loading and unloading operations.

“In view of the tight schedule, close and trouble-free communication, and coordination between the interdisciplinary partners and teams such as project management, shipping or engineering, as well as the individual areas of responsibility were paramount,” Sortino concludes.

Icy Challenge

With the BBC Xingang prepared and fully modified, the project moved to its next critical phase: the cable loading operations at Prysmian Group’s manufacturing facility in Pikkala. The harsh winter conditions, characterized by freezing temperatures, sea ice and limited daylight hours, presented significant challenges that required meticulous planning and execution to ensure the safe and timely loading of the submarine cables.

Francesco Pignati, project manager at deugro Milan, recalls the difficulties faced during this phase. “Some of the major challenges during the cable

loading operations at the Pikkala Prysmian factory port were the harsh weather conditions and surface ice, and the fairly long distance from the vessel’s anchor position to shore,” he explains. These environmental factors added layers of complexity, as both the cargo and the handling equipment had to be carefully managed to prevent any weather-induced complications.

To mitigate these risks, the deugro team conducted detailed simulations of the cargo handling processes under various conditions and this proactive approach ensured that all team members were prepared for differing eventualities and necessary precautions were taken to maintain safety. Daily toolbox talks were also held prior to all critical operations, reinforcing protocols and ensuring that everyone involved was fully aware of the day’s tasks.

“In challenging weather conditions with varying temperatures, the cargo and the handling equipment used may react differently, which requires special attention and consideration,” Pignati elaborates. “For this reason, precise technical

calculations and simulations of cargo handling under different conditions and scenarios were just as essential as the daily toolbox talks prior to all critical operations to ensure the safety of all persons involved as well as the safety of the cargo.”

Another critical aspect of the loading operations was the distance between the vessel’s anchor position and the shore, which required a perfectly-aligned mooring system. Constant monitoring of the system was essential to keep the vessel steady and aligned, preventing any unexpected movements that could disrupt the loading process.

Despite the challenges, the deugro team successfully completed the cable loading operations, loading 24 kilometers of cable spooled into the first tank, at a rate of to 10 meters per minute, and an additional 30 kilometers safely reeled in the second tank.

With the cables safely onboard, securely stowed and ready for transport, the BBC Xingang set sail for the Dardanelles Strait in Türkiye, where the next phase of the project would commence.

Installed chute on the right side of the vessels bow.

Credit: deugro

Cable Installation and Project Completion

Upon reaching the Eastern Mediterranean, the BBC Xingang navigated to the job site where it was to rendezvous with the installation vessel Gulio Verne , a state-of-the-art DP2 cable-laying vessel. Designed to tackle the most demanding subsea operations, the Gulio Verne features an impressive 7,000-ton carousel capacity, and is capable of laying power cables at depths of up to 1,600 meters, making it one of the most versatile and reliable vessels in its class.

The unspooling operations from the BBC Xingang to the Gulio Verne then commenced according to schedule. After seven days, the cables were successfully and safely delivered to the installation vessel, ensuring the schedule of the cable-laying project

remained on track. With the cargo successfully transferred, the Gulio Verne was then able to proceed to lay the 54 kilometers of urgent HVAC cables, strengthening the connectivity of the Turkish grid.

The new Dardanelles III link is expected to significantly enhance the reliability and efficiency of regional power infrastructure, comprising a double circuit with a rating of 1 GW for each circuit and featuring HVAC 400 kV single-core cables with XLPE insulation and single wire armoring.

Hailing the project as an “important step for Prysmian Group”, Hakan Ozmen, EVP Projects at Prysmian, noted the firm is “very proud” of the partnership involved and looked forward to further strengthening business relations.

a spokesperson for the local team explained. “Within four days, the work was completed, and all the equipment was duly trucked back to Pozzuoli, Italy, while the tanks were disposed of locally in Türkiye.”

Highlighting the importance of teamwork throughout every stage of this project, Sortino notes that “from method statement developmentincluding all required studies and calculations - to the provision of tank engineering and installation, personnel and equipment” close communication was the key to success and that ultimately this ensured “safe, efficient and smooth project delivery.”

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

“After delivery, the port crew dismantled all the equipment and removed the tanks from the hold,” *Breakbulk Exhibitor

Cable spooling onto the custom-designed tanks.

Credit: deugro

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DEUGRO SHIPS SLUG CATCHER FROM OMAN TO UAE

Fierce winds, sandstorms and roaming camels were just some of the challenges deugro faced during the transport of a massive 254-ton well fluid slug catcher from Oman to the UAE. The project, carried out alongside deugro’s sister company dteq

Transport Engineering Solutions, entailed the delivery of the 28-meterlong, 7-meter-high component from Nizwa in northern Oman to the Port of Duqm, then shipment to Mina Zayed Port in Abu Dhabi.

The slug catcher was urgently needed for an oil and gas project in Abu Dhabi.

