April 2016 Marine Log

TUGS & BARGES: Will owners order more ATBs?

arine oG M L Reporting on Marine Business & Technology since 1878

www.marinelog.com

APRIL 2016

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contents

APRIL 2016 Vol. 121, NO. 4

37 departments 2 Editorial Fracking changed everything for offshore oil 6 Inland Waterways

18

A grateful thank you The U.S. Gulf market is currently slumping, but Arabian yards such as Grandweld have been shielded from the worst of the downturn

features 18 Offshore

Plenty of work, despite oil’s dip

The continuing investment by national oil companies around the Arabian Gulf is underpinning a wide range of offshore-related projects and creating opportunities for regional shipyards Plus: What’s your energy policy?

23 Tugs & Barges

Cover: Shutterstock / James Jones Jr

As easy as building ATBs

A closer look at the steady flow of ATB contracts and deliveries; and pushboats for the Amazon Plus: The latest developments in tug technology

30 Tugs & Barges

Conference & Expo Preview Marine Log’s Tugs & Barges Conference returns to Seattle.

Learn more about the companies that will be exhibiting and check out the lineup for the conference

33 Deck Machinery

Getting in the swing of things Providers of deck machinery equipment are tapping into their innovative spirits to develop technologies that will help make operations more safe and efficient

37 Innovations

Shipping’s space age future

8 Update • F irst LNG-fueled ConRo reaches milestone at VT Halter Marine • Hawaii Superferry gets new role OD issued over Deepwater •R Horizon oil spill •N ew York City to launch citywide ferry service, hires Hornblower, Inc. • F irst Gorgon LNG cargo shipped

17 Inside Washington $150 million for Polar icebreaker in President’s FY 2017 budget

44 Newsmakers

Rolls-Royce unveils its high-tech vision for the shipping industry, including the use and operation of unmanned ships Plus: DARPA builds an unmanned sub-hunter

45 Tech News

39 Ballast Water

48 Contracts

Early feedback

Recently, ABS brought together 15 shipping companies to discuss lessons learned as early adopters of ballast water management regulations Plus: BWTS manufacturers on track for USCG Type Approval this year

ClassNK appoints a new Chairman and President Rutter Inc. to help Crystal Cruises through Northwest Passage Gulf Island Shipyards delivers towboat to Marquette Transportation

52 Environmental Forum Deepwater Horizon court ruling closes the gap on Responder Immunity April 2016 MARINE LOG 1

editorial

Fracking changed everything for offshore oil In 1859, a small town in Western Pennsylvania changed the course of history and signaled the start of the decline of the whaling industry. The town, Titusville, was the site of the first commercially successful oil well and the birthplace of the modern oil industry.

Whale oil, at the time, was the main source of fuel for oil lamps. It was eventually displaced by cheaper and widely available kerosene. The last U.S. whaling sailing ship was the Wanderer, which grounded at Buzzard’s Bay, Massachusetts in 1924.

Just as the discovery of the first commercial oil well in Titusville changed the course of the whaling industry, so, too, has fracking technology and the U.S. shale oil boom changed the economics of the oil and gas market and offshore drilling.

Anyone who has been in the oil and gas market and offshore marine transportation sector long enough has experienced at least one of the industry’s “boom and bust” cycles.

This down turn feels particularly tough, with a fleet of offshore supply vessels tied up at the docks on the U.S. Gulf Coast. There figures to be consolidation among vessel owners, shipbuilders, and suppliers if the downward pressure on oil prices continues.

The current price of Brent crude is $38.84 per barrel, slightly up from $37.72 as of December 31, 2015, but a far cry from the $110.63 on December 31, 2013.

Crude oil prices have fallen by 65 percent since mid-2014 as a result of the output from the U.S. shale oil boom, as well as increased output from OPEC and non-OPEC countries. It’s hard to imagine prices climbing without global agreements on limiting oil output. Iran keeps increasing production and Saudi Arabia says it will only join a freeze on production if Iran does. We’ll see what happens this month in Doha.

When there is an upturn in oil, land-based and fracking operations figure to be the first

John R. Snyder, Publisher & Editor jsnyder@sbpub.com

beneficiaries. The offshore oil and gas market will have to wait in line. There’s also an oversupply of offshore support vessels and, according to Clarksons Platou, there are 602 OSVs on the order book worldwide.

Our European cor respondent Paul Bartlett recently visited the Middle East and found there was no shortage of work at the region’s shipyards thanks to the push

by Middle East oil companies to grow their market share. Many of the region’s shipyards, in fact, have targeted the offshore sector. You can read more about it in “Plenty of work, despite oil’s dip.”

Also in this month’s coverage is some lessons learned from early adopters of ballast water technology systems. We also profile the long and arduous path of several BWTS manufacturers as they march slowly towards U.S. Coast Guard Type Approval.

The process doesn’t seem to be for those with a weak constitution.

Maritime Trivia Trivia Question #36: Where might you find the “only” rope on a ship?

The first sailor or lubber who correctly answers the Maritime Trivia question will receive a color J. Clary collector print. Email your guess to: marineart@jclary.com

March’s trivia question: Where did the name of the coffee company STARBUCKS come from?

Answer: “Starbuck” was the first mate aboard Captain Ahab’s F/V PEQUOD in Melville’s Moby Dick submitted by Rick Beaumont of Nicoletti Hornig & Sweeney.

2 MARINE LOG April 2016

Finally, an engine oil that works as hard as you do.

Extend oil drain intervals up to 10 times* with Mobil Delvac 1™ ESP fully synthetic diesel engine oil. Designed to extend engine life and protect components, it can lead to less vessel downtime, reduced waste oil and improved operational efficiency. Learn more at mobildelvacmarine.com.

Š 2016 Exxon Mobil Corporation. All rights reserved. All trademarks used herein are trademarks or registered trademarks of Exxon Mobil Corporation or one of its affiliates unless otherwise noted. *Based upon field testing in high-speed, 4-stroke marine engines, compared with conventional heavy-duty diesel engine oil. Actual results may vary.

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UK SALES MANAGER Chris Day chris@aladltd.co.uk

PUBLISHER & EDITOR-IN-CHIEF John R. Snyder jsnyder@sbpub.com

FRANCE SALES MANAGER Paul Thornhill paul@aladltd.co.uk

MANAGING EDITOR Shirley Del Valle sdelvalle@sbpub.com

NATIONAL SALES DIRECTOR Jeff Sutley jsutley@sbpub.com

CONTRIBUTING EDITOR Paul Bartlett pbmc@gotadsl.co.uk

REGIONAL SALES MANAGER Heather Bonato hbonato@sbpub.com

WEB EDITOR Nicholas Blenkey nblenkey@sbpub.com

SALES ASSOCIATE Amy Lennox alennox@sbpub.com

CREATIVE DIRECTOR Wendy Williams wwilliams@sbpub.com

SALES REPRESENTATIVE Young-Seoh Chinn corres1@jesmedia.com

ART DIRECTOR Sarah Vogwill svogwill@sbpub.com

CLASSIFIED SALES Jeanine Acquart jacquart@sbpub.com

MARKETING DIRECTOR Erica Hayes ehayes@sbpub.com

CONFERENCE DIRECTOR Michelle M. Zolkos mzolkos@sbpub.com

PRODUCTION DIRECTOR Mary Conyers mconyers@sbpub.com

CONFERENCE ASSISTANT Stephanie Rodriguez srodriguez@sbpub.com

EUROPE MANAGING SALES DIRECTOR Neil Levett neil@aladltd.co.uk

Columnists/Contributors Michael Toohey, Waterways Council, Inc. William Burroughs, ABS Jonathan K. Waldron and Lauren B. Wilgus, Blank Rome

SCANDINAVIA SALES MANAGER Brenda Homewood brenda@aladltd.co.uk

ShipmoPC

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4 MARINE LOG April 2016

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CONVERSIONS

inland waterways

A Grateful Thank You! In March (23-25), The National Lieutenant Governors Association (NLGA) held its 2016 Federal State Relations Meeting in Washington, DC, where they considered a resolution on the importance of the nation’s inland waterways. The resolution cites the importance of America’s inland waterways system for a healthy national economy. The resolution passed with bipartisan support thanks to the leadership of Lt. Governor Kim Reynolds of Iowa and Lt. Governor Dan McKee of Rhode Island, the primary sponsors.

Waterways Council, Inc. met with Lt. Governor Reynolds in Washington nearly two years ago to discuss this very subject: Why the nation’s waterways are so important to the state of Iowa and to the nation.

Our Midwest Vice President Paul Rohde had met with the Lieutenant Governor on numerous occasions.

However, Lt. Governor Reynolds was well aware of the waterways’ critical role in her state. She was well aware that waterways and ports support 26,000 Iowa jobs and directly contribute $4.3 billion to the state’s economy. She knew that essential commodities are shipped to and from Iowa through its waterways and ports: $ 7.6 billion of agricultural and food products destined for American supermarkets and for export; $7.1 billion of manufactured goods including computers and electronic products, appliances, machinery, electrical equipment and clothing; and $2.4 billion of basic chemicals used in hundreds of consumer products from appliances to toys, from soap to cosmetics.

The National Lieutenant Governors Association Resolution is as follows: Resolution On The Importance Of America’s Inland Waterway System For A Healthy National Economy WHEREAS, 541,000 American jobs are directly tied to our inland river navigation system and investment in its lock and dam infrastructure produces a high rate of return to the nation, translates directly into economic growth for America, and increases revenue to the U.S. Treasury; and WHEREAS, our inland river system moves products that are the underpinnings 6 MARINE LOG April 2016

of our economy, including iron, steel, chemicals, petroleum, coal, road salt, fertilizer, aggregate material, and more than 60 percent of American agriculture products for export to the global market; and WHEREAS, American agriculture is reliant on our lock and dam system and risks losing its competitive advantage in the global market unless the efficiency of our inland river transportation system is renewed; and WHEREAS, 78 percent of river locks in the United States will have exceeded their design life by the end of this decade and the U.S. Army Corps of Engineers’ Institute for Water Resources anticipates a 61% increase in river transportation by 2040; and WHEREAS, inland river locks have endured an 800 percent increase in outages from 1992 to 2008, with 15 unscheduled outages alone costing $585 million; and WHEREAS, the American Society of Civil Engineers’ 2013 “Report Card for America’s Infrastructure” deemed our lock and dam system a grade of D- and has identified $16 billion in needed waterway infrastructure improvements by 2020, protecting $270 billion in exports, $697 billion in gross domestic product, 738,000 jobs and $872 billion in personal income; and WHEREAS, the collaborative effort between the commercial carriers and shippers, via the Inland Waterways Users Board, and the U.S. Army Corps of Engineers did in April 2010 produce the Inland Marine Transportation System Capital Projects Business Model, identifying a capital development plan to address the next 20 years of river infrastructure needs; and WHEREAS, the modernization and timely rehabilitation of the lock & dam system will create hundreds of millions of construction man-hours for cement masons, carpenters, piledrivers, plumbers and pipefitters, operating engineers, electricians, laborers, iron workers, and other skilled building trades; and WHEREAS, a recent study by the University of Tennessee and University of Kentucky shows that enactment of those recommendations would generate 350,000 job-years of new, full-time employment with a present

Michael J. Toohey, President/CEO, Waterways Council, Inc.

value of more than $14 billion over a 10-year period; and WHEREAS, barge transportation has the smallest carbon footprint among competitive modes, emitting 30 percent less carbon dioxide than rail and 1,000 percent less than trucks, with similar results when comparing particulate matter, hydrocarbons, carbon monoxide, nitrogen oxides and other pollutants; and WHEREAS, river transportation is the most energy efficient mode of moving the commodities that keep America working, pushing one ton of freight 616 miles on a single gallon of fuel, compared with 478 miles by rail and 150 miles by truck; and National Lieutenant Governors Association THEREFORE, Be it Resolved that the NLGA recognizes the multiple benefits of river dams, including flood control, recreation, hydropower, industrial and municipal water supply, land value, and many others; and BE IT FURTHER RESOLVED, the NLGA applauds the waterway industry’s voluntary and unanimous request, and the 2014 U.S. Congressional authorization to increase the existing 20 cent per gallon diesel fuel tax by 45 percent, or 9 cents, providing matching construction funds from the Inland Waterways Trust Fund (IWTF); and BE IT FURTHER RESOLVED, the NLGA supports robust federal appropriations amounts to match the expenditure of the Inland Waterways Trust Fund collections; and BE IT FURTHER RESOLVED, the NLGA supports the advancement of the Inland Marine Transportation System Capital Projects Business Model prioritization list for construction and rehabilitation of our lock system; and BE IT FINALLY RESOLVED, the NLGA will be an engaged forum for collaboration among states to ensure the most efficient and reliable river navigation system, to address the national intermodal transportation needs for the future.

The resolution sums up the benefits of the waterways to the nation, and the collaboration that will be needed ahead to solve challenges. www.waterwayscouncil.org

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UPDATE biz notes Shipbuilders Council and OSHA join forces

Green Commitment First LNG-fueled ConRo reaches milestone El Coquí, the first in a series of two new Commitment Class LNG-fueled 2,400 TEU ConRO ships under construction at VT Halter Marine reached a critical milestone in its construction last month with the setting of its MAN Diesel & Turbo 8S70ME-C8.2-GI main engine.

The engine, weighing a total of 759 metric tons is 41 ft high by 41 ft long and 14.7 ft wide, was put in place by a series of heavy lift, 500-ton cranes.

The engine technology will add efficiency to Crowley’s fleet while also reducing its carbon footprint.

The addition of ConRO ships to its fleet is part of Crowley EcoStewardship growth strategy—wherein the company focuses on adopting greener technology, using more environmentally friendly operations and

joins in partnerships that help foster a green planet.

