INTERNATIONAL SALVAGE UNION
December 2020
Wreck Removal – work starts on new contracts and code of practice Wreck removal operations, the contracts used and the way in which tendering for jobs is conducted are some of the key issues for the salvage industry. And ISU is working with BIMCO and other parties to revise its popular and well-regarded wreck removal contracts. At the same time, ISU is also working with the International Group of P&I Clubs to revise the wreck removal tendering code of practice that was agreed in 1998 and has not been updated. ISU President, Richard Janssen of Smit Salvage, is chairing the BIMCO group considering the wreck contracts. He is supported by ISU vice President, Nick Sloane, as well as Executive Committee members, Leendert Muller and John Witte, both past Presidents of ISU. The International Group of P&I Clubs are central to the process and Tony Goldsmith of Hill Dickinson and Andrew Chamberlain of HFW are jointly providing independent legal advice to the review committee. The strength of the ISU presence reflects the importance of these contracts which are used for both traditional “wet” wreck removals and also sometimes for other salvage work. Wreck removal work accounts for some 50% of the ISU members’ annual gross revenues and income from these projects helps to support their vital emergency response activities.
of well-managed, successful operations provide more certainty and, when performance is under government and media scrutiny an efficient, clean and safe job is essential. Transparency and realistic pricing is also essential to ensure a range of contractors are able to compete fairly for work internationally and in all territories.” Speaking at the recent virtual Salvage and Wreck Conference, Sam Kendall-Marsden of the Standard Club agreed that “price isn’t everything” and he said: “Salvors ought to be remunerated appropriately to support a viable, healthy salvage industry for the benefit of the broader shipping industry.” But, he added: “It is also worth noting that recent years have seen an increase in the cost of wreck removal which has had an impact on P&I Clubs’ finances. The shipping industry is looking at ways to make the process more cost effective.” Mr Kendall-Marsden said that he shared Mr Janssen’s view that the work should be “collaborative” and that he hoped “the spirit of cooperation will prevail.” At the same conference, ISU Secretary General, Roger Evans, set out the ISU’s concern that Quantitative Risk Assessment should not be used to effect risk transfer and that full risk transfer
Speaking about the discussions, Richard Janssen said: “Transparent tender processes and contractor selection, the use of Quantitative Risk Assessment and the fair apportionment of risk are the key matters. I am sure that the spirit of cooperation will prevail as insurers and salvors both serve the shipowner and must work in their interests. “Assessing the exposure from different angles to then jointly develop the optimum solution sounds like a logical way forward but is not often recognised as such. As a number of cases have already demonstrated, price is not everything. “Contractors with a proven track record 1
should not be the default position at the outset of contractual discussions. ISU vice president, Resolve Marine’s Nick Sloane, salvage master for the removal of the wrecked COSTA CONCORDIA, emphasised the need for “fairness” and the importance to would-be contractors of the “feel” of an operation on which they would base their risk assessment. “We don’t mind taking risk, but it should be fair,” he said. ISU is also working with the International Group of P&I Clubs to revise the wreck removal contract tendering code of practice that was agreed between them in 1998 and has not been updated. Since then, environmental concerns have become more important, the requirements of the authorities have become more demanding and the size of vessels has increased significantly creating a very different context for wreck removal tendering. ISU is concerned that confidentiality, fairness and transparency of the process should be central to the way the contractor is selected. And, for contractors, the cost of participating in tenders – which can be a six figure sum – is also an issue.
Scaldis' heavy lift vessel, RAMBIZ, in action raising the wreck of the FLINTERSTAR.
ISU News New ISU Legal Adviser The International Salvage Union’s long-standing legal adviser, Rob Wallis, consultant to, and former partner of international law firm, Hill Dickinson, is to retire from the position in March 2021. The Executive Committee of the ISU has selected Richard Gunn, partner of international law firm, Reed Smith LLP, to take on the role.
Commenting on the move, ISU President, Richard Janssen, said: “We thank Rob for his ten years of excellent service to the ISU. He has always been a trusted advisor and has represented the interests of the industry and the members of the ISU extremely diligently and effectively throughout that time and in many different fora. We shall miss his calm, authoritative manner and his vast experience.” “We are delighted to have secured the services of Richard Gunn to succeed Rob. He is a well-known lawyer in our industry with an impressive track record of handling numerous salvage and wreck cases, sometimes representing salvage contractors and sometimes owners and
insurers. We are sure that his broad and practical experience, knowledge of the industry and many well-established relationships across shipping and the law will be of great value to ISU and we are looking forward to working with him.”
Mr Gunn is Reed Smith’s global head of marine casualty. He is a qualified master mariner and served in the merchant navy for 12 years before coming ashore to work in shipping operations. He then trained as an English solicitor and qualified in 1996.
