October 2015 Marine Log

Ferries: Aging Fleet Getting Much-Needed Facelift

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October 2015

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The unseen killer in enclosed spaces A floating island in Lake Michigan?

Shell pulls the plug on Alaska drilling

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contents

october 2015 Vol. 120, NO. 10

8 departments 2 Editorial Recreating the charm of a venerable lady

6 Inland Waterways The question not asked

8 Update

16

WSF must wait for the U.S. Coast Guard’s go-ahead before it begins the conversion of its Issaquah class ferries to LNG

features 16 Ferries

27 Pacific Northwest

State agencies, like the NYC Department of Transportation, are looking to renew aging ferry fleets and provide new services to reduce traffic congestion Plus: U.S. Coast Guard to review WSF proposal to handle LNG at terminals; Ferries Conference & Expo 2015 Exhibitor Preview

The vibrant Washington State maritime cluster—which includes logistics and shipping, fishing and seafood, and shipbuilding and repairs—has an impact of $30 billion on the state’s economy Plus: Are you ready for a TOWBot?

Reconnecting with the water

23 Finance

Attractive Terms

Germany container shipping giant Hapag-Lloyd has secured a $372 million facility agreement that will help finance the construction of a new series of boxships Plus: Get green financing

A Vital Maritime Cluster

31 Safety

The Unseen Killer

Enclosed spaces pose a silent and dangerous threat to crews

33 Innovations

Breaking the Mold

Beau D’Arcy is on a mission to give his city the first-of-its kind floating island, the Breakwater Chicago

• Shell abandons Alaska plans •U SCG, CBP team up in another narco sub drug bust ealy makes history •H • Silver Ships delivers survey vessel •N J offshore wind lease for sale •C onstruction begins on second Crowley ConRo ship • Drones help speed up inspections •B oston Harbor Cruises named Small Business of the Year

15 Washington New ballast water compliance guidance a relief for operators

34 Newsmakers Wärtsilä names Holm, President, Marine Solutions global business 35 Tech News Predicting the future of shipping

36 Contracts Nichols Brothers Boat Builders wins Kirby Offshore tug contract

40 Environmental Forum Ships in need of assistance October 2015 MARINE LOG 1

editorial

Recreating the charm of a venerable lady

I remember the first time I took her.

In those days, she didn’t look like she had been around the block a few times. Her orange paint didn’t look dingy, her life preservers weren’t encrusted with decades of dirt and soot, and her wooden benches weren’t carved with the memories of long lost romances. To a five-year-old, the Staten Island Ferry’s John F. Kennedy was just as exciting as any NASA space rocket, filled with the rumble of energy, the promise of adventure and a voyage of discovery.

My father drove our blue Ford Falcon station wagon into the belly of the Kennedy for the five-mile trip across New York Harbor from Staten Island to lower Manhattan. My brother, sister and I couldn’t wait to climb out of the bench seat of the car to get a good spot outside by the rail on the Bridge Deck. I had never seen the Statue of Liberty nor the skyscrapers of the city except on our black and white TV. Those days seem so impossibly long ago.

Almost fifty years ago to be exact, but the John F. Kennedy is still in service. Despite being a bit weather worn, the Kennedy has a charm that just hasn’t been duplicated by the subsequent classes of boats—the utilitarian Barberi Class in the early 80’s and the slightly improved, but much-maligned Molinari Class in 2005. Every once in a while when I’m heading to work or back home, I’ll be lucky enough to catch the JFK for the ride across the harbor.

But the old girl’s days are numbered.

NYCDOT recently held an industry meeting to discuss the New Kennedy Class ferries. It’s part of an overall modernization of the fleet.

Seattle-based Elliott Bay Design Group was awarded the contract by the New York City Department of Transportation to design the new Kennedy Class of ferries, which will incorporate some of the elements of the old Kennedy Class into a modern, energy and fuel-efficient hull. The three new ferries, which would be built at a cost of $309

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

million, would hold about 4,500 passengers—about 50 percent more than the JFK. The industry day held by NYCDOT was an opportunity for some prospective shipbuilders to get an idea of the scope of the project, bid requirements and design and construction timeline.

It’s a process underway across the U.S., as states and municipalities replace their aging fleets with more modern, efficient tonnage.

It’s a story we cover this month, along with a focus on one of the key maritime clusters in North America—the Pacific Northwest. Perhaps there’s something in the waters of the Pacific because the region is a think tank for some of the most renowned naval architects and marine engineers in the Americas.

A case in point is the Breakwater Chicago, a floating island proposed by entrepreneur Beau D’Arcy for Lake Michigan. As Managing editor Shirley Del Valle writes in “Breaking the mold,” Elliott Bay Design Group is leading the naval architectural effort on what D’Arcy calls Chicago’s answer to California’s Catalina Island. In his interview with Shirley, D’Arcy lays out the details of the ambitious plan, which included a Kickstarter campaign, to get the floating resort off the ground and through Chicago’s political red tape.

The dangers of enclosed spaces on board a ship are well known. The lack of oxygen or presence of unseen toxic gases or vapors could kill or sicken a crew member in seconds. As UK P&I Club’s David Nichol writes this month in “Unseen Killer,” shipowners need to adopt a better safety strategy, including improved signage, better education and training for crew to avoid deadly accidents.

Maritime Trivia Trivia Question #30: What incredible incident took place on the ship that laid the Atlantic cable?

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

September’s trivia question: Who was known as the “Heroine of Cape Horn?” Mary Patten after her renowned and valiant voyage around Cape Horn in 136 days while in command of the clipper Neptune’s Car.

2 MARINE LOG October 2015

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october 2015 Vol. 120, NO. 10 ISSN 08970491 USPS 576-910

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inland waterways

The Question Not Asked As the political campaign season gets underway, and the various debates provide insight into each candidate as well as some comic relief, there is one question not being asked: “What are your views on—and your plans for—fixing our nation’s infrastructure challenges?”

According to the World Economic Forum’s (WEF) Global Competitiveness Report for 2014-15, the United States ranked as the seventh-most economically competitive country in the world. The report assesses a number of foundations or “pillars” of global competition, and the second among its 12-pillar index, is infrastructure.

“Extensive and efficient infrastructure is critical for ensuring the effective functioning of the economy, as it is an important factor in determining the location of economic activity and the kinds of activities or sectors that can develop within a country. Well-developed infrastructure reduces the effect of distance between regions, integrating the national market and connecting it at low cost to markets in other countries and regions. In addition, the quality and extensiveness of infrastructure networks significantly impact economic growth and reduce income inequalities and poverty in a variety of ways. A well-developed transport and communications infrastructure network is a prerequisite for the access of lessdeveloped communities to core economic activities and services,” the report said. Read it at www3.weforum.org/docs/WEF_GlobalCompetitivenessReport_2014-15.pdf But in the WEF’s 2012-13 report, America ranked 25th for overall infrastructure “quality,” and in terms of overall infrastructure, the U.S. fell behind nations such as Oman, Barbados, and Qatar!

With these sobering statistics, why aren’t our leaders and potential leaders talking more about our infrastructure crisis?

Within the inland waterways, more than half of the lock and dam infrastructure has outlived its 50-year economic design life, yet facilitates the movement of 21st century cargoes. In 2013, the inland waterways transported around 566.7 million tons of commodity freight valued at $216 billion, up 6 MARINE LOG October 2015

from 565 million tons valued at $214 billion the year before. But emergency, unscheduled lock outages remain an issue, costing $385 million annually. That cost is increasing, along with projected traffic growth, expected to grow by 61% through 2040. At the same time, America’s population will grow by 70 million by 2045 to 390 million people. Those are people that will need to eat, and the inland waterways move more than 60% of the nation’s grain exports to that end.

The U.S. Department of Transportation in its report, “Beyond Traffic,” noted that “Freight systems across all modes face capacity constraints and rising maintenance costs...Aging locks and dams are causing delays on inland waterways and their maintenance costs are steadily increasing,” The DOT report also says, “The future calls for more resourceful, responsive and adaptive governance that can meet emerging challenges, and that can build and sustain a transportation system that meets the needs of current and future generations.”

So why aren’t our future leaders making infrastructure a front-and-center issue in their campaign platforms?

While future leaders may offer innovative infrastructure solutions not yet voiced, funding challenges within Congress continue. In fact, at press time, the nation faces the certainty of a Continuing Resolution at the end of this fiscal year. Only six FY 2016 appropriations bills had passed the House of Representatives, including the Energy & Water Development (E&WD) bill that funds the U.S. Army Corps of Engineers. The Senate Appropriations Committee marked up the last of its 12 appropriations measures, including the Corps’ funding measure.

Despite the challenges, for both FY 2015 and now FY 2016, things are looking up for the Corps’ Civil Works program. FY 2016 funding was strong in both bills, with $5.637 billion in the House-passed bill and $5.5 billion in the Senate Appropriations Committee-passed bill.

Of note, the Corps’ Construction account received $1.631 billion in the House (40% more than the Administration’s request),

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

and $1.641 billion in the Senate. Both the House and Senate recommended full use of the Inland Waterways Trust Fund (IWTF) at $340 million in FY 2016. Operations & Maintenance (O&M) received $3.094 billion —the highest funding level ever—from the House and $2.909 billion from the Senate, $199 million higher than the Administration’s FY 2016 requested level.

The Senate bill added $768 million to the Administration’s budget request for the Corps’ Civil Works mission. It also funded the Olmsted Lock/Dam project at at least $180 million and the Lower Mon 2, 3, 4 project outside Pittsburgh at at least $52 million in FY 2016.

The Cor ps’ Investigations account received $109 million in the Senate bill, which was $12 million above the Administration’s request.

Additionally, the Senate provided O&M funding for deep draft harbors and channels ($135 million), inland waterways ($45 million), and small, remote or subsistence harbors and channels ($50 million). $1.254 billion was provided from the Harbor Maintenance Trust Fund (HMTF) to the Corps of Engineers for O&M of Federal navigation channels, an 11.96% increase over FY 2015 appropriated levels. This amount met the FY 2016 target funding level outlined in the water Resources reform and Development Act (WRRDA) 2014 and advocated by WCI and the American Association of Port Authorities’ “Hit the HMT Target” campaign.

Our very first President, who never campaigned for the position, well understood the importance of our waterways. George Washington wrote more than 218 years ago, “Prompted by these observations, I could not help taking a more contemplative and extensive view of the vast inland navigation of these United States, from maps and the information of others; and could not but be struck with the immense diffusion and importance of it, and with the goodness of that Providence, which has dealt her favors to us so profuse a hand. Would to God we may have wisdom enough to improve them.” www.waterwayscouncil.org

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UPDATE biz notes Transocean named in Petrobras scandal

Shell Quits: Abandons offshore Alaska plans after Burger J well proves insufficient Shell is throwing in the towel, announcing that it will cease further exploration in offshore Alaska for the foreseeable future. The decision came after the disappointing results from the Burger J well.

The well is approximately 150 miles from Barrow, Alaska, in about 150 ft of water.

This summer, Shell safely drilled the well to a total depth of 6,800 feet.

