NO 19
Newsletter
2018
OUR NEWS ENVIRONMENTAL FOCUS
FINANCIAL RESULTS 2ND QUARTER
DEVELOPMENT IN WESTERN CANADA
OUR BRAND IMAGE
IN THIS EDITION EDITORIAL
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FINANCIAL RESULTS - 2ND QUARTER
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OUR BRAND IMAGE
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SUPPORTING OUR DEVELOPMENT IN WESTERN CANADA
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NCR - NAVAL CONSTRUCTION ET REPAIR
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OTN - OCEAN TOWING AND NAVIGATION
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MWD - MARINE WORKS AND DREDGING
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OUR WORLD | NEWS
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Environmental Focus September 2017 / August 2018 Everybody’s Business!
IN PICTURES #LIFEATOCEAN
EDITORIAL
ENVIRONMENTAL FOCUS At Ocean, we are fortunate to work in exceptional surroundings and to maintain a privileged relationship with water. Our environment is one of our greatest resources and we hold dear its protection. This is highlighted in our organizational values, which reflect the convictions of our employees as well as our commitment to the society of today and of tomorrow. It goes without saying that our activities can have an impact on the environment that we will bequeath to our children and to the children of our children. Moreover, we have a moral, as well as legal, obligation to ensure that the quality of this environment is and remains healthy. It is with that perspective that we have decided to redouble our efforts in order to further minimize the ecological footprint of our activities. We recently completed one of the first steps associated with this approach with the hiring of Frédéric Maloney as Director - Health, Safety and Environment, who reports directly to me.
JACQUES TANGUAY PRESIDENT AND CHIEF EXECUTIVE OFFICER
The addition of an environmental expertise at the level of our management and in support of all of our operational groups is a real added value. Frédéric also supports our efforts to continuously improve in matters of health and safety. I am convinced that a greater integration of the environmental dimension into our current activities and into our projects will open new horizons for Ocean. More importantly, this will strengthen our position as an organization respectful of this collective wealth and of the environments in which we operate and of future generations. Over the coming months and years, we will work together to identify and implement the environmental improvements that we have chosen to prioritize.
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consolidated results
105% 109% Revenues
Profitability
57%
Health Safety
towing and navigation
101% 100% 63%
Revenues
Profitability
Health Safety
naval construction and repair
107% Revenues
91% Profitability
69%
Health Safety
marine works and dredging
114% 137% Revenues
Profitability
40%
Health Safety
FINANCIAL RESULTS SEPTEMBER 2017 / AUGUST 2018 - 2ND QUARTER PROMISING FINANCIAL RESULTS BUT OHS INDICATORS SHORT OF OUR OBJECTIVES The performance of the three business sectors, combined with expenditures equivalent to the budget for the corporate sector, make it possible to position consolidated results ahead of budget. This is a very good sign for our activities. However, health and safety (OHS) results remain below our targets. Several initiatives are underway and forthcoming but it is essential for everyone to put our health and safety forward. I would also like to remind that our work and all our tasks must be done safely. OCEAN TOWING AND NAVIGATION Towing and pilotage activities generated the expected revenue and profitability. The delay to begin operations in Jamaica is compensated by superior towing and escort performance. On the other hand, the OHS performance deteriorated significantly for OTN, which was close to the target in the previous quarter. MARINE WORKS AND DREDGING Revenues and profitability are significantly ahead of budget due to the performance of the dredging sector and more particularly due to the following projects: dredging of the North Traverse planned in the 2017 fiscal year but realized in that of 2018, St. Clair, and additional contracts obtained (IOC, Cargill, and Pier 19). In terms of OHS performance, there is a slight improvement. NAVAL CONSTRUCTION AND REPAIR Some difficulties prevented the construction activities from generating the revenue and profitability forecast in the budget. However, this sector is confident of being able to catch up in the second half of the year. For the OHS indicator, the results remained similar in magnitude compared to the first quarter results.
