Marine Log March 2020 by Marine Log

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R E P O R T I N G O N M A R I N E B U S I N E S S & T E C H N O L O G Y S I N C E 18 78

March 2020

CRUISING:

WILL GROWTH PREDICTIONS TAKE A DENT?

See our ad on cover 2

CORONAVIRUS: Bad News for U.S. Seaborne Trade

TANKER MARKET: How Alibra Sees the Outlook

SALVORS LOOK TO TECH for New Efficiencies

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CONTENTS

DEPARTMENTS

FEATURES

2 EDITOR’S LETTER Coronavirus Has Industry-Wide Impact

CRUISE SHIPPING Coronavirus Could Slow Cruising’s Asian Ambitions The virus has caused some cruise lines to switch or cancel their itineraries, while others have had to quarantine ships

SALVAGE AND MARITIME OPERATIONS Protecting Waterways, Operators and Environment Advances in technology are helping increase the effectiveness of some salvage operations and capabilities

Q&A WITH BRIAN KING Meet the New President-Chief Engineer of EBDG Brian King joined Elliott Bay Design Group more than 30 years ago

TANKER MARKET 2020 Coronavirus Fears Add to Tanker Market Dynamics Coming off of a healthy 2019, the tanker market has already experienced some ups and downs in 2020

TECH SPOTLIGHT: NAV & COMMUNICATIONS Satcom Key to Shipping’s Move to Digital Future Shipowners’ development of digital strategies has been all good news for satcom services providers

4 INLAND WATERWAYS ACL Files for Chapter 11 in U.S. Bankruptcy Court 6 INDUSTRY INSIGHTS 8 WELLNESS Mental Health in Maritime 9 VESSEL OF THE MONTH The National Geographic Endurance 10 UPDATES • Q-LNG Wins Approval for Larger Variants of LNG Bunkering ATB • NOAA Set to Add Two New Oceanographic Ships • Vane Brothers Takes Delivery of Second Salisbury Class Tug 18 INSIDE WASHINGTON FY 2021 Budget Requests Get Mixed Reviews 33 NEWSMAKERS Ray Fitzgerald Back at Crowley Maritime as COO 34 TECH NEWS Compact Two-Stroke SCR Gains ClassNK Approval

On the Cover: The Diamond Princess saw the largest outbreak of coronavirus outside of mainland China in February. (Image Credit: Shutterstock/ 7maru)

40 SAFETY The High Cost of Maritime Injuries March 2020 // Marine Log 1

EDITOR’S COLUMN

MARINELOG MARCH 2020 VOL. 125, NO. 3 ISSN 08970491 USPS 576-910 SUBSCRIPTIONS: 800-895-4389

Tel: +1 (402) 346-4740 (Canada & International) Fax: +1 (402) 346-3670 Email: marinelog@omeda.com PRESIDENT Arthur J. McGinnis, Jr. amcginnis@sbpub.com PUBLISHER GULF COAST & MIDWEST SALES Jeff Sutley jsutley@sbpub.com

Photo Credit: Shutterstock/ PJ_Photography

Coronavirus Has Industry-Wide Impact

lthough the most publicized maritime impact of the coronavirus has been the quarantine in Yokohama, Japan, of the Diamond Princess, concern over the disease has had ripple effects throughout the international economy. Shipping is the servant of world trade, and that’s true whether your involvement in the industry is in operating massive containerships or pushing barges down the Mississippi. One lesson to be learned from how the Diamond Princess quarantine was handled is that cruise ships make a good place to incubate a virus. At the time of writing this letter in early March, more than 700 confirmed cases of the coronavirus had stemmed from the Diamond Princess, the most of any site outside of mainland China. In another incident in late February, the MSC Meraviglia was turned away from Jamaica and the Cayman Islands over one flu-stricken crewmember. The crewmember was said to have had the seasonal flu and not coronavirus, yet fears over the virus spreading led to the double denials of entry. And earlier this month, the Grand Princess saw nearly 3,000 stranded passengers onboard after a virus outbreak on the ship near the Port of Oakland in California. On page 20, Nick Blenkey investigates the virus’ impact on the global cruise market and, in spite of it, what’s new for the cruising industry.

Meantime, ports across the globe have reported a sharp reduction in imports, primarily from China, being blamed on the virus. And in China, the world’s largest container cargo handler and the source of the outbreak, employees have finally begun loosening the backlog of cargoes on their docks as they return to work. The tanker market in particular has felt the effects of the coronavirus as China’s demand for oil and LNG has plummeted. On page 29, our friends at shipbroker Alibra Shipping take a look at the tanker market as it advances through an early and uncertain 2020. This is not the first time the international economy has been hit by a virus outbreak, nor will it be the last. Comparisons have been drawn with the SARS outbreak in 2003. That affected far fewer people—and at that time, China had the world’s sixth largest economy. Signs are that this time round, shipping will take a far bigger hit. Still, the marine industry is resilient, and, inevitably, there will be winners as well as losers.

EDITOR-IN-CHIEF Heather Ervin hervin@sbpub.com WEB EDITOR Nicholas Blenkey nblenkey@sbpub.com CONTRIBUTING EDITOR Paul Bartlett paul.bartlett@live.co.uk EUROPEAN EDITOR Charlie Bartlett charlie.bartlett@runbox.com ART DIRECTOR Nicole D’Antona ndantona@sbpub.com GRAPHIC DESIGNER Hillary Coleman hcoleman@sbpub.com MARKETING DIRECTOR Erica Hayes ehayes@sbpub.com PRODUCTION DIRECTOR Mary Conyers mconyers@sbpub.com INTEGRATED ACCOUNT MANAGER US EAST/WEST COAST & INTERNATIONAL David Harkey dharkey@sbpub.com SALES REPRESENTATIVE KOREA & CHINA Young-Seoh Chinn corres1@jesmedia.com CLASSIFIED SALES Jennifer Izzo jizzo@mediapeople.com CIRCULATION DIRECTOR Maureen Cooney mcooney@sbpub.com CONFERENCE DIRECTOR Michelle M. Zolkos mzolkos@sbpub.com CONFERENCE ASSISTANT Stephanie Rodriguez srodriguez@sbpub.com

HEATHER ERVIN Editor-in-Chief hervin@sbpub.com

CONTRIBUTORS Emily Reiblein Crowley Maritime Corporation Capt. Matthew Bonvento Good Wind Maritime Services Judy Murray

Marine Log Magazine (Print ISSN 0897-0491, Digital ISSN 2166-210X), (USPS#576-910), (Canada Post Cust. #7204564; Agreement #40612608; IMEX Po Box 25542, London, ON N6C 6B2, Canada) is published monthly by Simmons-Boardman Publ. Corp, 88 Pine St. 23rd Floor, New York, NY 10005. Printed in the U.S.A. Periodicals postage paid at New York, NY and Additional mailing offices. PRICING: Qualified individuals in the marine industry may request a free subscription. For non-qualified subscriptions: Print version, Digital version, Both Print & Digital versions: 1 year, US $98.00; foreign $213.00; foreign, air mail $313.00. 2 years, US $156.00; foreign $270.00; foreign, air mail $470.00. Single Copies are $29.00 each. Subscriptions must be paid in U.S. dollars only. COPYRIGHT © Simmons-Boardman Publishing Corporation 2020. All rights reserved. Contents may not be reproduced without permission. For reprint information contact: PARS International Corp., 102 W 38th St., 6th Floor, New York, N.Y. 10018 Phone (212) 221-9595 Fax (212) 221-9195. For Subscriptions, & address changes, Please call (US Only) 1-800-553-8878 (CANADA/INTL) 1-319-364-6167, Fax 1-319-364-4278, e-mail marinelog@stamats.com or write to: Marine Log Magazine, Simmons-Boardman Publ. Corp, PO Box 1407, Cedar Rapids, IA. 52406-1407. POSTMASTER: Send address changes to Marine Log Magazine, PO Box 1407, Cedar Rapids, IA. 52406-1407.

2 Marine Log // March 2020

John Wooldridge Michael J. Toohey Waterways Council, Inc. SIMMONS-BOARDMAN PUBLISHING CORP. 88 Pine Street, 23rd Floor, New York, N.Y. 10005 Tel: (212) 620-7200 Fax: (212) 633-1165 Website: www.marinelog.com E-mail: marinelog@sbpub.com

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INLAND WATERWAYS

ACL Files for Chapter 11 in U.S. Bankruptcy Court

ichael J. Toohey, who has served as president/CEO of Waterways Council Inc. since 2011, is

to retire. “Having turned 71 this month, I believe it is time to focus on my faith, family, my golf handicap and my other interests,” Toohey said. “I remain committed to WCI’s continued achievement now and in the future, once a successor is named.” WCI’s Executive Committee will select an executive search firm to begin the process of seeking that successor. Peter Stephaich, WCI Chairman of the Board, said, “Mike’s leadership over the last eight years has resulted in true modernization of our inland waterways system: full and efficient funding for the Corps of Engineers’ Civil Works mission for lock and dam construction and major rehabilitation of the inland waterways, as well as historic Operations & Maintenance funding, over the last seven fiscal years; enactment of the Capital Development Plan into law in 2014; a WCIadvocated increase in the diesel fuel tax commercial operators pay into the Inland Waterways Trust Fund that has resulted in five lock projects under construction rather than just one; and the opening of Olmsted Locks and Dam four years ahead of schedule in 2018.” Nominated by President George Bush and confirmed by the U.S. Senate, Toohey was Assistant Secretary of the U.S. Department of Transportation from May 1992-January 1993. He served in numerous other positions prior to that. He was commissioned as an officer in the U.S. Army, where he served on active duty as a staff officer for the Chief of Engineers from 1971-1975. 4 Marine Log // March 2020

very quickly,” said President and CEO of American Commercial Lines Mark Knoy. “In recent days,” Knoy continued, “we have reached out to many of our customers, vendors and other partners, and we appreciate the many expressions of support and confidence they have conveyed to us. I also want to thank our dedicated teammates for their continued hard work and focus on working safely. We look forward to continuing to provide the safest, most cost-effective and environmentally friendly barge transportation solutions.” ACL has received a commitment for debtor-in-possession financing consisting of a $640 million asset based loan and a $50 million term loan from certain of its existing lenders. Upon Court approval, the new financing and cash generated from the company’s ongoing operations will be used to pay off ACL’s existing asset-based loan and to support the business during the courtsupervised process.

MARAD Awards $280 Million in Port Infrastructure Grants

he U.S. Department of Transportation’s Maritime Administration (MARAD) last month announced that it has awarded more than $280 million in discretionary grant funding through the new Port Infrastructure Development Program. The Port Infrastructure Development Program supports efforts by ports and industry stakeholders to improve facility and freight infrastructure to ensure that national freight transportation needs,

present and future, are met. The program provides capital financing and project management assistance to improve port capacity and efficiency. The program could prove to be a shortlived one. As part of the Consolidated Appropriations Act, 2019, Congress authorized $292.73 million for the program, to remain available until expended. However, there is no request for further funding for it in the FY 2021 MARAD budget request.

Maritime Administrator Mark Buzby, center, presented $13.4 million port infrastructure development grant check to the Port of South Louisiana.

Image Credits: WCI (top); Port of South Louisiana (bottom)

WCI President/CEO Michael Toohey Announces Retirement

s expected, American Commercial Lines Inc. (ACL), Jeffersonville, Ind., one of America’s largest barge transportation companies, last month voluntarily filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of Texas, Houston Division. As we reported earlier, the company says it has entered into a restructuring agreement (RSA) with holders of a substantial majority of its term loan lenders on a “prepackaged” plan to recapitalize the business, reduce the company’s debt and increase its liquidity. Under the terms of the RSA, ACL will receive $200 million in new equity capital to support liquidity and investments in the business. In addition, the RSA provides for a reduction of funded debt by approximately $1 billion. “Because we already have the support of a substantial majority of our term loan lenders, we expect to move through this process

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INDUSTRY INSIGHTS WELCOME TO INDUSTRY INSIGHTS, Marine Log’s quick snapshot of current trends in the global marine marketplace. In this edition, we examine the global cruise industry. For a more in-depth look at this sector and to learn more about how the recent coronavirus outbreak is impacting the global cruise market, turn to page 20.

NEW SHIPS DEBUTING IN 2020 CLIA OCEAN CRUISE LINES REPRESENTED

Cruise Lines International Association (CLIA), the world’s largest cruise industry trade association, recently released its 2020 State of the Cruise Industry Outlook report. The report offers a look at the research, analytics and trends driving the cruise industry forward in the coming year and beyond. While 2020 was slated to be cruising’s biggest year in terms of passenger count, the re ce nt co ro nav ir u s o u t b rea k co u l d t h row t h o s e n u m b e r s o f f. N o n e t h e l e s s, s eve r a l n e w c r u i s e s h i p s a r e ex p e c t e d t o d e b u t this year (see the chart to the right). Also, the Caribbean and Mediterranean continue to take first and second place in terms of most popular cruise destinations, while Asia makes up 5% of cruise deployments.