Prior to the move, deugro carried out route surveys and detailed transport, stability, lashing and lifting plans, and

held regular technical meetings with the client and dteq. To avoid costly and protracted route and civil works, the project team selected Duqm as the best departure point from Oman, despite the pick-up location’s proximity to the Port of Sohar.

“The biggest challenge was the pre-carriage from the cargo pick-up location in the Nizwa Industrial Estate to the Port of Duqm,” said Deepak Fernandes, transport engineer for dteq. “Due to the cargo’s dimensions and weight, the identification of the best-suited route and any potential obstacles such as low bridges, narrow roads, road crossings and overhead signboards was vital to ensure safe and on-time delivery.”

At Nizwa, the slug catcher was loaded on a multi-axle trailer and transported some 700 kilometers to Duqm, a journey that took five days. Along the route, the project team faced high wind speeds, sandstorms and the presence of wild animals that called for “great caution” to ensure the safety of the workers and cargo.

At Duqm, the component was loaded with “centimeter-precision” by the heavy-lift vessel’s onboard cranes, then stowed and securely lashed in accordance with method statements prepared by dteq before its onward journey through the Gulf of Oman to Abu Dhabi.

*Breakbulk Exhibitor

Transport of the slug catcher from Oman to the UAE. Credit: deugro

UNITED HEAVY LIFT NAMES ITS NEWEST ECO-LIFTER

United Heavy Lift has named the newest addition to its F900 EcoLifter fleet, the multipurpose heavy-lift vessel UHL Fable

The newbuild was named during a ceremony at the Baakenhöft Terminal near the Elbphilharmonie concert hall in the Port of Hamburg. UHL Fable is the nineteenth vessel in the Eco-Lifter series, and follows the launch of its sister ship, UHL Fresh, earlier this year.

Before the ceremony, UHL Fable completed its maiden voyage transporting a shipment of Vestas wind turbine rotor blades from Tianjin and Dongzhao in China to Cuxhaven in Germany. The ship was built at the Hudong Shipyard in Shanghai.

The breakbulk carrier took delivery of its first F900 vessel in 2019.

“We are very happy to be naming

yet another vessel in our home port of Hamburg,” Andreas Rolner, managing director United Heavy Lift, said during the naming ceremony.

“The UHL Fable completes our F900 Eco-Lifter fleet, which stands for United Heavy Lift’s commitment to promoting sustainable shipping. It is the most modern and homogeneous heavy lift fleet in the world. There is a strong global demand for alternative energy sources, and we are proud to be part of the supply chain for green energy.”

According to United Heavy Lift, the F900 Eco-Lifter series, with its combined lifting capacity of 900 tons, has been designed and built according to the latest technological standards and is equipped with state-of-the-art systems and the most economical propulsion technology.

The 150-meter-long UHL Fable features high and low-pressure selective reduction catalysts to meet IMO Tier III requirements and boasts a carbon footprint 30-50% less compared to existing heavy-lift vessels in the market. The ship is also designed to run on biodiesel, making the operation of its main engine carbon neutral.

“We are supporting the energy transition with our vessels, and the transport of onshore wind turbines is part of our core business,” Rolner said. “The market for this is developing well with demand driven by the desired expansion of renewable energies. Our customers have already reserved extensive capacities for wind power: We are already 30% booked in this segment until 2028.”

*Breakbulk Exhibitor

*BGSN member

United Heavy Lift’s F900 Eco-Lifter, the UHL Fable Credit: United Heavy Lift

KTC LOGISTICS SHIPS INDUSTRIAL PRINTERS TO GUATEMALA

KTC Logistics has overseen the door-to-door delivery of a shipment of industrial packaging printers from the Caribbean island of Trinidad to Guatemala.

The machines, each measuring 10.5 meters long and weighing 21 tons, were first disassembled and loaded into custom built wooden crates to protect against damage during transit then hauled from their manufacturing site to the Port of Point Lisas, one of Trinidad’s most important marine hubs.

The units were then shipped to

Guatemala’s breakbulk-handling Port of Barrios. Two and three-axle lowboy trailers and 40-foot platforms were deployed for the overland journey to the customer’s printing facility located in an industrial zone in Guatemala City, where heavy-duty forklifts and 80-ton capacity cranes were on stand-by to discharge the cargo.

“We did the crating of all the OOG cargo ‘in-house’ as the machinery needed to be protected against physical and moisture damage,” Marc Mahle, CEO at KTC Logistics, told Breakbulk.

“We had to deliver the cargo on time as our client had to match timelines with their customer’s contract terms. We also had to contend with the famous carnival in Trinidad, which ‘paralyzed’ the whole country during the move.”

KTC Logistics is based in Guatemala and specializes in the transport of breakbulk and project cargo. Its sister company KTC Heavy Lift is headquartered in neighboring Honduras. The KTC companies recently launched an office and warehouse facility in Miami.