ISU will be launching its annual pollution prevention survey and salvage industry statistics review in early 2021. ISU Communications Adviser, James Herbert noted: “The ISU statistics are the only published measure of the financial performance of our industry and are essential to help understand the state of the industry. And the pollution prevention statistics are now more important than ever. They offer the clearest demonstration of the great contribution to environmental protect made by ISU members every year.”
Associates’ Day 2021
BIMCO contract changes
ISU will not be holding a physical Associate Member’s Day in March 2021 or its annual dinner. Secretary General, Roger Evans, said: “There is encouraging news about Coronavirus vaccines but we cannot be sure that by March restrictions will have eased enough or confidence in international travel for non-essential purposes will have return to enable our annual conference to go ahead. It is very disappointing but we need to be cautious. We are exploring other possibilities such as an event in the summer.”
ISU is working with BIMCO and a range of parties to revise the popular and well-regarded BIMCO towage and wreck removal contracts (See story front page).
Mr Gunn will take up the position at the end of March 2021 when Mr Wallis stands down. The two lawyers have already started their handover.
AGM 2021 Planning for the ISU 2021 AGM is proceeding on the assumption that it will take place as a physical event in Rotterdam - which would have been the venue for the 2020 AGM. The date of the AGM is 16 September 2021 and it will be preceded by an Executive Committee meeting and reception on 15 September. Further details will be circulated to ISU members in early 2021.
GOLDEN RAY - first section cut and lifted The first section of the capsized GOLDEN RAY car carrier has been chain-cut and lifted clear of the wreck in St Simon’s Sound, Georgia, USA. The heavy lift vessel VB10000 has been employed and the cut section removed on the barge JULIE B. US Coast Guard Federal On-Scene Coordinator, Commander Efren Lopez
Pollution prevention survey and industry statistics
said: “This is our first major milestone in the removal operation. We validated the overall removal method while we continue to refine our strategies to increase the efficiency of the next six cuts.” The delayed project requires the vessel to be removed in eight sections. Picture courtesy: St Simon’s Sound Incident Response
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ISU past President, Ms Charo Coll of Boluda, is leading for ISU on the revisions to the Towage contracts. The work is advanced and the final versions are expected to be approved in the summer of 2021. Current ISU President, Richard Janssen of Smit Salvage, is chairing the group considering the wreck contracts. He is supported by ISU vice President, Nick Sloane, as well as Executive Committee members, Leendert Muller and John Witte, both past Presidents of ISU. At the same time, ISU is also working with the International Group of P&I Clubs to revise the wreck removal contract tendering code of practice that was agreed between the two bodies in 1998.
Members’ News ISU welcomes new member Solar Salvage Services Inc. Kartal Is Merkezi E-5 Yanyol No:63 Yakacik 34876 Kartal Istanbul, Turkey Office telephone: +90 216 452 20 20 7/24 telephone: +90 536 857 17 10 Website: http://beaufortsalvage.com Smit Smit has been highlighting its preparedness and prevention department. Commercial Manger, EMEA, Jody Shields, noted Benjamin Franklin’s quote, “Failing to prepare, is preparing to fail” and said: “Looking at shipping and the challenges and risks associated with it, a reputable shipowner should take Franklin’s saying seriously. "Smit Salvage has been providing preparedness and prevention services to the maritime industry for many years. The goal is to engage with a client during “peaceful” times when there are no incidents, so that in case of an emergency, potential losses and damage to the environment can be mitigated. Valuable time can be saved when it is needed the most.”
friendly design with high manoeuvrability
Boluda The VB BOLERO and the VB RUMBA, two new tugs commissioned this year by Boluda Towage Europe from the Damen Shipyards Group, arrived at Rotterdam (above) and were transferred to the Belgian port of Zeebrugge, where both vessels are now operating.
and performance. Their operational flexibility means they can be used for port and terminal operations, escort duties, firefighting operations and both coastal and offshore towage. Boluda Towage Europe’s towing service
The two craft are ASD 2813 tugs with an 85 tonne bollard pull and comply with IMO Tier III emissions standards and include FIFI 1 and the Damen NOX reduction system.
concession in Zeebrugge was renewed
The tugs have a modern, environmentally-
standards in firefighting.
Donjon
consists of three sections that weigh
earlier this year for five years, extendable for a three further years. From January 2021, the company will offer the service with eight tugs certified to the highest
Mr Shields added: “Dozens of preparedness clients have been with Smit for many years now.” It includes the US Navy for coverage of two thirds of the world, the Singapore Navy, Maersk, Carnival Cruise Line, Transocean, Cosco and other owners/managers of all ship types. Smit also has similar arrangements with several marine insurance companies and maritime authorities. These services cover a combined fleet of approximately 15,000 vessels and have led to Smit being activated several times this year with “effectively executed salvage operations”. Separately from these arrangements, the Donjon-Smit joint venture provides cover in the US under the OPA 90 and Salvage Marine Fire Fighting (SMFF) system and it recently added to its client base with the 100% acquisition of Ardent Americas. An example of response under the system was the oil recovery services provided to the GOLDEN RAY in 2019 in which 1100 m3 of oil was successfully recovered from the capsized vessel, minimising environmental damage.