DEPLOYMENT: 2020 Cruise Line Deployment by Region - % ALBD

Caribbean Mediterranean All Other Europe W/O Med China Australia/NZ/Pacific Alaska Asia W/O China South America

Source: CLIA 2019 Internal Deployment Report

6 Marine Log // March 2020

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WELLNESS COLUMN

his month starts a series of articles focused on mental health in the transportation industry. Ultimately, we can help fortify our workforce with an understanding of factors that enhance mental health and triggers that deteriorate it. As an industry, we can also build a web of resources to help identify, triage and recover a worker who has run into a mental health challenge before their ability to work or hold a license becomes affected. The transportation industry runs all day, every day. Our industry workers are a unique group of mariners, truckers, crane operators, operational support staff, etc., who work in challenging individual, social and environmental circumstances. Inconsistent shifts, disrupted sleep patterns, cramped and often-noisy living or sleeping quarters, changing social groups and social isolation can adversely impact mental health. Large distances being traveled, often leading to a lack consistent medical care or mental health care, overshadow all of this. About 18% of the U.S. population (one in five adults) lives with a mental illness. This includes many different types of illness that vary in degree of severity. These disorders are diagnosed and treated by mental health professionals, who range in training and ability from counselors who generally have a master’s degree in mental health, through psychologists who have a Ph.D. and in some states the ability to prescribe medications, to psychiatrists who are MDs and can, of course, prescribe. Getting a challenged individual to that professional can often be the result of a conversation with a colleague, friend or loved-one who has seen

8 Marine Log // March 2020

a concerning change in behavior. The National Alliance on Mental Health identifies common signs and symptoms as feeling sad or withdrawn for more than two weeks, trying to end one’s life or making plans to do so; severe, out-of-control risk taking behavior that causes harm to yourself or to others; significant weight loss or gain, excessive use of alcohol or drugs, drastic changes in mood behavior, personality, or sleeping habits; and intense worries or fears that get in the way of daily activities. The most important thing colleagues and friends can do is not diagnose, justify or judge the display of symptoms. Mental health issues can be well hidden by the person suffering. We tend to lump mental illnesses together, however, the reality is that they are as distinct from one another as lung cancer is from heart disease. Having a conversation about signs and symptoms and supporting further engagement with a professional can help a worker stay safe and address issues before they become life changing. Here are a few thoughts that may help a conversation about mental health be more effective: 1. Make it face-to-face. Eye contact is important, although not always possible. Throughout human history, we have been honing our skills to hear a message in three ways—words, body language and tone. Shockingly, around 75% of what we understand in communication is not words but body language. Where you can’t see someone, you miss this subtle but very telling message. Where face-to-face is not possible, use faceto-face “chatting” services now widely

available to help convey the message being given and received. 2. Attend to your tone. Tone makes up about 18-20% of a message. This is the impression we give each other through the expressiveness of our voice. It can bring comfort, haste, anger and compassion to any set of words you give someone. Practicing the delivery of tone, especially if the communication is over the phone, may be critical for a friend or loved one. 3. Articulate concerns without polarization. Avoid using extreme words like “always” and “never.” These polarizing words can derail a conversation quickly by causing a closed response. 4. Listen without rebuttal or judgment. Once you have started the conversation, listen by suspending your own thoughts. If you are thinking about a rebuttal or judging a response, you will miss the opportunity to understand the full message. 5. Agreement. It would be nice if we could walk away with an agreement for the individual to seek professional help, but it’s not always the outcome. The best anyone may get is an agreement to check in from time to time. Any agreement to keep the conversation open is a worthy one. When immediate help is needed due to safety concerns, emergency services should be called without delay. As a master, dispatcher or operations manager, it is important to have numbers on hand should a crewmember need immediate help. It never hurts to compile advanced resources in the areas your workers transit, which may include seafarers’ mission chaplains, 24-hour suicide or mental health hotlines, and employee assistance program numbers. Ultimately, a system that supports good mental health in our industry along with a drastic cultural shift allowing workers to communicate issues without fear of job loss is going to take time and understanding to build. Next month, we will examine the adverse factors that affect mental health. Nothing in this article constitutes medical or mental health advice, which should be sought from a mental and medical health professional.

EMILY REIBLEIN

Director-Health, Safety, Security and Environment (HSSE) Crowley Logistics

Photo Credit: Shutterstock/ LedyX

Mental Health in Maritime

VESSEL OF THE MONTH Built to Polar Class 5, the ship will be able operate year-round in polar environments and has expanded fuel and water tanks to provide for extended operations in remote areas.

National Geographic Endurance FIRST OF TWO POLAR CLASS VESSELS FOR LINDBLAD EXPEDITIONS

Photo Credit: Ulstein

ational Geographic Endurance, a next-generation expedition ship, purpose-built for polar navigation and the first polar newbuild for Lindblad Expeditions, New York, N.Y., last month completed its first sea trials in Storfjorden, Norway, which is the entrance of the iconic Geirangerfjord. Built by Norway’s, Ulstein Verft with the hull being subcontracted to the Crist shipyard in Gdynia, Poland, National Geographic Endurance is the first of two 126-guest sister vessels on order at the yard built to Ulstein Design and Solutions’s CX 104 design. Core design features are Ulstein’s signature X-Bow, which provides fuel efficiency while significantly improving guest comfort in rough seas; and a high ice class for access deep into polar regions. The ship has been designed to access the outside environment from anywhere within it, with 77% of the cabins featuring balconies for private viewing, multiple observation decks inside and outside, and new “observation wings.” Off-ship exploring will be enhanced with an innovative expedition boat loading system, which will allow everyone to get ashore quickly and safely, ensuring fast access to

every destination. Built to Polar Class 5, the ship will be able operate year-round in polar environments and has expanded fuel and water tanks to provide for extended operations in remote areas. It will not, however, have urea tanks. Its diesel-electric power plant includes two 8L250MDC and two 12V250MDC Wabtec GE Transportation engines, supplied by Wabtec’s Danish partner VMS Group. The engines meet EPA Tier 4/IMO Tier III emission standards without the use of selective catalytic reduction (SCR) equipment and urea-based after treatment. They integrate an upgraded control system, high-pressure common rail fuel injection, two-stage turbocharging, and advanced exhaust gas recirculation. The ship features a full ABB power, distribution, control and automation package that includes twin 3.5 MW Azipod propulsors. All systems will be connected 24/7 to the ABB Ability Collaborative Operations Center infrastructure for remote monitoring and support of vessel systems. During the trials, the ship was put through a series of exercises that tested engines, Azipods, navigation systems and emergency maneuvers.

National Geographic Endurance is back in the shipyard currently undergoing final outfitting before delivery set for this month. It will embark on its maiden voyage, “Svalbard in Spring: Polar Bears, Arctic Light and Epic Ice,” sailing from Oslo, in April.

PRINCIPAL DIMENSIONS: • Length: 124.4 meters (408 feet) • Beam: 21 meters (68.9 feet) • Deadweight: 1,250 tonnes • Draft (max): 5.3 meters (17.4 feet) • Speed (max): 17.3 knots • Accommodations: 260 persons • Passengers: 126 • Crew: 112 • Extra: 22

March 2020 // Marine Log 9

UPDATE The larger designs are both variants of the 4,000-cubic-meter ATB design currently under construction.

Q-LNG GAINS APPROVAL FOR LARGER VARIANTS OF LNG BUNKERING ATB Q U A L I T Y L I Q U E F I E D N AT U R A L GAS TR ANSPORT (Q-LNG ) , NEW ORLEANS, LA., reports that it has received

U.S. Coast Guard design basis acceptance and regulatory approvals to move forward with construction on two variants of its current design LNG bunkering ATB. The designs, for a 5,400-cubic-meter and 8,000-cubic-meter articulated tug and barge (ATB), are both variants of the 4,000-cubic-meter ATB design currently under construction for Q-LNG by shipbuilder VT Halter in Pascagoula, Miss. “As an industry leader we are committed to continued support of the cruise and broader maritime industry in North America and abroad,” said CEO Shane Guidry. “This new

project will closely mirror the current vessel under construction by utilizing a significant amount of the design and engineering details, applying all lessons and efficiencies learned from the 4,000-cubic-meter ATB. “Q-LNG will be able to deliver the follow-on designs in a shorter period of time at a highly competitive price. By working with current equipment suppliers we are able to leverage efficiencies and ensure competitive pricing, while positively impacting vessel construction, delivery and reliability during operations.” Guidry noted that major cruise, tanker and containership operators are continuing their commitment to build and deliver LNG powered ships to the market, and said that

Q-LNG is ready meet the challenge. The Design Basis Letter approvals from the Coast Guard mark a continuation of Q-LNG’s commitment to developing LNG fueling infrastructure in North America. “Q-LNG will own and operate these assets to further provide marine transportation of LNG, a critical component of U.S. LNG infrastructure, to various ports on the Atlantic Coast, Caribbean and the U.S. Gulf of Mexico,” said the company. Q-LNG is currently contracted with VT Halter for the construction of America’s first offshore LNG ATB. It is being constructed to meet the requirements of U.S. flag, ABS Class and the International Gas Carrier Code.

NOAA (THE NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION) is in

the process of acquiring two new oceanographic ships as part of its fleet rebuilding effort. Once in service, the new ships will support a wide variety of missions, ranging from general oceanographic research and exploration to marine life, climate and ocean ecosystem studies. Design of the vessels is currently under way and NOAA expects to award contracts for the construction of the ships by the end of the year. Both will be built in the United States and construction timelines and target launch 10 Marine Log // March 2020

dates for the vessels will be determined after the shipbuilding contracts have been awarded. “When completed, these new state-ofthe-art ships will be vital for collecting high-quality data and leading scientific discoveries,” said Neil Jacobs, Ph.D., acting NOAA administrator. “The science missions aboard these vessels promise to push the boundaries of what is known about our still largely undiscovered ocean.” The first ship, to be named Oceanographer, will be homeported in Honolulu, Hawaii. The second ship, to be named Discoverer, will be assigned a homeport at a

future date. Both ships will continue the legacies of their namesakes, the first Oceanographer having served in the agency’s fleet from 1966 to 1996 and her sister ship, Discoverer, from 1967 to 1996. “The acquisition represents a major step forward in the recapitalization of NOAA’s ship fleet and will help ensure that the agency has the seagoing capability to collect the best information possible about the marine environment,” said Rear Adm. Michael Silah, director of the NOAA Commissioned Officer Corps and NOAA Office of Marine and Aviation Operations (OMAO).

Photo Credit: Q-LNG

NOAA Set to Add Two New Oceanographic Ships

UPDATE

Allseas Converts Ship to Nodule Mining Vessel SWISS-BASED offshore contractor All-

seas Group S.A. has acquired the former Petrobras ultra-deepwater drillship Vitoria 10000 for conversion to a polymetallic nodule collection vessel. It is 228 meters long, 42 meters wide, and can accommodate 200 people. In November last year, the vessel had been reported as sold at auction for $15.5 million to Hong Kong-based scrap ship cash buyer Best Oasis Ltd. In partnership with DeepGreen Metals Inc., Vancouver, Canada, Allseas is developing a deep-sea mineral collection system to recover polymetallic nodules from the ocean floor and transfer them to the surface for transportation to shore. The nodules contain high grades of nickel, manganese, copper and cobalt—key metals required for building electric vehicle batteries and renewable energy technologies. The ship will be converted to accommodate the pilot nodule collection system currently being engineered by Allseas. As a former drillship, its configuration is wellsuited for modifications that will enable the deployment at sea of a 4.5 kilometer long riser currently being developed by Allseas. After the nodules have been collected and taken to shore, they will be processed using a metallurgical flowsheet developed

by DeepGreen. The strategic acquisition of the vessel marks a key milestone for the partnership, which leverages the offshore engineering capabilities of Allseas to propel DeepGreen’s mission to source the metals needed for a more sustainable future with less environmental and social impact. “Allseas is excited to be involved in the exploration of the deep ocean for these important metals,” says Allseas founder and President Edward Heerema. Allseas expects the vessel to be operational for pilot nodule collection tests by mid 2021. DeepGreen Metals Inc. holds exploration rights to two polymetallic nodule contract areas in the Clarion Clipperton Zone sponsored by the governments of Nauru and Kiribati and regulated by the International Seabed Authority.