BP TAKES STAKE IN OMAN GREEN HYDROGEN FACILITY

DEME and OQ have reached an agreement that allows BP to take a 49% stake in the Hyport Duqm green hydrogen and ammonia facility in Oman.

Belgium-based DEME and Omani state energy company OQ will each retain a 25.5% in the clean fuels project, located at the Special Economic Zone at Duqm, or Sezad, in Oman’s southern governate of Al Wusta. The deal also sees BP becoming the plant’s operator.

The transaction is expected to be completed in this year’s third quarter.

Oman has its sights on becoming a global hub for renewable energy production, with a series of world-scale

wind, solar and green hydrogen projects in the pipeline.

As a major plank of its Vision 2040 policy to pivot the economy away from fossil fuels and toward more sustainable sectors, the sultanate is aiming to produce 11% of its electricity demand from renewable sources by 2025 and 30% by the end of the decade.

The Hyport Duqm project is being developed on an area of 150 square kilometers within Sezad. The production of green hydrogen to green ammonia will be powered by wind and solar energy, with a combined capacity of some 1.3 GW in a first phase and

potentially more than 2.7 GW in a second.

The project is currently in its pre-front-end engineering design phase. Commercial operations are slated to begin in 2030 or 2031.

DEME also revealed recently plans to build a world-scale green hydrogen facility at the Port of Gargoub on Egypt’s Mediterranean coast. In the first of a three-phase project, Hyport Gargoub will use wind and solar energy to produce about 320,000 tons of green ammonia per year.

*BGSN member

KTC Logistics transports industrial printing machines, Trinidad to Guatemala.

Credit: KTC Logistics

PROJECTS IN THIS ISSUE

Project: Port Saint John West Side Modernization Project

Story: DP World Canada Expansion page 26

Country: Canada

Sector: Infrastructure

Developer(s): Port Saint John, Federal Government, Province of New Brunswick

Project: Duke Point Terminal Expansion, Nanaimo

Story: DP World Canada Expansion page 26

Country: Canada

Sector: Infrastructure

Developer(s): DP World Nanaimo, Federal Government, Government of British Columbia

Project: Centerm Expansion Project, Vancouver Fraser Port Authority

Story: DP World Canada Expansion page 26

Country: Canada

Sector: Infrastructure

Developer(s): Centennial Expansion Partners JV

Project: Project 11 - Houston Ship Channel Investments

Story: Port Houston – Poised to Get Bigger and Better page 40

Country: U.S.

Sector: Infrastructure

Developer(s): Port Houston

Project: Hartsfield-Jackson Atlanta International Airport Expansion

Story: Mammoet Keeps the Modules Moving page 48

Country: U.S.

Sector: Infrastructure

Developer(s): City of Atlanta, Department of Aviation

Project: Various Projects in Tamaulipas State

Story: Tamaulipas: A Hotspot for Growth and Investment page 55

Country: Mexico

Sector: Various, Including Infrastructure, Oil & Gas, Renewable Energy

Developer(s): Various

Project: Vaca Muerta Sur Oil Pipeline

Story: Argentina’s Project Sector Boost page 62

Country: Argentina

Sector: Oil & Gas

Developer(s): YPF

Project: Filo del Sol Copper Project

Story: Argentina’s Project Sector Boost page 62

Country: Argentina

Sector: Mining

Developer(s): Filo, BHP-Lundin Mining JV

Project: Josemaría Copper Project

Story: Argentina’s Project Sector Boost page 62

Country: Argentina

Sector: Mining

Developer(s): Lundin Mining

Project: Rincón Lithium Project

Story: Argentina’s Project Sector Boost page 62

Country: Argentina

Sector: Mining

Developer(s): Rio Tinto

Project: Hamad Port Container Terminal 2

Story: Shaping Hamad Port’s Future page 84

Country: Qatar

Sector: Infrastructure

Developer(s): Hamad Port

Project: Ruwais LNG

Story: Quarter of Shippers Invest in UAE Gas Project page 86

Country: United Arab Emirates

Sector: Oil & Gas

Developer(s): Abu Dhabi National Oil Company, Shell, TotalEnergies, BP, Mitsui

Project: LNG Canada Natural Gas Export Terminal

Story: Koichi Kaizu: Master of Modularization page 93

Country: Canada

Sector: Oil & Gas

Developer(s): LNG Canada JV

Project: Gorgon LNG

Story: Koichi Kaizu: Master of Modularization page 93

Country: Australia

Sector: Oil & Gas

Developer(s): Chevron Australia JV

Project: Istanbul Strait Road Crossing Project

Story: Deugro’s Cable Delivery page 100

Country: Turkey

Sector: Infrastructure

Developer(s): Avrasya Tüneli İsletme İnşaat ve Yatırım A.Ş. JV

Project: Hyport Duqm Green Hydrogen and Ammonia Facility

Story: Best of BreakbulkONE page 107

Country: Oman

Sector: Renewable Energy

Developer(s): DEME, OQ, BP