Initial findings indicated the presence of oil and gas in the Burger J well, but they were not sufficient to warrant further exploration in the Burger prospect. In accordance with U.S. regulations the well will be sealed and abandoned.

Shell also cited the high costs and “challenging and unpredictable federal regulatory

environment in offshore Alaska” as additional factors in ending its Alaska program.

“The Shell Alaska team has operated safely and exceptionally well in every aspect of this year’s exploration program,” said Marvin Odum, Director, Shell Upstream Americas. “Shell continues to see important exploration potential in the basin, and the area is likely to ultimately be of strategic importance to Alaska and the U.S. However, this is a clearly disappointing exploration outcome for this part of the basin.”

Shell holds a 100% working interest in 275 Outer Continental Shelf blocks in the Chukchi sea. Shell says operations will safely de-mobilize people and equipment from the sea.

Petrobras’ giant corruption scandal, just took a swing at another oil industry player. During his plea bargain testimony last month, former Petrobras Executive Eduardo Costa Vaz Musa told prosecutors that a representative from Transocean offered Petrobras payments as far back as 2007 in order to have Transocean win a drilling contract with the Brazilian state-owned oil company.

Musa also claimed that he began receiving payments after Transocean won the cont r ac t to oper ate the Petrobras 10,000 drilling rig in 2012.

In it s response to the repor t s, Transocean said “In his statement, Mr. Musa said he believed he received pay ment f rom s ome one claiming to be a commercial representative of Transocean even though Mr. Musa also asserted that no such payments were necessar y as Transocean had been award the contract as it was the best technical and economic bidder in a competitive process.”

The company added that “Transocean has not identified any wrongdoing by any employee or any of its agents in connection with the company’s business…Transocean is investigating these recent allegations made by Mr. Musa and will also continue its effor ts to ensure no violation of company policy or law has, or will, occur. Finally, if requested, Transocean will cooperate with governmental investigations.”

A “narco sub” was interdicted in a joint operation by the U.S. Customs Border Protection agency and the U.S. Coast Guard. Around 15,000 pounds of cocaine were seized and four suspects aboard the self-propelled semi-submersible vessel were detained during the August 31st operation.

The incident, which took place in international waters off the Coast of Mexico, in the Pacific Ocean, is the latest in a series of sub busts by the U.S. Coast Guard (USCG).

As we reported in our September 2015 issue, the USCG made history this fiscal year, seizing more that $1 billion worth of cocaine.

This latest bust, the contraband was worth an estimated $227 million, will add 8 MARINE LOG October 2015

to that total final FY amount. The Coast Guard FY runs from October 1 to September 30.

The Customs and Border Protection (CBP) Office of Air and Marine P-3 Maritime Patrol Aircraft tracked the 50-foot vessel while on routine patrol in the region.

The U.S. Coast Guard Cutter Berholf, which was performing patrol operations in the area, launched two Over-the-Horizon Long-Range Interceptor boat crews to intercept and board the vessel.

Once the teams boarded, the suspected smugglers exited the sub’s hull. Boarding team members retrieved bales and loose bricks of contraband from the semi-submersible that tested positive for cocaine.

“Every load of cocaine stopped at sea impacts the operation of transnational criminal organizations that spread violence, instability and death wherever they operate,” said Lt. Commander Joseph Giammanco of the 11th Coast Guard District law enforcement branch. “It takes a dedicated, well-coordinated team to accomplish this dangerous and important mission. We’re proud of our crews and thankful for our strong partnership with Customs and Border Protection.”

Subs are extremely difficult to detect due to their low-profile and ability to scuttle. To date, there have been more than 25 semisubmersible interdictions in the Eastern Pacific Ocean.

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U.S. Coast Guard, CBP team up in another narco sub drug bust

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UPDATE USCG’s Healy makes history, reaches North Pole

The United States is ready to prove it is an “Arctic nation,” and it is decidedly doing so through action. Following President Barack Obama’s trip to Alaska where he announced “new steps to accelerate the acquisition of additional icebreakers to ensure the United States can operate year-round in the Arctic Ocean, the U.S. Coast Guard Cutter Healy (WAGB-20) arrived safely at the North Pole.

The cutter is the first U.S. surface ship to make it to the North Pole unaccompanied.

The occasion also marked only the fourth time a U.S. surface vessel reached the North Pole, and the first since 2005.

Considered a medium polar icebreaker, the 420 ft Healy is a bit larger than the Coast

Guard’s two heavy icebreakers, the 399 ft Polar Star and the currently inactive Polar Sea. Healy’s icebreaking capability isn’t as substantial, however, with a continuous icebreaking capability at three knots usually stated as 4.5 ft ice thickness, compared with the 6 ft thickness at three knots the heavy icebreakers can produce.

The Obama Administration says the growth of human activity in the Arctic region will require “highly engaged stewardship” to maintain the open seas necessary for global commerce and scientific research, allow for search and rescue activities, and provide for regional peace and stability.

Healy, predominately used as a scientific research vessel, was carrying a crew and science party totaling 145 people. The group departed from Dutch Harbor, Alaska on August 9 th, in support of GEOTRACES, a historic, international effort to study the geochemistry of the world’s oceans. The vessel arrived at the North Pole on September 5th.

Funded by the NSF, the expedition’s purpose was to study the Arctic Ocean, create baseline measurements of the air, ice, snow, seawater, meltwater and ocean bottom sediment for future comparisons.

Silver Ships delivers survey vessel to USACE Silver Ships, Inc., Theodore, AL, has delivered a survey vessel to the U.S. Army Corps of Engineers, New Orleans District. The all-welded aluminum 48 ft x 16 ft Endeavor Survey will operate both on the Gulf of Mexico and the river system within the New Orleans District.

Naval Architect Lou Codega, PE, Smithfield, VA, designed the vessel with the Gulf Coast region in mind—crafting a hull form that could handle the short choppy seas of the region.

Powered by a pair of Caterpillar C18 diesel engines at 803 hp, each coupled to Twin Disc v-drive gears, the survey vessel can operate at a cruising speed of 25 knots, reach a top speed of 28+ knots and has a 300+ mile range.

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NJ offshore wind lease goes on sale next month The U.S. has been slow in the offshore wind race, but there are signs that it is starting to pick up the pace. Next month, 343,833 acres seven miles offshore New Jersey will be offered for commercial wind energy development in a competitive lease sale, announced U.S. Secretary of the Interior Sally Jewell and Bureau of Ocean Energy Management (BOEM) Director Abigail Ross Hopper. The auction will represent the fifth competitive lease sale for renewable energy on the Outer Continental Shelf (OCS).

The New Jersey Wind Energy Area could potentially support at least 3.4 MW of commercial wind generation—enough to power an estimated 1.2 million homes, according to the Department of Energy’s National Renewable Energy Laboratory.

In te r i o r S e c re t a r y Je w e l l s ay s t h e announcement “marks another major step in standing up a sustainable offshore wind program for Atlantic coast communities.”

The New Jersey Wind Energy Area will be auctioned in two leases. Lease OCS-A 0498 (South Lease Area) consists of 160,480 acres; and Lease OCS-A 0499 (North Lease Area) consists of 183,353 acres.

B OEM qualified 13 companies for

the sale: Convalt Energy; GSOE I; EDF Renewable Development, Inc: Energy Management, Inc.; Fishermen’s Energy; Green Sail Energy; IBERDROLA RENEWABLES, Inc; New Jersey Offshore Wind; Offshore MW; RES America Developments Inc; Sea Breeze Energy; US Mainstream Renewable Power (Offshore) Inc; US Wind Inc.

Construction begins on second Crowley ConRo VT Halter Marine, Pascagoula, MS, has laid the keel for the second of two Commitment Class LNG-fueled combination container–Roll-On/Roll-Off (ConRo) ships being built for Crowley Maritime for the U.S.- Puerto Rico trade lane.

The two Jones Act ships, El Coquí and Taíno, will measure 219.5 meters long by 32.3 meters wide and have a draft of 10 meters. The ships will also have a 26,500 metric ton deadweight capacity; and cargo capacity will be 2,400 TEUs, with additional space for nearly 400 vehicles in an enclosed Roll-on/Roll-off garage.

Designed by Wärtsilä Ship Design in conjunction with Crowley subsidiary Jensen Maritime, Seattle, WA, the ships will be delivered in the second and fourth quarter of 2017.

Each ship will be powered by a MAN B&W 8S70ME-GI8.2 main engine and three MAN 9L28/32DF auxiliary engines fueled by LNG. The use of LNG as its primary fuel will enable El Coquí and Taíno to offer a 38% reduction in CO 2 emissions per container.

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UPDATE Drones help speed up inspections, saving operators time and money Drones are proving to be helpful for ship inspections. This past summer, Remontowa shipyard used a drone to inspect internal spaces on a 51,747 dwt chemical/ product tanker. The drone was able to photograph and record the areas of the ship that would normally be inaccessible. For the U.K.-flagged, LR-classed CPO Japan, the drone was used to carry out inspections

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inside one of the ship’s cargo tanks.

Intended to provide a surveyor with an overall impression of the state of the hull and bulkheads, the technology can also be used to inspect external structures.

Furthering the use of drones, Norden News reports that Jan Andersen, one of Danish shipowner DS Norden’s three U.S.-based port captains, has started using a drone fitted with a small video camera to speed up cargo hold inspections.

The cargo holds on Norden’s dry cargo ships are gigantic, and the remnants of previous cargoes can lie concealed in a myriad nooks and crannies. However, all of these remnants must be removed before the next cargo can be loaded, so a cargo hold inspection leaves no stone unturned. Normally, ladders or even hoists are required to establish that the cargo holds have been adequately cleaned, a process that is arduous, time-consuming, costly and sometimes also dangerous.

Port captains often only have a time window from late afternoon to early next morning to examine a cargo hold, so time is of the essence and Jan Andersen has found that his drone can cut that time in half. It takes the drone 20 seconds to access any part of the cargo hold, while rigging a ladder or a hoist takes a long time. “I have used the drone particularly for examining cargo holds before loading grain in Canada,” says Captain Andersen.

“The inspectors are enthusiastic about my drone and its tour of the cargo holds, because afterwards they can see the hold surfaces in close detail on their phone,” says Captain Andersen.

Captain Andersen says he got the idea of using a drone to examine cargo holds for old cargo remains because it is a cheap, fast and effective inspection method. Previously, he had experimented with a small remotecontrolled helicopter, but its rotor blades collided all too easily with the sides of the cargo hold, resulting in crashes. The drone is a different story, because, with its small, protected rotor blades, it can fly close to the cargo hold sides without mishap.

Norden has nine port captains in various locations worldwide. Their job is to ensure that things run smoothly when one of company’s roughly 200 dry cargo ships calls at a port. Their responsibilities include the cleaning and examining of cargo holds and handling matters such as documents, defective loading or discharging equipment, incorrect port bookings and cultural differences — or some other issue entirely.

Inland • Coastal • Offshore • Deepsea

Boston Harbor Cruises wins top honor, named Small Business of the year to be a part of the waterfront community.”