In September, Donjon supported CCA in the erection and installation of the Wittpenn Bridge’s main lift span – it is the largest lift span under construction in North America. The Wittpenn Bridge carries important roads across the Hackensack River near Jersey City and its main lift span is a steel orthotropic bridge deck measuring 325 feet long and 110 feet wide. It 3
approximately 700 tonnes each. Donjon’s CHESAPEAKE 1000 crane - the largest heavy lift crane on the US east coast with 1,000 tonnes in lifting capacity and 231 feet in boom length - performed the work (above). Donjon said that intensive preplanning and coordination with the New Jersey Department of Transportation, subcontractors, vendors and work crews ensured a safe and precise operation.
Resolve Marine fights car carrier fire
Resolve Marine has responded to a fire on a 4900 car equivalent unit car carrier at the Blount Island Marine Terminal in Jacksonville, Florida. Resolve Marine activated as the contracted OPA-90 SMFF Responder and immediately liaised with the Unified Command/Incident Command Center. It worked continuously on fire-fighting operations while also implementing precautions to prevent harbour contamination and to safeguard the local marine environment. The response teams, including experienced firefighters from Resolve Marine’s Academy, contained the vessel fire using aqueous film-forming foam (AFFF), lightering/spill packages and
pumps and gear supported by dockside fire trucks, water-borne fireboats, and fifi tugs that coordinated spraying and de-watering operations. When the fire was extinguished and the vessel declared “Safe for Entry”, teams removed 1,494 tonnes of heavy fuel oil and 122 tonnes of diesel oil. Resolve Marine said its SMFF response was “facilitated by activating a comprehensive and strategically placed inventory of OPA-90 response equipment” from depots in Mobile, Alabama; Fort Lauderdale, and Jacksonville, Florida; Charleston, South Carolina and New Orleans, Louisiana. On the other side of the Atlantic, Resolve Marine was contracted to assist with the refloating of a multi-
purpose vessel which had grounded in the Congo River. Resolve said that tug availability in that area is “always challenging” but that after extensive canvassing of the market it was able to secure a suitable unit and the cargo vessel was safely refloated. Closer to its home base, Resolve Marine was contracted by Buckeye Partners to provide marine support for the C2 and C7 dolphin offshore structures replacement project in the Bahamas. Resolve used its RMG 1000 crane barge equipped with an American 11320 crawler crane to remove several catwalk sections and dolphin structures above the waterline. Once the structures are cleared, the teams will reinstall the newly fabricated dolphins and refurbished catwalks.
Obituary - John Reeder QC ISU notes the passing of John Reeder QC at the age of 71. Mr Reeder was well-known in the legal and shipping communities and had great experience of maritime law. Mr Reeder was editor of the 5th edition of Brice, the leading text book on salvage law and was a Lloyd’s Salvage Arbitrator and the Appeal Arbitrator. He was also consultant editor of Halsbury’s Laws of England, Shipping and Maritime Law. In addition, Mr Reeder was an expert on the UNESCO Convention on the Protection of the Underwater Cultural Heritage and was
the UK government-appointed expert on navigation issues and dumping for the purposes of the UN Convention on the Law of the Sea (UNCLOS). To add to his academic credentials he was the co-editor of an edition of Lowndes and Rudolf’s General Average. In his later career, Mr Reeder also worked as a consultant. Simon Tatham, principal of Tatham and Co, said: “John had a formidable understanding of these topics and his other specialties. He combined the key attributes of a deep and fundamental academic understanding, technical knowledge and top-level advocacy.” 4
Mr Reeder also enjoyed the practical aspects of shipping law and was as content dealing with navigation and stability calculations as he was considering the academic side of an issue. He had a long-standing association with the set of barristers at Stone Chambers and he was also arbitrator and mediator. Mr Reeder had no family apart from Pauline, his wife of 25 years. He died from complications following surgery.
Atlantic Towage and Marine - yacht recovery Atlantic Towage and Marine has recovered the wreckage of a yacht on the Irish coast. The yacht broke its mooring and drifted into a remote location that couldn't be accessed from the shore. Access by sea was also difficult due to the water depth and rocks in the surrounding area. In a successful operation, Atlantic Towage cut up the yacht, removed all debris from the area and cleanly disposed of the remains.