“Utilizing this green technology is just another way we are demonstrating our commitment to the people of Puerto Rico, our customers and the environment,” says John Hourihan, Senior Vice President and General Manager of Crowley’s Puerto Rico Services. “It also bears mentioning that neither of these ships, which have been designed specifically for the Puerto Rico trade, gets built without the Jones Act.” The ConRO ships will travel at a speed of 22 knots across the Puerto Rico trade. The use of LNG as its primary fuel will enable the ConROs to reduce CO 2 emissions by 38% per container. El Coquí and its sister ship Taíno will be delivered during the second and fourth quarters of 2017.

The Shipbuilders Council of America (SC A), the National Shipbuilding Research Program and the Occupational Safety and Health Administration (OSHA) will join forces to collaborate on the Alliance Program.

The program will focus on continuing the industry-leading employee safety practices in U.S. shipyards by developing training and best practices to promote safety and health in the shipbuilding and repair industry. This includes preventing a worker’s exposure to electrical, ergonomic, struck-by and slip, tip and fall hazards.

“Safety of our employees has always been and will continue to be our top priority,” said Tom Godfrey, SCA Chairman and CEO of Colonna’s Shipyard, Norfolk, VA. “Our industry’s culture of safety is reflected in our excellent safety record which consistently exceeds the government standard set for all industries.”

The Alliance Program will also support OSHA’s Fall Prevention campaign. OSHA says falls are the leading cause of death in construction, and these type of deaths can be preventable through three simple steps: (1) Planning ahead; (2) Providing the right equipment; (3) Training.

“The proactive approaches and dedication to improved health and safety of our shipyard employees demonstrates our members’ longstanding commitment to the safety of shipyard employees,” said Matthew Paxton, President of SCA.

Navy Captain to get prison time for this “golden” role in Fat Leonard affair The highest-ranking official thus far charged in the massive bribery scandal known in Navy circles as the Fat Leonard affair, U.S. Navy Captain Daniel Dusek, w ill soon be serving jail time for his role in the scandal.

T his June 15, Dusek will have to report to the U.S. Bureau of Prisons to start serving a 46- month sentence for giving classified information to a foreign defense contractor in exchange for prostitutes, luxury travel and other gifts.

8 MARINE LOG April 2016

In addition to prison time, Dusek has also been ordered by U.S. District Judge Janis L. Sammartino of the Southern District of California to pay a $70,000 fine and $30,000 in restitution to the U.S. Navy.

Back in January 2015, Dusek had pleaded guilty to a single count of conspiracy to commit bribery. He admitted that he used his influence as a Deputy Director of Operations for the Seventh Fleet, headquartered in Yokosuka, Japan, and later as executive officer of the USS Essex and the commanding officer of the USS Bonhomme Richard, to benefit Leonard Glenn Francis (“Fat Leonard) and his company, Glenn Defense Marine Asia (GDMA). GDMA had, for decades, provided port services to U.S. Navy ships.

The Department of Justice says Dusek was lavishly rewarded for his efforts to help GDMA. Dusek admitted that in exchange for hand-delivery Navy ship schedules to the GDMA office in Japan, or emailing them directly to Francis or a GDMA employee, he received meals, alcohol, entertainment, gifts, stays at luxury hotels, and the services of prostitutes.

In an email to one of his employees, Francis wrote that Dusek “is a golden asset to drive the big decks (aircraft carriers) into our fat revenue GDMA ports.”

To date, 10 individuals have been charged in connection with the scheme. Of those, nine have pleaded guilty.

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UPDATE GulfMark settles dispute with U.S. shipbuilder

Historic sailing: Carnival’s Fathom gets the okay to sail to Cuba Its official! Carnival Corporation & plc, has been granted approval by the Cuban government to begin traveling to the island beginning May 1, 2016.

This will mark the first time in over 50 years a cruise ship has been approved to sail from the United States to Cuba. Carnival Corporation & plc’s social impact brand Fathom will operate the 704-passenger MV Adonia to the island. The itinerary will feature three ports of call—Havana, Cienfuegos and Santiago de Cuba.

“Our Carnival Corporation and Fathom brand teams have worked closely with Cuba throughout this process and we are thrilled to begin regular sailings to Cuba from Miami starting on May 1, 2016,” said Tara Russell, President of Fathom. “We have been told that we will be the first cruise line to sail from the U.S. to Cuba with our historic inaugural sailing.”

“We are excited about Cuban approval and are ready to take travelers there through an extraordinary guest experience on the

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beautiful MV Adonia,” said Arnold Donald, Carnival Corporation CEO. “This is a historic opportunity, and we know there is pent-up demand amongst Americans who want to experience Cuba. We believe there is no better way to experience so much of Cuba in seven days. Everyone who sails with Fathom to Cuba will have a very special, rewarding and enriching experience.”

The seven-day itineraries will include a variety of activities, including an orientation to Cuba’s history, customs and culture; geographic-inspired entertainment; personal enrichment activities; and conversational Spanish lessons, just to name a few.

In an interview with Marine Log for our February issue, Tara Russell explained that the goal for Fathom would be to connect its travelers with Cuba’s heritage “through an immersive program that encourages cultural, artistic and faith-based exchanges between American and Cuban citizens.”

(Read more in Travel with a Purpose, p. 16, February 2016, Marine Log).

GulfM ark Offshore , Inc. has reached a settlement with a U.S. shipyard—thought to be BAE Systems, Mobile, AL—over the delivery delay of two PSVs ordered in 2012. Under the resolution, GulfMark will take delivery of the first vessel during the third quarter of 2016. The settlement also grants GulfMark the option of purchasing the second vessel for $26 million on June 30, 2017 with payment due at delivery—if the option is exercised.

“We are pleased with the results of the settlement and to have this uncertainty resolved,” said Quintin Kneen, President and CEO of GulfMark Offshore. “We are pleased with the results of the settlement and to have this uncertainty resolved. The option to make no further capital expenditures allows us to adjust our investment to match market conditions.”

He adds, “These 300 Class Jones Act qualified platform supply vessels are designed to work in any market, under any market conditions. They meet the higher cargo carrying capacities, fuel efficiency, increased berthing, safety, firefighting and environmental classifications preferred by our customers in the global marketplace.

They will be the only U.S. flagged platform supply vessels that have Fire Fighting Vessel Class 2 (FFV2) with three water monitors and mobile foam generators; Safety Standby Service GR B – (300) with two Fast Rescue Craft, facilities and equipment to treat 300 survivors; Oil Recovery Capability Class 2; HAB (WB) for vibration, noise, climate control and lighting; Green Passport (GP); and Environmental Notation (ENVIRO) for MARPOL.”

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10 MARINE LOG April 2016

Inland • Coastal • Offshore • Deepsea

biz notes World Marine of Alabama wins drydock contract World Marine of Alabama, a division of World Marine, LLC, has landed its first contract after purchasing all of Signal International’s assets back in December 2015.

The shipyard won a contract to drydock and repair the USNS Lawrence. H. Gianella (T-AOT-1125), a Military Sealift Command (MSC) tanker currently being operated by Ocean Shipholdings, Inc.—a Houston-based operator. The 615 f t cargo vessel delivers petroleum products to the Department of Defense’s storage and distribution facilities worldwide.

Under the contract World Marine of Alabama (WMA) will provide a number of repair services, including steel and pipe renewals, underwater and freeboard hull cleaning and painting, ballast tank inspections and painting, main and generator engine overhauls, electrical switchgear cleaning and motor overhauls, and sea valve rebuilding, just to name a few.

Work is expected to begin later this month and last for 45 calendar days.

Former Hawaii Superferry Cat gets a new role

far right: Ian Rees

A former Hawaii Superferry is getting a new lease on life. After spending some time with the U.S. Navy’s Military Sealift Command, the Alakai, the first in the Hawaii Superferry pair of ferries, will make its return to civilian life operating as a passenger/vehicle ferry for Bay Ferries.

The ferry, now to be named The Cat, will operate between Portland, ME and Yarmouth, NS. On March 24th the Government of Nova Scotia announced that the province had reached a 10-year agreement with Bay Ferries Limited to manage and operate the highspeed ferry between Yarmouth and Portland.

Rocky History The high-speed catamaran, which can reach speeds of up to 35 knots, was built by Alabama-based Austal USA and delivered in 2007 for Hawaii Superferry. The ferry operated on the Hawaiian interisland service until March 2009. It was at that point, environmentalists, who had long opposed the service, won a Supreme Court case that questioned the legislation that permitted the vessels to operate without an environmental review.

Eventually, Hawaii Superferry filed for Chapter 11, and the Alakai, and sister ship, Huakai, were bought by MARAD during a bankruptcy auction. MARAD then

transferred the ferries to the U.S. Navy in 2012. Under the Navy the 349 ft x 78 ft Alakai was renamed the USNS Puerto Rico (HST-2)—but unfortunately the Navy couldn’t figure out what to do with the vessel, so it remained laid up till now.

Meanwhile, the Huakai was renamed the USNS Guam (HST-1).

New Role with Bay Ferries Under the plan with Bay Ferries, the provincial government will provide annual funding for the ferry service—this includes marketing—with $10.2 million for the first season and $9.4 million for the second. The 2016 season is expected to run from June 15 to September 30.

Its expected that $4.1 million will be made available for start-up costs and terminal upgrades. Additionally, in lieu of charter fees $9 million will go towards the ferry’s retrofit.

Before it begins operations, The Cat will undergo regular drydock maintenance and modifications at Detyens Shipyards, Inc., North Charleston, SC. Work will include hull and underwater paint renewal, main and auxiliary engine overhauls, and interior renovations to passenger cabins, carpet, upholstery, restrooms, the galley and bar area.

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April 2016 MARINE LOG 11

UPDATE Record of Decision issued over Deepwater Horizon Oil Spill T h e D e e p wat e r H o r i zo n Na t u r a l Resource Damage Assessment Trustee Council has published a Record of Decision (ROD) for the Final Programmatic Damage Assessment and Restoration Plan (FPDARP) and Final Programmatic Envirionmental Impact Statement (FPEIS) for the Deepwater Horizon oil spill. Under the ROD, the Trustees selected a “comprehensive integrated ecosystem restoration alternative” that would address the extensive injuries to the various natural resources and geographic area affected by the spill.

According to the Trustees, goal and types of restorations include wetlands; coastal and near shore habitats; water quality via nutrient reduction; the replenishing of fish, water column invertebrates, aquatic vegetation, oysters, sea turtles, marine mammals, birds and benthic communities; the enhancement of recreational opportunities; and the monitoring for adaptive management and administrative oversight.

The Trustees also proposed to accept a settlement with BP to resolve the oil giant’s liability for natural resource injuries from the Deepwater Horizon oil spill. The Trustees have selected seven restoration areas—one

BP will pay $8.8 billion towards the restoration of the areas impacted by the Deepwater Horizon oil spill

for each of the five Gulf coastal states, Open Ocean and region-wide. Additionally, funds would also be allocated to what the Trustees refer to as “Unknown Conditions and Adaptive Management.”

Under the settlement, BP will pay a total

of $8.8 billion for restoration—of that, $350 million will go to region-wide restoration; $1.24 billion for Open Ocean; $5 billion for Louisiana; $296 million for Alabama; $680 million for Florida; $295 million for Mississippi; and $238 million for Texas.

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12 MARINE LOG April 2016

Inland • Coastal • Offshore • Deepsea

First LNG cargo shipped from the Gorgon Project This past March Chevron’s Gorgon Project sent out the first shipment of liquefied natural gas (LNG). The cargo, which departed Barrow Island off the coast of Western Australia, was delivered to one of Chevron’s foundation buyers, Chubu Electric Power, for delivery to Japan.

The LNG cargo was loaded on to, and delivered by, one of Chevron’s new stateof-the-art LNG carriers, the 285 m Asia Excellence. The ship, built in 2015, is part of Chevron’s latest shipbuilding and fleet modernization programs. The program is one of the largest in the company’s history, and includes the addition of six new LNG carriers built by South Korea’s Samsung Heavy Industries.

The demand for natural gas is growing fast among Chevron’s energy portfolio. Chevron is currently the largest holder of natural gas resources in Australia.

The Chevron-operated Gorgon Project is a joint venture between the Australian subsidiaries of Chevron (47.3 percent), ExxonMobil (25 percent), Shell (25 percent), Osaka Gas (1.25 percent), Tokyo Gas (1 percent) and Chubu Electric Power (0.417

Chevron’s Gorgon project off the coast of Australia

percent). The project, says Chevron, is being developed on Barrow Island and is the largest single-resource development in Australia’s history—its initial capacity is expected to be 8.9 million metric tons of LNG per year.

“Departure of the first cargo from the Gorgon Project is a key milestone in our commitment to be a reliable LNG provider for customers across the Asia-Pacific region,” said Mike Wirth, Executive Vice President, Chevron Midstream and Development.

“This is also important for our investors as we begin to generate revenue from a project we expect will operate for decades to come.”

The Gorgon Project’s natural gas is

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Another one of Chevron’s newest LNG carriers, the Asia Vision, made a historic trip in February when it left the Sabine Pass Terminal in Louisiana for Brazil. The ship was carrying 160,000 m3 of LNG to Petrobras— making it the first ship to carry an export of U.S-produced LNG to Brazil. Read more about it in our March issue of Marine Log.

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April 2016 MARINE LOG 13

UPDATE NYC to launch a Citywide Ferry Service, hires Hornblower to get the job done Since taking office in 2014 New York City Mayor Bill de Blasio hasn’t won many fans, but he’s finally done something right— and that’s kick off a citywide ferry service that will take advantage of the City’s natural waterways system, and connect more than half a million New Yorkers with 21 neighborhoods in New York City.

And, to get the job done, he’s tapped one of

14 MARINE LOG April 2016

the ferry industry’s most innovative operators to handle the service—Hornblower, Inc. “For the price of a single subway ride, tens-of-thousands of New Yorkers are going to have a new public transit option linking them to jobs, education and opportunities across the city. It’s going to be a commute like no other: fresh air, harbor views and a fast ride on the open water,” said Mayor de

Blasio. “We are selecting an operator with an incredible track record providing service in our harbor.”