“Small business is the engine of our economy and a major driver of growth for this region,” said James E. Rooney, President and CEO of the Chamber. “We are thrilled to recognize this year’s outstanding honorees for their achievements in business, innovative approaches, and contributions to our economy and community.”

Boston Harbor Cruises, Boston, MA, has been awarded top honors as the 2015 Small Business of the Year by the Greater Boston Chamber of Commerce.

The award recognizes the achievements of Greater Boston’s small for-profit companies, with annual gross revenues of more than $1 million, who display strong financial performance, achievement in management, workplace excellence, product innovation and community and social responsibility.

BHC will be honored during the Greater Boston Chamber of Commerce event on October 6, “Nailed It: A Conversation with Successful Business Leaders.”

BHC operates a fleet of 48 vessels— including Boston Harbor sightseeing cruises; the New England Aquarium Whale Watch; the Provincetown Fast Ferry; ferries to The Boston Harbor Islands, Salem and Lynn; water taxis, the speed boat Codzilla and more. Additionally, the company provides year-round MBTA commuter services, private charters and offshore commercial services.

“We are honored that Boston Harbor Cruises has been named the Greater Boston Chamber of Commerce 2015 Small Business of the Year Awards top honoree,” says Alison Nolan, Principal and General Manager. “Our success is predicated on teamwork. There are a lot of moving parts in order to keep BHC moving forward and we work diligently to provide exceptional service. At the end of the day our goal is for customers to have the best possible experience on the water.”

BHC says it places an emphasis on customer service, dependability and stateof-the-art operations, and is a recognized leader in the passenger vessel and tourism industries, as well as a crucial advocate of the development of Boston’s waterfront.

“This award isn’t just for Boston Harbor Cruises, it represents the importance of business on Boston’s waterfront,” adds Nolan.

“We have the unique ability to share the waterfront and marine life with every passenger that comes aboard. We are very proud

BHC is always looking towards the future, with the hopes of enhancing its services and customer experience. The company was the first in Boston to introduce high-speed catamarans to its fleet. And just this past winter, BHC’s Salacia, otherwise known as the Provincetown Fast Ferry, underwent a $2.6 million engine refit in order to provide passengers with a faster, more enjoyable ride.

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29/09/2015 10:40

UPDATE Job Ax Swings, Newport News hands out pink slips After warning employees that layoffs were ahead, Huntington Ingalls Industries’ Newport News Shipbuilding Division has laid off 480 salaried employees. Reports indicate that workers were given a few minutes to gather their belongings before being escorted to the shipyard gate.

“There’s no good way to do this,” the Virginian-Pilot reports Newport News Shipbuilding President Matt Mulherin as saying, adding that the swiftness of laid-off worker’s departures was largely related to the fact that the shipyard is a secure facility.

This past July, in a “Dear Shipbuilders” letter, Mulherin said the layoffs were a result of a decreased workload. At the time, it was expected that more than 500 jobs would go in 2015, with another 1,500 to follow in 2016.

In his letter, Mulherin asked employees to “remember that the workload valley has both a beginning and end as our workload increases again in 2017.”

Because the actual layoff numbers were kept below 500, Newport News was not required to give advance notifications to the affected employees.

According to the yard, of the 480 laid off, 77 have skill sets that will enable them to return to an hourly trade job.

Oil discovered in Deepwater Gulf of Mexico Over the last year, the oil and gas market has been exceptionally rough for operators, companies and shipyards along the Gulf of Mexico—but last month, a ray of hope emerged when Freeport-McMoRan reported that it had discovered oil from its Horn Mountain Deep well in the Deepwater Gulf of Mexico (GOM). The well was drilled to a total depth of 16,925 ft. Located in the Mississippi Canyon area, which is controlled

by Freeport, the well is expected to start producing during the first half of 2017 and could potentially produce 30,000 barrels of oil equivalents per day (BOE/d).

During these challenging times, FreeportMcMoRan has kept its focus on low risk drilling and tieback opportunities. It expects to have capital expenditures of $2.9 billion in oil and gas this year, and $2.8 billion in each of the next two years.

The company has three 100-percent owned production platforms in the Deepwater GOM, including Horn Mountain Deep, and has drilled 12 wells since 2014, all with positive results.

14 MARINE LOG October 2015

inside washington

New ballast water compliance guidance a relief for operators There’s probably been nothing more frustrating and expensive for ship operators than trying to comply with ballast water regulations. Ship operators could spend as much as $2 million per ship to fit the BW system. And while the U.S. does have regulations in place, there are no BW systems currently that are Coast Guard approved.

For ballast water technology system manufacturers and suppliers, too, the path towards an approved system has been no less than exasperating and downright expensive. One manufacturer recently told Marine Log that going through the Coast Guard approval process for its system is going to cost them more than $4 million.

Charlie Papavizas, Esq., Partner and Head of the Maritime Group at Winston Strawn LLP reports on the firm’s blog, MaritimeFedWatch that relief for vessel operators has been issued by the Coast Guard in the form of some new, sensible compliance guidance. On September 10, 2015, the U.S. Coast Guard issued new ballast water compliance guidance that simplifies and clarifies the process by

which vessels can seek extensions to come into compliance with ballast water discharge standards.

Regulations issued by the Coast Guard, which became effective on June 21, 2012, established stringent quantitative ballast water discharge standards for vessels operating in U.S. waters. The regulations provide an implementation schedule such that most existing vessels will be required to have installed a Coast Guard-type approved ballast water management system by their first scheduled drydocking after January 1, 2016.

As the rigorous testing necessary to approve systems has proceeded more slowly than the regulatory implementation schedule, the Coast Guard has had a process whereby vessel owners can seek an extension of time to comply with the 2012 standards. Prior to the issuance of the new guidance, requests could be submitted to the Coast Guard “no later than 12 months before the [vessel’s] scheduled implementation date” when someone acting on behalf of the vessel “can document, despite

all efforts,” that compliance with the new standards is not possible.

Papavizas writes that as of September 14, approximately 2,000 vessels had already been granted compliance extensions in each instance because of the lack of Coast Guard type approved compliant ballast water systems. Most of the extensions are either to January 1, 2017, or January 1, 2018.

The new guidance, which supersedes earlier extension guidance issued in 2013, simplifies the application process for a compliance extension (such as no longer requiring submission of a vessel’s Ballast Water Management Plan), alleviates certain requirements (such as removing the five-year cumulative limit on extensions), and otherwise clarifies the extension process. The new guidance continues to require a showing that compliance with the current implementation schedule “is not possible” “despite all efforts” and also continues to require extension requests to be submitted at least 12 months in advance of the vessel’s original compliance date.

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October 2015 MARINE LOG 15

Ferries

The Washington State legislature has made funding available for a fourth 144-car ferry for Washington State Ferries

Reconnecting With The Water States, municipalities look to renew aging ferry fleets and add new services to reduce traffic congestion John R. Snyder, Publisher and Editor-in-Chief

T

he Wood’s Hole, Martha’s Vineyard, and Nantucket Steamship Authority—simply known as The Steamship Authority—had a very successful year in 2014. Its operating revenues were $93.87 million—up about 4.1 percent as compared with 2013—and it carried 2,893,851 passengers, 457,862 cars, and 166,577 trucks to Martha’s Vineyard and Nantucket. Those figures represent the highest number of passengers carried since 2002, the highest number of cars since 2004, and the most trucks carried by the The Steamship Authority (SSA).

But like many ferry services in the U.S., the SSA’s workhorse fleet is aging. The nine vessels in the authority’s fleet have an average age of 30 years old. The 60-year-old Governor, which in a previous life served Governors Island in New York Harbor, will be replaced in 2017 by the M/V Woods Hole, a new ferry under construction at Conrad Shipyard in Morgan City, LA. Conrad Shipyard won the tender to build the ferry with a $36,448,000 million bid.

The ferry is designed by Elliott Bay Design Group (EBDG), Seattle, WA, whose name is synonymous with ferry design in the U.S. Besides the SSA ferry project, EBDG naval architects are currently working on the Alaska Class Day Boat, the Fisher Island ferry, and the Staten Island Ferry.

EBDG’s Brian King, Vice President of Engineering, says the new SSA ferry has now reached a significant construction milestone—the hull was launched upside down and then righted while in the water

16 MARINE LOG October 2015

by use of cranes. Pre-built superstructure assemblies are now being installed on the deck.

When designing the Woods Hole, particular attention was focused on the ship’s planned powering and seakeeping characteristics, as well as efficiency. King says the ferry is designed to achieve sprint speeds of 16 knots but will more typically operate at 12 to 14 knots. The ferry’s highly shaped bulbous bow was designed to minimize wake and improve fuel efficiency. EBDG used Computational Fluid Design (CFD) analysis to optimize the hull and bulbous bow design.

While there are many fuel efficiency design features, the bulbous bow alone is estimated to provide fuel efficiency improvements of 3% over a conventional bow, according to King. Test results on a custom-made model built by FORCE Technology indicated that the vessel’s hull deign will be very efficient, requiring less than 2,500 hp to operate at a service speed of 14 knots, and that the vessel’s wake is expected to be minimal, even at speeds of 9 knots.

King says the Woods Hole has been specially designed to carry freight, but is also suited for walk-on passenger and car traffic. The freight-vehicle deck is designed to carry ten 100,000 lb tractor-trailers with straight through end-to-end loading. When not carrying a full load of tractor-trailers the freight-vehicle deck can accommodate approximately 55 standard passenger vehicles. Passenger plus crew capacity is 384.

The Woods Hole is 235 ft long, with a beam of 64 ft, and maximum

Ferries draft is limited to 10 ft 6 in. at full load due to port restrictions. The main propulsion power is supplied by two EPA Tier 3-compliant, 2,680-hp MTU 16V4000 engines connected to Hundested controllable pitch propellers. Controllable pitch was chosen to allow propeller pitch and shaft rev/min combinations that provide excellent low speed maneuvering responsiveness and still provide optimized fuel efficiency at all speeds.

The Woods Hole is expected to be delivered in May 2016 and enter service in 2017.

New ferry for Texas When you are driving on Texas State Highway 361, the only way to get across Corpus Christi Channel from Aransas Pass to Port Aransas, is by the Port Aransas ferry. The ferry service runs 24 hours a day, seven days a week. The quarter-mile route typically takes less than 10 minutes to cross. Each ferry can carry up to 20 regular passenger vehicles.

The ferries are owned by the Texas Department of Transportation (TxDOT), which recently awarded a contract to Southwest Shipyard, Houston, TX, to construct a 28-car ferry. When delivered in February 2017, the new ferry will be the third of a class designed by EBDG. EBDG, which will act as the owner’s representative for the project when construction begins this fall, signed a deal with TxDOT in 2014 to provide four years of on-call service. This is the first contract under the service agreement.

Unlike the two previous ferries built to this design and delivered in 2011, the new ferry will be a diesel-electric ferry. It will be classed

by ABS and will have a length of 161 feet overall, a beam of 52 feet, a depth of about 11 feet and a draft of 8 feet.