Photo Credit: Allseas

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Abu Dhabi Ports, Robert Allan Ink MoU UNDER A RECENTLY SIGNED Memorandum of Understanding, Abu Dhabi Ports is collaborating with Vancouver, B.C.-based naval architecture firm Robert Allan Ltd. on the research and development of remotelycontrolled marine tugs that will be fully unmanned, and be able to operate within a wide spectrum of autonomy. Once developed, the tugs w ill join SAFEEN, Abu Dhabi Ports’ maritime service arm, which operates an expanding fleet of service vessels. One of the primary advantages seen for the unmanned design is that, by shifting the human element from on-board to on-shore, the vessels will be able to operate in far more adverse weather conditions. Furthermore, the new technology will help increase efficiency and enhance operational safety. “This agreement marks another qualitative addition to our digital armory that will enhance performance efficiency, productivity, transparency, and safety, as well as reduce costs,” said Capt. Mohamed Juma Al Shamisi, Abu Dhabi Ports Group CEO.

Innovation | Safety | Performance

“Continuing our investment in technology and advanced infrastructure ensures the growth and sustainability of our business, and increases our contribution towards the diversification of Abu Dhabi’s knowledgebased economy.” “We are excited to cooperate with Abu Dhabi Ports in this initiative, which provides us with an optimal opportunity to develop the world’s first fleet of remotely-operated tugboats for the commercial sector,” said Mike Fitzpatrick, president and CEO of Robert Allan Ltd. “The unique aspect of this project is the active participation of all the various stakeholders in Abu Dhabi and the UAE, which should ensure that we can progress smoothly from construction of the vessels to commercial operations.” “Robert Allen Ltd. has been working on solutions to the technical challenges of an unmanned tugboat for several years now, but we were somewhat stalled in progressing to a commercial construction without an opportunity like this with Abu Dhabi Ports,” he added.

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UPDATE

Navy Picks Lake Assault Boats for FP-M Boats Contract The boats will each carry four weapon mounts.

LAKE ASSAULT BOATS, PART OF FRASER SHIPYA R DS , has been chosen to

supply up to 119 Force Protection-Medium (FP-M) patrol boats to the U.S. Navy. The five-year indefinite delivery, indefinite quantity contract carries a maximum value of $56 million, and the first deliveries will begin in November 2020. The FP-M patrol boats will provide

security for U.S. Navy ships and personnel from waterborne threats in and outside of Navy ports around the world. “We are honored to be chosen by the U.S. Navy to supply it with these versatile and powerful FP-M patrol craft,” said Chad DuMars, Lake Assault Boat vice president of operations. “Our FP-M vessels will be engineered and built to the same high

manufacturing and quality control standards as our patrol and fire boats currently in service throughout North America.” An operational requirement for the boats is to provide Anti-Terrorism/Force Protection patrols for U.S. Navy installations. This includes: patrol, interrogation of other waterborne assets, and escorting large vessels in and out of port in various weather and water conditions throughout the year, day and night. The boats will each carry four weapon mounts capable of accommodating up to .50 caliber machine guns. Each of the 33 foot long craft will have a 10-foot beam and feature a full cuddy cabin. Twin 225-hp outboard motors will power each boat. which will carry four weapon mounts capable of accommodating up to .50 caliber machine guns. The aluminum V-hull boats are protected by a polyurethane foam collar wrap. “Our selection, after a long and rigorous competitive bid process, represents a significant accomplishment for Lake Assault Boats and our sister company, Fraser Shipyards,” said DuMars.

Vane Brothers Takes Delivery of Second Salisbury Class Tug

hp Salisbury Class push tugs under construction for the company by Chesapeake Shipbuilding Shipbuilders and Naval Architects in Salisbury, Md. The Annapolis has a design that is identical to sister tug Salisbury, delivered in 2019. With a length of 94 feet, width of 34 feet, molded depth of 10.5 feet, and working draft of 8.5 feet, each vessel in the Subchapter M-compliant Salisbury Class of push tugs is especially well-suited for operations

Dry Docks Work Boats Barges JMS-Designed

Modular Dry Dock 200’ expandable to 420’ 3,800 to 7,500t Lift Capacity Designed by JMS for Group Ocean New Brunswick

12 Marine Log // March 2020

along inland waterways. To create the Salisbury Class design, Chesapeake Naval Architects’ John Womack worked in close collaboration with Vane Brothers Port Capt. Jim Demske. “The Annapolis, like the Salisbury before her, is an extremely robust inland pusher,” says Demske. The tugs are spacious and feature eight separate heating and air-conditioning systems that operate independently throughout the vessels. This enhances crew comfort in addition to augmenting fire-containment capability in case of emergency. Two Caterpillar 3512 Tier 3, 1,500 hp

engines power the Annapolis. The roomy pilothouse features Simrad and Furuno electronics, as well as dual Rose Point electronic charting systems.

Let’s make plans. Naval Architecture Marine Engineering www.JMSnet.com 860.536.0009

Photo Credit: Lake Assault Boats, Vane Brothers/Ray Hoffman

VA N E B R O T H E R S , B A LT I M O R E , MD., HAS TAKEN DELIVERY OF THE ANNAPOLIS , the second of four 3,000

Pilots Seek Action on Dangerous “Trapdoor” Access Arrangements THE AMERICAN PILOTS’ ASSOCIATION HAS WRIT TEN STATE PILOTAGE authorities calling them to take action on the

Photo Credit: American Pilots’ Association

use of dangerous “trapdoor” pilot-access arrangements. The letter follows the December 30, 2019, incident in which Capt. Dennis Sherwood, a New York-licensed pilot, was killed from a fall while embarking an inbound containership. The pilots’ association says that embarkation in that instance was via a combination arrangement of an accommodation ladder and a pilot ladder. “Such a combination is required whenever the distance from the surface of the water to the point of access to the ship is more than nine meters,” says the association. “This particular combination arrangement, however, involved a trapdoor in the platform of the accommodation ladder with the pilot ladder hanging from a cross beam near the bottom of the platform, and with the top step of the ladder significantly below the level of the platform. “This requires a pilot to pull himself or herself up through the trapdoor while twisting to get a secure footing on the platform. Capt. Sherwood fell while attempting to make that difficult maneuver to transfer from the pilot ladder to the platform above.” The letter continued, “This trapdoor arrangement is currently found on a number of ships with accommodation ladder-pilot ladder combinations, despite the facts that it has long been considered by pilots to be unsafe and that the IMO has recognized that it is unsafe by taking steps to eliminate it. Since at least 1979, IMO guidelines have recommended that pilot ladders used with a trapdoor extend to the height of the platform’s handrail. The purpose of that recommended practice is to bring the ladder steps up to a level from which the pilot can step across to the platform rather than pull himself or herself up to it.” The association notes that nine years ago, the IMO revised the SOLAS pilot transfer regulation (SOLAS V/23) and its implementing guidelines (Res. A.1045) in response to continuing complaints about unsafe pilot transfer arrangements. The effective date for the new standards was July 1, 2012. Several of the revisions addressed the use of trapdoors in combination arrangements and were intended to eliminate pilot ladders that hang from the bottom or near-bottom of the platform, as well as other problems with such arrangements. The association says that complying with Regulation 23 and Resolution A.1045 is not an expensive proposition. Replacing or retrofitting equipment to meet the standards would not be a significant project. The letter urges state pilotage authorities to take measures that include reminding pilots and pilot association(s), remind them that a pilot may refuse to use a transfer arrangement that he or she reasonably believes is unsafe.

March 2020 // Marine Log 13

UPDATE

Austal Takes Wraps Off 274-Foot Trimaran

Austal Hull 396, to be known as Queen Beetle, is due for launch in mid-March.

AU S TA L H A S U N V E I L E D I T S L ATEST DEVELOPMENT IN HIGH-SPEED

trimaran technology, an 83.5-meter (274foot) trimaran ferry, under construction for JR Kyushu Jet Ferry of Japan, in a ceremony at its Henderson South shipyard in Western Australia. Austal Hull 396, to be known as Queen Beetle, was designed and constructed by

Austal Australia and is due for launch in mid-March 2020. The vessel will be handed over to JR Kyushu Jet Ferry in June 2020 and will commence services between Busan, South Korea, and Fukuoka, Japan, in July 2020. Speaking at the reveal ceremony, which was attended by more than 100 guests, Austal CEO David Singleton said the

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company was proud to be introducing the new trimaran to Japan while offering outstanding value to a new customer, JR Kyushu Jet Ferry. “We’re very proud to be introducing this new Austal trimaran to one of the most technologically advanced and mature markets in the world,” said Singleton. “In fact, Queen Beetle will be the first high-speed trimaran ferry to be delivered to and operate in Japan. “This stunning new ship will truly transform the fast-ferry journey between Japan and South Korea, offering significantly improved seakeeping and an exceptional onboard experience for passengers and crew. “With a capacity to carry 502 passengers in greater comfort, with previously unavailable amenities such as a shop and café, this new trimaran represents outstanding value to our customer, JR Kyushu Jet Ferry,” he said. JR Kyushu Railway Company President Toshihiko Aoyagi, and JR Kyushu Jet Ferry President Masayuki Mizuno, who both traveled from Japan to attend the ceremony, congratulated the Austal project team on the progress of the vessel and remarked on the growing anticipation for the new ship

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Photo Credit: Austal Australia

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UPDATE in Japan. “JR Kyushu Jet Ferry is very excited about the imminent launch, completion and delivery of the Queen Beetle trimaran and we look forward to commencing services in Japan, in July. The reveal ceremony has assured us that the Queen Beetle will be the most impressive ship in our fleet,” Aoyagi said. The distinctively red-painted Queen Beetle will be able to transport 502 passengers (and 20 crew) across two passenger decks, at speeds up to 37 knots on the 115-nauticalmile route. Featuring a customized interior designed by Eiji Mitooka of Don Design Associates, the Queen Beetle offers two classes of seating plus compartments for groups and families, a children’s play area and nursing room, a café and bar, duty-free shop, lockers for luggage and all-access spaces for wheelchairs and strollers. An outdoor viewing deck will further enhance the on-board experience for passengers. For almost 30 years, Austal has designed and constructed over 300 vessels for over 100 operators in 54 countries, gaining an reputation for innovative shipbuilding using advanced technologies.

TRIMARAN DIMENSIONS:

• Fuel - 55,000 liters (14,529 gallons)

• Length overall - 83.5 meters (274 feet)

PROPULSION:

• Length (waterline) - 79.6 meters (261 feet) • Beam (mouded) - 20.2 meters (66.3 feet) • Hull depth (molded) - 6.3 meters (20.7 feet)

• Main Engines - 4 x MTU 16V1163 M74 (IMO Tier II) • Gearboxes - 4 x ZF 40060 NR2H • Waterjets - 4 x KaMeWa 90 S4

PERFORMANCE: • Speed - 36.90 knots @ 85% MCR

• Hull draft (maximum) - 3.6 meters (11.8 feet)

CLASSIFICATION:

PAYLOAD AND CAPACITIES:

• Society - DNV GL

• Passengers - 502

• Flag - State Panama

• Crew 20 - (Subject to Flag) • Maximum deadweight - 115 tonnes

March 2020 // Marine Log 15

UPDATE

Automatic Ferry Enters Regular Service

T H E N O R W E G I A N F E R R Y B A S TØ FOSEN VI RECENTLY MADE THE 10 K I LO M E T E R OSLO FJ O R D crossing

“We have included them in this project from the start and have been delighted with how engaged they have been in its delivery,” he said. “This is an aid, not a replacement. Greater accuracy permits better logistics: for example, we can now pre-program the time allowed for the crossing and thus reduce energy consumption. Digitalization and automation are the future, and we are proud to be prime movers.” Bastø Fosen VI now enters a six-month trial period during which the automatic system is expected to control the vessel for most services, but the captain will remain in charge and the bridge will be fully staffed. At present, the installed equipment is not fully autonomous—if vessels or objects are detected on a collision course an alarm will sound and the captain will take control. To maintain maneuvering skills, Bastø Fosen will require its staff to perform manual transits on a regular basis. An anti-collision system, comprising radar and electro-optical sensors, is expected to be fitted to the ferry this summer and be under test by fall, but crew will remain on the bridge even as the level of autonomy increases.

Photo Credit: Kongsberg Maritime

between Horten and Moss under completely automatic control, fully loaded with passengers and vehicles. The automatic crossing—or adaptive transit—was made possible by close collaboration between shipping company Bastø Fosen, Kongsberg Maritime and the Norwegian Maritime Authority (NMA). According to Kongsberg, the crossing was the world’s first adaptive ferry transit to be conducted during normal service.

The Bastø Fosen VI will now use adaptive transit functions to enhance the daily operation of its Horten-Moss service, while continuing to carry a full complement of crew. The fully integrated digital system on Bastø Fosen VI automatically performs all docking and crossing functions to a high and repeatable level of accuracy, ensuring that best practice is followed to the smallest detail on every transit. The result is more exact timekeeping and improved customer satisfaction. During trials in December, Bastø Fosen VI consistently arrived within two seconds of the scheduled time. After the adaptive transit, Øyvind Lund, CEO, Bastø Fosen, commented: “Today, at the press of a button, one of our vessels left the quay in Horten, crossed the Oslo fjord and docked in Moss, all completely automatically. This leaves the crew more time to focus on monitoring the vessel and ensuring passenger safety, which for us are the main motivations for adopting this technology.” Lund said that cooperation with Kongsberg and the NMA had been crucial to the success of this venture, as had consultation with the company’s captains and crew.