Boxship casualties The containership TINA 1 grounded in the Singapore Straits after being in contact with the grounded Iranian containership SHARAZ that has sat in the Indonesian part of the busy waterway since May. Images of the incident suggest that the TINA 1 contacted the stern of the SHAHRAZ and an investigation was launched by the authorities. Patrol boats were sent to the scene and there were no reports of any pollution or loss of cargo. SHAHRAZ had been in collision with a bulker in the shallow water and there was uncertainty about salvage arrangements, with initial reports suggesting local firms were engaged to remove the cargo but no progress on the main effort to refloat and remove the Iranian boxship.
Elsewhere, container ship issues made it into the mainstream news when dramatic pictures showed the aftermath of storm damage to the cargo on the Japanese flagged container ship ONE Apus. The ship’s owners, Chidori Ship Holding, and its managers, NYK Shipmanagement, said the ship lost 1,800 containers overboard in bad weather in late November (above). The 14,000 teu vessel made it to the Port of Kobe, Japan with the damage obvious. 5
The ship’s representatives said that local emergency services had been called in to ensure that there was no threat to people or the environment from the toppled and damaged containers on deck. They also said that more than 50 of the containers lost in the accident were carrying hazardous materials such as fireworks, batteries and liquid ethanol.
Associates’ and Affiliates' News ISU welcomes new Associate Member Centre d’expertises Pratiques de Luttes Antipollution - the French Navy’s specialist anti-pollution unit Address: BCRM de BREST - CC29 29240 Brest CEDEX 9 – France Tel: +33 298 225 281 Email: operations@ceppol.fr and ceppol-activites.secretaire.fct@intradef. gouv.fr TugAdvise/Tatham and Co Tatham and Co has been at the heart of an important historic salvage case. It concerns silver bars worth some US$ 40 million recovered from depth in 2017 from the wrecked liner, SS TILAWA, sunk by torpedo in the Indian Ocean during WWII. It is a complicated case but the outcome was that Judge Sir Nigel Teare held that the ship and its cargo were, at the time, in use for commercial purposes and the now accepted owners of the silver, the Republic of South Africa, did not have immunity from the obligations of the salvage convention. Salvage is therefore due to the company which has recovered the silver and it is in discussions with South Africa. The judge complimented the presentation of the arguments saying he was grateful to counsel for their “skilful and interesting” submissions and to “those instructing them for preparing the evidence.” Intercargo Intercargo has continued its campaign to improve crew changing arrangements in the context of COVID-19. Dimitrios Fafalios, Chairman, said: “The prohibition of sign-on and sign-off of our most important asset, our seafarers, has become the primary obstacle for a quality bulk carrier ship owner or operator to overcome.” Intercargo estimates that, despite international efforts, as many as 400,000 seafarers remained trapped on board their vessels in the autumn of 2020. Mr Fafalios added: “Intercargo members have been at the forefront of the efforts to return our seafarers home to their families and replace them with qualified, healthy crew. Our members have assured us that these efforts will
not cease. Dry bulk carriers remain the workhorses of international shipping serving essential needs, such as food, raw materials and energy supply.”
wider global footprint means that we are better able than ever to cater for all aspects of offshore energy and marine consultancy requirements.”
Intercargo, working with Standard Club and DNV GL, has also produced a guide to provide ship’s masters and crew with an understanding of different ventilation requirements for bulk cargoes.
The announcement pointed to the “regional, service and sector strengths of the two organisations” which it said were “highly complementary” and noted that “the combination of AqualisBraemar and LOC also brings together a common purpose, to help the offshore energy and marine industries minimise their environmental impact and for the enlarged company to be at the forefront of the energy transition.”
The guide covers how and when to ventilate to control humidity and to remove flammable and toxic gases released from cargoes. In addition, fumigation issues and the entry of ship’s personnel into confined spaces are addressed. The guide also sets out the regulatory requirements related to ventilation. “Cargo ventilation is an often overlooked, but essential part of avoiding financial risk and danger to the crew and vessel,” said Morten Løvstad, Business Director - Bulk Carriers, at DNV GL – Maritime. The guide is available at: https://www. intercargo.org/joint-media-releaseintercargo-dnv-gl-standard-club-newbulk-carrier-ventilation-guide/ Hill Dickinson Hill Dickinson has announced that it has hired Ian Teare as a partner in the firm’s Marine and Trade practice with effect from January 2021. Mr Teare joins from Wikborg Rein’s Singapore office where he has been both managing partner and led the casualty response practice for Asia. Following his return to Europe from South East Asia, Mr Teare will split his time between Hill Dickinson’s London and Piraeus shipping practices.