Expected to launch in 2017 and be fully operational by 2018, the Citywide Ferry Service will operate an estimated 4.6 million trips per year across six routes. The routes have been selected for communities where housing and jobs are growing quickly. The new service is also expected to fully integrate the East River Ferry—owned by NY Waterway—resulting in lower fares for its 4,000 daily riders. East River Ferry’s transition under the Hornblower brand is expected to be complete by the time operations begin summer of 2017.

The service is getting substantial financial support from the City of New York, which is investing $55 million in infrastructure upgrades, including building 10 new ferry landings and rehabilitating six others. The city will also provide $10 million for additional startup costs, such as vessel upgrades and ticketing machines. Moreover, the city is providing $30 million in operating support per year, over a period of six years.

The new Citywide Ferry Service will also see the acquisition of at least 17 state-ofthe-art, highly efficient passenger ferries.

The vessels would provide greater operational flexibility and provide significant savings to taxpayers over the life of the service—roughly up to $5 million per year.

Each boat will be equipped with WiFi, carry at least 149 passengers, and will be fully accessible to those with disabilities, complying with the requirements of the Americans with Disabilities Act and New York City Local Law 68 of 2005.

The new Citywide Ferry Service will cost the same amount as an MTA subway/city bus fare (currently $2.75), and will help increase transportation options for the growing New York City population. The ferries will operate from 6:30 am to 10 pm, seven days a week.

In total, Hornblower expects to have 17 to 22 boats operating in the Citywide Ferry fleet. As we were going to press, Hornblower told Marine Log it was in negotiation with a number of yards to build the vessels—with a decision expected over the next few weeks.

Hornblower has operated in New York Harbor for a decade and carries 13 million passengers annually—more than any other private ferry service on the City’s waterways.

Currently the company employs 450 in the New York Harbor—and with the expansion of the Citywide Ferry Service, is expected to add an additional 155 employees.

Inland • Coastal • Offshore • Deepsea

Windy Business: BOEM takes steps towards setting up offshore wind energy Small steps lead to big changes, especially when it comes to alternative energy. Last month, the Bureau of Ocean Energy Management (BOEM) took its first step toward the potential leasing of commercial wind energy development in the federal waters off the coast of California.

The agency recently completed its initial review of an unsolicited lease request from Trident Winds, LLC (Trident Winds) for a floating wind energy project offshore Morro Bay, CA. Following the review, BOEM deemed the request complete, and is expected to soon issue a Federal Register Notice to help determine if there is a competitive interest in the area.

As part of the review, BOEM confirmed that Trident Winds is legally, technically, and financially qualified to hold an offshore wind energy lease in federal waters.

Trident Winds’ request is the first formal interest in obtaining a lease for wind development in these waters. The project would be located about 33 nautical miles northwest of Morro Bay in water depths between 2,600 to 3,300 feet—with a proposed lease area of 67,963 acres. The project could potentially generate up to 800 megawatts (MW) of power using 100 floating foundations, each supporting a turbine that produces up to 8 MW. Beyond California, the BOEM has also identified a Wind Energy Area (WEA) offshore New York—eleven nautical miles from Long Beach, NY. The project area consists of five full outer continental shelf blocks and 148 sub-blocks. The entire area is 127 square miles, or 81,130 acres.

The New York Power Authority (NYPA), Long Island Power Authority (LIPA), and Consolidated Edison (ConEd) worked together to propose an offshore wind power project south of Long Island, approximately 13 miles off Rockaway Peninsula.

Under the proposal, up to 194 wind turbines, each generating 3.6 MW of power, would be installed, producing a potential 700 MW of wind energy.

Block Island Wind Farm Just north of New York, the U.S.’ first wind farm is heading towards completion. During the course of the last few months, the five jack foundations have been installed, and turbine assembly and submarine cable installation work has begun at the Block Island Wind Farm in Rhode Island. The 30 megawatt wind farm is expected to be operational by the fourth quarter of 2016.

Rhode Island-based Blount Boats is building the first wind farm crew transfer vessel

(CTV) for Rhode Island Fast Ferry which will operate the vessel for Block Island Wind Farm. The 21.5 m long aluminum CTV is based on a design licensed from South Boats (IOW), Isle of Wight, the U.K. The vessel will be dual certified to USCG Subchapter T (Small Passenger) to carry up to 49 passengers and Subchapter L (Offshore Supply Vessel) to carry up to 16 offshore workers.

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April 2016 MARINE LOG 15

UPDATE

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The two German companies that own and operate the ship—Briese Schiffahrts GmbH & Co. KG and Briese Schiffaharts GmbH & Co. KG MS “Extrum” —pleaded guilty to failure to maintain an accurate oil record book, in violation of the Act to Prevent Pollution from Ships and tampering with witnesses. According to the plea, the companies tampered with witnesses by persuading them to provide false statements to the U.S. Coast Guard about a bypass hose on the vessel that was being used to discharge oil into the sea.

During an inspection at the Port of Pensacola in March 2015, the U.S. Coast Guard discovered an improperly attached rubber hose. Officials later determined that, between January and March 2015, the crew of the M/V BBC Magellan, acting on behalf of the vessel’s owner, had installed and

illegally used the rubber hose to remove oily wastes from the vessel’s holding tanks— discharging oil directly into the ocean.

The crew also failed to make the required entries in the vessel’s oil record book.

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16 MARINE LOG April 2016

Canada’s National Shipbuilding Strategy forges ahead, Seaspan awarded contract Seaspan’s Vancouver Shipyards has won two contracts worth more than $65.4 million for the construction of the Canadian Coast Guard’s Offshore Oceanographic Science Vessel (OOSV) and the Royal Canadian Navy’s Joint Support Ships (JSS)—part of the National Shipbuilding Strategy (NSS) non-combat package.

The contract enables Seaspan to initiate early discussions with potential suppliers and purchase necessary material and equipment, including propulsion systems, scientific equipment, generators and steel.

All these specialized parts can be ordered prior to the start of construction ensuring the best value and timely delivery of the vessels, says Seaspan.

At the time of the announcement, Brian Carter, President of Seaspan Shipyards, said it served as “a strong reminder of the progress being made under the NSS. Its impact will continue to increase opportunities for Canadian companies and provide jobs for Canadians that flow from our delivery of vessels to the Canadian Coast Guard and Royal Canadian Navy.”

It’s estimated that Seaspan’s NSS work will create more than 2,300 direct, indirect and induced jobs annually, and produce

almost $290 million per year in GDP for Canada’s economy.

Shipbuilding Controversy The news of Seaspans non-combat’ package contract win wasn’t met with cheers from all of Canada, however. The announcement followed reports that Quebec’s Chantier Davie’s unsolicited proposal to build four icebreakers and three support ships for the Coast Guard—at a cost of $1.7 billion—was turned down by the Canadian government.

Under the proposal, Davie suggested that it could provide Coast Guard ships quicker and at a much lower cost than those projected under the National Shipbuilding Procurement Strategy (NSPS)—part of its strategy to do that would involve the conversion of a number of OSVs currently sitting idle due to the downturn in oil and gas.

Davie’s proposal was a deviation from the NSS, which divides contracts into two separate work packages, combat and noncombat. The Canadian government was not swayed by Davie’s proposal, however, opting to keep Irving Shipbuilding Inc. as the builder of the combat vessel work package, and Seaspan as the builder of the non-combat vessel work package.

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$150 million for Polar icebreaker in President’s FY 2017 budget A new polar icebreaker was one of the central topics at a hearing on March 15 held by the House Coast Guard and Maritime Transportation Subcommittee that focused on the President’s Fiscal Year 2017 Budget request for the U.S. Coast Guard.

In testimony at the hearing, ADM Paul Zukunft, U.S. Coast Guard Commandant, said he was “particularly pleased the President’s Budget includes $150 million to accelerate the acquisition of a new heavy Polar Icebreaker”—essentially laying “a track line to rebuild the polar capabilities the Nation needs in the 21st Century.”

The Commandant pointed out that the USCG’s active Polar icebreaker, the Polar Star, only has about seven operational years left. The USCG’s other Polar icebreaker, the Polar Sea, is currently inactive.

With Arctic sea ice diminishing, there has been increased human activities in the Arctic region, and heightened national and international interest in the resources in the region. New commercial shipping routes have opened, tourism activities by cruise ships have increased and interest

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in drilling, mining, and fishing are on the rise. The increase in human activity has also raised concerns about national security, the region’s environment, wildlife, and the risk of oil spills.

The United States, by virtue of Alaska, is an Arctic country and has substantial interests in the region. On January 21, 2015, President Obama issued an executive order for enhancing coordination of national efforts in the Arctic. The United States assumed the chairmanship of the Arctic Council on April 24, 2015, and will serve in that capacity for two years.

The five Arctic coastal states—the United States, Canada, Russia, Norway, and Denmark (of which Greenland is a territory)—have made or are in the process of preparing submissions to the Commission on the Limits of the Continental Shelf regarding the outer limits of their extended continental shelves. The Russian submission includes the underwater Lomonosov Ridge, a feature that spans a considerable distance across the Arctic Ocean.

The diminishment of Arctic ice could

lead, in coming years, to increased commercial shipping on two trans-Arctic sea routes—the Northern Sea Route and the Northwest Passage.

Besides accelerating the acquisition of a new polar icebreaker, the President’s FY 2017 Budget request also provides funding for the acquisition of four Fast Response Cutters (FRC), continues to invest in an affordable Offshore Patrol Cutter (OPC), funds multi-mission cutter boats, and funds vessel sustainment projects for two 140 ft WTGB Icebreaking Tugs and a 225 ft Seagoing Buoy Tender.

The budget supports technical review and analysis of preliminary and contract design phase deliverables for the OPC project. Funding also provides for procurement of Long Lead Time Materials for the lead ship. The OPC will replace the Medium Endurance Cutter classes that conduct missions on the high seas and in coastal waters. The President also requests funding for the Post Delivery Activities (PDAs) on the fourth through eighth National Security Cutters.

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April 2016 MARINE LOG 17

OFFSHORE

ASRY in Bahrain has been busy with offshore rig work

Plenty of work, despite oil’s dip

Arabian shipyards shielded from worst of downturn

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PEC’s December decision to maintain oil output may not be doing any favors for U.S. shale producers, but continuing investment by national oil companies around the Arabian Gulf is underpinning a wide range of offshore-related projects and creating opportunities for regional shipyards.

There has, of course, been a sharp downturn in charter rates—the world’s largest energy firm Saudi Aramco, for example, told suppliers including OSV operators earlier in the year that it expected cuts in rates of 20-30%. Many regional OSV owners are under serious pressure.

But while shipyard prices are also sharply constrained, there is no shortage of work. Oil producing countries are geared to pumping as much oil as possible and making the most of the opportunity to grow their market share. Both Saudi Aramco and the Abu Dhabi National Oil Company (ADNOC) have revealed that they have no plans to cut back on exploration and production although, to be fair, the Saudi energy company has stopped exploring in the Red Sea for the moment.

Both oil companies have huge capex programs, however. ADNOC has plans to raise oil output by a quarter, to 3.5 million b/d by 2018.

18 MARINE LOG April 2016

By Paul Bartlett The company plans to spend close to $100 billion over the next four years, it revealed last May. More than $60 billion will be spend over the next two years. A significant proportion of the money will be channelled offshore in vast oil fields that lie in shallow water. The oil-rich Emirate is developing some of its offshore reserves by creating artificial islands that provide a cheaper means of production for long-life fields than chartering jack-ups.

With relatively low production costs, Middle East oil producers are less vulnerable to low prices than almost everyone else. The continuing drive to explore and develop more reserves has been a major catalyst in the drive by regional shipyards to target the offshore sector. Heavyweight repair yards including ASRY in Bahrain, Drydocks World Dubai and N-KOM in Qatar have all developed substantial revenue streams from the offshore sector in recent years.

Now, several new yards are targeting the offshore market. The family-owned Zamil Group officially commissioned a new shipyard built on reclaimed land last April. The 2.5 million ft2 facility has been designed not only to build and repair the group’s own vessels—it has a fleet of 76 vessels, mostly OSVs—but also to work on other shipand offshore-building projects for third parties.

OFFSHORE A few miles down the coast, Dammam Ship Repair Yard is also gearing up to take on more business in the offshore sector. The yard has already undergone a significant upgrading under ownership of the Al Blagha group, with two floating docks of 22,000 tonnes and 10,000 tonnes lifting capacity refurbished and brought back into class. Buildings, workshops and yard infrastructure has also been overhauled and upgraded.

Now though, yard management is targeting international offshore operators working in Saudi waters. Mobile repair teams from the shipyard have been deployed on rigs offshore, carrying out a range of projects. Meanwhile contractors including Ensco, Rowan, Noble and Seadrill all carried out jack-up rig repairs, upgrades and modifications during 2015.

Elsewhere in the Gulf, Damen Shipyards Sharjah is also eyeing the offshore sector. The new facility, which is a joint venture between the global shipyard group and locally owned Albwardy Marine Engineering, is a newbuilding and repair yard capable of handling offshore support vessels, tugs and workboats of various types. Its facilities include a Rolls-Royce ship lift capable of handling vessels up to 394 feet, 4,000 feet of quay for alongside repairs, and eight dry repair berths.

Busy at Grandweld This past year, Grandweld completed the construction of 17 vessels. The shipyard’s latest projects include advanced crew boats, dive maintenance and support vessels, and work crane boats for a who’s who of Middle East energy firms and offshore contractors.

Grandweld, which has been operating from its Dubai base since 1984, specializes in vessels custom built to conduct complex operations in the region’s challenging offshore environment.