16 Marine Log // March 2020

UPDATE

BIZ NOTES Titan Acquisition Holdings to Acquire San Diego Shipyard Huntington Ingalls Indus tries ( HII ) reports that its Technical Solutions business has entered into an agreement to contribute its San Diego Shipyard (formerly Continental Maritime of San Diego) to Titan Acquisition Holdings. Titan, a company comprised of Vigor Industrial and MHI Holdings, is controlled by majority owner the Carlyle Group and Stellex Capital Management. After the transaction, HII will hold a minority interest in Titan. The transaction is subject to customary closing conditions and closing is expec ted in the second quar ter of the year. Financial ter ms were not disclosed. “We are excited to add the San Diego Shipyard to our already strongly positioned and growing

enterprise,” said Jim Marcotuli, CEO and president of Titan. “The opportunity to add the San Diego Shipyard to our family of companies is a natural step in our evolution given its strategic location and wealth of talented employees.”

Rand Logistics to Buy American Steamship Company GATX Corporation has entered into a stock purchase agreement for the sale of its American Steamship Company (ASC) business to Rand Logistics Inc. for a purchase price of $260 million, subject to working capital and other closing adjustments. GATX expects the net sales proceeds to reduce its new debt issuance in 2020. ASC operates the largest fleet of U.S.flagged vessels on the Great Lakes, providing waterborne transportation of dry bulk commodities such as iron ore, coal

and limestone. ASC reported segment profit of $46.1 million for 2019 (including a one-time gain of $10.5 million), and its assets comprised 3.5% of GATX’s total assets on December 31, 2019. The 12-ship fleet consists of self-unloading vessels that range in length from 635feet to 1,000-feet. “We are excited about this transformative combination of two leading vessel operators on the Great Lakes,” said Peter Coxon, CEO of Rand, which is a portfolio company of private equity investment firm American Industrial Partners (AIP). “This strategic union will create significant additional shipping capacity through network efficiencies and repositioning of the respective fleets. All of which will allow the resulting company to further improve its customer service and offer additional flexibility and shipping capacity to its customer base.”

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SAFER, SMARTER, GREENER March 2020 // Marine Log 17

INSIDE WASHINGTON

FY 2021 Budgets Bring About Mixed Emotions in Maritime

he U.S. Department of Transportation’s FY 2021 budget request for the Maritime Administration includes $300 million to “address critical recapitalization issues for state maritime academy school ships under the National Security Multi-Mission Vessel program.” However, some other programs have done less well—notably $0 is requested for the Small Shipyard Grants program. Overall, the $793.7 million budget request is substantially below the $1,115,372 actually spent in 2018 and the $1,047,869 enacted in 2020. Other programs for which nothing appears to have been requested are the Port Infrastructure Development Program and America’s Marine Highways.

DHS FY21 Budget Funds USCG PSC The FY 2021 funding request continues efforts on the Polar Security

Cutter (PSC) program to meet growing demands in the Polar Regions by fully funding construction of the second PSC (formerly the Heavy Polar Ice Breaker). Shipbuilder VT Halter Marine’s contract for the first PSC includes options for two additional ships. Additionally, the DHS budget request supports construction of the third Offshore Patrol Cutter and Long Lead Time Material for the fourth.

Navy Budget Funds Eight Ships The Navy’s FY 2021 budget request includes $4 billion for the first Columbia-class ballistic missile submarine. That $4 billion, says the Navy, “will provide the first of three years of incremental full funding for this ship. Additionally, the FY 2021 funding request will continue detailed design efforts, continuous missile tube production, and advanced construction and procurement of major hull components and propulsion systems for

the planned FY 2024 procurement of the second ship in the class.” The Navy has long said that the Columbia class is its highest priority— and analysts have long warned that the Columbia program is so expensive that it could substantially reduce funding available for any other shipbuilding program. Be that as it may, the FY 2021 request of $19.9 billion funds construction of just eight ships—about $4 billion and four ships less than the FY 2020 ship procurement. Meantime, in a separate action, the Department of Defense (DOD) defunded two Navy ships that were included in last year’s budget for the much publicized border wall. The “reprogramming action” will see the DOD transfer $3.8 billion in defense funding in response to a DHS request for “support for DHS counter-drug activity.” The $3.8 billion includes $991 billion in Navy shipbuilding funds for two ships.

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What’s on the horizon for Q2

April • Offshore Industry • U.S. Inland Rivers • Fuels and Lubes • Technology Spotlight: Deck Machinery • Bonus Distribution: · OTC 2020 May 6-9 Houston TX

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June • Green Technologies and Sustainable Shipping Supplement • Ports: Environmental Initiatives • Offshore Wind • MACC Preview • Technology Spotlight: Safety Equipment

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CRUISE SHIIPPING

CORONAVIRUS Could Slow Cruising’s Asian Ambitions

s the year opened, prospects for continued cruise industry growth looked good, with CLIA (the Cruise Line Industry Association) expecting 32 million passengers to cruise in 2020, up from 30 million in 2019, and with CLIA members operating a fleet of 278 ships and another 19 ships set to debut this year. And then along came the coronavirus (more specifically COVID-19)—and in particular, the decision of the Japanese government to quarantine the 2,670 passenger Princess Cruise Lines ship Diamond Princess in Yokohama after initial screening by the Japanese Ministry of Health of all guests and crew found 10 people on board testing positive for the virus. Over the course the ship’s two-week quarantine, which ended February 20, the total number of those on board testing positive rose to over 630. There has been widespread criticism by public health experts of the decision to confine all on board to the ship and of lack of measures to prevent spread of the virus on board. Be that as it may, the Diamond Princess story 20 Marine Log // March 2020

was all over international broadcast media for two weeks and continued as passengers from the U.S. and other countries were flown home to face further quarantines. Another ship to be briefly quarantined was World Dream in Hong Kong operated by Genting Hong Kong subsidiary Dream Cruises. Passengers were allowed to disembark after tests cleared all on board of any infection. Still, that didn’t bring an end to the line’s problems as travel bans and uncertainties persisted and, on February 20, it announced that it was postponing all cruises of its Genting Dream ship from Singapore. Also on February 20, Norwegian Cruise Line reported record revenue and earnings per share for full year 2019—its sixth consecutive year of record revenue and earnings. It also said that it had entered 2020 with record bookings and at higher prices. But, in an update on the coronavirus outbreak, Norwegian said that “out of an abundance of caution and as a result of the uncertainty surrounding port entry and berthing availability in various destinations in Asia,” it had “made the prudent decision to cancel all

voyages in Asia across its three brands. A total of 40 voyages have been canceled, modified or redeployed including 24 voyages on Norwegian Cruise Line, 10 on Oceania Cruises and six on Regent Seven Seas Cruises. Following these changes, the company will not have any vessels deployed in Asia through the end of the third quarter 2020.” Announcements along these lines from all the major industry players sent their share prices plummeting. As yet, there are no hard numbers on how the incident has actually affected cruise bookings in what is normally one of the industry’s busiest periods. Figures should emerge when the three major listed companies—Carnival Corporation, Royal Caribbean International and Norwegian Cruise Line—release their first quarter results. Until then, travel industry sources are estimating falls of up to 15% as likely. Another sure sign that booking numbers are down: massive savings and other incentives being offered by major brands. The lessons of previous events negatively impacting cruising—the sinking of the Costa Concordia, for example—is that

Photo Credit: Virgin Voyages

By Nick Blenkey, Web Editor

CRUISE SHIIPPING Virgin Voyages

Photo Credit: Carnival Corporation

The Scarlet Lady is the first in a series of four on order for Virgin Voyages.

once the coronavirus outbreak ceases to be in the headlines, bookings will bounce back. The bigger question is not so much the passing impact of the outbreak on this season’s bookings but the extent of any longer-term hit taken by the Chinese economy as a whole. This has implications, of course, for everyone from soybean farmers and LNG exporters to smartphone manufacturers. For cruising, though, it is particularly important in that the Chinese market has long been seen as its key to long-term growth. According to figures from CLIA, in terms of where the industry puts its ships, the Caribbean still remains the industry’s main market, accounting for 32% of planned berth capacity deployment in 2020, with just 5% targeted for China and another 5% for the rest of Asia. But although Asia may be at the low end of current industry berth deployment, Asia is cruising’s third largest source of passengers with 4.24 million of them in 2018, according to CLIA. The leading source of passengers remained North America (14.24 million) and Western Europe (6.7 million).

Someone seeming to draw comfort from the continuing strength of the Caribbean market is Sir Richard Branson who found himself being asked more about coronavirus than he probably cared to answer at a photo op aboard the first Virgin Voyages ship to be delivered. The ship, the Scarlet Lady, is the first in a series of four 278-meter, 110,000 gt vessels on order for the new cruise line at Fincantieri and has over 1,440 guest cabins giving it a passenger capacity of 2,770 passengers. It carries a 1,100-member crew. Scarlet Lady will be homeported in Miami, and Branson played down the coronavirus threat, saying, “The longer-term impact will be negligible. ... I think the fact that we’re going out of America means that I don’t think we’ll suffer. People are booking as much as they’ve ever booked right now.” Still, like other cruise lines, Virgin Voyages is implementing CLIA recommendations on countering the coronavirus that include denying boarding to all persons who have traveled from, visited or transited via airports in China, including Hong Kong and Macau, within 14 days before embarkation; denying boarding to all persons who, within 14 days before embarkation, have had close contact with, or helped care for, anyone suspected or diagnosed as having COVID-19, or who is currently subject to health monitoring for possible exposure to COVID-19; and CLIA members are to conduct preboarding screening necessary to effectuate these prevention measures. Enhanced screening and initial medical support are to be provided, as needed, to any persons exhibiting symptoms of suspected COVID-19. Virgin Voyages is targeting a younger demographic than the industry norm and is

highlighting green credentials that include offsetting its direct climate change emissions through the purchase of carbon offsets, making the cruise line the first to become carbon-neutral for its direct emissions footprint from its first day of commercial operation.

Green Ambitions While green credentials may be a marketing plus, it is not only corporate good citizenship that is driving cruising towards lower emissions and a carbon-neutral future. The industry is subject to the same IMO mandates as the rest of international shipping and is taking similar paths towards achieving IMO goals. CLIA says that the industry has invested $22 billion in new energy efficiency technologies and cleaner fuels and has a target of a 40% reduction in rate of carbon emissions by 2030 (compared to 2008). It notes that the average age of its members’ fleet is now 14.1 years compared with 14.6 years in 2018.

Expansive Order Book According to the latest data from Seatrade Cruise News there are currently 113 cruise ships on order worldwide for delivery by 2027 with a total of 239,794 lower berths and worth a whopping $64.4 billion. Of these, 23 will be LNG fueled. The order book remains dominated by large ships ordered by large cruise lines at the handful of large European shipyards that have long booked the bulk of the industry’s orders, Fincantieri, Meyer Werft, Meyer Turku and Chantiers de l’Atlantique. Capacity for large cruise ships is sufficiently tight that Genting Hong Kong has created its own competitor, investing millions to create MV Werften out of a trio of yards in eastern Germany that had previously had mixed fortunes. MV Werften is set to deliver a

Carnival Corporation’s new Mardi Gras cruise ship will have a rollercoaster on top of it. March 2020 // Marine Log 21

CRUISE SHIIPPING 200-passenger expedition ship to Genting’s Crystal Expedition Ship this year, but next year is scheduled to deliver the 4,700-passenger Global Dream to Genting’s Dream Cruises. So far as the largest cruise ships are concerned, it seems sometimes that nothing succeeds like excess, a case in point perhaps being the rollercoaster atop Carnival’s new 5,200-passenger Mardi Gras, set to debut in November. For the moment, that lower berth capacity is around where the major lines seem happy to max out capacity, though Royal Caribbean’s Wonder of the Seas will offer 5,497 lower berths when it is delivered by Chantiers de l’Atlantique in 2021. One of the fastest growing sections of the market is in expedition ships, taking a comparatively small number of passengers to places that the largest ships can’t get and that, until recently, were beyond the reach of conventional commercial passenger vessels.