North Carolina DOT looks to add passenger-only ferry Meanwhile, the North Carolina Department of Transportation (NCDOT) is conducting a Passenger Feasibility Study that could lead to a new passenger-only ferry service between Hatteras Village and Oracoke’s Silver Harbor by the summer of 2017. The new service would start with either two 80-passenger ferries or one 150-passenger vessel. The passenger-only ferries would be in addition to the Ferry Division’s current car ferry service.

The passenger-only ferry service is seen as a possible way to boost tourism to Oracoke Island, which has seen a 250,000 visitor drop off from its peak of about 1 million in 2007. The study says the new ferry service would make four round trips per day, carrying 125,000 passengers in the first year at a cost of $15 per round trip.

By 2020, the construction of permanent docking terminals would be complete and additional passenger-only vessels would be added.

Staten Island Ferry draws interest The New York City Department of Transportation, owner and operator of New York City’s iconic Staten Island ferry fleet, is in the process of developing a new class of boats to replace the 1965-built John F. Kennedy and the 1980’s vintage Andrew J. Barberi and Samuel I. Newhouse.

NYCDOT held an industry day on September 16 in New York outlining the project scope, bid process, and development and construction timeline for the 4,500-passenger New Kennedy Class ferries for the Staten Island Ferry. EBDG, lead naval architect on the project was on hand, along with representatives from Conrad Shipyard, Morgan City, LA, Fincantieri Bay Shipbuilding, Sturgeon Bay, WI, Eastern Shipbuilding, Panama City, FL, VT Halter Marine, Pascagoula, MS, Dakota Creek Industries, Anacortes, WA, Leevac Shipyards, Jennings, LA, Vigor Industrial, Portland, OR, and General Dynamics NASSCO, San Diego, CA, and some key suppliers.

The city has received funding of $309 million towards the three boats, which will be 320 ft long by 70 ft, with EPA Tier 4 compliant diesel engines and a Voith Schneider propulsion system. The ferries are expected to retain some of the design elements of the beloved Kennedy Class, while incorporating energy and fuel-saving technologies.

Once the construction contract is finalized in the fourth quarter of 2016, all three ferries must be completed within a four-year time frame.

Coast Guard to review WSF LNG terminal proposal The U.S. Coast Guard recently issued a notice in the Federal Register that it would review a proposal by Washington State Ferries (WSF) to modify its marine terminal operations to handle Liquefied Natural Gas (LNG). The LNG would be used to fuel its six Issaquah Class ferries.

Last year on June 27, the Coast Guard Sector Puget Sound had received a Letter of Intent (LOI) and a Waterway Suitability Assessment (WSA) from Washington State Ferries to modify their marine terminals to handle LNG. In accordance with regulation and policy guidance, the Captain of the Port (COTP), Coast Guard Puget Sound Sector, in cooperation with key stakeholders, will review and validate the information in the WSA. Once the COTP reviews the WSA, he will issue a Letter of Recommendation to the Washington Department of Transportation recommending the suitability of the Puget Sound waterways that will be used for LNG marine traffic as it relates to safety and security.

Public comments received last November regarding WSF’s proposal will be considered in the development of the COTP’s Letter of Recommendation. Some of the comments received expressed concern about the exposed location of the LNG tanks on the top deck of the converted ferries, and how they posed a security threat. Other comments thought that LNG poses a pollution threat to the environment. The Coast Guard will examine WSF’s Emergency and Operations Manuals covering the LNG transfer system and transfer procedures.

Proposed conversion Once WSF receives the Letter of Recommendation from the Coast Guard, it will be able to move forward with the retrofit of the first Issaquah Class ferry, which will serve as a proof of concept for the remaining vessels in the class. The diesel-powered ferries carry about 1,200 passengers and 124 vehicles.

The state’s ferries, says WSF, are the largest single source of marine carbon emissions in the state. It expects to cut CO2, particulate matter, SOx, and NOx emissions significantly with the use of LNG a marine fuel.

The WSDOT also expects to reap some cost savings, although the picture is not as compelling as it was last year when oil was at $100 per barrel. During testimony this past January before a State Senate Energy, Environment and Telecommunication Subcommit tee, Ly nne Gr if f ith, A ssistant Secretar y of Transportation, Ferries Division, said there would be a $1 per gallon savings when burning LNG as compared with burning Ultra Low Sulfur Diesel. WSF burns about 18 million gallons of fuel annually. The cost of fuel now represents about 23 percent of the Fiscal Year 2013-2015 operating budget as compared with 11 percent in Fiscal Year 2000-2001. Any ferries that would burn LNG would have to be refueled by tanker truck every seven to 10 days.

October 2015 MARINE LOG 17

Ferries Expanding East River ferry service Some of New York Mayor Bill deBlasio’s policies and initiatives have been downright forehead slapping. His handling of the homeless situation has been awful, and his consideration of tearing up pedestrian plazas in Times Square as a means of removing painted topless women from the area is just dumb.

But the Mayor should be given credit for announcing the launching of expanded citywide ferry services in 2017 and 2018 that would connect neighborhoods that are “starved of adequate mass transit,” in the words of State Senator Michael Gianaris. The expanded ferry service(s), which would operate across the East River to Astoria, the Rockaways, South Brooklyn, the Lower East Side and the Soundview section in the Bronx would run seven days a week and cost $2.75 each way—the same as a city subway or bus ride. Future service would connect Coney Island and the Stapleton section of Staten Island.

Washington State gets funding for fourth ferry The good news for Washington State Ferries is that this past summer Washington Governor Jay Inslee approved $122 million in the state budget for the construction of a badly needed fourth 144-car Olympic Class ferry. WSF is building new Olympic Class ferries to replace some of the fleet’s oldest vessels. The Olympic Class design is based on the Issaquah class—the same ferries that have been the subject of a proposed midlife conversion to burn Liquefied Natural Gas (see sidebar on page 17).

Designed by Seattle-based Guido Perla & Associates, Inc., the Olympic Class vessels have a capacity of 144 cars and 1,500 passengers and are 362 ft 3 in long x 83 ft 2 in wide. Main propulsion is by two Electro-Motive Diesel engines developing a total 6,000 hp and giving the vessels a speed of 17 knots.

Two of the Olympic Class ferries, the Tokitae and Samish, are in service, and a third is under construction at Vigor in Seattle for delivery in 2017. As in the first two ferries, Nichols Brothers Boat Builders, Whidbey Island, WA, is building the superstructure. The fourth is scheduled for completion in the fall of 2018.

New King County ferry starts service King County’s newest vessel, the M/V Doc Maynard, started service on the Vashon route on September 29 sailing from Pier 50. The ferry replaced her sister ship, the M/V Sally Fox, which is being removed from service for scheduled warranty work.

Both the Sally Fox and Doc Maynard were built by All American Marine, Inc. (AAM), Bellingham, WA. The 105 ft x 33 ft aluminum catamaran ferries are the first U.S. Coast Guard Sub-chapter “K” inspected passenger vessels built and delivered under new guidelines that make it possible for boat builders to design and implement suitable structural fire protection in very low fire load spaces in the construction of weight-sensitive high speed passenger vessels.

AAM partnered with naval architecture firm, Teknicraft Design Ltd., of Auckland, New Zealand for the hull design. All American Marine is the exclusive builder for Teknicraft Design Ltd. catamarans in North America.

Each ferry is powered by two Cummins QSK-50 Tier 3 diesel engines, rated at 1,800 bhp at 1,900 rev/min and driving twin propellers to provide a service speed of 28 knots.The ferries also burn a 10 percent biodiesel blend and have LED lighting onboard.

With traffic congestion on roads and bridges continuing to plague area commuters, King County is also exploring a plan to possibly add ferry service on Lake Washington, something that hasn’t happened since the 1950s. ■

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18 MARINE LOG October 2015

Exhibitor List November 5–6, 2015 | Seattle, WA

Elliott Bay Design Group Elliott Bay Design Group (EBDG) is a national expert in passenger vessel and ferry design, providing private operators across the country with a fullrange of services from new design, surveys and stability assessments to regulatory and environmental compliance support.

www.ebdg.com

Wärtsilä North America, Inc. Wärtsilä provides environmentally and economically sound integrated solutions across a broad spectrum of vessels including ferries, offshore, inland, coastwise and ocean merchant ships. Our LNG expertise and leadership in short sea shipping gas-fueled vessels is migrating rapidly from Europe into the Americas.

www.wartsila.com

Motor-Services Hugo Stamp, Inc. Motor-Services Hugo Stamp, Inc. (MSHS) offers Baudouin marine diesel engines, known for durability and longevity. The new M26.3 series offers up to 1,650mhp and is EPA Tier 3 compliant.

www.mshs.com

MTU America Inc. MTU America provides diesel marine engines that produce 206 - 13,405 bhp (156 to 10,000 kW) for propulsion and auxiliary power for inland and offshore commercial vessels.

www.mtu-online.com

Silvagrip Silvagrip is a new multi-purpose, peel and stick nonskid product used to increase safety and help reduce slip hazards in the workplace. Military specification MIL-T-24 667 X1.

www.silvagripwest.com

The Weir-Jones Group of Companies Weir-Jones Group is a Vancouver based company that provides operational testing and scientific instrumentation for ships and offshore structures.

Proprietary systems include ADIS™, a real-time automatic draught monitoring system.

www.weir-jones.com

W&O Supply Founded in 1975, W&O is one of the world’s largest suppliers of pipe, valves, fittings as well as actuation and engineered solutions to the maritime and upstream oil & gas industries. Serving a variety of customers, W&O operates a worldwide network of strategically located branches from its corporate headquarters in Jacksonville, Florida.

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North America’s Premier Ferry Event

November 5–6, 2015 Hyatt at Olive 8 Seattle, WA

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KEYNOTE ADDRESS: FOCUS ON LNG

John D. Dwyer Chief, Inspection Division, Officer in Charge, Marine Inspection, USCG Sector Puget Sound

John Dwyer will kick off Ferries 2015 with an in-depth analysis of the challenges and opportunities presented by LNG as a marine fuel. Dwyer is responsible for safety, environmental and security standards for commercial vessels and waterfront facilities in the Pacific Northwest region, and is currently overseeing the development of four LNG fueling projects in Puget Sound. He also heads the Vessel Security and Washington State Ferries Security Sub-Committees within the Puget Sound Maritime Security Committee. He has over 38 years of maritime experience, including vessel inspection, port security, and casualty investigation.

AGENDA HIGHLIGHTS

• New ferry services for Cuba • Hybrid and all electric propulsion

• LNG newbuilds and conversions • Safety and training

• Regulatory compliance

• Emissions and Tier 4

• International ferry services

• Ferries and sustainability

Supporting Organizations

adv_Europort2015_178x251mm-bezoekers.indd 1

9/15/2015 3:10:30 PM

finance

Financing opportunities are available even during this challenging time in the maritime market

Attractive Terms Hapag-Lloyd secures banking facility for boxship series at Hyundai Samho Heavy Industries

G

erman container shipping giant Hapag-Lloyd signed a $372 million facility agreement with a term of 12 years with an international banking syndicate to finance a newbuilding program at a South Korean shipyard. Hapag-Lloyd will use the loan to finance five new vessels, which were ordered from Hyundai Samho Heavy Industries in April 2015 for delivery between October 2016 and May 2017. Hapag-Lloyd says the total investment volume of the order lies in the “mid three-digit million dollar range.”