These range from three recently delivered work crane boats for Kuwait Oil Company - optimized for duties such as heavy lifting, oilpollution control, SPM hose handling, and supply to remote areas – to two modified 42-meter-long crew boats (FNSA-3 and FNSA-4) for Fujairah National Shipping Agency. The latter vessels are capable of speeds in excess of 30 knots and customized to execute operations such as security duties, fast transportation of offshore personnel and cargo, and the rapid supply of fuel and freshwater.

“The Middle East is a unique environment, with unique challenges and opportunities,” says Jamal Abki, General Manager Grandweld Shipyards. “We have a history of producing vessels that excel here. We use that understanding to continually enhance our offering, while building new relationships with international clients who can benefit from our expertise when it comes to meeting their own exacting requirements.

“Our integrated proposition is efficient, flexible and modern, while our in-house engineers and project managers are world class. In addition, we invest heavily in research and development to enhance our own designs, as well as using respected external designers when desired. This ensures our vessels are leading the way in operational efficiency, reliability and performance - something the industry clearly appreciates.”

Further noteworthy deliveries over the last months include three 34.3m aluminum crew boats to Jana Marine Services, a 50m Dive Maintenance & Support Vessel to Abu Dhabi National Oil Company (ADNOC), and the 42m crew boats Stanford Volga and Stanford Niger, which are capable of carrying 83 people at speeds of 25 knots.

“It’s an exciting time for the business, and our customers,” concludes Jamal Abki. “As the offshore trend points towards more optimized, complex vessels, our knowledge and experience allows us to respond with advanced newbuilds that deliver added performance and competitiveness for our clients.

“We’re now looking forward to building on our leading market position over the space of the next 12 months, and beyond.”

Meanwhile, Gulf ship repairers are all cautiously optimistic on potential business from Iran. However, legal experts specializing in sanctions are urging the utmost caution. The latest diplomatic fallout between Saudi Arabia and Iran will certainly not have helped.

New design from Rolls-Royce targets U.S., too Offshore operators in the Gulf of Mexico are among those being considered by Rolls-Royce as for a series of new mid-range offshore vessel designs specifically developed to meet the requirements of companies working in a low capex era. The UT 7217 is a DP2 anchor handling tug supply ship with a bollard pull of 100 tonnes which can be raised to 130 tonnes without any fundamental design changes.

Jan Emblemsvåg is Senior Vice President of Ship Design at RollsRoyce. He says that the company’s analysis has revealed that there are already more than 600 vessels in this range which are more than 25 years old. This could be the first sector of the offshore market to generate new demand, he believes. There will inevitably be a replacement requirement at some point, he says, and the UT 7217 has been designed with operators’ likely future requirements specifically in mind.

Although the design has been developed to incorporate as much flexibility as possible and will be capable of worldwide deployment, specific offshore markets which Rolls-Royce has identified besides the Gulf of Mexico include the Middle East and the South China Sea. Vessel price will of course depend on region and shipyard, but Emblemsvåg reveals that initial indications from some Far Eastern yards lie in the $17 million to $18 million range.

The design has been developed to compete effectively with existing ships in the sector. Bollard pull is greater than the typical 70-80 tonnes, for example, and deck area—at 500 square meters—is more than the usual 450-460 square meters. There is more cargo capacity than is usual and the vessel has a launch and recovery system.

With cost constraints in mind, Rolls-Royce designers have chosen a diesel mechanical propulsion system which comprises two medium-speed C25:33L9P CD diesels of 3,000kW each, driving two US305 controllable pitch azimuth thrusters with 3.2 meter diameter propellers in nozzles. Each engine drives a shaft generator and fire pump for fire-fighting duties. There are two independent 400kW generating sets providing electrical power and two 590kW bow thrusters.

Operating flexibility will be aided by the SPS notation which will enable the vessel to carry up to 12 additional personnel besides the crew. There are 29 cabins giving a maximum of 40 on board. This means that the ship can be deployed in a wide range of tasks, including cargo supply, anchor handling, ROV operations, safety standby and maintenance and repair.

The competitive price indications are based on a Rolls-Royce equipment package including the main two-drum hydraulic winch with 200-tonne heave and 250-tonne brake rating. They also assume the diesel mechanical propulsion system. However, Emblemsvåg is well aware that some OSV operators may wish to specify other equipment and possible alternative propulsion arrangements such as a diesel-electric set-up. These, he says, can be accommodated but will obviously have an impact on price.

Other mid-range offshore vessel designs are currently being worked on by Rolls-Royce naval architects. They include a larger 150-tonne anchor handler likely to be introduced later this year. A mid-range subsea construction vessel design is also on the drawing board, intended for waters where breakeven production costs are relatively low and where energy companies will be focusing while the oil price stays down. ■ April 2016 MARINE LOG 19

OFFSHORE BRIEFING: WHAT’S YOUR ENERGY POLICY?

Hillary Clinton (D)

Ted Cruz (R)

John Kasich (R)

Bernie Sanders (D)

Donald Trump (R)

The U.S. has emerged as a global energy leader, something that couldn’t be imagined a decade ago. The Energy Policy of the next President will impact what role the U.S. will play in the world energy market, the future of offshore drilling, the export of LNG and crude via ships, job creation, business investment, and the prices that consumers will pay for energy.

Here, in alphabetical order, is what each Presidential candidate’s been saying on the campaign trail about America’s energy future.

• Cut U.S. oil consumption by one third through the use of cleaner fuels and more efficient cars, trucks, ships, and boilers.

• End tax subsidies to oil & gas companies.

• Ban drilling in the Arctic.

• Add more power generation capacity to the grid than during any decade in American history, from a combination of wind, solar, hydro, geothermal, and other forms of renewable electricity.

• Mandate more efficient buildings to cut energy consumption.

HILLARY CLINTON (D) Secretary Clinton sees climate change as an urgent threat. She plans to make the U.S. into “the world’s clean energy superpower.” This includes generating enough renewable power for every home in the U.S. with a half a billion solar panels installed by 2021.

TED CRUZ (R) Senator Cruz believes that the countr y should embrace the “American Energy Renaissance.” He has been a strong supporter of the oil and gas industry and was a leader in the fight against the moratorium, following the Deepwater Horizon incident. He believes

20 MARINE LOG April 2016

OFFSHORE

in expanding oil exploration both on land and offshore on the Outer Continental Shelf. He introduced the American Energy Renaissance Act of 2015.

• Streamline the permitting process for additional offshore exploration.

• Would leave fracking regulations to the states.

• End greenhouse gas regulation by the EPA and federal government.

• Open up the coastal plain of Alaska (ANWR) for development.

• Proposed abolishing the Department of Energy.

• Approve the Keystone XL Pipeline.

• Expand LNG exports.

JOHN KASICH (R) Governor Kasich believes that climate chance is real and is affected by human activity, but uncertain to what extent. The fracking boom in Ohio created thousands of jobs in the state, but the Governor has been a supporter of a diversified approach to energy supporting the use of oil & gas, as well as clean coal and renewables.

BERNIE SANDERS (D) An Independent running as a the Democratic, Senator Sanders believes global warming is being driven by man-made activities. He is a strong advocate for adopting new climate-neutral energy policies.

• Would move economy away from fossil fuels such as oil & coal

and invest in renewable energies such as solar, wind, geothermal, and biomass.

•S enator Sanders sponsored legislation such as the Low Income Solar Act, Green Jobs Act and Energy Efficiency and Conservation Block Grant Program.

•B urlington, VT, where the Senator was once Mayor, became the first U.S. city to run entirely on renewable electricity.

•R un cars and trucks on electricity generated by solar and wind power.

• Invest in high-speed passenger and cargo rail.

• Would ban hydraulic fracking and Arctic drilling.

• Ban offshore drilling.

• Stop exports of LNG and crude.

• Ban mountaintop coal removal.

• Impose a tax on carbon.

• Impose a moratorium on nuclear plant licenses.

DONALD TRUMP (R) A real estate mogul, investor, best-selling author and reality TV star, Donald Trump doesn’t have a voting record, nor has he really been forthcoming regarding an energy policy during his campaign. He has, however, hinted at support for certain types of energy during statements to the media and during his campaign.

• A strong supporter of fracking and the development of oil and gas.

• Would support approval of the Keystone XL Pipeline.

• Strong supporter of nuclear energy.

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April 2016 MARINE LOG 21

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TUGS & BARGES

The new VectRA tug design from Robert Allan has VSP and high-speed diesels

As Easy As Building Atbs Owners add ATB units and new pushboats for the Amazon Compiled by Marine Log Staff

N

ic hol s Brot he r s B o at Bu i ld e r s recently completed sea trials on the second of 10,000 hp oceangoing tugs for Kirby Offshore Marine, the coastal tug and barge arm of Kirby Corporation, Houston, TX. The 136 ft x 44 ft tug, Tina Pyne, will be connected to the 185,000 bbl ocean tank barge 185-02 built by Gunderson Marine, Portland, OR. Kirby’s newbuild plan a lso includes two 155,000 bbl/6,000 hp Articulated Tug Barge (ATB) units under construction at Fincantieri Bay Shipbuilding in Sturgeon Bay, WI, as well as two 120 ft x 35 ft, 4,894 hp tugs being built by Nichols Brothers Boat Builders. Each tug will be powered by two Caterpillar 3516C engines, each rated at 2,447 hp at 1,600 rev/min, with Reintjes reduction gears turning two Nautican fixed-pitched propellers with fixed nozzles.

The Reintjes gears were supplied by Karl Senner, LLC, Kenner, LA. The tugs will also have two C7.1 Caterpillar generators for electrical service. Selected deck machinery

includes one TESD-34 Markey tow winch, one CEW-60 Markey electric capstan, and one Smith Berger Tow Pin. Kirby Offshore Marine is the largest U.S. operator of coastal tank barges that provide regional distribution of refined petroleum products, black oil and crude oil. Kirby grew its coastal marine transportation business through the acquisition of K-Sea Transportation Partners L.P. back in 2011 in a transaction valued at about $604 million. At that time, Kirby acquired 58 tank barges (only 54 were double hull) with a capacity of 3.8 million barrels and 63 tugs.

Already the operator of the largest inland tank barges and towboats, Kirby Corporation will grow further with the purchase of Seacor Holdings Inc.’s inland tank barge fleet for about $88 million in cash.

Under the terms of the deal struck last month, Kirby will acquire 27 inland 30,000 bbl tank barges and 13 inland towboats, plus one 30,000 bbl tank barge and one towboat currently under construction. As

part of the agreement, Kirby will transfer to Seacor the ownership of one Florida-based ship-docking tugboat.

Kirby Inland Marine currently has 898 active inland tank barges and 243 towboats, with a total carrying capacity of 17.9 million barrels. The primary cargoes transported by this fleet are chemicals, petrochemical feedstocks, gasoline additives, refined petroleum products, liquid fertilizer, black oil and pressurized products.

Kirby President and CEO David Grzebinski, says “Operating primarily in the refined products trade, these assets will be complementary to our existing f leet and will allow us to continue to enhance customer service.”

Triple-Screw Boats For Mid-River Over the years, Rodriguez Shipbuilding, Inc.’s triple-screw towboats have won a following operating in the shallow waters where the Mississippi River meets the Gulf of Mexico. These Lugger-type vessels are April 2016 MARINE LOG 23

TUGS & BARGES designed with a distinctive aft-cabin.

Mid-River Terminals of Osceola, AR, recently took deliver y of a new design towboat from Rodriguez Shipbuilding, Coden, AL. With a conventional forwardhouse pusher conf ig u rat ion, t he new 70 ft x 30 ft M/V Dianna Lynn uses the same propulsion as the Lugger tugs. This is composed of three in-line six-cylinder Cummins QSK 19 engines, each delivering 660 hp. Each engine turns a 66-inch

stainless steel propeller through ZF gears with 6:1 reduction ratio. The combination gives the 1,980 hp towboat an eight-foot operating draft.

Fitted with large windows, the wheelhouse has a full 360-degree view and is set atop two accommodation decks and a half deck that also serves for bridge electronics support. This gives the towboat a 31-foot high eye-level, with full tanks, for working high barges.

Steer i ng a nd f la n k i ng r udders a re cont rol led by wheel house levers w it h mechanical shafts through the houses and connected to the hydraulic actuator valves in the upper engine room.

A set of push knees and deck winches with cheek blocks facilitates barge work. A pair of 55 kW gensets meets the boat’s electrical requirements.

Zero discharge tanks, built integral to the hull, provide storage for treated sewage and all drains. A separate tank handles waste oil.

The M/V Dianna Lynn is the fourth boat in the Mid-River Terminal fleet, all of which are Cummins powered. Owner Rick Ellis said, “We wanted the three engines for redundancy so that even if we lose an engine we still have over 1,200 horsepower.”

The new boat will be primarily involved in f leeting and harbor work, “Rodriguez did a great job and it is a great handling boat,” Ellis added.

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As we highlighted last month, Bouchard Transportation’s multi-million-dollar newbuild program is winding down. The Melville, NY, owner is completing the construction of two new 6,000 hp, 310 ft x 38 ft Intercon tugs at VT Halter Marine, Pascagoula, MS. The tugs Morton S. Bouchard Jr. and Fredrick E. Bouchard will be connected to the B. No. 210 and B. No. 220.

The two tank barges were the first double hull tank barges built by Bouchard. Both were built as wire barges, but following their conversion and stretch at Bollinger Shipyards, Inc., both will be Intercon, f lat deck double hulls capable of carrying 110,000 bbl of oil.

Mor a n Tow i ng , Ne w C a n a a n , C T, expects to take delivery shortly of a 5,300 hp/110,000 bbl ATB unit from Fincantieri Bay Shipbuilding. The Sturgeon Bay, WI, has another 8,000 hp/155,000 bbl ATB unit under construction for Plains All American Pipeline, with an option for a second unit, and signed a hotly contested order for another 8,000 hp/185,000 for another earlier last month. That contract includes an option for another.

The new barge will have a capacity of 185,000-barrels with dimensions of 578 feet by 78 feet. The tug will be an 8,000 hp unit equipped with Tier 4 engines—believed to be GE Marine—to meet the latest EPA emission standards.