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YVES LAGACÉ
EXECUTIVE VICE PRESIDENT FINANCES AND ADMINISTRATION
NEWSPAPERS AND MAGAZINES | TELEVISION | RADIO | SOCIAL MEDIA | WEBSITE | EVENTS | DONATIONS AND SPONSORSHIPS
OUR BRAND IMAGE EVERYBODY’S BUSINESS! We all know our brand and our logo, but you may be less familiar with all of the actions and projects we do with the Communications and Marketing team to promote and develop our brand. We must first understand that all our actions are directly oriented towards a simple and yet complex goal: - To make us known and to work our notoriety - To increase our sympathy capital and to continue to improve our image TO WHOM? We are well known to the maritime community but our presence must also be felt at other levels. Our brand image is part of a strategic vision that should affect both future employees, governments, customers and suppliers as well as our communities.
JEAN-PHILIPPE BRUNET
EXECUTIVE VICE PRESIDENT CORPORATE AND LEGAL AFFAIRS
CONCRETELY, HOW DOES IT MATERIALIZE? We are present on the web and social media, in trade and mainstream magazines, on radio, in TV shows, at events and we also participate in many community programs. The well-being of children is an important aspect of our involvement. Ocean also participates in the life of its community through events that contribute to showcasing its region and heritage.
AND ALSO: Le Grand défi Pierre Lavoie | Opération Enfant Soleil | Fondation de l’Hôtel-Dieu de Lévis | Hôpital de Baie-Saint-Paul| Student scholarships - Institut maritime du Québec | Cyclo-Défi IUCPQ
THE BRAND IMAGE, EVERYBODY’S BUSINESS! Beyond these commitments and the work of the Communications and Marketing team, we are all ambassadors of our brand. All our actions, messages and the documents we create have a direct influence on the image of Ocean and the perception that others have of our company and our work. Your involvement is essential and contributes to our influence! WHAT NEXT? Over the next few months, we will turn the page on our 45th anniversary. Many changes are forthcoming including our logo that will continue to carry our slogan GO FULL FORCE, without the 45 tab. All elements of the new graphic charter will be developed and communicated in the coming months. Our website will also be revamped and we will increase our presence on social media by launching the Instagram platform during the year. Many projects are coming! Stay tuned and do not hesitate to use our services to support you in your projects. It is essential for Ocean to have a global and coherent approach if we want to continue to play in the big leagues.
communication@groupocean.com
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SUPPORTING OUR DEVELOPMENT IN WESTERN CANADA Marine Works and Dredging is rapidly evolving and constantly diversifying its services. The works of our teams and the latest development efforts have led Ocean Marine Works (OMW) management to redirect its strategy by supporting its customers in their geographic growth. It is now all of Canada, and particularly the oil sands market in Alberta, that will be targeted. This marine market, unknown by us since the start of OMW’s operations, is a high-potential market and a gateway for projects in Western Canada. Demand for labor and specialized marine equipment by oil companies is constantly evolving and requires expertise that, for the most part, differs from the expertise of our customers. In recent years, Ocean has acquired a solid experience and a level of services that can meet their needs. Suncor, with whom we are building a strong business relationship, also owns some of the most advanced oil sands sites. In the winter of 2016-2017, we completed a first ice management project for this company; this led us to reiterate this partnership on July 26, with a new order for the rental of two tugboats for two years. A milestone in the development of Western Canada! To meet the requirements of the project, our shipyard built a new tug adapted to the needs of our client. This approach is directly aligned with the OMW Fleet renewal program and will allow us, at the end of the project, to better respond to the demand for new markets. In this continuity, OMW has also obtained a third major contract with this same oil company. This three-year project consists of supplying and maintaining four utility vessels (Multicat) that will support seven cutter suction dredgers that will have the task of reducing Pond 8B’s water levels by nine meters. These projects, along with the addition of this new specialized equipment in the OMW fleet, will allow to continue diversifying marine service options by supporting all our customers in their projects. This equipment also allows us to be more mobile due to their modular feature facilitating its transport by road or rail over long distances, thus offering us the prospect of extending our services throughout the Canadian territory.
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TOMMY THÉRIAULT DIRECTOR BUSINESS DEVELOPMENT
NCR - NAVAL CONSTRUCTION AND REPAIR
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BAS-CARAQUET At the Bas-Caraquet shipyard, the assembly of all the modules of the first section of the floating dry dock is completed. Fitting-out work has also started and all modules are now outside the workshop ready to be assembled at the launch site.
QUÉBEC
ISLE-AUX-COUDRES
The mobilization of the NT811 barge occupied the teams during the month of December. The barge was able to leave Québec before the ice, thanks to the excellent work of the NIR, FNO, OMW, Ocean Industries and engineering teams.
Naval construction
Over the past few months, work has been carried out on the Jean-Joseph during its winterization in the Louise Basin: modifications to the ballast system piping, installation of a ballast water treatment system and various steel works. The CCGS Goose III has also undergone several works now completed. The last dredge modules for Ellicott Dredges were delivered and minor work was done on the CCGS A. Leblanc in Sorel. To complete this busy last quarter, NIR was awarded the contract for winter work on the Corporal Keable in Sept-Îles. On FNO’s side, the BOC barge project restarted in January. In total, twenty BOC40 and four BOC20 will be built along with all necessary accessories.
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The OCEAN RAZORBILL was successfully delivered to the customer just before the holidays. It is currently in operation and the customer is very satisfied with the work done by the teams and the performance of the ship. Ocean Industries has also obtained a contract for the construction of four barges for Groupe Desgagnés. Construction is well underway and delivery is scheduled for June. Naval repair A busy winter in regards to repair at the Isleaux-Coudres shipyard: • Six vessels winterized and required various steel, mechanical and painting jobs: OCEAN ECHO II, FCG Smith FGCC, CCGS Frederick G. Creed, NM Peter Fraser, CCGS Corporal Teather and CCGS Carrière. • During the last three months, the NM Trans-St-Laurent, the OCEAN A. SIMARD the OCEAN BORROMEE VERREAULT and vessels have been in dry dock for work. • Recently, the Louis Jolliet entered the dry dock; the OCEAN COTE-NORD will follow in May as well as the OCEAN CHARLIE and the NM Lomer-Gouin.
The construction of the ferry is progressing fast and the project is now 30 % complete. The teams are working hard and the project is ahead of schedule. In particular, the engineering team redoubled their efforts in producing cutting files and drawings. Finally, to meet the needs of ongoing projects, the yard has set up two shifts.
Lastly, the shipyard was audited by SNC Lavalin to obtain the necessary certification for the awarding of future repair contracts for the Royal Canadian Navy. Depending on the outcome of the audit, some modifications may be done to the facilities.
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OTN - OCEAN TOWING AND NAVIGATION EXCEPTIONNAL END OF SEASON FOR THE SEAWAY Many will remember for a long time the closure of the Seaway in 2017. The exceptional weather conditions delayed its closure to January 11, 2018 instead of the traditional December 31. Our crews in Montréal and Ontario have worked hard to ensure that everything ran smoothly, according to the needs of our customers and partners. For example, on January 8, we had five tugs in the seaway: OCEAN A. SIMARD, OCEAN TUNDRA, LAPRAIRIE, OCEAN SERGE GENOIS and OCEAN GEORGIE BAIN. Normally, one or two tugs are mobilized to de-ice the lock walls and divert the ice into the spillways during closure. The main objective is to allow ships to access the locks with the same width as during the summer. However, with the extreme conditions of
this winter, the Canadian Coast Guard requisitioned the OCEAN TUNDRA to help their icebreakers and escort some ships between the StLambert and Beauharnois locks. The St. Lawrence Seaway Development Corporation had also requested assistance from the A. SIMARD OCEAN at Snell Lock. Despite the efforts, the Federal Biscay ship was trapped in this lock for several days. The ship left the Seaway on January 11, 2018, once the ice cleared. A very special end of year during which we were able to prove our expertise and where the quality of our services and the work of our teams were widely recognized and welcomed. The seaway opened on March 24 with the participation of OCEAN SEPT-ILES.
HIGH LEVEL OF TOWING ACTIVITIES In addition to the exceptional season in the Seaway, there have been several ship escorts and towings. Here is an overview by region. In Ontario, on December 18, the OCEAN A.-GAUTHIER escorted the USS Little Rock military ship from Port Colborne to Cape Vincent (entrance to Lake Ontario). Then, the OCEAN GEORGIE BAIN took over to Montréal. On December 29 at the entrance to Lake Ontario, the Pacific Huron ran aground and the OCEAN A. SIMARD tug helped it out of its unfortunate position. In Quebec, the OCEAN TUNDRA escorted the Asterix ship from Québec to Cap-aux-Oies on December 23. Then on December 25, the Wilf Seymour tug and the Alouette Spirit barge ran aground on Lake St-Pierre. Two attempts were made to get them afloat, without success. Subsequently, the Canadian Coast Guard decided to
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leave them there for the winter. Finally, on December 24 in Québec, the Aurora N ship had engine problems and anchored near Ste-Pétronille asking for assistance from a tug. The following day, this ship was escorted from anchorage to Ste-Croix from where it continued its journey to Montréal. On December 31, the Camilla D. ship had engine problems at SteCroix. Two tugboats towed it to Québec.
MWD - MARINE WORKS AND DREDGING
MARINE WORKS For a second winter season, Ocean Marine Works offers its tug rental services in a new market, that being the production of oil from bituminous sands in Alberta. The OCEAN SURF SCOTER and the OCEAN RAZORBILL tugs are highly appreciated by Suncor captains and will return to Fort McMurray next winter for the continuation
SUCTION DREDGING We are experiencing our biggest dredging season in the South with contracts in four countries. As Louis-Pierre Dorval, Director - Dredging, points out: «There is a growing interest in our operations and the work of our teams. We are beginning to reap the benefits of our work and we continue to build our reputation.» The teams also had the visit of Canadian Ambassador to the Dominican Republic, Shauna Hemingway, aboard the OCEAN TRAVERSE NORD dredge, highlighting the growing interest in our activities in the Caribbean. For this season, dredging works began in Coco Cay, Bahamas, for our client American Bridge. We then headed towards Itabo, the Dominican Republic, for a project for Empresa Generadora De Electricidad Itabo, S.A. Afterwards, the dredge traveled to San Pedro de Macorís for Dragados del Caribe then, to Santa Lucia, Cuba, for Emincar. The teams will finish in Saint Kitts for JV Driver. The remarkable work of our teams contributes daily to promoting the quality of our operations and our expertise outside our borders.
MECHANICAL DREDGING In preparation for the upcoming season, the OCEAN BORROMEE VERREAULT dredge has undergone a major wintering dry dock at the Isle-aux-Coudres shipyard. Major repairs to the hull and anchor spuds were carried out. The equipment is being prepared for the upcoming season that once again should be quite busy and full of interesting challenges. To begin spring operations, our teams will travel to Isle-auxCoudres and Rivière-du-Loup for the STQ. Boom removal operations on Yamachiche, Lanoraie and Lavaltrie will follow. Then our teams will head out to the ports of Montréal and Trois-Rivières for dredging operations. They will continue operations between Montréal and Saint-Antoine-de-Tilly for the Canadian Coast Guard. The dredging team is also in active tender period. We hope to announce other good news soon.
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OUR WORLD NEWS HR CODE - IN FACT, WHAT IS IT?
The behaviors described in the Human Relations Code are key principles that we must apply in our daily lives. But how do we put them into action in our life at work?
let us start by: be a team player and stand together
WORKING TOGETHER IS THE KEY TO OUR SUCCESS At Ocean, we are a team, a family and in that sense, we can count on each other.
To be a team player is to face situations together, help each other, and support each other. Standing together means understanding when a colleague is having a hard time, offering support or directing him/her to the right person. It is to demonstrate, by words or gestures that the whole team is behind him/her. Currently, are these behaviors present in your team? Can your team count on you? What will you personally change to implement and promote them? At Ocean, we are a team, a family and we must act as a good parent!