According to the Alphaliner Top 100, Hapag-Lloyd is the world’s fifth largest container ship operator, controlling 171 ships with a total of 919,386 TEU. It owns 102 of the ships, totaling 507,741 TEU, and charters 69 boxships of 411,645 TEU. Hapag-Lloyd trails APM-Maersk, with 594 box ships of 3,035,043 TEU, MSC, with 502 ships, totaling 2,676,623 TEU, CMA CGM Group, with 471 ships of 1,832,508 TEU, and Evergreen Line, with 200 ships of 951,876 TEU. However, after Hapag-Lloyd’s recent merger with Chilean shipping line CSAV, it now controls 188 ships with a total of 1.6 million TEU, pushing it into fourth place.

Hapag-Lloyd’s five newbuilds will be deployed primarily on the South American routes and will have a capacity of 10,500 TEUs each. With 2,100 reefers plugs each, the vessels are particularly suitable to carry perishable goods. With the investment, Hapag-Lloyd intends to strengthen its position as one of the largest reefer carriers in the world.

Compiled by Marine Log Staff The banking syndicate was led by joint bookrunners Credit Agricole, DNB, HSBC and UniCredit. As the order was placed with a Korean shipyard, the Korean Export Credit Agencies K-sure and KEXIM agreed to provide financing support for Hapag-Lloyd to facilitate the investment with the Korean yard and will thereby support the overall financing. Hapag-Lloyd decided in parallel to increase its existing revolving credit facility with the financing banking syndicate from $95 million to $200 million in order to strengthen its liquidity reserves at attractive financing conditions.

Based on the recent ship financing, Hapag-Lloyd also successfully renegotiated conditions for existing vessel financing facilities. In total, the company was able to decrease its interest burden by about $ 40 million over the remaining life of these financing facilities.

“We secured the financing for our new vessels at attractive financial terms,” says Hapag-Lloyd CFO Nicolás Burr. “In addition, based on this new benchmark we were able to significantly reduce our interest burden and at the same time gain more financial flexibility by increasing our liquidity commitments.”

Raising capital in the stock market Publicly traded Freeport-McMoran Inc. recently announced the completion of its at-the-market offering of common stock announced on August 10, 2015. Freeport-McMoran raised $1 October 2015 MARINE LOG 23

finance billion in gross proceeds through the sale of 96.7 million shares of Freeport-McMoran common stock in open market transactions since August 10, 2015. The shares were issued pursuant to Freeport-McMoran ‘s shelf registration statement.

Freeport-McMoran also announced that it has filed with the Securities and Exchange Commission (SEC) a prospectus supplement under which it may offer and sell additional shares of common stock having aggregate gross proceeds of up to $1 bil-

“We were able to significantly reduce our interest burdern and at the same time gain more financial flexibility” —Hapag-Lloyd’s CFO Nicolás Burr net proceeds f rom t hese of ferings for lion from time to time through designated sales agents. Sales of the common stock, general corporate purposes, which may include, among other things, the repayif any, would be made by means of ordiment of amounts outstanding under its nary brokers’ transactions or block trades revolving credit facility and other borrowon the New York Stock Exchange at market ings and the financing of working capital prices or as otherwise agreed with its agents.

Freeport-McMoran intends1to4/7/15 use the 3370 Clark C marine ad_Layout 12:10and PM capital Page 1expenditures.

Freeport-McMoran also announced that it continues to engage in discussions to partner with strategic investors interested in investing capital in the development of its oil and gas properties and to consider the previously announced potential initial public offering of a minority interest in Freeport-McMoRan Oil & Gas Inc. (FM O & G) as ma rket cond it ions wa rra nt.

These actions, together with previously announced capital cost revisions, are being pursued as required to fund oil and gas capital spending within cash flow for 2016 and subsequent years.

James R. Moffett, Freeport-McMoran‘s Chairman, Richard C. Adkerson, Vice Chairman and CEO and James C. Flores, Vice Chairman and FM O&G CEO, said, “The actions we have taken to cut costs, significantly reduce capital expenditures in our mining and oil and gas businesses and raise equity proceeds are necessary in the current period of weak and uncertain market conditions. These measures and actions we are ta k ing to enhance shareholder value will strengthen our financial position and preserve our valuable resources for improved conditions in the future. We are focused on strong execution of our plans which position us for future success.” ■

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24 MARINE LOG October 2015

• Seawater/Bilge Water Systems

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finance GET GREEN FINANCING: Liberian Registry, EfficientShip Finance launch Eco-Upgrade Financing Initiative To remain competitive with the new generation of Eco-ships, ship owners of containerships, bulkers, and tankers that are between five to eight years old, need to invest in new fuel-saving technologies. However, putting together the financing for these investments is not so easy.

To bridge the lack of financing available to these shipowners, the Liberian Registry announced a partnership with U.S.-based consultancy EfficientShip Finance (ESF) to offer an Eco-Upgrade Financing Initiative designed to reduce global carbon emissions, enhance fleet efficiency and competitiveness, and promote a greener fleet.

“We’re trying to incentivize shipowners to do these upgrades, which will make them competitive with the Eco-Ships being built today. The program has drawn a lot of interest from shipowners in Germany and Greece,” says Liberian International Ship & Corporate Registry (LISCR) Vice President Christian Mollitor.

Greek-controlled ships represent a large percentage of the ships flying the Liberian f lag. According to the Greek Shipping Cooperation Committee (GSCC), a total

of 739 Greek-controlled ships, aggregating 54.03 million dwt, are registered with Liberia. Liberia is the second largest ship registry, with about 4,000 vessels or 13 percent of the world fleet.

“We’re targeting ships that are 5 to 8 years old that are due to go into drydock,” says Mollitor. Those aged ships make the most sense because they have sufficient useful life remaining, but are still inefficient compared to the new generation of EcoShips. He says the program makes particular sense for large container ships.

ESF’s partnership with LISCR offers a complete turnkey energy-saving solution for ships on a global basis with an add-on specifically crafted for Emissions Control Areas (ECAs). The Liberian Registry is offering special tonnage tax discounts for ships participating in the initiative. Each ship in the program will be entitled to a 50 percent annual tonnage tax discount in the first year, and up to a 25 percent discount in both the second and third years.

ESF will provide the f inancial capital needed for each project, and assume responsibility for technology performance

and fuel volatility risk, along with the technical supervision and monitoring to perform retrofits.

Owners and operators remit to ESF a proportion of the amount they save on fuel costs, or that they receive in the form of additional negotiated hire. The retrofit projects require no upfront capital by owners and, since the payments are always a share of the savings, there is an ongoing net benefit to customers.

Molliter says the program would help owners outfit their ships with a variety of fuel-saving technologies. The technologies used represent the most widely accepted and tested solutions in the market including, among others, bulbous bows, wakeimproving ducts, rudder bulbs and fins, protracted tip propellers, engine improvements, smooth coatings, and performance and trim optimizing software.

For ships trading within ECA zones, the program may include the installation of exhaust scrubber systems or the conversion of engines to LNG dual-fuel, to comply with emissions requirements that came into effect on January 1, 2015.

October 2015 MARINE LOG 25

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The maritime cluster has a total economic impact of $30 billion for the state of Washington

A Vital Maritime Cluster Maritime businesses in Washington contribute $30 billion in economic impact Compiled by Marine Log Staff

S

hell’s announcement that it was pulling the plug on its Arctic drilling program was a blow to maritime industries in the Pacific Northwest. Many of the regional shipyards, ports, operators, suppliers, and service companies were banking on supporting drilling operations in the Chukchi Sea for years to come.

While there were indications of oil and gas in the Burger J well, Shell said they were not enough to continue exploring. On top of that, Shell cited the high costs of the drilling program—it sunk billions into the development—and “the challenging and unpredictable federal regulatory environment in offshore Alaska.”

Senator Lisa Murkowski (R-AK) blasted the Interior Department and the Obama Administration for creating a burdensome regulatory environment that discourages companies from making investments.

“In the more than seven years that Shell has held leases in the Chukchi, it has only recently been allowed to complete a single well. What we have here is a case in which a company’s commercial efforts could not overcome a burdensome and often contradictory regulatory environment,” says Murkowski. “The Interior Department has made no effort to extend lease terms... Instead, Interior placed significant limits on this season’s activities, which resulted in a drilling rig sitting idle, and is widely expected to issue additional regulations in the coming weeks that will make it even harder to drill. ”

Murkowski made the point that just because the U.S. has created a difficult environment for offshore drilling in the Arctic, it doesn’t mean other countries have. “Development in the Arctic is going to happen—if not here, then in Russia and Canada, and by non-Arctic nations,” says Murkowski. “The Arctic is crucial to our entire nation’s future...As the Arctic continues to open, we urgently need to accelerate our national security investments in icebreakers, ports, and other necessities.”

Some Congressional opponents of Arctic drilling applauded Shell’s move. Senator Jeff Merkley (D-OR) called offshore Arctic drilling “unacceptable” and irresponsible. Rep. Jared Huffman (D-CA) went so far as to introduce the Stop Arctic Ocean Drilling Act of 2015, which would prohibit new or renewed oil and gas leasing in the Arctic Ocean Planning Areas of the Outer Continental Shelf.

But this should probably be viewed more like a pause as opposed to a full stop. A more favorable regulatory environment for Arctic offshore drilling could develop if a Republican is in the White House in 2017 backed by a Republican-controlled Congress. Additionally, cheap oil and gas should increase consumption, leading to higher prices and make Arctic drilling more economically attractive.

Project teams Portland, OR, headquartered Vigor Industrial, the largest shipyard group in the Pacific Northwest with 12 facilities in Alaska, October 2015 MARINE LOG 27

PACIFIC MARITIME Washington, and Oregon, had bolstered its capabilities in anticipation of an increased workload. It added an 80,000-ton lifting capacity dry dock to enhance its ship repair and maintenance capabilities and merged with Kvichak Marine Industries, Seattle, WA, to add capabilities in new aluminum vessel construction.

Vigor is part of a vibrant Washington State maritime cluster that includes logistics and shipping, fishing and seafood, and shipbuilding and repair. According to a recent economic impact study, the cluster generated 148,000 direct and indirect jobs and directly creates $15.2 billion in gross business income and has a total impact of $30 billion on the state’s economy.

Back in March, Vigor “christened” its dr y dock Vigourous w ith work on the cruise ship Norwegian Star and followed that up with repairs to the USNS John Glenn and USNS Montford Point. Now Vigor will turn its attention to completing the third Olympic Class 144-car ferry for Washington State Ferries and look forward to building the fourth in the series, which recently received $122 million in funding by the state legislature. There’s plenty of more coverage on the ferry market in this issue (page 16), including Seattle-based

Elliott Bay Design Group’s support of ferry projects for the New York City Department of Transportation and Texas Department of Transportation.