Expedition Ships Among those making an impact in this area is Miami-based SunStone Ships Inc. It has ordered a series of Infinity-class expedition ships, designed by Ulstein Design & Solutions and featuring the iconic Ulstein X-bow, at the China Merchants Heavy Industries shipyard in Haiman, China. The first of

22 Marine Log // March 2020

these, the Greg Mortimer, made its maiden voyage to Antarctica for Australia’s Aurora Expeditions in October 2019. All the SunStone Infinity-class ships are being built for charter to other operators, customized to their particular requirements, and the third ship, currently under construction at the Haiman yard, Ocean Victory, being chartered by American Queen Steamboat Company (AQSC), a Hornblower group company, for operation by its Victory Cruise Lines brand. It is set to debut a series of Alaskan cruises in May 2021. According to Sunstone, the Ulstein-designed Infinity Class Vessels are 341 feet long, and 59 feet wide, with a draft of 16.7 feet. They offer a passenger capacity between 130-200 and a crew capacity between 85 and 115. Immediately recognizable in the ship’s profile, the award-winning X-Bow places the most forward point of the ship under the water rather than above it. This allows the hull to cut through waves, providing a soft entry into the sea and eliminating the typical up and down slamming common to other vessels. The smooth sailing that is a direct result of the bow design also translates to a higher level of clean-burning fuel efficiency. The Ocean Victory will feature 93 suites of which 68 will have balconies, nine with

French balconies and 16 with panoramic windows. The vessel will carry a crew of 100 in 57 cabins and feature a 2-to-1 guest to crew ratio. Onboard venues include two restaurants, in addition to an open-deck dining area, piano bar, library, gym, heated outdoor pool, spa and jacuzzi, plus observation and lecture lounges and a dedicated expedition and adventures launching platform.

Another American Queen Option AQSC recently reported that the 245-foot passenger riverboat American Countess has successfully completed sea trials and is set to be christened in New Orleans on April 4 ahead of its inaugural sailing from New Orleans to Memphis April 5-13. It will join the American Queen and American Duchess on the Mississippi, Tennessee, Ohio and Cumberland rivers. Built using the existing hull of a former gaming vessel the Kanesville Queen, the American Countess was lengthened by 60-feet and underwent a total renovation in the Gulf Island Shipyard in Houma, La. American Countess will offer plenty of open space for gathering, especially the portside bar, running 120 feet in length with floor-to-ceiling glass giving guests panoramic view of the rivers.

SALVAGING MARITIME After the M/V Golden Ray was emptied of its fuel and other liquids, environmental danger prevailed from any residual effluent that would remain.

SALVAGING

MARITIME OPERATIONS

Photo Credit: Victoria1988 / Shutterstock.com

Marine salvage is an essential operation within the global maritime industry to protect and preserve our waterways, ship operators, and the environment. By Jim Romeo

t about 2 a.m. on September 8, 2019, in St. Simon’s Sound near Savannah, Ga., the car carrier M/V Golden R a y , c a r r y i n g a p p r ox i mately 4,200 vehicles, capsized. It lay on its side, white smoke bellowing out of the vessel as if it were a giant beached whale emitting steam. By mid-morning , 20 crew members were safely evacuated. Four crewmembers remained inside the vessel until marine salvage crews with U.S. Coast Guard assistance arrived later that morning to retrieve the other four crewmembers. They were rescued later that afternoon. Marine salvors assisted in the rescue and they are

g reatly assisting in the after math of the casualty. Ma r i n e s a l v a g e o p e r a t i o n s a r e a n i n t e g r a l c o m p o n e n t o f ke e p i n g o u r w a ter w ays s a fe a n d op er a bl e , a idin g in emergencies, and p er for ming difficult tasks of removal and re t r ie val w h e n re q u i re d . T h e m a r ke t f o r t h i s ser v ice is not easily predic table, but it has, and likely always will, be available and important to the global maritime industr y. The most recent industry statistics from the International Salvage Union show: • Gross revenue for ISU members: US$ 409 million (2017, US$456 million); • Activity levels: 234 services (2017,

243 services); • LOF (Lloyd’s Open Form) cases: 55 (2017, 46) and LOF revenue rises to US$104 million (2017, US$53 million); and • Wreck removal income: US$208 million from 71 services (2017, US$264 million from 116 services). “The marine salvage industry is like the trend in ships: bigger, more expensive, more complex, and greater risk,” says Lawrence Brennan, an admiralty and international maritime lawyer and adjunct professor at Fordham Law School in New York City. “Technology will provide rapid developments in the immediate term largely due to A.I. and autonomous vessels March 2020 // Marine Log 23

SALVAGING MARITIME

and other objects that can reach further, faster and remove some of the risk of injury and death to the on scene salvors.”

The Fragile Proceedings for Salvage Scenarios When the U.S. Coast Guard is notified of a marine casualty involving salvage on a vessel, the vessel’s response plan plays a key role. The Coast Guard will inquire as to who is the salvage and marine firefighting (SMFF) provider identified in the response plan and if it has been contacted yet. Under normal conditions, the SMFF is contacted and mobilizing personnel and assets to respond promptly. Even with limited information, a salvage plan may be devised, executed and wo r ke d i n co l l a b o r a t i o n w i t h Co a s t Guard approval. Salvage of smaller vessels without a vessel response plan may take longer to commence. The vessel insurer often takes over salvor selection. If the casualty is not a significant pollution threat or hazard to navigation and risks closing down the waterway, the Coast Guard will allow them a two- to five-day period of bid for salvors to compete for award of a salvage operations contract. During the bidding process, the salvor will select assets and develop a preliminary plan, but usually won’t assign assets on scene without a contract—which often delays operations. In the event the selected salvor is not very experienced with marine salvage, the Coast Guard may require revisions to their salvage plan. If a vessel without a vessel response plan 24 Marine Log // March 2020

suffers a substantial casualty and requires immediate salvage, there’s risk of hazard to navigation, or perhaps a large-scale spill response, the Coast Guard and Army Corps of Engineers may require that the owner commission a salvor immediately. Otherwise, federal agencies will take control of the scenario, “federalize” it, take command, and provide the operator with a bill for the cost of their intervention and control. In any scenario, marine salvors

As costs increase, the likelihood of the salvage operation decreases.

play an important role in maritime safety and operations.

Technology Driven Future Advances in technology drive the effectiveness of modern salvage operations and capabilities. “Technology will always play a role in salvage operations,” says Carey Akin, an adjuster with Lloyd Warwick International in Houston, Texas. “Subsea mapping and operations have broadened the industry. While not strictly salvage, the use of ROVs and other technology is in the news with Odyssey

Lloyd’s Open Form In international waters, most salvage operations are carried out after the vessel in need of salvage services has signed a Lloyd’s Standard Form of Salvage Agreement, or LOF as it is more commonly referred to. Essentially, the shipowner agrees to settle the price to be paid the salvor via an arbitration process. According to insurer Lloyd’s of London, “LOF provides a regime for determining the amount of remuneration to be awarded to salvors for their services in saving property at sea and minimizing or preventing damage

Photo Credit: RE2 Robotics

Advanced design in robotics and supporting mechanical systems aid the effectiveness of salvage operations.

Marine Exploration and their recovery of long-lost wrecks.” Advanced design in robotics and supp o r t i n g m e ch a n i c a l s y s te m s a i d t h e effectiveness of a salvage operation. With the right systems, components, the correct power, and weight may all be factored in and provide the salvor with enough capability, while reducing overall costs to stay profitable. “ Te c h n o l o g y i s w h a t m a k e s m o s t salvage possible,” says Jack Reinhar t, vice president of product and project management for RE2 Robotics in Pittsburgh, Pa. “As technology progresses, new options can be presented to salvage operators that did not exist only a few years ago. Robotic manipulators are part of that progression. Before today, only hydraulic robotic manipulators were available. Hydraulic manipulators require large hydraulic pumps and highpressure oil lines, which means more equipment, more weight, and more drag on the underwater vehicle, which means a b i g g e r u n d e r w a t e r ve h i c l e i n s i z e and horsepower. “This, in turn, requires a bigger surface vehicle and more resources for launching and supporting that larger underwater vehicle. Each of these steps is an increase in the investment needed for sustaining operation. As costs increase, the likelihood of the salvage operation decreases. As technology drives out costs and increases strength-to-weight ratio, all these steps are lessened, which drives down the investment. The lower the investment, the more likely that a salvage operation will be realistic—and profitable.” Brennan says technology will provide rapid developments in the immediate term largely due to A.I. and autonom o u s ve s s e l s a n d o t h e r o b j e c t s t h a t can reach fur ther, faster, and remove some of the risk of injury and death to the on scene salvors.

SALVAGING MARITIME to the environment. Originating from the late 1800s, it is probably the most widely used international salvage agreement of its kind in the world today.” Lloyd’s Salvage Arbitration Branch, whose role is to provide a reputable and secure framework within which the LOF arbitration process can operate, administers the form. “The risk of loss continues to be worldwide,” says Brennan. “By necessity, salvage assets must be strategically located and deployed to respond to global casualties. This requires strategic location of ships and equipment with the range to proceed to the ship at risk and the capability to remain on station for a substantial period in difficult conditions.” “ The Indian Ocean and the Pacific Ocean are massive,” says Brennan. “And there are limited coastal facilities and islands where salvage assets can be prepositioned. In any event, the steam time to the ship in distress often is measured in multiple days. Assuming a ship steams at approximately 15 to 20 knots, an increase in speed has a deleterious effect on fuel efficiency—it advances about 360 to 480 nautical miles a day. A voyage of 1,000 nautical miles is between three and four

The Golden Ray, seen here, capsized last September with over 4,000 vehicles onboard. Salvage operations have been underway ever since. days, while a 3,000-nautical mile voyage is a week or more after the team is organized and the gear stowed.” As for the M/V Golden Ray, the salvage operations continue. After the vessel was emptied of its fuel and other liquids, environmental danger prevailed from

any residual effluent that would remain. This raised cause for an environmental protective barrier to be constructed around the vessel, after which the salvage operations continued. The large vessel may then be fully deconstructed and removed.

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March 2020 // Marine Log 25

CEO Spotlight

Q & A WITH

BRIAN KING President-Chief Engineer, EBDG By Heather Ervin, Editor in Chief

AST AUGUST, Elliott Bay Design Group (EBDG), Seattle, Wash., named Brian King, a 30-year veteran at the firm to the role of president-chief engineer. King has direct supervision of the business and affairs of the company, where he is responsible for advancing the major strategic objectives, while providing leadership with planning, business management, personnel development and sales. Since joining the company in 1988, he has made many contributions to the organization and seen many waves of technological advances in vessel design. We spoke to King both to get some insights into today’s world of naval architecture and to find out what owners need to know in order to get the vessel they ordered. MARINE LOG (ML): What drew you to the naval architecture industry prior to joining EBDG back in 1988? Brian King (BK): I used to work as a chief engineer at the Kennedy Space Center on the solid booster rocket retrieval ships used for the space shuttle program. It was a dream job for me, living on the space coast and doing important work for NASA. Then the Challenger accident occurred in early 1986. We spent most of the subsequent year locating and picking up shuttle debris from the ocean bottom.

26 Marine Log // March 2020

After that, my future with the program was uncertain and I was bored without a mission. I moved to New York and heard about a start-up in Seattle called EBDG. It seemed like a great opportunity for me to apply what I know from ship operations together with my engineering education from the U.S. Merchant Marine Academy at King’s Point and the University of Washington.

I was intrigued by the idea of being part of a start-up. I’d never wanted to be anything but an operating marine engineer; but naval architecture suits me. I’ve always felt that having operating experience has given me a unique and beneficial advantage when designing ships and their systems. When reviewing our work, I visualize myself operating the vessel. ML: What are the major trends in design and technology being implemented in your vessels today? BK: Technology has a huge impact on vessel design, construction and operation. Thirty years ago, most drawing work was done on a drafting table. Designers were artists and craftsmen. They were masters of laying out a drawing and creating views for maximum clarity. Once a view was laid down on paper, it couldn’t be easily relocated or changed. Now with computer aided design, we value speed and accuracy with less emphasis on the art of drawing the layout. 3D modeling can be cut, rotated and rescaled to show detail or evolve as the design matures. All of our design work is now done on the computer with most developed in a 3D model and then translated to 2D contract, regulatory and construction assembly drawings. This is rapidly changing too, and more of the design will remain in 3D for construction. I don’t see the 2D contract drawing or regulatory submittal packages going to 3D any time soon. 3D digital scanning has emerged as a practical tool for use in design. Almost every modification project includes a 3D digital scan that accurately assists our engineers in determining equipment and outfit,

EBDG has employees in 12 states and four countries.