When complete, the ATB will operate on the U.S. East Coast and Gulf of Mexico.

“We are pleased to have this opportunit y,” said Fra ncesco Va lente, FMG

TUGS & BARGES

Moran Towing is adding the ATB unit that consists of the 110,000 bbl Louisiana and 5,300 hp Barbara Carol Ann Moran

President and CEO. “This new contract marks an additional expansion of our product portfolio, confirms our ability to win business with new customers in a very competitive market and further consolidates our presence and reach in the U.S. market.”

“This award increases our pipeline of new construction to 10 vessels and provides additional stability to our business,” said FBS Vice-President and General Manager, Todd Thayse. “We are grateful for the confidence that our customers continue to place in our reputation for quality and the strong shipbuilding skills of our workforce.”

Conrad Shipyards, Morgan City, LA, meanwhile, is building an 80,000 bbl ATB unit for John W. Stone, as well as two ATB tugs for Harley Marine Services, Seattle, WA. Conrad Orange Shipyard in Orange, TX, recently delivered the 35,000 bbl Double Skin 315 to Vane Brothers Company.

That barge was towed to New York by the Elizabeth Anne, the first in a series of eight 4,200 hp tugs being built by St. Johns Ship Building, Palatka, FL. Designed by Frank Basile, P.E. of Entech Designs, LLC, the Elizabeth Anne Class tugboat is a close cousin to Vane’s Basiledesigned Patapsco Class tugboats, 15 of which were produced between 2004 and 2009. Measuring 100 feet long and 34 feet wide, with a hull depth of 15 feet, the model-bow Elizabeth Anne utilizes two Caterpillar 3516 Tier 3 engines, each generating 2,100 hp at 1,600 rev/min. Two John Deere PowerTech 4045, 99 kW generators deliver service power to the boat, while a third John Deere 4045 teamed with an Allison transmission drives the chain-driven INTERCON DD200 towing winch.

Robert Allan’s Latest Over the years, world renow ned naval architectural and marine engineering firm Robert Allan Ltd. has successfully teamed with shipyards around the world to bring new innovative tug designs to the market.

Its latest is the VectRA 3000 Class Tug, a high performance VSP Tractor tug designed

by Robert Allan Ltd in close collaboration with Turkish shipbuilder Sanmar and Voith Turbo Propulsion. The tug is designed for maximum efficiency in the performance of towing, harbor ship-handling and escorting of large ships. Performance has been verified with extensive model tests at the commencement of the design cycle. The unique propulsion arrangement features high-speed diesel engines connected to the Voith units via reduction gearboxes with integral clutches. With a bollard pull of 70 tonnes, the VectRA 3000 form can generate escort steering forces in excess of 100 tonnes. Additionally, the design has firefighting and oil recovery capabilities and is fully MLC compliant.

The VectR A 3000 has been designed exclusively for Sanmar to offer as one of its highly successful stable of progressive tugboats for the world market.

The first vessel in the series, the M/T Ares, built for Italian tugowner Tripmare SpA, was successfully launched at Sanmar’s new Altinova advanced shipbuilding facility this past February.

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April 2016 MARINE LOG 25

TUGS & BARGES following ABS notation: A1 Towing Vessel, Escort Vessel, AMS, Unrestricted Service, UWILD, HAB (WB), ABCU Fire-Fighting Vessel Class 1 Oil Spill Recovery – Capability Class 2 (>60° C) (OSR – C2).

Rat her uniquely for a VSP insta l lation, the propulsion drivetrain comprises two Cat 3516C high-speed diesel engines, each rated 2,525 kW at 1,800 rev/min, and driving Voith 32R5EC/265-2 cycloidal propellers. The engines are connected to the

Voith drives through a pair of Reintjes WAF 863 gearboxes and Vulkan composite shafts, rather than using the more traditional turbo coupling. This combination is smaller, lighter and less costly than the traditional medium speed drive system. The electrical plant consists of two identical diesel gensets, each with a rated output of 86 ekW. Crew accommodations are all located on the main deck level for optimal crew comfort. There are 4 single crew cabins plus 1

double crew cabin, each with an en-suite bathroom. A comfortable lounge/mess area and galley facilities are also in the deckhouse, with galley stores and laundry room located below the main deck forward.

All towing, ship handling, and escort work is performed using a double drum escort winch and escort rated staple fitted on the aft deck. One drum can store 710 meters of steel wire line, while the other stores 150 meters of synthetic towline. For increased operational flexibility radial type tow hooks are installed on the main deck forward and aft.

As in a traditional tractor configuration, the stern is the working end of the tug, and as such features heavy-duty cylindrical fendering with a course of ‘W’ fenders below. Hollow ‘D’ fenders protect the sheer lines and tie neatly into the ‘W’ fenders at the bow.

The wheelhouse is designed for excellent 360-degree visibility and includes overhead windows. The split type console is biased aft to ensure unobstructed visibility of the working deck (including the winch, staple, bulwarks and fenders) during operations.

Cargill’s Pushboats For The Amazon In Brazil, the construction of a f leet of Robert A llan Ltd.-designed pushboats and barges for Cargill Transportation is nearing completion. To be used for transporting grain products on the Amazon River system, the f leet includes two shallow-draft RApide 2800-Z2 class pushboats built at INACE in Fortaleza, Brazil and 20 hopper barges built at Rio Maguari in Belem, Brazil.

Each of the two new RApide 2800-Z2 Class pushboats are 28m x 10.5m, with a minimum operating draft of 2.2m and normal operating draft of 2.5m. The two sister vessels, the Cargill Cachara and Cargill Tucunare, are designed to push barge convoys on the Amazon River system.

During the early phases of design, extensive CFD simulations were undertaken to optimize the pushboat’s hull shape to minimize total convoy resistance.

This work was completed in conjunction with extensive logistics modeling of the transportation system to optimize the selection of vessels for the desired route and to analyze operational drafts and cargo throughput at various river levels.

The pushboats were designed to ABS and Brazilian NORMAM-02 requirements and are outfitted to the highest standards.

The wheelhouse is designed for maximum a ll-round v isibilit y w ith a split for wa rd cont rol stat ion prov id i ng 26 MARINE LOG April 2016

TUGS & BARGES Sunken tug raised by Donjon The 84-foot-long tug Specialist that sank on March 12 near the Tappan Zee Bridge north of New York City was raised by marine salvor Donjon Marine Co., Inc., Hillside, NJ, last month.

The tug sank after slamming into a stationary construction barge near the bridge. The captain, Paul Amon, 63, and crew members, Timothy Conklin, 29, and Harry Hernandez, 56, were killed in the incident. The body of Mr. Hernandez was trapped in the hull and recovered during the salvage operation.

D onjon M ar ine E xe c u t i ve V ice President John Witte Jr. told Marine Log that the tug would be stored on one of the company’s barges at an undisclosed location to allow for federal, state and local authorities to inspect and complete their investigations. “ We have, unfor t unatel y, be en involved in salvage cases such as this, where bodies have been trapped in the hull,” says Witte. Witte mentioned that the tug and its crew were known to the New York maritime industry. “Steel can be replaced, but people can’t.”

The Specialist was part of a three-tug group that was pushing a crane barge south on the Hudson River. The 84-footlong vessel struck a stationary barge near the Tappan Zee Bridge at about 5:30 AM on March 12 and sank in 40 feet of water within a short period of time.

maximum visibility to the foredeck working area of the tug as well as to the convoy of barges ahead. Accommodation for up to 13 people is provided onboard and a large galley and mess is provided on the main deck.

The deckhouse extends aft over the main propulsion components, which comprise a pair of Caterpillar 3512B diesel engines, driving Schottel SRP 550 Z-drive units.

The drives are fitted in tunnels designed to optimize flow while reducing draft. Two identical Caterpillar diesel gensets are provided in the vessel’s auxiliary machinery space located below the main deck.

The corresponding 61m x 15m box and rake barges were designed by Robert Allan Ltd. to A BS R iver Ru le requirements.

Additional extensive FEA analysis of the structure was performed in order to optimize the design for minimum steel weight while ensuring long service life during river operations. Sliding aluminum hatch covers have been supplied to ensure the cargo stays dry at all times. ■

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April 2016 MARINE LOG 27

&

May 10–11, 2016 Hyatt at Olive 8 | Seattle, WA corporate SponSor

tech Spotlight

Silver SponSor

Supporting organizationS

Energy Conversions Inc.

Bronze SponSor

Sponsorships and Exhibits Available (212) 620-7208 | conferences@sbpub.com

Evolving with the Market KEYNOTE ADDRESS

LUNCHEON SPEAKER

Robert G. Allan, P.Eng.

Jim Watson

Executive Chairman of the Board Robert Allan Ltd.

President & COO ABS Americas Division

MARKET OvERviEw

BUiLDiNg ATBs

John Marcantonio

Gavin Higgins

GM, West Coast Foss Maritime

CEO Nichols Brothers Boat Builders

wHAT’S HAPPENiNg iN wASHiNgTON?

U.S. CRUDE OiL ExPORTS

Jonathan K. Waldron, Esq. Partner Blank Rome LLP

HYBRiD PROPULSiON Allan Grant BSc MBA PMP VP Business Development Corvus Energy Limited

marinelog.com/events

Charlie Papavizas, Esq. Partner Winston & Strawn LLP

COMPLYiNg wiTH iMO/EPA REgULATiONS John Hatley, P.E. Americas VP Ship Power Wärtsilä North America

& Exhibitor Preview ABS

Karl Senner, LLC

BAIER MARINE

Klüber Lubrication NA LP

Chart Industries

Pacific Power Group

Elliott Bay Design Group

Safeguard Technology, Inc.

For more than 150 years, ABS has played a pivotal role within the maritime safety regime, continuously evolving and embracing new technologies in the delivery of classification services. www.eagle.org BAIER MARINE manufactures flush deck aluminum and steel workboat hatches, multi-bolt manholes, as well as tug-and-barge grade steel hatches, doors, and deck fittings. www.baiermarine.com Chart provides a range of LNG equipment solutions that lower operating costs and dramatically reduce emissions to meet compliance with stringent maritime environmental regulations. www.chartindustries.com The team of naval architects and marine engineers at Elliott Bay Design Group (EBDG) supports the tug and barge community with consulting expertise and a full spectrum of services. www.ebdg.com

Energy Conversions Inc.

Started in 1985, ECI develops and manufactures natural gas retrofit conversion systems for diesel engines. EMD 2-stroke Dual Fuel and 100% spark ignited. 4 stroke engines 300kw-8MW. Power generation, locomotive, marine. www.energyconversions.com

GTT North America

GTT North America is the US subsidiary of French engineering and technology company GTT (Gaztransport & Technigaz), the world leader in cryogenic membrane containment systems used for the transport and storage of LNG and other Liquefied Gases. www.gtt.fr

30 MARINE LOG April 2016

Karl Senner, LLC has been North America’s distributor for Reintjes Marine Gears and Steerprop Azimuth Thrusters for over 40 years, offering the absolute best parts and service capabilities in the industry. www.karlsenner.com For your critical marine applications, Klüber Lubrication provides high-performance lubricants that preserve marine equipment for long life and trouble-free function. www.kluebermarine.com Pacific Power Group provides quality engines, propulsion systems, generators and service for the marine industry specializing in MTU, Volvo Penta and Perkins products. www.pacificpowergroup.com Since 1992, Safeguard Technology, Inc. has been recognized as the global leader in the innovation and manufacture of Hi-Traction and HiGlo-Traction pre-fabricated, custom designed, anti-slip covers for steps, walkways and ladder rungs. www.safeguard-technology.com

Viega LLC

The Viega Group, founded in 1899, is one of the leaders in press piping systems for the shipbuilding industry. Our fittings are available in copper, stainless, copper nickel and carbon steel and are used for Tug and Barge new construction and repair. www.viega.us

Wärtsilä

Wärtsilä is a global leader in complete lifecycle power solutions for the marine and energy markets. By emphasising technological innovation and total efficiency, Wärtsilä maximizes the environmental and economic performance of the vessels and power plants of its customers. www.wartsila.com

May 10–11, 2016 Seattle, WA

Conference Agenda May 10, 2016

9:30 AM What’s Happening in Washington Jon Waldron, Esq., Partner, Blank Rome LLP

4:00 PM Panel: LNG Bunkering Infrastructure David Grucza, Siemens Drilling and Marine; Rafael Riva, Marine Business Development Manager, ECA, Lloyd’s Register; Joshua Sebastian, P.E., Engineering Manager, The Shearer Group; Beau Berthelot, Vice President, LNG Business Development, Waller Marine

10:00 AM Coffee Break | Expo Open

5:00 PM

10:30 AM U.S. Crude Oil Exports Charlie Papavizas, Esq., Partner, Winston & Strawn LLP

May 11, 2016

8:00 AM Registration | Continental Breakfast | Expo Open 9:00 AM Keynote Address Robert Allan, P.Eng., Executive Chairman of the Board, Robert Allan Ltd.

11:00 AM Making the Right Propulsion Choice for Your Operation Wayne C. Wingate, MSE, Engineering Manager, Nautican Research and Development Ltd.; Roland Schwandt, Head Sales Manager, SCHOTTEL GmbH

Cocktail Reception | Expo Open

8:00 AM

Continental Breakfast | Expo Open

8:40 AM

Technology Spotlight: Wärtsilä

9:00 AM THE FIRST LNG BUNKER BARGE FOR NORTH AMERICA Aziz Bamik, General Manager, GTT North America Hybrid Propulsion Allan Grant BSc MBA PMP, Vice President Business Development, Corvus Energy Limited

12:00 PM Luncheon | Expo Open Luncheon Address Jim Watson, President and Chief Operating Officer, ABS Americas Division

9:30 AM

1:30 PM Panel: Overview of the Tug & Barge Market Bob Beegle, Principal, Marcon, Inc.; John Marcantonio, General Manager, West Coast, Foss Maritime

10:30 AM Understanding ATB Performance Lee Hedd, Director of Business Development, Oceanic Consulting Corporation

2:00 PM Panel: Complying with IMO/EPA Regulations—What are the Real Options?