Special launch system Designed by Seattle-based naval architectural firm Guido Perla Associates, Inc., the 144-car ferry is a joint construction effort between Vigor and neighboring Nichols Brothers Boat Builders, Whidbey Island, WA. Nichols Brothers Boat Builders has been contracted to build the superstructure for the first three Olympic Class ferries.

Nichols Brothers Boat Builders has used a new track and dolly system developed by Engineered Heavy Service (EHS), Everett, WA, for transferring the ferry superstructures on to a barge for transport to assembly with the hull at Vigor Fab in Seattle.

That same transfer system is pictured on this month’s cover to launch the ATB tug Nancy Peterkin, the first of two 136 ft sister ATB tugs being built for Kirby Offshore Marine. The sister ATB tug, the Tina Pyne, is set for launch this December.

The EHS launch system moved the ATB from the shipyard to the launch ramp. General Construction provided two f loating cranes to assist in the final lifting of the

vessel, shuttling it to deeper water.

The vessel was towed to Everett, for lightship, stability testing and fuel transfer. Following this, the tug will be towed to Nichols Brothers outfitting pier in Langley, WA, located across the Puget Sound from Everett, WA, for final outfitting, dock and sea trials before its final delivery.

Nichols Brothers followed up the launch with the signing of a construction security agreement with Kirby Offshore Marine to build two new 120 ft x 35 ft x 19 ft-3 in tugs.

Each tug will be powered by two Caterpillar 3516C, 2,447 bhp at 1,600 rev/min main engines with Reintjes reduction gears turning two NautiCAN fixed pitched propellers with fixed nozzles. Selected deck machinery includes one TESD-34 Markey tow winch, one CEW-60 Markey electric capstan, and one Smith Berger Tow Pin. Keels will be laid for both vessels this fall with delivery of the first scheduled for May 2017 and the second in November 2017.

Jensen Maritime Consultants, Seattle, the naval architectural and engineering arm of Crowley Maritime, will provide t he A BS Cla ss a nd f u nc t iona l desig n for the tugs. The vessels w ill carr y an ABS loadline, compliant with USCG, as required at delivery.

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PACIFIC MARITIME Nichols Brothers spokesperson Lacey Greene says the shipyard has just begun construction of the American Samoa 140 ft Multi-Purpose Cargo/Passenger Ferry, and next year w ill begin construction on the superstructure and final assembly of the WETA 400-passenger high speed catamarans.

“The vessel construction boom in the Pacific Northwest has impacted the economy in so ma ny d if ferent ways,” says Greene. “Specific to our location our community is f lourishing. Nichols Brothers is the largest private employer on Whidbey Island in Washington State and employs 300 men and women. We foresee the economic boom expanding even further; the tug market is strong in all aspects, from ATB tugs, tractor Tugs, to line tugs. We also see the passenger vessel industry sector thriving, and we predict additional passenger only high-speed ferries coming down the pipeline as well as leisure vessels.”

Jensen Maritime is also providing construction management services for the Crowley product tankers under construction at Aker Philadelphia Shipyard. It’s also been busy working on developing LNG bunker barge concepts and recently received approval from ABS for a 452 ftlong ATB version.

Eng ineering consu lta nt A r t A nderson Associates, Bremerton, WA, has been increasing its staff and supporting the development of passenger-only ferry serv ice i n Puget Sou nd. A r t A nderson’s Patrick R. Vasicek, PE, LEED AP, will be on hand at the Marine Log FERRIES 2015 Conference & Expo in Seattle to discuss, “An Exportable Life Cycle Assessment Tool for Determining Sustainable Visibility of Passenger-Only Ferry Routes and Systems.”

ARE YOU READY FOR A TOWBoT? Robert Allan’s New RAmora Robots and drones are making their way into everyday life. The drive behind drone technology and its applications in the maritime industry are safety and costs. “We see opportunities to use robotics to reduce the danger to crews posed by riskier tug operations, and to reduce costs in some cases,” says Mike Fitzpatrick, President & CEO of Vancouver-based naval architectural firm Robert Allan Ltd. Robert Allan Ltd. (RAL) has just unveiled an autonomous tug concept called the RAmora.

The first in the company’s TOWBoT (Tele-Operated Workboat or Tug) series, the RAmora 2400 is a versatile towing platform designed primarily for ship assist and berthing operations. With a bollard pull of 55 tonnes, the RAmora 2400 features a hybrid propulsion system and ample battery storage capacity to enable extended operation even in potentially hazardous environments such as LNG terminals or fire-fighting situations.

The RAmora is operated remotely by a captain on a command tug using a console equipped with live video and other positioning information. “It is also possible,” explains Fitzpatrick, “for the RAmora captain to operate RAmora away from the console by a bellypack controller when in close visual range.”

The control system design was developed in partnership with International Submarine Engineering of Port Coquitlam, Canada, and is derived from proven remotely operated vehicle, autonomous underwater vehicle and surface vessel applications.

RAmora is fitted with Voith Schneider Propeller (VSP) drives arranged in a fore/aft configuration and its hull form, designed for high stability and good seakeeping performance in waves, is the product of extensive development work including CFD and towing tank testing. Read more about it on marinelog.com

Vessels | Terminals | Planning | Delivery | Support

Ballast water treatment solution Seattle-based naval architectural and engineering consultancy Glosten reports that Marine Systems Inc. (MSI) has delivered a pair of Ballast Treatment System Deck Modules, designed for tank barge and ship operations. The first of its kind modular ballast water treatment units combine expertise from Glosten, MSI and Alfa Laval, and expertise from hundreds of ballast water management system installations.

The resulting modules, built at the Foss Seattle Shipyard, complete with lighting, ventilation, and integrated controls, were shipped ready for “plug-and-play.”

Want more? See the enhanced version of this article on marinelog.com, including what’s going on in Canada’s Pacific Northwest. ■

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Safety

IMO hopes to clearly define an enclosed space to avoid confusion

The Unseen Killer Accidents resulting in death or injury on board ships in enclosed spaces continue to occur at unacceptable rates

By David Nichol, Risk Assessor, UK P&I Club

A

shift in the approach to safety management of enclosed spaces on board ships is needed. Fifteen years ago, while working as an independent surveyor, I was carrying out a condition survey on board a bulk carrier. The scope of the survey included testing the emergency generator, located in the steering flat and accessed by an inclined ladder. Accompanied by the superintendent and the chief engineer, we had no sooner reached the bottom of the space when the chief engineer urgently ordered us all out. By the time we had exited the space, within seconds, we were all in a state of dizziness and confusion, compounded by our inability to comprehend what had just occurred. Further investigation revealed that Freon gas had leaked from refrigeration machinery located in the steering flat and being heavier than air, had migrated into the emergency generator space, displacing breathable air. It was a lucky escape. Victims of asphyxiation in enclosed spaces deficient in oxygen will normally receive no such warning that anything is wrong or have the ability to quickly escape.

Should we have been aware that this emergency generator space, not being enclosed in the usually perceived sense of the word, was potentially dangerous for entry? Absolutely.

The International Maritime Organization (IMO) currently defines an enclosed space as having any of the following characteristics: (1) limited openings for entry and exit; (2) inadequate ventilation; and (3) is not designed for continuous worker occupancy, and includes, but is not limited to, cargo spaces, double bottoms, fuel tanks, ballast tanks, cargo pump-rooms, cargo

compressor rooms, cofferdams, chain lockers, void spaces, duct keels, inter-barrier spaces, boilers, engine crankcases, engine scavenge air receivers, sewage tanks, and adjacent connected spaces.

This list is not exhaustive and a list should be produced on a shipby-ship basis to identify enclosed spaces.

Another very common example of confusion over what actually constitutes an “enclosed space� is the inconsistent perception of the dangers presented by CO2 fixed fire extinguishing system cylinder storage rooms. A leak in the system may accumulate in the space and displace breathable air if not thoroughly ventilated.

Carbon dioxide (CO 2) rooms are frequently not identified as enclosed spaces on board and not provided with appropriate warning signs at the space access. Crew members may easily fail to appreciate that a CO2 room should properly be included within the aforementioned definition of an enclosed space.

No atmosphere hazard warning notice The IMO list of enclosed spaces is not exhaustive, it is therefore important that ship managers and crew apply a wide interpretation as to what spaces on board each vessel could potentially be deficient in oxygen, and/or contain flammable and/or toxic gases or vapours, therefore requiring safety precautions to be observed prior to entry.

The dangers associated with enclosed spaces are well known yet deaths continue to occur. Part of the issue may be misconceptions as to what spaces are or may become dangerous, and how they are identified. At present, there is no industry standard for the design October 2015 MARINE LOG 31

Safety and siting of warning notices and symbols that may be universally understood by ship and shore personnel. Indeed, on many ships, no attempt is made to provide any such labelling at points of access.

Cargo spaces Warning notices alone will not overcome the problem as otherwise professional and well trained seafarers continue to enter enclosed spaces. In May last year, three crew members on board a cargo ship lost

t heir lives af ter entering a cargo hold loaded with sawn timber, a cargo known to cause oxygen depletion.

Another part of the solution must also lie in improved levels of education and training of both ship and shore personnel. Reference is made to IMO Resolution A.1050(27) “Revised Recommendations For Entering Enclosed Spaces Aboard Ships” adopted in 2011. These recommendations provide, inter alia, that shipowners must adopt a comprehensive safety strategy

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to prevent accidents on entry to enclosed spaces, and that procedures for enclosed space entry are included among the key shipboard operations concerning safety of personnel and the ship. The recommendations also provide that no person should open or enter an enclosed space unless authorized by the master or the nominated responsible person, and unless the appropriate safety precautions laid down for the particular ship have been followed.

De spite t he t ra i n i ng requ i rement s included in the revised recommendations, IMO has recognized that more needs to be done to respond to t he continuing loss of life from personnel entering shipboard enclosed spaces. This has taken the form of amendments to SOLAS regulation III/19 “Emergency training and drills”, which entered into force on January 1, 2015, and requires that enclosed space entry and rescue drills are to be conducted at two month intervals.

Moreover, IMO has recently seen f it to rectify the anomaly that until now, no industry wide requirements have been in place, requiring all vessels to carry atmosphere testing instruments.

However, for all of this to be effective, it is necessary that ship staff, with the support of shore management, perform mandatory drills, training and actual entry procedures with a dedication and seriousness that ref lects the dangers that attend enclosed space entry. A Permit to Work must be completed and signed off at the site of the task so that it is contemporary and reflects the actual hazard and safety needs of the operation. On every occasion before carrying out a job, pre-work meetings need to be arranged to identify who does what, the tools needed to identify the risks involved and what to do if something goes wrong.

Drills and training should be planned and be used as an opportunity to assess the challenges of rescue from the variously identified enclosed spaces on board.

Training should also emphasize to crew the importance of raising the alarm when persons are found to be in difficulty within an enclosed space, and that any rescue is properly coordinated in accordance with practiced procedures. Comprehensive record keeping and interactive post drill de-briefs will assist in identifying any weaknesses in procedures and promote crew ownership of the training program.