The group will become known as AqualisBraemar LOC ASA, subject to an extraordinary general meeting to be held in AqualisBraemar in December. Nautical Institute The Nautical Institute has joined forces with ITN Productions to produce a film that aims to raise awareness and understanding of the vital role played by the maritime sector. The film, “Navigating the Future”, was launched by The Nautical Institute’s CEO, Captain John Lloyd, who said: "We are delighted to put the spotlight on an industry that is largely invisible to the public. The maritime sector is embracing the opportunities provided by new technologies and the positive impact these can have on operational effectiveness. The industry strives for greater value and reductions in emissions and will continue to grow in importance as the world population and demand for goods expands." The film can be seen at https://www. nautinst.org/ Intermanager
HD’s head of Marine and Trade Tony Goldsmith said: “I am immensely pleased to be able to welcome Ian Teare. He brings with him an exceptional range of expertise and knowledge that will add further breadth and depth to our existing offering.”
InterManager, the international trade association for in-house and thirdparty ship managers, has appointed Mark O’Neil, CEO of Columbia Shipmanagement, as its new President, succeeding Bjørn Jebsen who has held the position for the past four years.
LOC
As part of his manifesto, Mr O’Neil said he wants to create a single industry standard through his “ONE Approach,” which “centres on the belief of the strength of the collective voice” when the maritime industry speaks to governmental and international institutions about maritime issues.
LOC Group is to join with AqualisBraemar ASA in a deal that LOC says creates “the leading global independent offshore energy and marine consultancy.” LOC added: “Our increased scale and 6
Associates’ and Affiliates' News continued He will also use his position to boost awareness of the vital role third-party shipmanagement plays in the global shipping sector and will look at ways to introduce a recognised industry standard to assess quality ship managers. brand Marine Consultants bMC reports that it has had a busy year with “challenging projects across the globe from the Galapagos to the Philippines”. It has also developed a new web application, SalvageApp, to give its clients an “improvement in the information flow during a marine claims incident.” bMC says its SalvageApp “takes advantage of the decades of marine claims experience across the bMC Group from claims handling to technical expertise.”
New team members have also joined bMC offices including Fabian Schweigel joining the team at PandI Services in Bremen and James Swinburn in Spain. The team at bMC’s Captain Förster unit has secured a number of longterm, exclusive surveyor appointments in Germany. The group says it is also “seeing the rewards of a growing reputation in the H&M insurance market, having been nominated as technical consultants and claims handlers in a number of H&M policies”. Waves Group As reported in the Q3 2020 edition of Salvage World, the wreck of the ice strengthened shrimp and crab trawler NORTHGUIDER was successfully removed from her grounding site in Svarlbard by Smit Salvage. Waves Group also notes its role as client
representative and technical advisers appointed by the vessel owner’s P&I insurers. The work included a joint survey of the wreck and seabed; overseeing and running the tender processes to appoint a removal contractor; reviewing and approving the wreck removal methodology and attending on site to supervise the final removal of wreck. Waves’ director Simon Burnay said: “We are proud to have played a major role in the successful delivery of the project which saw no release of pollutants or environmental damage. Svalbard has pristine waters with an abundance of wildlife and has the strictest environmental regulations in Norway. Any form of pollution would have had both a negative environmental impact and increased the project cost for the client.”
Tsavliris refloats cruise ship
In November, the passenger/cruise ship AEGEAN MAJESTY - 57,092 grt - broke from her berth at Corinth Port in the Peloponnese, Greece, and stranded within the port shallows. During the incident, port installations - bollards and the quay - were partially demolished. Tsavliris dispatched its Patras-based salvage tug PROTEUS - 45 tbp - to the casualty and two salvage masters/ engineers went by road from Athens. Two further tugs were dispatched from Piraeus, the PANTANASSA and VERNICOS SIFNOS.
In a coordinated effort, the casualty was refloated after two days and safely anchored in Corinth Roads and the operation was successfully completed without any environmental damage. Also November, Tsavliris arranged the refueling at sea with 60 tonnes of diesel oil for the laden bulk carrier OCEAN CROSS - 53,617 tonnes dwt - by the Salvage Tug SALVAGE ROVER off SW Taiwan. Tsavliris also reports another successful refloating in the Parana River, Argentina. The bulker ASIA GRAECA, laden 7
with 39,309 tonnes of soya beans, had grounded at Km 453, partially obstructing navigation. Tsavliris mobilised the tugs RANQUEL 77 tbp - and BRUTUS - 75 tbp - and the bathymeter vessel DN75 and a salvage master. After a bathymetric survey and scouring by BRUTUS, both tugs connected to the vessel’s bow and the refloating was successfully completed. BRUTUS then provided standby services up to San Lorenzo, where all services were successfully completed.