John Hatley, P.E., Americas Vice President Ship Power, Wärtsilä North America, Inc. 3:00 PM Energy Break Sponsored by DNV-GL | Expo Open 3:30 PM LNG Bunkering Safety Anthony Teo, Technology and LNG Business Development Manager, Region North America, Maritime, DNV-GL

10:00 AM Coffee Break | Expo Open

11:00 AM Building ATBs Gavin Higgins, Chief Executive Officer, Nichols Brothers Boat Builders 11:30 AM Z -Drive Evolution in Towboats Capt. Jeff Slesinger, Delphi Maritime, LLC 12:00 PM Luncheon | Expo Open 1:30 PM

Panel: Subchapter M Compliance Ian McVicker, Towing Vessel Coordinator, ABS Group

2:30 PM

Adjourn Program subject to change.

April 2016 MARINE LOG 31

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Deck Machinery

Allied Marine’s new A-Stern A-Frame

Getting into the swing of things A look at the industry’s newest and innovative deck machinery equipment

D

eck machinery is meant to make a mariner’s job on a board a vessel safer and easier, all the while creating a more efficient operation for the vessel owner. To that end, a number of deck machinery suppliers are developing new technologies to bring efficiency on board across a variety of vessel types and fleets.

With the goal of improving the safety and capability of the marine research industry, Allied Marine Crane, a division of Allied Systems Company, has developed the A-Stern A-Frame. Hydraulically powered, the A-Frame is used to launch and recover trawls, dredges, and ROVs. Its crossbeam rotates freely as it deploys, ensuring that the load—the unit has a 30,000 to 40,000 lb dynamic load capacity—and lighting are properly oriented throughout the entire range of motion.

Last year, the innovative unit was successfully fitted onto the R/V Sikuliaq. The vessel, owned by the National Science Foundation and operated by the University of Alaska Fairbanks School of Fisheries and Ocean Sciences, conducts oceanographic and fisheries related research in polar and sub-polar regions.

Allied says, the A-30 Stern A-Frame’s maintenance position allows crew to access the crossbeam from the deck at a standing height furthering safety during setup and rigging.

The provider also supplied the U.S. Navy’s Office of Naval Research vessels the 238 ft Neil Armstrong and Sally Ride with two

Compiled by Marine Log Staff sets of crane components. The Neil Armstrong is being operated by the Woods Hole Oceanographic Institution, while the Sally Ride is currently operating for the Scripps Institution of Oceanography at the University of California San Diego.

Under the contract, the company designed and manufactured an identical set of handling equipment for each vessel. The units consisted of a davit; the Stern A-frame; a telescoping knuckle-boom crane; a starboard side handling system and a CTD handling system—both of which extend all the way to the waterline for more stability when loading; a portable telescoping knuckle-boom crane—among the first of its kind in the industry, the unit can be bolted down to a standard UNOLS mounting pattern anywhere on deck and can be removed when its not needed; and two hydraulic power units.

Breaking into a new niche Rapp Marine U.S. has taken a huge innovative step forward, developing, what its President Johann Sigurjonsson calls “an ideal tow winch for the market.” Having long been a developer and supplier of electric and hydraulic driven mooring winches, anchor windlasses, capstans, and cranes, Rapp Marine worked closely with Baydelta Navigation Ltd. to develop a towing winch that would be long lasting and dependable for the tug market.

April 2016 MARINE LOG 33

Deck Machinery Rapp Marine is supplying a unique, fully electric driven double drum tow winch for a new 110 ft x 40 ft tractor tug operated by Vessel Chartering LLC, a wholly owned division of Baydelta Navigation Ltd. The tug was designed by Seattle-based Jensen Maritime and will be built at JT Marine Shipyard, Vancouver, WA. The winch, the first fully electric driven tow winch delivered by Rapp Marine, will be able to pull over 75 tons and use pneumatic cylinders in place of hydraulics—to keep fluid off the deck.

According to Rapp Marine, the winch will be driven by a single 100 hp electric motor with the ability to clutch in and out each winch drum. The clutches and brakes will be actuated remotely through either control panels or manually on the winch.

The winch will be primarily controlled in the wheelhouse using Rapp Marine’s Pentagon Tow Control System, which provides for a more efficient and safer operations for towing vessels. The system includes Auto Tensioning, automated haul-in and pay-out settings, in addition to touchscreen displays showing tension and wire length.

Rapp Marine says the winch can store up to 2,500 ft of 2.5 inches of Steel Wire Rope and 90 ft of 3 inch chain on the storage drum.

The unit will also include a 10 HP electric “come home” drive. The drive can be used as a back up if the main motor should fail.

Self-aligning escort winch No stranger to innovation, the man behind the innovative training tug, the BRAtt, Captain Ron Burchett, and his company, Burchett Marine, recently delivered three new scale model tugs to Warsash Maritime Academy in Southampton, UK. The 8,000 hp, 42m ASD tug models were equipped with the latest winch technology from JonRie InterTech—including a JonRie’s

patented self-aligning escort winch.

During testing of the winch at the Academy, the model was able to stop a 44 ft long containership model at a speed of 10 knots. Captain Burchett will return to the Academy later this summer for Round 3 of testing at the 12 to 15 knot range.

The winch, says JonRie, was redesigned to accommodate a new 3-speed Hagglunds motor—this would allow for faster retrieval speeds. The motor will have the capability to free wheel each individual cam ring which comes complete with JonRie’s Render Blocking enabling render speeds to exceed 120 m/min. The tug’s dynamic stability was further enhanced by the righting lever supplied by the winch.

The winch’s hydraulic braking system is rated for 300 tonnes.

Additionally, the winch, explains JonRie’s Brandon Durar, is bolted to its rotating foundation to help prevent distortion to the drive from welding. The winch also contains a load tension read out system and JonRie’s foot control for a hands-free operation.

MacGregor wins contract for ESL Shipping carriers MacGregor, part of Cargotec, recently won a contract to deliver hatch covers, cranes, deck machinery and steering gear to two 25,600 dwt dual-fueled handysize bulk carriers being built for Finland’s ESL Shipping at China’s Sinotrans & CSC Shipbuilding Industry Cooperation’s Quingshan shipyard.

As part of the deal, MacGregor will provide three K3030-4 mechanical grab cargo cranes with a safe working load of 30 tonnes at 30 m outreach. Additionally, the group will provide the design and key components package for multi folding-type hatch covers (6+6), electrically-driven Hatlapa deck machinery and Porsgrunn steering gear. ■

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34 MARINE LOG April 2016

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INNOVATION

An officer sits in the command chair before the OX global wall

Shipping’s Space Age Future Rolls-Royce unveils more details about its autonomous ship, while DARPA Compiled by Marine Log Staff builds unmanned sub-hunter

L

ooking like a teaser for an upcoming Star Trek movie, a six-minute video posted by Rolls-Royce last month lays out its high-tech vision of unmanned cargo ships and the future of shipping.

At the heart of that vision is a sophisticated, cutting-edge, land-based control center with interactive smart screens, voice recognition systems, and holographic images of the ship and its equipment. An officer sits in a command chair before the “OX global wall,” which provides a worldwide overview of shipping traffic. Flying drones launched from the unmanned ship are the operator’s eyes in the sky to monitor navigation, security, weather and inspect the ship itself. In the video, Rolls-Royce envisions a small crew of 7 to 14 people that will monitor and control the operation of a fleet of vessels across the world.

Last year, Rolls-Royce announced it would lead the Advanced Autonomous Waterborne Applications Initiative—a EURO 6.6 million project to explore, develop and design autonomous ships.

Tekes, the Finnish Funding Agency for Technology and Innovation, is providing the funding for the project, which will run until the end of 2017.

The Advanced Autonomous Waterborne Applications Initiative (AAWAI) brings together expertise from academia and industry.

The participants include Finnish academic researchers from Tampere University of Technology, VTT Technical Research Centre of Finland Ltd, Åbo Akademi University, Aalto University, and the

University of Turku. Besides Rolls-Royce, industry participants include NAPA, Deltamarin, DNV GL and Inmarsat.

Iiro Lindborg, Rolls-Royce’s General Manager, Remote & Autonomous Operations, Ship Intelligence, says, “unmanned and remote-controlled transportation systems will become a common feature of human life. They offer unprecedented f lexibility and operational efficiency.” Lindborg says the research “aims to understand the human factors involved in monitoring and operating ships remotely. It identifies ways crews ashore can use tools to get a realistic feel for what is happening at sea.”

The video is the final stage of research that will inform the design and construction of a project demonstrator before the end of this decade.

An effective remote operations center is essential to the company’s plans to develop autonomous and remote-controlled vessels.

Eija Kaasinen, Principal Scientist at VTT Technical Research Center of Finland Ltd., points out that unmanned ships doesn’t take humans out of the picture totally. “Unmanned ships need to be monitored and controlled and this will require entirely new kinds of work roles, tasks, tools and environments. The future shore control center concept has been designed by emphasizing the user experience of the human operators. By focusing on the operators’ point of view, it is possible to introduce meaningful, pleasurable and engaging new roles for the ships’ shore control April 2016 MARINE LOG 37

INNOVATION center professionals.”

The research was undertaken by VTT and University of Tampere research centre TAUCHI (Tampere Unit for Computer Human Interaction) in collaboration with Rolls-Royce. It explored the lessons learned from other industries where remote operation is commonplace, such as aviation, energy, defense, and space exploration.

It uses the InnoLeap approach, a VTT and Rolls-Royce-developed initiative for

concept design and presentation of academic studies in a graphic format that is based on trend and user studies, co-innovation, scenario stories and visualizations.

On April 5, in Helsinki, Finland, RollsRoyce will reveal separate research findings, which it believes will set the direction for the development of remote and autonomous shipping.

Remote and autonomous ships are one of three elements of the company’s Ship

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Rauli Hulkkonen, Tekes, Chief Advisor, thinks the project is a “fantastic opportunity to establish the Finnish maritime cluster as the world leader in maritime remote control technology.”

Esa Jokioinen, Head of Rolls-Royce’s Blue Ocean Team, says, “We are excited to be taking the first concrete steps towards making remote-controlled and autonomous ship applications a reality.” The RollsRoyce Blue Ocean team is responsible for R&D of future maritime technologies.

Rolls-Royce is not alone in investigating the feasibility of unmanned ships.

The European Commission has just completed work on project MUNIN (Maritime Unmanned Navigation through Intelligence in Networks) to develop concepts for unmanned ships. The EURO 3.8 million MUNIN project focused on a dry bulk carrier concept, which typically carry cargo point-to-point on long, uninterrupted deep-sea voyages.

The goal of the projects is to reduce crew costs, lower environmental impact, and reduce the number of collisions. Human error plays a role in about 80 percent of maritime accidents.

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Drones have been used effectively on the military side for years for surveillance, reconnaissance, and military strikes. Last month, the Defense Advanced Research Project Agency (DARPA) reported that its Anti-Submarine Warfare (ASW) Continuous Trail Unmanned Vessel (ACTUV) program has designed, developed and constructed an entirely new class of oceangoing vessel—one intended to traverse thousands of kilometers over the open seas for months at a time, all without a single crew member aboard.

The ACTUV technology demonstration vessel was recently transferred to water at shipbuilder Vigor Industrial, Portland, OR, and conducted speed tests in which it reached a top speed of 27 k nots (31 mph/50 kph).

The ACTU V would be used to track quiet diesel-electric submarines.

The sub-hunter is scheduled to be christened on April 7, with open-water testing planned to begin this summer off the California coast. ■

BALLAST WATER

Cathelco has submitted its Letter of Intent to begin U.S. Coast Guard Type Approval for its BWTS

Early Feedback ABS hosts ballast water forum to share critical lessons learned

By William Burroughs, Senior Principal Engineer, ABS

A

s ship designers, shipbuilders, vendors, owners and operators seek direction on meeting new and forthcoming regulations, ABS’ goal is to provide practical solutions that meet the requirements in a safe manner.

Services are based on a strong foundation of research and realworld experience from engineers and surveyors. But one of the most important factors is feedback from members and clients.

The information they provide is vital to the process of continually improving ABS Rules, Guides and technical advisories.

Recently, ABS brought together 15 shipping companies to discuss lessons learned as early adopters of ballast water management regulations. This forum was different from many other meetings hosted by ABS - our role was to serve as facilitator of a larger industry discussion on how to safely, effectively and efficiently meet these important environmental requirements.

Sharing technical lessons learned will prove invaluable in the long term. As regulators begin to enforce requirements and class societies deliver appropriate standards and technical advice, industry will be able to take the necessary steps to comply.

Technical Specifications A key area throughout the discussion was the need to develop appropriate technical specifications during Ballast Water Management System (BWMS) selection.

Topics discussed included integrating the BWMS into overall ship’s automation systems, software modifications as this new technology matures, and the potential impact of a BWMS on the performance of a ship’s auxiliary systems.

In general, participants agreed shipowners need to ensure the technical specifications are thorough, must identify responsible parties, and should carry out some type of operational test to make sure the equipment, when delivered, is able to operate for an entire ballast cycle. A strong recommendation from all the owners was to think carefully about the degree of integration between the new and existing systems, with the prevailing wisdom being that simpler is better.

Design, Installation, and Commissioning During the course of the forum, several case studies were discussed to review lessons learned from recent projects. These case studies covered various types of vessels for retrofit and new construction projects, delivering key lessons learned to help inform future efforts.

While each experience was unique to individual vessels and system types, common problems included prefabricated piping errors, software issues and insufficient electrical power for auxiliary systems. Participants commented that 3D scanning and the use of experienced pipe fitters would reduce installation delays.

April 2016 MARINE LOG 39

BALLAST WATER BWTS manufacturers on track for USCG Type Approval this year While U.S. Coast Guard ballast water regulations went into effect in 2012, no ballast water treatment systems (BWTS) have yet been Type Approved by the Coast Guard.

While that has presented a headache for operators, the good news is that several BWTS manufacturers report that they expect Type Approval before the end of this year.

As of last month, 32 companies have filed letters of intent with the USCG to attain Type Approval.

One of those currently going through the Type Approval process is Ecochlor, Inc., Maynard, MA . At a Ballast Water Technolog y Systems workshop at CMA Shipping 2016 in Stamford, CT, last month, Katie Weaver, Technical Sales Manager, outlined the process to USCG Type Approval.

The Ecochlor BW TS uses a two-step process to treat ballast water—filtration followed by disinfection with the wellknown biocide, chlorine dioxide. Weaver said Ecochlor selected DNV GL as its Independent Laboratory—only one of five currently approved by the USCG—to oversee the process of USCG Type Approval.

The Ecochlor BWTS already received IMO

Type Approval, which cost the company about $1 million, and USCG acceptance as an Alternative Management System (AMS).

Testing for USCG Type Approval involves a series of land-based test cycles, shipbased test cycles and environmental tests.

Ecochlor used the California Maritime Academy’s Training Ship Golden Bear, a USCG-approved sub-laboratory, for all its land-based and ship-based tests.

Additional environmental testing on certain components of the Ecochlor BWTS will also be performed by Retlif Testing Laboratories, another USCG-approved sub-laboratory.

Weaver said she expects that Ecochlor BWTS should receive USCG Type Approval before the end of this year.

This past December, the USCG ruled not to accept the most probable number (MPN) method in assessing BWTS. MPN is a method used in determining the bilogical efficacy of UV-based ballast water management systems.

In its announcement, USCG stated that the MPN method is not equivalent to the Environmental Technolog y Verif ication

Protocol vital stain method.

Tests on the Alfa Laval PureBallast are now underway using the USCG-approved CMFDA staining method.

The CMFDA tests are expected to be completed during second quarter 2016, enabling Alfa Laval to submit a new USCG type approval application after receiving the results.

Alfa Laval says that no changes are required to PureBallast, which is already approved by the USCG as an AMS. “Alfa Laval has both a robust biological disinfection technolog y and a system with AMS approval,” says Stephen Westerling Greer, Global Business Manager for PureBallast. “We are fully convinced of PureBallast’s ability to meet the USCG criteria, so what remains is to demonstrate it according to the USCG’s preferred method.

This we are doing quickly in order to support our customers.”

Meanwhile, notes Alfa Laval, the IMO Ballast Water Management Convention is edging closer to implementation. Recent ratifications by Belgium and Fiji bring the combined gross tonnage of ratifying countries

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40 MARINE LOG April 2016

BALLAST WATER Compiled by Marine Log Staff Schematic of OceanSaver’s BWTS

to 34.8%, just 0.2% shy of the percentage required to bring the convention into force.

PureBallast, which was the first commercially available ballast water treatment system, is a chemical-free system sold and serviced by Alfa Laval. A vital component of the system is its Enhanced UV Reactor, which was developed jointly by Alfa Laval and Wallenius Water based on Wallenius Water Technology.

Another BWTS unit that uses UV disinfection as part of its process that is awaiting USCG Type Approval is the Hyde Guardian Gold Ballast Water Treatment System.

Manufactured by Hyde Marine, Inc., a subsidiar y of Calgon Corporation, the Hyde Guardian Gold BWTS was one of the first systems to receive AMS approval by the U.S. Coast Guard in April 2013. It had received IMO Type Approval in December 2013.

Trojan Marinex, which uses filtration and UV technology in its BWTS, was issued AMS acceptance by the USCG in August 2014, and is also working towards USCG Type Approval. It obtained IMP Type Approval from DNV GL on behalf of the Norwegian Maritime Directorate back in March 2014.

LARGE CONTRACT FOR Optimarin Norway’s Optimarin has secured a contract with the potential to be its largest to date. It signed a fleet agreement with UK shipowner and management company Carisbrooke for its Optimarin Ballast System (OBS). The deal has the potential to encompass OBS retrofits on Carisbrooke’s entire fleet of 46 bulk and multipurpose vessels.

“This is huge development for us,” says Optimarin CEO Tore Andersen.

Optimarin’s upcoming USCG approval, on schedule for later this year, played a

decisive part in securing the deal, with a number of Carisbrooke vessels trading in U.S. waters. This certification, in conjunction with the IMO ratification, is proving to be an important factor in accelerating OBS sales, with recent orders confirmed with Atlantis Tankers (10 units) and Sinopacific Shipbuilding Group (nine).

Speaking of the decision to work with Optimarin as a preferred supplier, Martin Henry, Fleet Technical Director, Carisbrooke, comments: “There were multiple factors at play. USCG compliance is critical for our trading routes, as is the operational and supply chain reliability of the technology itself.”

Cathelco SUBMITS LOI Cathelco has submitted a Letter of Intent to the U.S. Coast Guard verifying readiness to begin testing its BWTS for Type Approval.

The tests will be carried out under FDA/ CMFDA methodology where life forms are judged as living/dead, the standard that the U.S. Coast Guard insists must be applied to ballast water treatment systems.

At the same time, the tests will meet the expected revised standards of the new draft of the IMO G8 Guidelines.

“Our system has already received IMO Type Approval and AMS Certification from the USCG. We are pushing ahead with sales, but recognize that it is essential to attain USCG Type Approval as soon as possible,” says Robert Field, Cathelco’s Technical Director.

Cathelco have approached Marine Eco Analytics (MEA-nl) to carry out the new testing program. Based in Den Oever, Holland, the testing facility is in the process of obtaining USCG approval. It has the advantage of being in a coastal location where

tests using marine, fresh and brackish water can be performed in real world conditions.

Land based testing will be followed by testing on board the AS Patria, a container ship built in 2006 which is operated by Ahrenkiel Steamship of Hamburg.

“Many ship owners are still undecided about which BWT systems to purchase for their vessels. Clearly, potential customers will have greater confidence in a system that has attained USCG Type Approval and we are committed to achieving this within the next 12 months.

The Cathelco BWT system is based on a combination of filtration and UV technology. In order to maintain its effectiveness, the system automatically adjusts to different sea water qualities.

The most recent installation of the system is on board the Har vey Stone, an offshore vessel built by the Eastern Shipbuilding Group Inc., for Harvey Gulf International Marine. The Rampage 6400 multi-purpose field support vessel (MPFSV) with a length of 64.8m and an 18m beam is to be installed with a Cathelco system having a capacity of 150m3/hr.

OceanSaver Record breaking LNG newbuilding orders over the last few years are now fueling interest in large capacity electro-chemical Ballast Water Treatment Systems.

OceanSaver sold its first BWTS for an existing LNG carrier back in 2013. Since that time, it has been selected to LNG carrier newbuilds as well retrofits for customers such as ENGIE as well as BP. OceanSaver have delivered complete BWT Systems to all major yards in China, Korea as well as in Japan.

Partially due to its early retrofit references and comprehensive experiences in the LNG segment in particular, OceanSaver was recently awarded a further LNG retrofit order by ENGIE for retrofitting the “Provalys”, a 150.000 m3 LNG carrier built in 2006. The contract also include an option for a sister vessel.

OceanSaver was one of the first systems to achieve IMO Type Approval and signalized early its ambition to become one of the very first to achieve USCG Type Approval.

The progress shown in the USCG approval process, finalized component testing as well as land-based biological efficacy testing and well underway with regards to shipboard testing, was an important element in ENGIE’s selection process.

April 2016 MARINE LOG 41

BALLAST WATER Operation, In-Service Support, and Maintenance Challenges

FENDERS ON THE GO

Important operational concerns also were discussed during the forum. Adequate system testing during commissioning often was prevented due to delivery schedules, which in turn impacted post-deliver y operations. Participants reported piping leakage issues, sensor and instrument failures, frequent software modifications and irregular vendor service as opportunities for improvement in the process. Many of the issues discussed could be addressed through diligent installation planning and a solid post-installation operating/troubleshooting strategy.

Par ticipa nts focused on t he importance of an agreement with the shipyard or installation contractor that includes sufficient testing to indicate the BWMS will achieve the discharge standards during the first year of operation.

Modification of computer-based controls software was also a significant concern because changes could invalidate the type approval certificates. ABS Steel Vessel Rules

Common problems included prefabricated piping errors, software issues and insufficient electrical power for auxiliary system also cover requirements for software modifications. Concerns were also raised that the systems, particularly on tankers, precluded load and discharge of ballast by gravity and frequent filter backflushing, both of which increase operational cycle times.

Looking to the Future Forum participants agreed that the lessons learned should be shared with industry peers and regulators. It is imperative to bring together knowledge and experience to develop sustainable technologies and practices.

Looking to the future, ABS will host follow-on discussions to continue our efforts to aide industry and serve as the nexus for information sharing.

In our role as a trusted advisor to industry on environmental, operational and efficiency issues, ABS strives not only better inform our own standards but also to aid industry in closing the gap between compliance with new regulations and the sustainable use of technology. â– 42 MARINE LOG April 2016

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newsmakers

Classification society ClassNK names new Chairman & President ClassNK has appointed a new Chairman and President, naming Koichi Fujiwara to the position. Fujiwara previously held the role of Executive Vice President within the company. He holds a Master of Naval Architecture from the University of Tokyo and previously ser ved in Japan’s Ministry of Transportation.

Robert Allan Ltd. has announced that Managing Director, Kenneth D. HarfoRd, P.Eng will retire effective May 31, 2016. He leaves Robert Allan Ltd. “after 28 years of truly dedicated service and leadership.”

The naval architect and marine engineering firm also announced the addition of Peter Bernard, Q.C, a highly regarded retired maritime lawyer in the Vancouver area, to the Board of Directors of Robert Allan Ltd. He brings with him a wealth of experience in the maritime field as well as a broad understanding of the global marine industry.

A n d r e w Wa r d ha s joined Transas as Vice President of Sales, Asia Pacific. He brings with him nearly two decades of sales experience in the commercial and defense markets, as well as the oil and gas sector.

Ward succeeds Johan Gustavsson who is now Vice President of Global Customer Support.

Seaspan, Vancouver, BC, has named three new Vice Presidents to its Senior Leader ship Team. T he appointment s include the naming of Linda Wortman as Vice President, Finance & Accounting; C atherine Chick as Vice President, Business Ser vices & Technolog y; and Shawn Chylinski as Vice President, Health, Safety, Environment & Quality.

Provider of cargo and load handling solutions, Cargotec, has named Mikko Puolakka its new Chief Financial Officer effective May 1, 2016. He previously held the position of CFO at Outotec Oyl and Elcoteq SE.

Kirsi Tikka, Executive Vice President, Global Marine, for classification society ABS, has been named Foreign Member of the Unite d St ate s National Ac ademy of Engineering (NAE). The NAE consists of more than 2,000 peer-elected members and foreign members, senior professionals in business, academia, and government.

Ms. T ikka and other Foreign Member inductuees will be inaugurated at the NAE Annual Meeting on October 9 in Washington, DC. Transpor ter of breakbulk and heavylif t cargo, Intermarine, LLC, Houston, TX, has named Mac Bruton Director of Business Development, Americas. He will be based in New Orleans. Bruton has over 20 years of experience in the international shipping and infrastructure development industries. He rejoins Intermarine from Dan Gulf Shipping, LLC, where he served as Vice President of Sales and Pricing.

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techNews

Dr. Gerd-Michael Würsig, Business Director, LNG Fueled Ships at DNL GL

DNV GL debuts LNG market intelligence portal DNV GL has launched LNGi, an LNG intelligence portal aimed at bringing together stakeholders from across the LNG industry to share market intelligence and contribute to the uptake of LNG as a ship fuel.

LNGi will combine market intelligence

provided by LNG suppliers and infrastructure owners and DNV GL to create a comprehensive platform.

The portal lets subscribers assess the availability of LNG fuel for specific trade routes and newbuild projects. It also provides information

about current market developments, as well as status updates on other alternative fuels and emissions reduction technologies across every vessel segment. The portal will include an interactive map providing information about LNG bunkering opportunities around the world and also includes data on existing, as well as planned, infrastructure, tank to ship bunkering operations and LNG bunker vessels.

“The LNG industry has been growing rapidly over the past few years, so much so, that it has become increasingly challenging to keep track of all the latest developments,” says Dr. Gerd-Michael Würsig, Business Director LNG Fueled Ships at DNV GL – Maritime.

“This is especially true for shipowners who are considering the option of using LNG in their vessels and want to ensure they have considered all the relevant factors.”

Future LNGi features will include segment specific studies, the option for shipowners to show interest towards LNG suppliers for bunkering in certain locations, improved AIS features and additional details about infrastructure projects and LNG fueled ships.

Among the leading LNG suppliers and engine manufacturers using LNGi are Shell, MAN, and the marine division of www.dnvgl.com/lngi Rolls-Royce.

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techNews

Bouchard adds to Maritime simulation center Bouchard Transportation Co., Inc. has donated two Class B tug assist simulators to the State University of New York Maritime College (SUNY Maritime). The Class B tug assist simulators enable students to work together to simulate docking Articulated Tug Barges (ATBs)—and are in addition to SUNY Maritime’s Bouchard Tug and Barge Simulation Center which opened in October 2015.

SUNY Maritime says, the Class B simulators will be used extensively to train cadets and mariners in the use of tractor and conventional harbor tug assists to perform dockings, undockings, escort and emergency maneuvers with ATBs using all three simulators at the same time. The Class B simulators come equipped with five screens and allow for a 270 degree field of visibility. The simulators join a larger Class A bridge simulator with full 360 degree visibility.

“With the new class B simulators combined with the Class A bridge simulators, cadets are going to be receiving a higher level of training,” said Capt. Eric Johansson, Professor of Marine Transportation. “Recognized by the U.S. Coast Guard for its unique

skill sets, tugboat training at the Bouchard Simulation Center will meet demand and exceed the expectations of cadets and seasoned mariners.”

“Education is of vital importance at Bouchard, and a major aspect of education is simulator training,” said President and CEO Morton S. Bouchard III. “It is very simple— the more educated employees are, the more inclined they will be to always operate safely.

Our proud commitment to the simulator just reinforces our corporate philosophy ...

Safety is our number one top priority.”

Learn more about Bouchard’s commitment to training in “CEO Spotlight: Morton S. Bouchard III,” on page 34 in the March 2016 issue of Marine Log. www.bouchardtransport.com

PANOLIN

Cummins debuts its largest marine engine to date Cummins, Inc. unveiled its largest diesel engine to date, the QSK95 at last month’s Asia Pacific Maritime 2016. The engine is targeted for high-hour, hardworking vessels such as tugs, inland waterway towboats, OSVs and crewboats, ferries and patrol vessels.

The engine will increase the company’s marine power range by 50 percent.

The QSK95 will meet IMO Tier II emissions standards with highly efficient fuel injection and clean combustion. The engine, which will be manufactured at the Seymour Engine Plant in Seymour, IN, will begin limited production in 2017.

Cummins says the engine offers the advantages of lower capital cost and a more compact installation. Additionally, benefits of the QSK95 include its smaller size, lower weight and better transient response while delivering a new level of serviceability. The QSK95 offers ratings between 2,386 kW to 3,132 kW, a power output previously only available from larger medium-speed marine engines.

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46 MARINE LOG April 2016

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techNews

Cruise line to travel through Northwest Passage

This coming August, Crystal Cruises’ 820 ft Crystal Serenity will become the largest luxury cruise liner to navigate the Northwest Passage.

Helping the 1,070 passenger vessel through the Arctic will be Canada’s Rutter Inc. The company will provide the Ice Class 1D cruise ship with its sigma S6 Small Target Surveillance (STS) and Ice Navigator systems.

The sigma S6 Small Target Surveillance system will be installed on the ship and provide enhanced small target detection of first year and multi-year sea ice as well as other floating hazards, helping with safe navigation. Rutter Inc. says the sigma S6 Ice Navigator is the world’s foremost ice radar used for both vessel navigation and sea ice

management programs.

“Rutter’s sigma S6 and WaMoS enhanced marine safety, security and environmental monitoring radar systems are used globally, with extensive use for ships operating in the Arctic and Antarctic,” says Fraser Edison, Rutter Inc. President & CEO. “We are pleased and excited to be working with both Crystal Cruises and EYOS Expeditions Ltd, polar expedition experts and consultants for this voyage, as they become the first luxury ship to transit the Northwest Passage.”

During the voyage, the Crystal Serenity will be accompanied by an escort vessel that will carry additional safety and environmental protection equipment, to further ensure the safe passage of the cruise ship. On the escort vessel will be installed a dedicated sigma S6 Ice Navigator radar system that will allow for the detailed sweep of the area in advance of the Serenity.

The Northwest Passage, north of Canada’s mainland, will offer passengers views to some of the most remote regions in the world. The passage will take passengers through 900 miles of waterways linked with glaciers, towing fjords, and unspoiled landscapes. www.rutter.ca

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Crowley, Caterpillar team up to improve efficiency Crowley Maritime Corporation is installing Caterpillar Marine’s Asset Intelligence sof tware on its tugboat Guide—a ship-assist vessel that operates out of Seattle, WA. The completely automated system captures data through analysis and advisor y recommendations for each piece of equipment. Unlike other systems that only monitor the engine’s performance, the Cat Asset Intelligence software provides monitoring and diagnostics for the entire vessel—including non-Cat products, with the solution helping to keep watch over the tug’s main engines, generators, thrusters, and critical systems 24/7.

“It’s a robust system that does all the key monitoring and analysis we need,” said Bill Metcalf, Vice President of Strategic Engineering for Crowley Maritime. The Caterpillar Marine Asset Intelligence team will also provide advisory and management reports including recommendations on how to improve operations. www.cat.com

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April 2016 MARINE LOG 47

contracts Shipyard Contracts Marine Log welcomes your input. If you would like to report any new contracts, deliveries or changes to our listings, please e-mail: marinelog@sbpub.com. Some contract values and contract completion dates are estimated. Information is based on best available data on or about March 1, 2016. A more complete listing of Shipbuilding Contracts, Vessel Deliveries, and a Shipyard Directory are available on Marine Log’s Shipbuilding Intelligence website, www.shipbuilding.marinelog.com Shipyard

Location

Qty Type Particulars Owner/OPERATOR Est. Mil Est. DEL.

RECENT CONTRACTS Bath Iron Works

Bath, ME

1

DDG 51

513 ft, DDG 122

U.S. Navy

Burger Boat Co.

Manitowoc, WI

1

Explorer Yacht

103 ft 6 in

undisclosed

$610.4

Huntington Ingalls

Pascagoula, MS

1

DDG 51

513 ft, DDG 123

U.S. Navy

$618

Textron, Inc.

New Orleans, LA

4

LCACs

92 ft

U.S. Navy

$174

Bollinger Shipyards

Lockport, LA

1

FRC

154 ft

U.S. Coast Guard

2016-2Q

Gulf Island Shipyards

Houma, LA

1

Towboat

180 ft x 48 ft

Marquette Transportation

2016-2Q

Rodriquez Boat Builders

Bayou LaBatre, AL

1

Towboat

70 ft x 30 ft

Mid-River Terminals

2016-2Q

2017-2Q

2020-4Q

DELIVERIES

PENDING CONTRACTS BAE Systems Southeast

Mobile, AL

BAE Systems Southeast Bay Shipbuilding

NOTES

2

Dump Scows

7,700 cu. ft

Great Lakes Dredge

Options

Jacksonville, FL

1

Tug

141 ft x 46 ft, 12,000 bhp

Seabulk Tankers Inc.

Option

Sturgeon Bay, WI

1

ATB

8,000 hp/ /155,000 bbl

Plains All American Pipeline

Option

Bay Shipbuilding

Sturgeon Bay, WI

1

ATB

185,000 bbl/8,000 hp

undisclosed

Opt. 2018

Kvichak Marine

Seattle, WA

30

Skimmers

30 ft 3 in x 9 ft 8 in

U.S. Navy

Opt. to 2019

TBD

1

Double-end ferry

70-car similar to Pocohontas

VDOT

2018-2020

TBD

6

Car ferries

1,200 PAX (convert to LNG)

Washington State Ferries

RFP Issued

TBD

3

Double-end ferries

4,500 PAX

NYCDOT

$309

EDBG Design

TBD

3

Pass/Vehicle ferries

1,000 PAX/100 vehicles

DRBA

$101

2018- 2021

149 PAX

Hornblower

TBD

18-22 Ferries

$25

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48 MARINE LOG April 2016

Index of Advertisers Company Page # ABS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20

Company Page # Marine Art of J. Clary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48

Baier Marine. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

Metal Shark Boats . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42

BMT Fleet Technology. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Nautican. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27

Bouchard Transportation Co., Inc . . . . . . . . . . . . . . . . . . . . . 14

Omnithruster Inc.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38

Bristol Harbor Group, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . 47

Panolin America. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46

CENTA Corporation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21

Posidonia. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

Center Lift. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

Pyrotek Inc.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Coastal Marine Equipment. . . . . . . . . . . . . . . . . . . . . . . . . . 34

R.W. Fernstrum & Company . . . . . . . . . . . . . . . . . . . . . . . . . 47

Corvus Energy. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . C2

Rapp Marine. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49

Delgado Community College . . . . . . . . . . . . . . . . . . . . . . . . . 15

Regions Financial. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

Eastern Shipbuilding Group . . . . . . . . . . . . . . . . . . . . . . . . . 5

Renishaw . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44

Ecochlor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40

Scania USA, Inc.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

ExxonMobil Global Fuels & Lubes. . . . . . . . . . . . . . . . . . . . . 3

Schuyler Rubber Company. . . . . . . . . . . . . . . . . . . . . . . . . . 42

FCI Watermakers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

Smith Berger Marine Inc.. . . . . . . . . . . . . . . . . . . . . . . . . . . 34

Furuno. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

Tidal Marine Insurance. . . . . . . . . . . . . . . . . . . . . . . . . . . . .26

Great American Insurance Group . . . . . . . . . . . . . . . . . . . . 45

Total Lubmarine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

Great Lakes Towing Company . . . . . . . . . . . . . . . . . . . . . . . C4

Transmarine Propulsion Systems . . . . . . . . . . . . . . . . . . . . . 12

Hamburg Messe and Congress . . . . . . . . . . . . . . . . . . . . . . 36

Vigor Industrial. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

Honeywell Hermetic. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

W&O . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

KVH Industries, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . C3

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April 2016 MARINE LOG 49

marketplace ENGINEERS & ARCHITECTS

Marine

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50 MARINE LOG April 2016

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April 2016 MARINE LOG 51

Environmental Forum

Court Ruling Closes the Gap on Responder Immunity On February 16, 2016, the U.S. District Court for the Eastern District of Louisiana issued a landmark decision with respect to responder immunity. In In re: DWH Oil Spill, MDL No. 2179 (ED La, February 16, 2016), the court granted the clean-up responder defendants’ motions for summary judgment with respect to claims asserted against them by plaintiffs who engaged in a variety of clean-up activities and were exposed to oil, dispersants, and other chemicals during response efforts in the Deepwater Horizon incident.

In short, the court adopted arguments raised by Blank Rome and other defense counsel on behalf of the responder defendants that the plaintiffs’ complaints should be denied based on a concept known as derivative immunity and pre-emption. The derivative immunity concept was established over 70 years ago by the Supreme Court for parties acting under the direction and control of the federal government in the exercise of legitimate federal authority.

Indeed, this concept was extended to private parties during disaster relief actions taken in response to the 9/11 terrorist attacks on the World Trade Center.

Specifically, the court ruled that the responder defendants, which although are private parties with no contractual relationship to the federal government, can and will share in the federal government’s derivative immunity under the Clean Water Act and discretionary function immunity under the Federal Tort Claims Act. Moreover, the

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court held that the plaintiffs’ state claims were pre-empted under the Clean Water Act and National Contingency Plan in connection with their response actions where such actions were undertaken consistent with the Federal On-Scene Coordinator’s direction during the response effort. All the plaintiffs’ claims except 11 were dismissed. The court has reserved judgment on these 11 claims pending further action and review in the case.

While the decision is a great development for the responder immunity defense, responders will continue to be sued until gaps in the current responder immunity regime under the Oil Pollution Act of 1990 (OPA 90) are closed. Unfortunately, this development alone will likely have little effect on protracted and costly litigation in future cases until the OPA 90 responder immunity provision is amended in some manner to deter frivolous lawsuits.

Unfortunately, litigation following the Deepwater Horizon casualty revealed a gap in the current responder immunity provision. In particular, plaintiffs in the Deepwater Horizon litigation sidestepped the immunity provision in OPA 90 by suing first responders for personal injuries allegedly caused by exposure to the spilled oil and/or the dispersants that were approved for use by the U.S. government and alleged gross negligence and willful misconduct related to the response actions.

As a result of these lawsuits, the response industry formed a coalition to address the

identified gaps in the current responder immunity provision under OPA 90. The coalition has identified a number of enhancements that could be enacted in order to discourage, and possibly prevent, future lawsuits against responders. These include: • Personal Injury and Wrong ful Death: Provide immunity from claims for personal injury and wrongful death, at least with regard to claims for exposure to oil, dispersants, or other chemicals.

• Scope of Responder Immunity: Ensure that the scope of responder immunity applies to all types of responders.

• Attorney Fees and Court Costs: Require plaintiffs to pay the costs of litigation if they file a frivolous case and lose.

• Presumption of No Gross Negligence: Provide a statutory presumption that a responder was not grossly negligent in responding to an incident, thus placing the burden of proof on the plaintiffs to prove otherwise.

Unfortunately, the coalition’s efforts have not been successful due to the objection of one industry organization involved with only one limited sector of the marine industry.

This recent development may provide an impetus to revisit a possible enactment of a statutory amendment, or at a minimum to have the National Academy of Sciences or the U.S. Government Accountability Office conduct a study of the issue, including the impact that this district court decision may have on potential future litigation against responders following a spill incident.

Advertising Sales AMERICAS U.S. Gulf Coast & Mexico Jeff Sutley National Sales Director T: (212) 620-7233 | F: (212) 633-1165 Email: jsutley@sbpub.com

EUROPE Neil Levett Managing Director Alad Ltd. T: +44 (0)1732 459683 Email: neil@aladltd.co.uk

U.S. East, Midwest and West Coasts Heather Bonato Regional Sales Manager T: (212) 620-7225 | F: (212) 633-1165 Email: hbonato@sbpub.com

SCANDINAVIA Brenda Homewood Alad Ltd. T: +44 (0)1732 459683 Email: Brenda@aladltd.co.uk

California & Canada Amy Lennox Sales Associate T: (212) 620-7221 | F: (212) 633-1165 Email: alennox@sbpub.com

52 MARINE LOG April 2016

By Jonathan K. Waldron, Partner, & Lauren B. Wilgus, Associate, Blank Rome LLP

UNITED KINGDOM Chris Day Alad Ltd. T: +44 (0)1732 459683 Email: chris@aladltd.co.uk

FRANCE Paul Thornhill Alad Ltd. T: +44 (0)1732 459683 Email: Paul@aladltd.co.uk KOREA & CHINA Young-Seoh Chinn JES Media International T: +822-481-3411 | F: +822-481-3414 Email: corres1@jesmedia.com CLASSIFIED SALES Jeanine Acquart Classified Advertising Sales T: (212) 620-7211 | F: (212) 633-1165 Email: jacquart@sbpub.com

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