Last but not least, a zero tolerance culture to unplanned and unprepared entry into any enclosed space should be rigorously enforced and ingrained into all personnel, on board and ashore. ■

Innovations

Breaking the Mold

By Shirley Del Valle, Managing Editor

Chicago will be home to the world’s first floating island, the Breakwater Chicago

T

he United States was molded by the entrepreneurial spirit.

It sparked the creation of the transcontinental railroad system, the formation of the assembly line by Ford, and even the iPhone. That spirit is once again on display in Chicago where Beau D’Arcy, Breakwater Chicago’s Co-Founder and President is bringing his dream of creating a “Catalina” in Chicago to fruition.

The goal is to create a one-of-a-kind floating island that will be the go-to destination for boat passengers on Lake Michigan.

“I have family that lives in Los Angeles and sails out to Catalina, where they can enjoy a nice lunch and a glass of wine, and still be back in LA that night,” explains D’Arcy. “I caught myself saying, ‘Why don’t we have a Catalina in Chicago?’” That, says D’Arcy, was the moment the light bulb went on and the wheels were set in motion for the creation of a floating island that would serve as a remote boating destination featuring swimming pools and restaurants on board.

Breakwater Chicago will be a 300 ft by 100 ft USCG Subchapter H passenger vessel on a barge-type platform that will safely accommodate 2,700 guests and 300 staff members. As D’Arcy tells Marine Log, the floating island will offer guests a “portfolio of entertainment options, including three restaurants, spa, shops, swimming pools, sunning decks, lounge, private club and event spaces.”

Guests can get to the island by their own boat or by water taxi.

In winter, Breakwater Chicago will be tugged in and docked shoreside. This, assures D’Arcy, will allow guests to walk directly on and off the island while the lake is frozen. He adds, “The entire vessel will then be enclosed in a clear dome, thus allowing our venue to continue providing a summer-like experience even when the outdoor temperatures plummet below freezing.

Inside the dome, guests will be able to lay out at our pools, work on their suntans, enjoy a beverage and the beautiful view, and feel like they’ve escaped from the ‘Chiberian’ winter, even if just for a short time.” D’Arcy points to the use of similar dome materials and construction techniques for the new football stadium for the Minnesota Vikings and several other planned NFL stadiums.

From Concept to Construction To make the Breakwater Chicago a tangible reality, D’Arcy created a Kickstarter Campaign in 2014. The campaign more than doubled its original goal, generating $60,000 in donations from more than 700 backers. While $60,000 is just a drop in the bucket when you consider the project could amount to $23 million, the campaign helped generate buzz and got the ball rolling.

This project won’t mark the first time a barge has been used for creating a communal entertainment space. Seven years ago the Floating Pool lady, a barge featuring a pool was moored on the East River in New York City. The original Lady still sits on the river, most recently at Barretto Point Park in the Bronx, NY, providing free pool access to an underserved community. New York also has plans to add additional floating pools in the future.

That spirit of creating and giving back to the community is what D’Arcy is after. For Breakwater Chicago, D’Arcy hopes the floating island will enchant the community as much as the city of Chicago enchanted him as a kid.

“I grew up in the suburbs just outside of Chicago, in a small town called Plainfield, but my dad worked in the city,” says D’Arcy.

“When I was a kid, my mom, sister and I would take the train to the big city to visit my dad, and go to staple Chicago attractions.

There’s just something special and enchanting about Chicago and I realized that at an early age.”

“As the idea behind Breakwater Chicago began to take shape, it was suggested to me that Breakwater could become another iconic feature for Chicago. That was a wide-eyed moment for me personally; to think that a kid from Plainfield, IL, could do something at that level,” says D’Arcy.

The company is working with Elliott Bay Design Group, Seattle, WA, and has formed the Breakwater Sustainability Committee made up of local experts to ensure that the floating island is as efficient and sustainable as possible. Want more? Visit marinelog.com for more details on the Breakwater Chicago. ■ October 2015 MARINE LOG 33

newsmakers

Wärtsilä names Holm President of Marine Solutions business Wärtsilä Corporation has appointed Roger Holm M. Sc. (Econ.) as President of Marine Solutions, E xecutive V ice President and Member of the Board of Management effective November 1, 2015. In his new role, Holm will be responsible for Wärtsilä’s Marine Solutions global business.

Intermarine, LLC, a transporter of project, breakbulk and heavylift cargo, has named Lars Bonnesen as Chartering Director, Europe. Bonnesen has more than 25 years of experience in the heavylift and project cargo markets, holding positions throughout the U.S., Singapore and Malaysia.

To help meet increasing demand, Silverstream Technologies, purveyors of air lubrication technology for the shipping industry, have appointed Stephen Potts as its new Head of Supply Chain. Potts joins Silverstream from super yacht manufacturer Sunseeker International.

Michael Giresi has been named Senior Vice President and Chief Information Officer for Royal Caribbean Cruises Ltd. Giresi joins Royal Caribbean with more than 20 years of experience in implementing technology initiatives for leading brands, such as, Tory Burch LLC, where he recently served as Senior Vice President and CIO, and Direct Brands, Inc. MTN has named George Whitehouse its new Director of Business Development for Yacht Services.

Bollinger Shipyards, LLC, Lockpor t, LA, has announced that its very own VP of Quality Management System, Dennis Fanguy has been named the recipient of SNAME’s 2015 William M. Kennedy award.

The award is presented for outstanding service and contribution in the development of systems and planning applying to shipbuilding and ship repair.

The SCHOTTEL Group will s t reng then it s Nor th American lineup with the addi t i o n o f S va n t e Fielding and Randall Freeman (pictured) to its SCHOT TEL Inc, Houma, LA, branch. Fielding is now Vice President of Operations. Freeman was named Operations Manager.

KVH Industries, Inc, Middletown, RI, has named Mike Mitsock Vice President of Marketing for the company. Mitsock’s experience covers all areas of marketing, including product marketing, communications, public relations, and social media.

Bristol Harbor Group, Inc. made two additions to its naval architecture and marine engineering practice over the summer with the appointments of of Zachary Gilfus and Marissa Stutzman. Gilfus joined the group back in August as Naval Architect and Marine Engineer. Meanwhile, Stutzmn joined BHGI as Mechanical Engineer in June.

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techNews New thruster takes aim at inland waterways

Predicting The Future Of Shipping Lloyd’s Register, along with QuinetiQ and the University of Southampton have joined forces to predict the future of shipping. Together, they have concluded that eight technologies will transform commercial shipping.

“The marine world in 2030 will be a connected and digital one, bringing closer integration between people, software and hardware in a way that could transform the way we operate,” says LR’s Marine Marketing Director, Luis Benito. “We know technology is changing our world and there is a great deal of overlap between technologies and how they combine will be important.”

According to the group’s 96-page report, Global Marine Technology Trends 2030, the eight technologies, which include: (1) advanced materials; (2) big data analytics; (3) robotics; (4) sensors; (5) propulsion and powering; (6) communications; (7) shipbuilding; and (8) smart ships, are expected

to have a profound impact on how ship systems are designed and operated over the next 15 years.

Lloyd’s Register says there’s a move toward autonomous operation—moving away from human operators to machines. In fact, LR predicts machines will perform more of the mundane, as well as dirty and dangerous tasks. This will help achieve a higher level of safety and efficiency.

The report identifies two groups of technology drivers—those that will transform the ship design and build space; and those technologies that will drive safety, commercial and operational performance.

“Shipping is likely to evolve quickly now,” says Tom Boardley, LR’s Marine Director.

“The evolution is likely to be uneven but while 2030 is not far away, we think that shipping is likely to have changed [by then] significantly.” You can read the entire report www.lr.org on marinelog.com

The inland waterways will soon benefit from the latest addition in Wärtsilä’s thruster product portfolio. The company’s new Wärtsilä WST-14 steerable thruster is aimed primarily at inland waterway cargo vessel applications.

The WST-14’s straight forward, reliable, space-saving compact design features an integrated slipping clutch that provides a cost competitive solution for maneuvering when combined with a fixed pitch (FP) propeller, and the ability to maintain and service the propeller shaft and steering seals without requiring a complete overhaul of the thruster.

Wärtsilä says the WST-14 is also attractive for other marine applications, such as tugs, where maneuvering in harbors and ice conditions is required. And, when compared to conventional fixed pitch (FP) and controllable pitch (CP) propeller drive line solutions, the WST-14 thruster enables a greater load capacity for the vessel, offering an increase in revenues for the owner/operator since more cargo can be transported. www.wartsila.com

Trojan Marinex BWT chosen for retrofit program The Trojan Marinex Ballast Water Treatment (BWT) system has been selected to retrofit 12 vessels owned by Turkey-based Ulusoy Denizyollari Isletmeciligi A.S. The system combines filtration and UV in a single, compact unit, and is the first in the world to have been submitted for USCG Type Approval.

“Being the first in the world to have submitted for United States Coast Guard Type Approval, we are committed to providing vessel owners the certifications they need to not interrupt their business of trade,” says Christian Williamson, Senior VP, Trojan Technologies.

The system is tested and approved to one of the lowest UV transmittance values in the

industry, under full flow conditions, and in all three salinity ranges: fresh water, brackish water, and marine water. The entire product suite has achieved IMO Type Approval and USCG AMS Acceptance “Ulusoy required not only regulatory compliance confidence but also a solution that was both compact and seamless to operate, minimizing disruption to the vessel and crew,” adds Williamson.

Mesut Cesur, General Manager, Ulusoy Denizyollari Isletmeciligi A.S. expressed confidence in the system, stating that the Turkish company was impressed with Trojan’s commitment to obtain USCG Type Approval; and it feels the system is the best fit for its vessels. www.trojanmarinex.com October 2015 MARINE LOG 35

contracts Shipyard Contracts Marine Log welcomes your input. If you would like to report any new contracts, deliveries or changes to our listings, please e-mail: marinelog@sbpub.com. Some contract values and contract completion dates are estimated. Information is based on best available data on or about September 1, 2015. A more complete listing of Shipbuilding Contracts, Vessel Deliveries, and a Shipyard Directory are available on Marine Log’s Shipbuilding Intelligence website, www.shipbuilding.marinelog.com Shipyard

Location

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

RECENT CONTRACTS Burger Boat co.

Manitowoc, WI

1

Megayacht

103 ft6 in.

Undisclosed

2017-2Q

Nichols Bros. Boat Bldrs.

Whidbey Isl., WA

2

Tugs

120 ft x 35 ft

Kirby Offshore Marine

2017

Southwest Shipyard

Houston, TX

1

Car Ferry

161 ft x 52 ft, 28 cars

Texas DOT

2017-1Q

DELIVERIES Blount Boats

Warren, RI

1

Tanker

79 ft x 23 ft

American Petro. & Trans.

2015-3Q

Conrad Shipyard Diversified Marine

Amelia, LA Portland, OR

1 1

Bunker Barge Tug

361 ft, 55,000 bbl 80 ft 36 ft

Vane Bros.