Photo Credits: Elliott Bay Design Group

Brian King

pipe, and structure dimensions. We bring this information back to the office to utilize when making cuts and reconnections where we are modifying or replacing equipment or systems. We also use it to accurately determine hull shape for use in adding an appendage, midbody section or simply for input to our stability analyses. 3D digital scans have tremendously improved our accuracy and efficiency. When I first came to EBDG, it wasn’t practical for us to do sophisticated analyses. When it couldn’t be avoided we would rent computer time from Boeing. All of our structure was designed using the ABS prescriptive formulas or by simple first principles calculations with the most sophisticated software being a spreadsheet. Now we have finite element analysis (FEA) software that is easy to use and installed on our desk computers. We use FEA for much of our structural design. We are able to optimize structure so that it has appropriate strength where needed, is not too overbuilt and not excessively overweight. Computational fluid dynamics (CFD) is another tool we now use that once was too exotic for us to use practically. Now we run CFD analyses in-house to optimize hull shapes for efficiency and sea behavior. While towing tank testing still has a vital purpose, a significant number of trips to towing tanks and physical model building have been eliminated, saving considerable project time and cost. These technologies have allowed vessels to be designed and built that are better constructed and much more efficient to operate than they’ve ever been in the past. ML: EBDG recently inspected two delivered newbuild vessels and found multiple deficiencies. Could that have been prevented if the owners had retained a naval architect firm to oversee construction of the vessels? Additionally, do you offer building supervision services? BK: I can’t speak to the specifics of this or any other project. However, from my 40 years of experience as both an operator and designer, construction projects always seem to go better when there is an owner’s representative onsite. And if the owner’s representative isn’t also the naval architect, the naval architect should be retained during construction as well. The right owner’s representative will not only enforce the contract requirements, but will take on a quality assurance role during construction and will monitor progress

King examines a propeller on an EBDGengineered vessel.

payment invoices against actual progress. An owner’s representative will advocate on the shipyard’s behalf when change orders are appropriate and will seek a mutually satisfactory outcome when unforeseen events occur. With the exception of military vessels, there are a considerable number of design decisions that occur during construction. The naval architect becomes invaluable when an on-the-spot design decision needs to be made. When the reason for a feature of the design isn’t readily apparent and someone wants to simplify or improve the design, the naval architect can evaluate the peripheral consequences to tonnage, performance or regulatory impact of any proposed changes or explain why it shouldn’t be changed. Regulations applicable to the design don’t typically change between design development and construction, but the interpretation of the regulation often will change. It is usually the naval architect that determines the validity of the interpretation and can adapt the design or push back when necessary. And yes, we do offer owner’s representative/construction oversight services. Projects just seem to go better when we are participating and onsite during construction. ML: What steps can owners and operators take to help ensure that the vessel they order is the vessel they get? BK: To help assure a successful outcome, hire the naval architect that has plenty of recent experience in the type of vessel being ordered, particularly if the owner has worked well with that naval architect in the past. The naval architect can only develop a design that

works well for the owner when the owner is actively involved in the design decisions. Take the time needed to allow the development of a good design and a contract specification that you’ve carefully reviewed. If you are designing a U.S. Coast Guard inspected vessel (and most now are), involve the Coast Guard early in the design development. This is particularly important if the design is novel or involves alternative fuels or battery energy storage. Involving the Coast Guard early and often helps avoid potential problems during construction when the cost of changes escalates. A new vessel is an expensive endeavor. Before the bid phase of the project starts, be sure that you have secured funding to see the project through delivery. The naval architect can help you determine the expected capital cost of the vessel. If most of the construction bids come reasonably clustered around an amount, but there is one bid significantly under the others, let it go; it’s not worth it. An apparent bargain price isn’t a bargain after all. Pick a builder that has a good history or that you’ve worked well with in the past. If it’s a new vessel, choose a shipyard that does new construction. It rarely goes well when a repair yard tries new construction. A project will only be successful when the builder, owner and designer all have a common interest in a mutually beneficial outcome. Once a project is awarded, avoid the tendency to want to improve the contracted design. Most shipyards don’t want change orders. The cost to make the change often doesn’t adequately cover the cost of the disruption represented by the change. March 2020 // Marine Log 27

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TANKER MARKET Tanker rates have begun to move downwards as concerns that coronavirus could affect demand and hamper market sentiment.

CORONAVIRUS FEARS ADD TO TANKER MARKET DYNAMICS

Photo Credit: Shutterstock/ Anatoly Menzhiliy

By Rebecca Galanopoulos Jones, Head of Research, Alibra Shipping Ltd.

he past year has been eventful for tankers. The market volatility resulted in a healthy year overall in 2019 and earnings and overall tanker period rates were stronger for both dirty and clean tankers. The rollercoaster ride continued as we entered 2020, and so far, the market has already experienced some ups and downs. In mid-February of this year, the average rate for a VLCC (Very Large Crude Carrier) for one year was estimated at $41,000/pdpr, a drop of 14% from the January average of $47,500/pdpr. Both spot and time charter rates have come under pressure as coronavirus fears have plagued demand. Last year, time charter earnings for the first half of 2019 started off stronger than 2018 levels. One-year rates for VLCCs were up 28% in the second half of 2018 to an average of $30,827. The second half of 2019 proved stronger again, with rates up 29.4% to an average of $39,904. And in October 2019, one-year time charter rates for VLCCs

surged to the highest levels recorded since Alibra, a London-based shipbroker, began time charter rate assessments for tankers in 2011. October saw an average of $65,000/ pdpr, a year-on-year increase of 171%. Period rates for the Aframax and Suezmax sectors also followed suit, with Aframax rates for one-year up 22% to $25,771/pdpr. The Suezmax market showed the largest increase from the previous quarter, rising by 61% to a quarterly average of $35,542.

A Chain of Events Boosted by a perfect storm of geopolitical events, improving market conditions and disruption stemming from IMO regulations, the fourth quarter of 2019 was the strongest quarter last year, where rates rose 50% from Q3 to average at $48,577/pdpr. An unprecedented chain of e vents caused tanker markets to surge, which included the sanctions imposed by the U.S. on various Chinese companies. These sanctions were placed on two entities of

state-owned COSCO Shipping for allegedly carrying Iranian crude. Other factors included the September drone attacks on Saudi Arabia combined with some vessels being removed from the market in order to install scrubbers in preparation for the IMO 2020 sulfur cap regulations that commenced in January. There were also reports of increasing numbers of tankers being used to store fuel ahead of the new IMO 2020 regulations. Bloomberg news reported that around 30 tankers were currently anchored off the coast of Singapore, one of the worldâ&#x20AC;&#x2122;s busiest bunkering ports. The combination of these events significantly reduced the supply of tankers on the water, pushing up rates in the short term. Crude tanker demand improved due to strong growth in U.S. exports in 2019, and despite the December OPEC+ production cuts, these were offset by growth in nonOPEC supply. Clean markets were also up from the previous year in 2019. Time charter rates for March 2020 // Marine Log 29

TANKER MARKET Monetary Fund (IMF), once again showed a downward revision of global economic growth for 2020 and 2021. To add further unease, the latest GDP figures from China show that growth is at the lowest levels in 29 years.

Easing of U.S.-China Trade War

With the coronavirus scare making headlines on a global scale, the impact that China has on the market must be considered.

Coronavirus Affects Demand As the extended Lunar New Year celebrations come to an end, tanker rates have begun to move downwards as conc e r n s t h a t co ro n av i r u s co u l d a f f e c t demand and hamper market sentiment. From quarantined cruise liners to a lack of workforce at Chinese shipyards and delays for ships in ports due to health checks, there is no denying that the coronavirus scare has already had an effect on shipping markets. We have already seen a reduction in shipping demand from China. In response to 30 Marine Log // March 2020

the outbreak, oil demand has reduced dramatically with industries temporarily closed down and travel restricted in order to limit the spread of the virus. According to Bloomberg, Chinese refiners have cut the amount of crude that they are processing by at least 2 million barrels

We have already seen a reduction in shipping demand from China.

Tanker Orderbook Remains Low On the vessel supply side, current tanker orderbook levels remain low. According to Alibra’s estimates, there are just over 380 tankers scheduled for delivery between 2020 and 2023. The most popular sector is the MR category that currently accounts for 32% of the orderbook with almost 140 vessels on order. The highest orderbookto-fleet ratio is in the VLCC sector, with 68 new vessels hitting the water in 2019 and 49 scheduled to be delivered this year. In contrast, the LR1/Panamax sector has the smallest orderbook-to-fleet ratio at 5.7% with just 13 vessels delivered in 2019 and 14 vessels due to be delivered in 2020.

South Korea is No. 1 per day, as the coronavirus is said to have affected demand by about 20%. It remains to be seen to what extent and for how long the coronavirus outbreak may affect the tanker industry going forward. On the positive side for tanker rates, this will mean delays at Chinese shipyards both for newbuildings and scrubber retrofits, which means that tanker supply will be limited at least in the short term. For some time, there have been concerns surrounding the Chinese economy and the knock-on effect that this will have on a global scale. The latest World Economic Outlook from the International

The lion’s share of these orders is scheduled to be built in South Korea, which accounts for 38% of the current orderbook. The most popular size range on order in South Korea is the MR sector, with over 50 vessels on order. Meanwhile, China comes in second place with over 120 vessels on order covering all sectors of the tanker fleet. However, it is likely that a large number of Chinese newbuildings will be delayed due to the impact of the coronavirus, a report issued by the China Association of the National Shipbuilding Industry warned that many shipyards in China have been unable to resume operations in full following the Lunar New Year’s holiday, which is likely to result in delays.

Photo Credit: Shutterstock, Zeedign.com

MRs (Medium Range) tankers for one-year were 11% higher in 2019, with an average of $14,738 for the year. Most of this increase has stemmed from the final quarter, where some weeks after the spike in the VLCC rates, this positivity filtered through to the clean market. In December 2019, clean rates rose to the highest levels in over three years. MR rates for one year rose to levels last seen in the second quarter of 2016 to reach $17,000/ pdpr. Aside from the knock-on effect of the spike in crude rates, product tanker rates were further boosted by an uptick in worldwide refining runs due to growth in refining capacity and the shift towards lower sulfur fuel. There has also been a sustained growth in clean product exports from China. Now more than ever, with the coronavirus scare making headlines on a global scale, it is impossible to consider the outlook for tankers without taking in to account the impact that China has on the market.

However, the signing of phase one of an agreement to ease the U.S.-China trade war indicates the first steps towards a resolution in the long-standing trade war that has been a dark cloud over the world economy for the last 18 months—giving a glimmer of hope that this will stimulate the Chinese economy. The agreement, signed January 15, specified that China would purchase an additional $52.4 billion in energy, including crude oil and liquefied natural gas (LNG) over the next two years. U.S. export terminals should be able handle the extra volumes, and this should improve VLCC demand. There are persisting concerns, however, that the trade deal is unrealistic and that the U.S. will struggle to provide amounts of crude outlined in the negotiations.

TECH SPOTLIGHT

Inmarsat says its next generation of GX satellites, due to be launched from 2023, represents a step change in the evolution of GX’s capabilities, capacity and agility.

SATCOM KEY TO SHIPPING’S Move to Digital Future

Photo Credit: Inmarsat

hipping has long been characterized as a tradition-rich industry that’s obstinately resistant to change, particularly when it involves anything as painful as the expenditure of money, The rapid take up of very small aperture terminals (VSAT) and other advanced satcom solutions by the industry is an indication that times have changed. “The global shipping industry is facing rapid change in customer expectation and social behavior,” says Morten Lind-Olsen, CEO of Tromsø, Norway-headquartered Dualog, a leading provider of maritime data communications services. “With an increased focus on sustainable transportation, shipping companies are expected to operate according to well-documented procedures and provide traceability in all parts of the supply chain. A clear digital strategy is required during the transition to a greener, safer maritime industry.”

VSAT Growth Shipowners’ development of digital strategies has been all good news for satcom services providers. Back in October last

By Nick Blenkey, Web Editor year, KVH Industries Inc., Middletown, R.I., reported that it had shipped its 10,000th VSAT satellite communications system. This not only marked a milestone for KVH, but underscored the maritime industry’s growing thirst for bandwidth as “connectivity” and “digitalization” move from being buzzwords to being simply descriptions of how shipping works today. KVH introduced its TracPhone V7, the first maritime 60-centimeter VSAT, and the mini-VSAT broadband service back in 2007. Since that time, it says it has become the market share leader for maritime VSAT, citing the Euroconsult study, “Prospects for Maritime SATCOM, 2019.” According to that Euroconsult report, the maritime connectivity market continues to be vibrant, as shipowners transition to the next level of broadband connectivity. The merchant, passenger and leisure segments have all been supporting growth in revenues and capacity usage, while a rebound on oil pricing would accelerate the offshore segment. In addition to capacity, an increasing focus is on the supply of value-added services and on the outsourcing of daily

operations by shipping companies. The Euroconsult study says that the maritime satellite VSAT communications market experienced extensive growth in 2018, with the number of terminals increasing by almost 18% year-on-year and reaching 26,000 at yearend 2018. VSAT services revenue exceeded $1 billion, resulting in growth of almost 11% compared to the previous year. Euroconsult sees increasing demand from passengers along with regulatory pressure on communications and crew welfare as major factors pushing operators to install new generation satellite systems on their vessels. In addition, decreasing prices for capacity and terminals encourage more customers to adopt VSAT services, while existing clients transit to higher data packages. HTS (High Throughput Satellite) capacity is rising fast and is expected to grow even faster in the next five years, as new operators enter the market. Hardware, such as receiving antennas and modems, is also evolving rapidly; smaller, lighter and more efficient antenna systems are gaining traction as the industry constantly evolves. “The VSAT market is anticipated to grow March 2020 // Marine Log 31

TECH SPOTLIGHT quickly; the number of terminals should increase to more than 65,000 in 2028,” said Xavier Lansel, senior consultant at Euroconsult. Meantime, while VSAT growth has been dramatic, growth in more conventional L-band mobile satellite services has also been growing—if at a more modest pace.