Salvage and Wreck conference report The annual Salvage and Wreck Conference took place in early December. The event was held virtually. Speakers and panel sessions were available live and recorded to catch up with later. Organisers made efforts to enable “attendees” to connect with each other through their system. ISU communications adviser, James Herbert said: “This couldn’t be a substitute for the industry coming together and meeting in person but the system worked well. Speakers appeared on time as shown in the programme and there were very few technical problems. “The content was interesting and there was a good sense of the salvage and insurance and legal communities being focussed together on this important industry. Credit must go to the conference chairman, HFW partner Andrew Chamberlain, who marshalled the speakers and panellists very well and showed tremendous powers of concentration.” Highlights of the conference included the ISU President, Richard Janssen giving the opening address in which he described the current state of the salvage industry. He said: “Whereas in earlier Salvage and Wreck conferences panel discussions were held about the question around capacity, it is now an open question whether the capacity of the industry is satisfactory and whether its capability is aligned with the risks run by underwriters. “We need to recognise that there is no place for romantic or heroic stories about how things used to be, nor for old fashioned prejudice and characterisation of salvage professionals. Only through continued dialogue about today’s and tomorrow’s challenges and the basis on which salvage services are being remunerated can we ensure - as underwriters and salvors – that we continue to serve our mutual principal, the shipowner.” Mr Janssen also referred to the low levels of Lloyd’s Open Form usage last year with just 35 cases for ISU members and a historic low for LOF revenue of US$ 49 million. However he also said: “It is interesting to see the clubs also
recognising the value of LOF, facilitating as it does, rapid intervention which can prevent a casualty from becoming a costly disaster.” Mr Janssen concluded his speech by noting the importance of sufficient compensation for salvors: “I do not think it is difficult to make a strong case for the importance of the professional, experienced marine salvor operating with their own people and much of their own equipment, all focussed on reducing the business interruption of a shipowner and limiting their exposure and that of their underwriters. “But appropriate rewards are vital to ensure the continued necessary investment in training and development of highly qualified staff, in specialised equipment and in a robust support organisation so that there will continue to be provision of professional salvage services where and when they are needed.” It was a theme explored by the Lloyd’s Appeal Arbitrator, Jeremy Russell QC when he described the way that salvage awards are assessed: It is an “art, not a science” and certainty is not possible but awards should strike a balance between competing interests and be fair. Mr Russell reminded the conference that Article 13 of the Salvage Convention requires that rewards should be fixed with a view to encouraging salvage operations. He said that if there were concerns that awards were too generous, it should remembered that only through generous awards could salvors hope to recoup losses for abortive sorties, cases where there was no cure and hence no reward and cases where the salvor was unable to obtain security. "Screen grabs" from the conference.
Separately, Rahul Khanna of Allianz gave his now traditional round up of casualty statistics reporting that the 41 total losses in 2019 (latest figures) was a record low. South China, Indonesia, and the Philippines remains the worst region for total losses, but the British Isles, North Sea, English Channel and Bay of Biscay has become the worst region for casualties with 605 incidents, some of which could be due to greater reporting. Car carriers, RoRo vessels and containership fires are the major concerns. A panel considered the salvage industry following the demise of Ardent. Richard Janssen said, “the market is always right and salvors need to adapt.” Lindsay Malen Habib of Resolve Marine, and speaking as president of the American Salvage Association, said that the stringent equipment and speed-ofreaction requirements of the US SMFF regulations meant providers needed to invest in assets but that previously pricing for providing these services was unsustainable. She suggested it was unlikely that there would be new major players entering the US market. George Tsavliris gave a passionate speech about the industry in which he has more than 50 years’ experience and the importance of moving forwards and remaining optimistic. Ben Harris, claims director for Shipowners P&I Club, summed up saying that in emergency response, insurers wanted a viable industry ready to respond without delay; salvage capacity with resilience and investment and training. In wreck removal they want a competitive market and an appetite for commercial risk. He said that Clubs want to be more involved at the front of the process. “We want to make sure there is response when required.”
Andrew Chamberlain
Jeremey Russell QC Richard Janssen
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Donjon removes sunken barge from ship channel In early October, Hurricane Delta was the record-equalling fourth “named” storm of 2020 to strike Louisiana and it made landfall near Creole causing widespread damage to the surrounding area. A hopper barge carrying rock, which was being used on a project to shore up the jetties of the Calcasieu Ship Channel entrance, sank at the entrance of the channel just outside the jetties in the Gulf of Mexico. The obstructed channel restricted deep draft vessels from accessing the Cameron liquefied natural gas (LNG) export plant, oil refineries in Lake Charles and other energy facilities. The US Coast Guard restricted access to vessels with a draft of less than 36 feet. Donjon was tasked by the US Navy and Army Corps of Engineers to mobilise a salvage team, survey vessel, and its crane, the Farrell 256, to Cameron, Louisiana to quickly clear the obstruction and return the port to normal operations.