Harley Marine Services

2015-3Q 2015-3Q

Rozema Boat Works

Mt. Vernon, WA

1

Spill Response Boat

65 ft

WCMRC

2015-3Q

Silver Ships

Theodore, AL

1

Survey Boat

48 ft x 17 ft

U.S. Army CoE

$4.5

2015-3Q

PENDING CONTRACTS

NOTES

Aker Philadelphia

Philadelphia, PA

4

Tankers

50,000 dwt

Crowley Maritime

$500

BAE Systems Southeast

Mobile, AL

2

Dump Scows

7,700 cu. ft.

Great Lakes Dredge

2017

BAE Systems Southeast

Jacksonville, FL

1

Tug

141 ft x 46 ft, 12,000 bhp

Seabulk Tankers Inc.

Option

Bay Shipbuilding

Sturgeon Bay, WI

1

ATB

8,000 hp/155,000 bbl

Plains All American Pipeline

Option

Kvichak Marine

Seattle, WA

30

Skimmers

30 ft 3 in x 9 ft 8 in

U.S. Navy

Opt. to 2019

Leevac Shipyards

Jennings, LA

2

PSVs

300 ft x 62 ft

Tidewater

Options

TBD

1

Double-end ferry

70-car similar to Pocohontas

VDOT

TBD

6

Car ferries

1,200 PAX (convert to LNG)

Washington State Ferries

RFP issued

TBD

3

Double-end ferries

4,500 PAX

NYCDOT

$309

EBDG design

TBD

3

Pass./vehicle ferries

1,000 PAX/100 vehicles

DRBA

$101

2018-2021

TBD

1

School ship

National Security Multi-Miss.

U.S. DOT

Options

$25

2018-2020

$5

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AD INDEX Index of Advertisers Company Page #

Company Page #

ABS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

Karl Senner LLC. . . . . . . . . . . . . . . . . . . . . . . C2

Art Anderson Associates . . . . . . . . . . . . . . . 29

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

CENTA Corporation. . . . . . . . . . . . . . . . . . . . 11

Marine Art of J. Clary. . . . . . . . . . . . . . . . . . . . 4

Clark Cooper. . . . . . . . . . . . . . . . . . . . . . . . . 24

Nautican . . . . . . . . . . . . . . . . . . . . . . . . . . . . C4

CLEAN GULF . . . . . . . . . . . . . . . . . . . . . . . . . . 7

Omnithruster Inc.. . . . . . . . . . . . . . . . . . . . . 32

DNV-GL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

R.W. Fernstrum & Company . . . . . . . . . . . . . . 4

Electric & Hybrid Marine World Expo. . . . . . . 9

Renishaw . . . . . . . . . . . . . . . . . . . . . . . . . . . 36

Europort.. . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

RSC Bio Solutions. . . . . . . . . . . . . . . . . . . . . 30

Everblast Inc. . . . . . . . . . . . . . . . . . . . . . . . . 28

Scania USA, Inc.. . . . . . . . . . . . . . . . . . . . . . 34

FloScan Instrument Company . . . . . . . . . . . 37

Steel of West Virginia, Inc.. . . . . . . . . . . . . . 12

Furuno. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Viega. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

GPA. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28

Vigor Industrial. . . . . . . . . . . . . . . . . . . . . . . 26

Great American Insurance Group . . . . . . . . 15

W채rtsil채 Corporation . . . . . . . . . . . . . . . . . . 13

Japan Radio Co., Ltd. . . . . . . . . . . . . . . . . . . 14

DESIGN

ASSE

SSED

October 2015 MARINE LOG 37

marketplace ENGINEERS & ARCHITECTS GILBERT ASSOCIATES, INC.

KEEL DESIGN CORPORATION

Naval Architects and Marine Engineers

naval architects & marine engineers Quality Technical Services

350 Lincoln St. Suite 2501 Hingham, MA 02043

Website www.jwgainc.com

2021 Dauphine Street • New Orleans, LA 70116 (800) 823-1324 (504) 945-8917

Telephone: 781 740-8193 Facsimile: 781 740-8197 E-mail address: inbox@jwgainc.com

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813.654.9800

ABS Approved Ambient Environmental Testing Climate, Lighting, Noise & Vibration 1 Galleria Blvd. Ste 907 Metairie, LA 70001 Phone (504) 818-0377 x 33 Fax (504) 818-0447 www.hab-cert.com

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PHONE: (954) 563-7071 FAX (954) 493-9559

47th

2014

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Ultrasonic flaw detection Vibration - noise structural/modal analysis

Contact: Jeanine Acquart Ph: 212/620-7211 Fax: 212/633-1165 Email: jacquart@sbpub.com

Habitabilaty Certification Testing MR Dec13 3 by 1.indd 1

Field balancing Torque - torsional vibration analysis Predictive Maintenance IR - thermography measurements

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11/14/2013 3:58:18 PM

marketplace products & services

employment

FLEET ENGINEER HARLEY MARINE SERVICES

SOFTWARE

Open Positions: Vice President/Senior Director of HSQ – Seattle, WA General Manager – Alameda, CA Operations Manager – Alameda, CA Offshore Fleet Manager – U.S. Gulf Coast Port Engineer – Seattle, WA; Brooklyn, NY Port Captain – Seattle, WA Training Manager – Seattle, WA Regional Marine Safety Advisor – San Pedro, CA Nighttime Dispatch Assistant – Seattle, WA Port Mechanic – San Pedro, CA For a list of all open crew positions or to apply online, please visit our Careers page at www.harleymarine.com

Andrie Inc., a Michigan based marine transportation company is seeking a highly motivated individual to fill the position of Fleet Engineer to assist in the development of equipment and repair budgets, direct the repair of equipment, prepare cost estimates for repairs, retrofits, shipyard work, and perform scheduled machinery and vessel inspections to assure proper operation and maintenance.

Must be available on short notice to attend fleet emergencies as required. Job requires travel up to 60% of the time performing vessel visits, extended stays on projects at shipyards, repair facilities, etc. Potential relocation to the Chicago, Illinois area is possible.

We offer excellent pay, bonus program, profit sharing, 401k, medical, dental, vision, flexible spending account, paid vacation, education assistance, life and long term disability. Salary commensurate with experience.

For a complete job description and position requirements please contact: Michelle Burke Human Resources Coordinator Andrie Inc. (231) 332-9234 mburke@andrie.com

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October 2015 MARINE LOG 39

Environmental Forum

SHIPS IN NEED OF ASSISTANCE Following a high number of cases, where ships in need of assistance have been refused a place of refuge by ports or coastal states, due to concerns about pollution, it has become clear that the incomplete state of salvage law, and the lack of control over how a ship in distress is assisted, endangers a successful salvage, as well as the lives of crew and the safety of the ship and its cargo.

To an increasing degree, when a major casualty occurs, a successful salvage operation requires the support of coastal states, and political authorities ashore.

Recent incidents in various parts of the world, involving the Msc Flaminia, Prestige, Rena, Costa Concordia, Cosco Busan and Deepwater Horizon, among others, have demonstrated the difficulty caused by political interference, lack of support, and an overheated media atmosphere. Salvors are not much different from others in the shipping industry: not necessarily prepared to deal with press, politicians and the public. It is clear that the storm of publicity can impede a successful job of environmental salvage—and most salvage, nowadays, is highly environmental in nature.

IMO Resolution A. 949, “Guidelines on Places of Refuge for Ships in Need of Assistance,” and IMO Resolution A. 950, which recommends that all coastal states establish a maritime assistance service, have done

little to resolve the need for coordinated and effective response. This is particularly important in handling a request for a place of refuge from a ship in need of assistance.

Commercial salvors are often the “first line of defense” in protecting the environment, and in saving human lives and property when a disaster occurs at sea.

In the United States, it is understood that, consistent with the National Contingency Plan, salvors will carry out the orders of the Federal On-Scene Coordinator/Unified Command. However, the reality can often be different, and we have been very lucky that containership fires, for example, have not occurred to a notable degree in or near the United States. Could a state, for example, or a port city, bar a burning containership—or any other vessel in distress—from entering port limits as a place of refuge. United States’ law is a bit patchy.

For example, the provisions of the Oil Pollution Act of 1990 provide for Certificates of Financial Responsibility (COFRs). But would a COFR cover an incident, such as a containership fire. Is the Incident Command System equal to the need to provide a port or place of refuge? In a major incident, the first challenge to salvors is likely to be political.

We may remember the impact of Governor Bobby Jindal of Louisiana, and Plaquemines Parish’s executive Billy Nungesser, during

MarineLoG

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A Simmons-Boardman Publication 55 Broad Street, 26th Floor New York, N.Y. 10004 Tel: (212) 620-7200 Fax: (212) 633-1165 www.marinelog.com

UNITED STATES New York Sales Office 55 Broad Street, 26th Fl New York, NY 10004 U.S. Gulf Coast and Mexico Jeff Sutley National Sales Director Tel (212) 620-7233 Fax (212) 633-1165 E-mail: jsutley@sbpub.com U.S. East Coast, Midwest, West Coast and Canada Ian Littauer Regional Sales Manager Tel (212) 620-7225 Fax (212) 633-1165 E-mail: ilittauer@sbpub.com

40 MARINE LOG October 2015

By Clay Maitland, NAMEPA Founding Chairman

the prolonged Deepwater Horizon ordeal.

We may also remember the impact of California’s two U.S. senators in the aftermath of the Cosco Busan episode in San Francisco. If the problem of political interference occurs, it is likely to be combined with denial of a place of refuge.

We might be unrealistic in hoping in state or legislative action. We should, however, deal with the important need for effective public relations. Every salvor should have a well-trained public affairs officer, educated in environmental issues. It is imperative to have someone who can effectively communicate with public officials and the media.

The Greenpeace factor, or what U.S. Coast Guard RADM Linda Fagan calls “kayaktivists,” must be taken into account in planning any successful salvage operation.

Which raises the subject of drills. The more inclusive these drills are, including “working out the public and political issues,” which usually are environmental, the better.

Learning in the midst of a crisis is not helpful, except in retrospect.

Most important, the environmental benefits of salvage must be explained to the public. An effective and understandable narrative must be part of the script, and prepared well in advance of the challenges that come when an incident occurs.

WORLDWIDE Marine Log (UK) Suite K5 & K6, The Priory Syresham Gardens Haywards Heath RH16 3LB UNITED KINGDOM International Louise Cooper International Sales Manager Tel: +44 1444 416368 Fax: +44 1444 458185 E-mail: lcooper@sbpub.com

www.namepa.net

China and Korea Young-Seoh Chinn JES Media International 2nd Fl. ANA Bldg.

257-1, Myungil Dong, Kangdong-Gu Seoul 134-070, Korea Tel: +822-481-3411 Fax: +822-481-3414 e-mail: jesmedia@unitel.co.kr Classified Sales Jeanine Acquart Classified Advertising Sales 55 Broad Street, 26th Fl New York, NY 10004 Tel: (212) 620-7211 Fax: (212) 633-1165 E-mail: jacquart@sbpub.com

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