If you were wondering whether there is enough satellite capacity up there to meet maritime’s insatiable demands for connectivity, you probably just got your answer. And, of course, Inmarsat is very far from being the only operator of satellites serving the maritime community.

Inmarsat

Iridium

In a move that has gone largely unremarked outside of financial circles, the company whose name was once almost synonymous for maritime satellite communications, Inmarsat, at the end of last year ceased trading on the London Stock Exchange as it was acquired for $3.4 billion by Connect Bidco Limited, a private equity entity bidder controlled by a consortium of funds advised by Apax Partners LLP; funds advised by Warburg Pincus or its affiliates; Canada Pension Plan Investment Board and Ontario Teachers’ Pension Plan. In its last published report prior to its acquisition, for the third quarter and nine months ended September 30, 2019, Inmarsat reported “Maritime revenue in Q3 declined by $6.7 million, 5%, with further doubledigit growth from Fleet Xpress and higher terminal sales more than offset by lower revenue from FleetBroadband, partly as a result of vessel migrations to FX, and on-going decline in revenues from legacy products.” Fleet Xpress is Inmarsat’s maritime VSAT offering and, as of third quarter 2019, it was installed in 7,448 vessels, compared with 31,007 installations of FleetBroadband, the Inmarsat L-band system. Another 5,039 vessels were installed with FleetOne, a solution, designed to meet the low data usage demands of occasional or seasonal users when outside of VHF or GSM coverage areas. Inmarsat’s strengths, of course, lie not only in the number of ships with its solutions installed but in its impressive satellite constellation. Currently it consists of 13 satellites in geostationary orbit 22,236 miles above the Earth that together deliver its global maritime and aviation safety, L-band broadband, high-speed Ka-band, and European inflight Wi-Fi S-band services. Four of those satellites are fifth generation, Ka-band GX satellites that power its Global Xpress, Fleet Xpress services. They have now been joined by GX5, which is set to enter service any time soon, delivering additional, focused broadband capacity over Europe and the Middle East. It will deliver more capacity into the region than the existing four satellites in the Global Xpress network (GX1-GX4) combined provide worldwide. Over the next four years, this new satellite will be joined by a further seven advanced GX payloads.

Whereas Inmarsat’s satellites are in geostationary orbit some 22,000 miles above the Earth, Iridium’s constellation of 66 cross-linked satellites is in Low-Earth Orbit (LEO), just under 5 miles above the planet. Iridium says the proximity of its LEO network means pole-to-pole coverage, a shorter transmission path, stronger signals, lower latency, and shorter registration time than with geostationary satellites. In space, each Iridium satellite is linked to up to four others creating a dynamic network that routes traffic among satellites to ensure global coverage, even where traditional local systems are unavailable. Iridium’s polar coverage becomes an increasing plus as new polar routes open up. Iridium completed a constellation upgrade in early 2019, replacing all its satellites and upgrading the supporting ground infrastructure. This enabled the launch of Iridium Certus, a new multi-service platform delivering specialty broadband services, with additional mid-band services coming soon. Iridium Certus is optimized for all aspects of shipboard operations from simple email to complex system management of onboard sensor systems. Iridium Certus also provides a superior backbone for crew welfare, messaging, and phone calls. Vessels with VSAT systems can supplement service with the powerful hybrid solutions available through Iridium for areas where VSAT is challenged by congestion, coverage or regulations. After a long battle, Iridium last year succeeded in being recognized as a provider of a solution meeting Global Maritime Distress and Safety System (GMDSS) carriage requirements, ending a long Inmarsat monopoly and extending GMDSS coverage to the polar regions for the first time.

32 Marine Log // March 2020

Maritime IoT Making ships a part of the Internet of Things (IoT) has been a hot topic for quite a while now, but real life examples of ships and the IoT remain comparatively unusual. Recently, though, KVH Industries and Kongsberg Digital successfully installed their first joint maritime IoT system on an active working vessel. The team installed a KVH Watch VSAT antenna for IoT connectivity and the Kongsberg Kognifai Vessel Insight platform on Simrad Echo, a Norwegian research vessel

owned and operated by Kongsberg, which will continue normal operations during the pilot maritime IoT project. KVH and Kongsberg Digital say their bundled connectivity solution installed on Simrad Echo is one of the first cases of an active working vessel using an integrated maritime IoT solution. Simrad Echo will rely on Kognifai Vessel Insight to monitor main and auxiliary systems on the vessel and help ensure 100% availability. For example, the Kongsberg Mapping Cloud application will move high-resolution echo sounding data from vessel to shore in real time so that shore-based experts can provide analysis to optimize vessel operations. KVH Watch IoT Connectivity as a Service, a VSAT solution that leverages KVH’s end-to-end maritime connectivity services, will facilitate the data flow from Simrad Echo and HTS network. KVH Watch features two modes: Watch Flow, for 24/7, machine-to-machine data delivery compatible with major IoT ecosystems such as Kognifai; and Watch Intervention, for on-demand, high-speed sessions for face-to-face support, remote equipment access and very large data transfers. The two companies plan to utilize Simrad Echo as a platform to develop tighter integrations for remote support and smart bandwidth utilization that will benefit both new and existing customers. KVH and Kongsberg Digital will use the Simrad Echo pilot program to continue to enhance their maritime IoT solution, which is designed to enable remote equipment monitoring and performance optimization for vessels ranging from small research vessels to tankers, bulk carriers, and containerships.

Big Data In 2018, three Japanese companies—Mitsui O.S.K. Lines Ltd. (MOL), Mitsui E&S Shipbuilding, and Weathernews Inc. (the former Oceanroutes) launched Project FOCUS (Fleet Optimal Control Unified System). Last year, as part of Project FOCUS, the companies launched Fleet Viewer, an application with a user friendly interface that allows vessels and shore-based personnel, anywhere in the world to access data such as the status of vessels, the operational status of all equipment, vessel position, ocean and weather information. In February this year, the project took another step forward with the release of another application. Called Fleet Performance, this will make detailed assessments of vessels’ environmental impact and comparative performance, in real time, by analyzing vessels’ sensor data.

NEWSMAKERS

Fitzgerald Back at Crowley Maritime as COO Crowley Maritime Corp. reports that RAY FITZGERALD is rejoining it as chief operating officer. Fitzgerald, who began his career with Crowley, most recently served as president and chief operating officer of Wallenius Wilhelmsen Solutions, and chairman of American Roll-On Roll-Off Carrier (ARC). American Cruise Lines Inc., Guilford, Conn., has appointed CHARLES B. ROBERTSON as its new CEO. His appointment follows the recent death of his father, CHARLES A. ROBERTSON, the company’s founder, chairman, and CEO. CHARLES B. ROBERTSON joined American Cruise Lines in 2003 and was named a vice president in 2014.

The Passenger Vessel Association (PVA) reports that COLLEEN STEPHENS, president of Stan Stephens Glacier & Wildlife Cruises was elected as PVA President for 2020 during the PVA Annual Convention at MariTrends 2020. Previously, Stephens served as PVA vice president for 2019, she was the PVA secretary-treasurer in 2018, she served on the PVA Board of Directors from 2015 to 2017 and is also a member of the PVA Regulatory Committee. Ecochlor, Maynard, Mass., has appointed MICHAEL MADELY to the newly created position of vice president of global service. Prior to joining Ecochlor, Madely held the positions of general manager and managing director for Goltens.

Resolve Marine Group has named A.W. MCAFEE as the new managing director of its northwest operating arm, Resolve Alaska, based in Dutch Harbor. McAfee comes to Resolve from the Bechtel Corporation. McAfee gained his industry expertise supervising teams on large-scale projects for global EPCM companies. In addition to his experience with global projects, complex challenges and technical innovations, McAfee focuses on maximizing efficiency without compromising both safety and quality. KVH, Middletown, R.I., has appointed SVEN-ERIC BROOKS as senior director of business development for KVH Watch, the company’s recently announced maritime IoT solution.

Photo Credit: OMSA

OMSA Presents Lifetime Achievement Award to Bob Alario The Offshore Marine Service Association (OMSA) has announced the institution of the Robert J. Alario Distinguished Achievement Award. It is named after former OMSA Chairman and President Robert “Bob” Alario, who received the inaugural award in a private ceremony organized by OMSA recently in New Orleans. During his short acceptance speech, Alario said, “I was so wonderfully blessed to have the privilege to come into the business at a time when so many of the true pioneers in the industry were still active. A fascinating group of marine entrepreneurs, many without any or much formal education or technical background, but possessed of an innate talent and an ability to innovate and think out of the box that would allow them to build significant companies that would literally revolutionize the offshore oil and gas industry.” “OMSA is everything it is today

because of Bob Alario,” said OMSA President Aaron Smith. “His vision, his commitment, and his decades of hard work contributed immeasurably to industry and organization.” Alario served OMSA as president for 16 years between 1988 and 2004, and also served a six-year term as chairman of the OMSA Board of Directors. He is currently the managing member of Alario &

Pictured (L-R) Minor “Tony” Cheramie III, OMSA Chairman Bob Alario, and Aaron Smith

Associates LLC, a highly specialized marine management consulting firm. Prior to that, he served as vice president and director of Nolty J. Theriot Inc., a worldwide offshore marine and towing contractor. Before launching his career in the U.S. maritime industry, Alario earned an undergraduate degree from the University of Southwestern Louisiana and attended Louisiana State University (LSU) Law School. While at LSU Law School, he accepted a study fellowship to Georgetown University’s Graduate School of Foreign Service. Upon receiving his master’s degree in foreign service in 1963, he accepted a position with Texaco Inc. and served in international management positions in Senegal, Guinea, Puerto Rico, and Haiti. On his return to the United States, Alario enrolled at Tulane University, and resumed post-graduate studies in finance and management.

March 2020 // Marine Log 33

TECH NEWS

IMO-Compliant Solid-State X-band Radar Joins Furuno Commercial Radar Range

FURUNO has introduced all-new NXT solid-state options for its commercial FAR2xx8 radar and FAR3000 chart radar series, available in both X-Band and S-Band configurations. X-Band radar generally provides better target resolution, while S-Band radar, operating at a lower frequency, is less affected by rain and fog, and can detect targets at greater distances.

Furuno NXT solid-state radars rely on electronic components rather than magnetrons to generate their microwave pulse, requiring less power than traditional radars. There is no pre-heating of a magnetron needed, so the startup time of solid-state radar is much faster. Because there are no consumable components, maintenance costs of NXT solid-state radars are drastically reduced. Navigators will benefit from the features available with these new NXT Radars, such as ACE (Automatic Clutter Reduction) and FTT (Fast Target Tracking). ACE automatically adjusts the Radar’s clutter reduction filters and gain levels according to sea and weather conditions. It’s a true, one-button clutter elimination feature. FTT establishes and displays accurate speed and course vectors for targets in mere seconds. The advanced NXT radars also feature Furuno’s updated antenna and gearbox that provides high signal accuracy and excellent reliability. Their design produces less drag, reducing the burden on the gearbox and allowing the NXT radar to operate for

prolonged periods. The new NXT radar gearboxes share the mounting footprint of multiple prior generations, so retrofitting from old to new is easy and inexpensive. Due to Furuno’s innovative system architecture, the radar signal is processed from analog to digital directly within the gearbox, providing a clean, noise-free transmission and enhancing the clarity of the radar presentation. Clear echo images and lower noise produce a better view around the vessel, and the NXT Radar will generate echoes even from weak targets, such as very small craft observed at a distance. These NXT radars also deliver a simple and intuitive user interface, including an InstantAccess bar with menu shortcuts for frequently used functions. The radar’s familiar physical controls are ergonomically and logically designed, and the new interface allows for all operations to be accessed and controlled from the trackball. Furuno Electric Co. Ltd. is a Japanese electronics company whose main products are marine electronics, including radar systems, fish finders and navigational instruments.