FOCUS ON TRADES - POSITIONING TECHNICIAN
In the next issues, we will introduce you to the wealth of Ocean’s trades.
marie-ève biron, assistant director trade of positioning technician
- hydrography talks the
A positioning technician at Ocean is someone who has studied and/or worked in geomatics or a field related to earth sciences. He/she has experience in hydrography, is skilled in computer science, enjoys traveling, is curious, likes to work in a team and has a good capacity to adapt.
but what exactly does this job consists of? We know that the needs and requirements of customers evolve with technology. In dredging, we talk about high precision GPS, positioning software, mono and multibeam echo sounders, attitude sensors, etc. At Ocean, our dredges and sounding boats are equipped with these systems and it is the positioning technician who controls them. He installs equipment and software, ensures their proper operation and accuracy. He conducts bathymetric surveys aboard the sounding boat, processes, analyzes and interprets the data in relation to the dredging plans. He calculates the quantities, ensures compliance with the three-dimensional limits of the dredging zone, accompanies the superintendents and the operators and keeps track of each step of the project. Finally, the positioning technician works in synergy with her manager and the operations staff to guarantee compliance with the technical specifications and ensures a rigorous monitoring of production throughout the project.
REMORQUEURS DU SAINT LAURENT SERIES
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REMORQUEURS DU ST-LAURENT CANAL D
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Throughout the past few weeks, you may have had the chance to see the eight episodes of the REMORQUEURS DU SAINT-LAURENT series on Canal D. This series shot in 2016/2017 had a very big impact on our image and on our notoriety. It allowed us to become known to the general public and to clarify, for some, the role of our tugs and the activities that make up our daily lives. A very good visibility that aligns perfectly with our communication objectives. We would like to take this opportunity to thank everyone who contributed directly or indirectly to this series and of being our best ambassadors.
OUR WORLD NEWS COMMUNITY INVOLVEMENT Ocean strives to be a committed partner with its communities. It is important for us to promote and commit ourselves in the regions where we are present, with people representing our values and the causes that move us. As such, we have sponsored numerous events during this last quarter.
AWARDS AND RECOGNITION PRIX AMBASSADEUR | GALA CHARLEVOIX We are proud of our accomplishments, teams and projects; when our work is underlined by our peers and business communities, the pride is even greater and legitimate. Ocean Industries teams won the PRIX AMBASSADEUR at the Gala Charlevoix Reconnait 2018 on January 17, an event honored by the presence of Prime Minister Justin Trudeau. A very nice recognition for the work of our teams at the Isle-aux-Coudres shipyard who won a prize for their work and commitment.
VILLAGE NORDIK Ocean has taken part in this magical adventure since the early days. Challenges, ingenuity, novelties - this project made sense for us. We wanted to make a real difference by offering to more than 1,000 children free access to the Village Nordik at the Port of Québec site. They were able to enjoy ice fishing thanks to our partnership. A strong commitment to our local community and those who do not have the chance to easily access towards activities.
CANOE RACE Passionate people, this is how we can describe our team of Ice Canoe Brought to you by ship / Ocean / Port of Québec. You also need a little bit of madness, a lot of commitment and a close-knit group to practice this activity. That is what seduced us in this team that has repeatedly excelled during this season. Thanks to its commitment, it has also promoted our region of Québec and, in so doing, its identity and heritage.
PRIX RECONNAISSANCE | ORDRE DES INGÉNIEURS DE QUÉBEC Ocean stood out once again. Our engineering teams won the Prix Reconnaissance for an innovative project during the Soirée reconnaissance of the Ordre des ingénieurs du Québec. This award recognizes the work and ingenuity of the Catatug project. This tug combines the characteristics of a traditional tug with those of a catamaran. It is unique in its kind and was invented and created from A to Z by our teams. It is currently on duty to maneuver and mobilize construction barges on the site of the new Champlain Bridge.
CARNAVAL DE QUÉBEC The Carnaval de Québec is truly a must for winter activities. Ocean has once again sponsored this event and specifically the canoe race of the Carnaval de Québec. Tenacity, perseverance and adrenaline are always at the rendezvous of this race that starts in the Louise Basin and is supported by our tugs. In perfect harmony with our commitments, this event also illustrates our will to promote maritime activities on the St. Lawrence.
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IN PICTURES #LIFEATOCEAN
If you have any comments or suggestions for improving our newsletter, please let us know! communication@groupocean.com