A wreck removal plan was developed to first remove the cargo of rock and then use Donjon’s refined breaker bar methodology to cut precise lines using the combination of the survey data and dredge positioning software.
Due to the urgency of the situation, water visibility and the logistical disruptions the wreck presented to entire port, Donjon and the authorities agreed that destructive removal was the best way to deal with the wreck. The salvage team conducted an initial onsite assessment and dive survey of the barge to determine its position, state and orientation in the channel. The initial surveys verified that the barge was loaded with rock and rapidly filling with silt, with zero dive visibility.
The International Chamber of Shipping (ICS) and the Oil Companies International Marine Forum (OCIMF) have worked together to provide the industry with a practical guide for managing emergencies at sea.
Guy Platten, Secretary General of the International Chamber of Shipping said: “Over the years we have seen a reduction in shipping emergencies and major incidents due to the development of regulations governing the safe operation and management
The rock was successfully placed on a transfer barge and then placed on the jetties. The barge sections were placed on barges and delivered to the Army Corps of Engineers.
anticipatory knowledge needed to deal with an emergency. Peril at Sea has been designed to help provide seafarers - and shore-based personnel - with the decision-making support that they need.”
Masters’ Guide
Peril at Sea and Salvage: A Guide for Masters outlines the actions a Master should take when confronted with an emergency: from the initial assessment and immediate actions, through to towage or salvage arrangements. It also explains the importance of prompt notification to relevant parties with onshore support, particularly coastal States and the company. A section is included with recommendations for a company’s shore-based personnel.
A large “I” beam with a chisel-like tip was dropped in freefall, “chopping” the barge into sections. Cutting was accomplished along pre-determined cut lines. Once cut into manageable pieces, the crane used its heavy digging bucket to lift the pieces onto the material barge. Care was taken during both the rock removal and breaking phases of the operation to minimise impact on the channel so that vessels that met the draft restrictions could arrive and depart the port.
Peril at Sea contains information on the initial response to an incident, implementing the emergency response plan, updates and follow-up actions, and towage and salvage.
of ships. Crews are regularly trained in emergency response preparedness and the industry has adopted a compliance culture. “But, when accidents do occur, they often have a high impact, and of course they threaten the safety of personnel, ships, the environment and cargo. Whilst it is good news that many seafarers have never experienced an emergency on board a ship, it also means that they can lack the 9
It also focusses on the contingency planning a company needs to undertake to prepare for an emergency. The guide provides clear guidance on best practices for the master, but it will also be valuable for anyone who might be involved in managing emergency situations on a ship, including shore-based personnel, emergency assistance service providers and training institutions. Peril at Sea and Salvage: A Guide for Masters is published by Witherbys, price £155. Go to: https://www. witherbyseamanship.com/peril-at-seaand-salvage-a-guide-for-masters-sixthedition.html
Multraship operation In early December, the fishing vessel SPES SALUTIS fouled its net on an unidentified object and capsized, 20 miles off the Northern Dutch isle of Schiermonnikoog. The three crew managed to climb on the vessel’s keel and were rescued by a fellow fisherman nearby. Multraship Salvage was tasked to refloat the sunken trawler. The salvors mobilised their floating sheerlegs CORMORANT and the tug MULTRATUG 4 and a salvage/ dive team and, after a few days of preparation, managed to lift SPES SALUTIS and get her safely afloat again. She was redelivered to her owners on 17 December.
Smit - upgraded salvage station in Brazil Smit Salvage has been awarded a five year contract for an oil and gas client in Brazil. It came after a competitive tendering process. The project entails setting up an emergency response base to provide “agile and effective” emergency response support to floating assets located in Brazilian coastal waters.
Previous Smit operation in Brazil
From this base, Smit Salvage will provide emergency response readiness services, with dedicated salvage professionals and key
New book charts adventurer's life in salvage Founder of long time former ISU Associate Member, Deep Tek, Alec Crawford has published a memoir about his life in deep diving and salvage. The book, Treasure Islands, charts Mr Crawford’s attempts to make a business from diving in Hebridean waters off the coast of Scotland. The early days were poorly rewarded and dangerous but with his partner, Simon Martin, he explored wrecks from the C16th Spanish Armada as well as the SS POLITICIAN which sank with a
cargo of whisky inspiring the famous film “Whisky Galore!” and later, the wreck of the liner OCEANIC. Alec Crawford has spent his whole career in marine salvage around the world, including in the UK, USA, Vietnam, South Africa and the Mediterranean. He has also been involved in the development of salvage technology, including an environmental oil removal system and the recovery of material from great depths. The book is available from Amazon.
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salvage equipment. The local entity of Smit’s parent, Boskalis Group, is Boskalis do Brasil, which operates dredging and offshore projects in Brazil from its office in Rio de Janeiro and it provided the required local assistance for this project. Smit said it was “another example of close cooperation amongst the business units of the Boskalis Group”. It is expected that the emergency response base will be fully operational by end of January 2021.
International Monitor UK MCA The UK Maritime and Coastguard Agency is conducting an industry consultation on new regulations which it says could save vital time and lives in search and rescue incidents. The MCA will talk to companies that run domestic passenger ships about the new rules which would mean that, from late 2023, passenger details will have to be reported by digital means to the UK National Single Window (NSW). In the case of an incident, the information can then be accessed by the relevant search and rescue authority digitally. This would require the industry to update its method of passenger reporting by using the Automatic Identification System, where applicable, and the UK NSW. Gwilym Stone, assistant director, ship standards with the Maritime and Coastguard Agency said: “Digitalisation will provide more efficient systems with immediate access which in turn will result in more accurate information which is vital in a search and rescue situation for both HM Coastguard and other search and rescue authorities.” Covid-19 ISU Affiliate Member, Intercargo, representing the interests of dry bulk sector operators, has said that charterers in the dry bulk sector have been preventing much needed crew changes from taking place during the period of the charter, despite the ship owner agreeing to accept the associated costs. Intercargo says in these cases charterers have been seen to simply ignore relevant provisions and charter party clauses that could be employed. In a statement, Intercargo said: “Intercargo strongly condemns the non-compassionate practices of some charterers of dry bulk carriers, in their rejection of crew change outright during the charter period. "This flies in the face of industry wide efforts to offer seafarers the essential rest that they have been so long without during the COVID-19 pandemic, and which is essential to the safe operation of the shipping sector. “Ironically, this appalling practice has been reported primarily in the dry bulk sector, where the prevention of seafarer fatigue is of special concern. Bulk carriers on tramp trading routes call at many more ports
than other shipping sectors, piling added strain on an already fatigued workforce with no hope of crew change. A crew must be well rested to operate a ship in compliance with the voyage instructions from the charterers.”
beacon (EPIRB) before 1 January 2021. It comes after incidents where commercial vessels sank too quickly for the crew to deploy their EPIRB in time, leading to a delay in search and rescue operations and consequent loss of life.
IMO Greenhouse Gas Emissions
A float-free EPIRB is a water-activated distress beacon fitted in a float-free bracket. It is designed to activate when a vessel sinks to a depth of 1–4 metres. It uses a hydrostatic release device and a water-activated switch.
The shipping industry has continued to press the International Maritime Organization (IMO) to consider important next steps to decarbonise maritime transport. And it has called on the UN body to take forward its proposal for an industryfinanced, US$ 5 billion research and development programme, to catalyse the transformation of the industry from dependence on fossil fuels to operating with zero-carbon energy sources. Total emissions from shipping are about 7% lower than in 2008 but there is a limit to what can be achieved while ships remain dependent on fossil fuels and global demand for maritime services continues to grow. The shipping industry says the reductions required by the IMO target of reducing total emissions from international shipping by at least 50% by 2050 compared to 2008, will only come from identifying and developing new zero-carbon technologies so that commercially viable zero carbon ships can begin to operate in the 2030s. There are several potential solutions, such as hydrogen or ammonia produced from renewable energy sources, but the industry says these do not yet exist in a scale or form that can be applied to large ocean-going ships.
With a clear path, it floats to the surface and transmits a distress signal. A float-free EPIRB can also be manually activated in the event of an emergency. London International Shipping Week 2021 LISW 2021 will take place 13 – 17 September 2021 as a hybrid with physical and virtual events and a theme of “Driving growth and recovery in a disrupted world”. The organisers said “the key drivers of Trade, Finance, Technology and People will be evident throughout the week’s events including the headline LISW21 Conference backed up by the important principles of Environment, Social, and Governance.” Speaking at the virtual launch of LISW21, Robert Courts, UK Maritime Minister, said: “I am very much looking forward to London International Shipping Week 2021 where we will once again showcase the very best of our industry, drive progress on the issues that matter, and create new partnerships that will drive growth and innovation.”
The shipping industry has therefore proposed a US$ 5 billion R&D programme, to be overseen by IMO and financed through a required R&D contribution of US$ 2 per tonne of marine fuel consumed. The R&D programme would be managed through a non-governmental research and development organisation – an International Maritime Research and Development Board or IMRB.
INTERNATIONAL SALVAGE UNION
Australia
Salvage World is produced by the International Salvage Union.
The Australian Maritime Safety Authority (AMSA) has restated the requirement for owners and operators of certain domestic commercial vessels to install a float-free emergency position indicating radio
For general enquiries contact: ISU, Holland House 1-4 Bury Street London EC3A 5AW Tel: +44 20 7220 6597 Email: ISU@marine-salvage.com
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