ABB’S SOLUTIONS on board a large passenger ship have been awarded cybersecurity verification from classification society DNV GL, making the ship first to achieve system compliance under DNV GL’s framework for integrated cybersecurity. The vessel’s state-of-the-art cybersecurity resilience was enabled by close collaboration of ABB, the shipowner and DNV GL during the construction phase at a European shipyard. Cybersecurity management processes will continue during the ship’s operations, with the system’s resilience maintained throughout the lifetime of the vessel. “It is vital that the maritime industry focuses on cybersecurity as an essential part of both design and operation,” said Johann Melsted, Area Manager-Benelux and France for DNV GL. “Which is why we are so pleased to be working with forward looking partners, who are prepared to engage with this emerging risk and demonstrate their commitment to tackling cyber threats.” In order to achieve sustainable shipping, vessels are increasingly fitted with integrated automation systems and digital solutions. As vessel’s systems become more connected than ever before, they present threat vectors 34 Marine Log // March 2020

previously unheard of in shipping. This is driving the need for closer and earlier collaboration on cybersecurity between all key stakeholders in the newbuilding process. DNV GL’s Integrated Cyber Security Dependent Systems verification establishes a framework to address cybersecurity levels for the main functions of a vessel—both during construction and in operation. While the framework is applicable to any vessel, greater sophistication and deeper integration of operational technology systems in complex vessels such as cruise ships mean that appropriate cybersecurity management is paramount. While digitalization offers opportunities to measure and manage efficiencies across the entire fleet, securing these data streams is critical to the safety of the vessels’ passengers and crew. “ABB recognizes the impor tance of cybersecurity in the marine industry and is working closely with shipowners, yards and classification societies to enhance cyber resilience of ships,” said Juha Koskela, Managing Director, ABB Marine & Ports. The vessel receiving the DNV GL verification is powered by an ABB Azipod electric propulsion system and is connected to ABB

Ability Collaborative Operation Centers worldwide, where ABB experts monitor operational shipboard systems, coordinate remote equipment diagnostics and offer predictive maintenance services. DNV GL is a world leading classification society and a recognized advisor for the maritime industry, the technical advisor to the oil and gas industry, and it delivers worldrenowned testing, certification and advisory services to the energy value chain, including renewables and energy management. With 12,000 of the world’s ships and mobile offshore units in its fleet, the company has unique technological experience in all ship and mobile offshore unit segments. It also has a dense surveyor network offering local service from 350 offices in more than 100 countries. ABB is a technology leader that is driving the digital transformation of industries. With a history of innovation spanning more than 130 years, ABB has four, customer-focused, globally leading businesses: Electrification, Industrial Automation, Motion, and Robotics and Discrete Automation. The company focuses on a variety of maritime segments, including passenger vessels, offshore vessels, cargo ships, and more.

Photo Credit: Furuno

ABB and DNV GL Mark Cybersecurity Milestone

TECH NEWS

The SCR-HP comes in six frame sizes, covering engines up to 25 MW with one reactor for the entire exhaust stream.

Photo Credit: ( Bottom Right ) Wilhelmsen, ( Top Left ) MAN Energy Solutions

Two-Stroke SCR Gains ClassNK Approval A HIGH-PRESSURE SCR (SELECTIVE CATALYTIC REDUCTION) system for two-stroke engines, said to be the most compact of its type on the market, has passed ClassNK approval testing. MAN Energ y Solutions first introduced the SCR-HP concept in 2017. The development of the new system is based on MAN’s in-house competence with four-stroke engines, where it can reference more than 650,000 operating hours. The SCR-HP is now being sold under the PBST brand, formed in 2019 through the joining of the MAN Turbocharger and PBS Turbo brands. The SCR-HP features specially developed honeycombs and honeycomb materials, along with an integrated mixing unit. The overall size of the reactor has been drastically reduced compared to typical market designs and its medium-speed counterpart. The SCR-HP comes in six frame sizes, covering engines up to 25 MW with one reactor for the entire exhaust stream. The system consists of the reactor— including mixing unit, urea injection lance, honeycombs and soot blowers—along with a module-based supply system, as well as a reactor control unit that communicates with the engine-control. The SCR-HP system passed its ClassNK

approval test at the Makita engine works in Japan. The system is one of four—originally ordered in 2018 and 2019—for vessels featuring MAN B&W two-stroke engines with two now delivered and the others currently en route to customers. A MAN B&W 6S46ME-B8.5 engine will power each ship, with the SCR-HP system making each vessel Tier III-compatible. The first engine was ordered by Kanax Corporation and installed in a newly developed 39,000-dwt bulk carrier built at Shin Kurushima Toyohashi Shipbuilding Co., Ltd. PBST’s Ralph Klaunig, vice president of sales and license turbochargers & exhaust gas treatment, and MAN Energy Solutions’ Daniel Struckmeier, head of exhaust aftertreatment, attended the class test in Japan at the invitation of Yu Makita, president at Makita Corporation. “The results from the engine shop test were quite spectacular with the PBST SCRHP system able to undercut the currently valid IMO III NOx values of 3.4g/kWh by more than 1g/kWh, which compares very favorably with the rest of the market,” said Klaunig. “Working closely with Makita, just a little over a year passed between landing the first order and the handing over of the engine with the SCR-HP system to the shipyard.”

Wilhelmsen Delivers Pioneering 3D-Printed Part BERGE MAFADI, A 300,000-DWT BULK CARRIER operated by Berge Bulk, has received the world’s first commercial delivery of 3D-printed scupper plugs. There are numerous scupper plugs on a vessel. For convenience and readiness, each drainage hole on the open deck has its own scupper plug. Scupper plugs are used for closing drainage holes to prevent oil spills or other contaminant spills on a ship. The 3D-printed scupper plugs are equally as functional as traditional versions. In addition, they are an assembly, which means that if a part breaks, that one part can easily be replaced, instead of the whole scupper plug. Making the plugs available through a digital warehousing solution means they are faster and easier to procure worldwide. It also means, due to on-demand manufacturing technologies, that only the exact number of parts required are produced, reducing costs and environmental footprint. Berge Bulk is one of several companies enrolled in a Wilhelmsen Ships Service early adopter program that gives customers access to on-demand additive manufacturing. Other customers for the program, launched in December 2019, include Carnival Maritime, Thome Ship Management, OSM Mar itime Group, Executive Ship Management and Wilhelmsen Ship Management. Wi l h e l m s e n , a s p a r t o f a n o n g o i n g co op e r a t i o n w i t h S a n Le a n d ro, Calif.-headquartered on-demand manufacturing specialist Ivaldi Group, is providing spare parts on demand to the selected six customers’ vessels around the globe.

The 3D-printed scupper plugs are equally as functional as traditional versions.

March 2020 // Marine Log 35

TECH NEWS

Canaveral Pilots Team with Glosten and Ray Hunt on Electric Pilot Boat Project The Canaveral Pilots Association has partnered with naval architecture firms Glosten and Ray Hunt Design on a pilot/ demonstration project for the design, construction and operation of an electric pilot boat. The boat will feature a battery-electric propulsion system with an emergency “get home” diesel engine. Once in service, it will serve as one of two primary boats

36 Marine Log // March 2020

for supporting pilotage operations in Port Canaveral, Fla. During the feasibility-level engineering, the team established that a Ray Hunt hull form outfitted with a Glosten-designed battery propulsion system will achieve the speed and operating range required to support normal pilotage operations in Port Canaveral. Specific design details remain

The Pilots Association The Canaveral Pilots Association is a 10-member association of state and federally licensed marine pilots providing pilotage services for Port Canaveral, considered the second-busiest cruise ship port in the world by number of passengers. The association currently operates two conventional diesel-powered pilot boats that it relies upon to perform (collectively) more than 2,000 individual pilot movements per year, on average. Ray Hunt Design is one of the most widely recognized names in small boat nav al archite c ture, in par t icular for designs utilizing the high deadrise hull form known as the Hunt deep-V. As the originator of the deep-V, Ray Hunt Design has more than 60 years of experience in the refinement of this hull form to suit a range of semi-displacement and planing hull applications. Ray Hunt Design has designed pilot boats—ranging from 38 to 75 feet—for more than 25 different pilot associations currently operating in North America. Glosten is a full-service consulting firm of naval architects and marine, electrical, production and ocean engineers. Founded in 1958, the firm is recognized for integrating advanced analysis with practical, experience-based design. In recent years, Glosten has emerged as an industry leader in the design of hybrid and electrically propelled commercial vessels, with two such vessels already in operation. The firm’s electrically powered designs include both catamarans and monohulls, ranging from 70 to 160 feet in length.

Photo Credit: Glosten

The SCR-HP comes in six frame sizes, covering engines up to 25 MW with one reactor for the entire exhaust stream.

confidential at this stage, but the minimum performance criteria established by Port Canaveral included a cruising speed of 18 knots and an operating range (on battery propulsion only) of 24 nautical miles. Currently, there are no pilot boats operating in the U.S. with hybrid or fully electric propulsion systems. “The technology isn’t necessarily new,” says Winn Willard, president of Ray Hunt. “The challenge is managing total weight in relation to the hull form and the required operating profile. Because we are seeing a growing interest in such vessels, it made sense to partner with Glosten to work through those technical challenges.” With feasibility-level engineering now complete, the next step for the Glosten-led team is the development of a draft program for the pilot/demonstration project to be used for federal and/or state grant funding solicitations.

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March 2020 // Marine Log 39

SAFETY FIRST

The High Cost of Maritime Injuries

40 Marine Log // March 2020

$88,000 and slips averaging $56,000. By anatomical location, the two most costly types of injury were to the head and neck areas, which averaged a little more than $100,000 per incident; Injuries to the back and torso averaged $66,000. According to Dr. Brian Craig, the Dean of Engineering at Lamar and co–director of the Mariner Safety Research Initiative, combining the research capabilities of academia, class and industry offered new insights into the cost and nature maritime injuries.

Reducing injuries to our colleagues would be the greatest benefit of better incident-reporting standards. “This is another tool to help provide better solutions to help prevent the occurrence and reoccurrence of maritime injuries,” Craig said. “We all believe this partnership will help to improve the welfare of the maritime industry’s most valuable asset: its seafarers.” For the past few years, leading shipping companies have been actively adopting “smart” technologies and methodologies to collect, clean and analyze the vast streams of data required to predict operational or component failures before they happen.

• Lifting injuries comprised 13% of total injuries reported in the ABS/Lamar data set, while they accounted for 28% in the American Club data set; • “Struck by” injuries represented 37% of those in the ABS/Lamar data set, and 19% in the American Club data set; and • Injuries from being “caught in machinery or equipment” were 3% of those in the ABS/Lamar data set and 8% of those in the American Club data set. According to the American Club database, 46% of injuries were the result of slips, trips, falls and lifting incidents. Excluding claims with no American Club costs, falls cost on average $182,000, slips cost $137,000 and lifting incidents cost $112,000. While these costs highlight the potential impact of a less-than-optimized safety culture on a company’s bottom line, for those committed to safety in the workplace, reducing injuries to our colleagues—not cost-reduction—would be the greatest benefit of better incident-reporting standards. DR. KEVIN MCSWEENEY Is an ABS Manager of Technology and coauthor of the report with Lamar University and the American Club

Photo Credit: Shutterstock/ Keith Ryall

BS, the American Club and Lamar Un i ve r s i t y ( L a m a r ) r e c e n t l y released an extensive new study on maritime safety that highlights the high cost of accidents and reveals an urgent need for industry to standardize the way injuries and near misses are reported. The research analyzed more than 12,000 injury records with an associated claims cost of US$246 million and 100,000 near miss reports from the ABS and Lamar Mariner Safety Research Initiative (MSRI) and nearly a decade of data from the American Club. The research offers unprecedented insight into the nature and cost of accidents at sea, but inconsistent data, along with a lack of incident-entry standards, laid bare the urgent need for more thorough and common forms of maritime injury reporting. In announcing the release of the study, Christopher Wiernicki, ABS chairman, president and CEO, said: “Nothing is more important to ABS than the safety of the men and women working at sea. This project offers a deeper insight into how and where seafarers are being injured, and it also highlights what industry can do to take our understanding of safety to the next level.” For example, the research reveals how injuries are most often sustained at sea: lifting, slips, trips and falls proved to be the most frequent causes, with more than 1,300 related incidents reported in the aggregated data set. According to the American Club data, these types of incidents alone cost more than $85 million for the six-year period, and resulted in 8,400 claims; the average cost per incident exceeded $65,000, with lifting incidents averaging $48,000, falls and trips averaging

The report’s authors believe there is significant scope for the advanced technologies and techniques to improve maritime safety performance, provided incident reporting is also standardized throughout the industry. In announcing the release of the research, Joseph Hughes, the American Club’s chairman and CEO, said: “Shipping is currently navigating through a digital era in which asset owners are increasingly able to use the power of operational data to predict potential failures. As those capabilities grow, the industry would be well counselled to also get ‘smarter’ about how it compiles and uses its safety data.” While the cooperative research initiative offered intelligence that will inform new guid¬ance about ways to avoid injuries from lifting and slips, trips and falls, the lack of industry incident-reporting standards prevented a more detailed discovery of some causes. Even among the participating organizations’ databases there were discrepancies that could not be fully understood in the absence of common reporting standards. For example: