September 2016 Marine Log

Commercial fishing: Eastern Canada’s lifeblood

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

www.marinelog.com

SEPTEMBER 2016

HIGHWAY to the

HEARTLAND The Great Lakes Report

CEO Spotlight: Allard and Short Matson orders two CONROs Will OSV delivery dates slide further?

contents

SEPTEMbER 2016 Vol. 121, NO. 9

33 departments 4 Editorial Ferry builders under the microscope

6 Update

23

Fincantieri Bay Shipbuilding was busy this past winter performing drydock work on a number vessels, including the American Spirit

features 14 CEO Spotlight

A tale of two shipyards

Marine Log interviews the President of Horizon Shipbuilding, Travis Short, and President of Metal Shark, Chris Allard. The two yards recently won the contract to build 19 vessels — 14 by 2017, five by 2018 — for New York’s Citywide Ferry fleet

20 Shipyards

Orders for new ships down dramatically

During the first half of 2016 orders for new ships worldwide dropped by 65 percent, but certain sectors offer the industry a glimmer of hope

23 Regional Focus

Thriving business

Shipyards along the Great Lakes, such as Fincantieri Bay Shipbuilding and Great Lakes Shipyard, continue to invest in and generate business for the region

The opportunity belt

Ports in the Great Lakes and St. Lawrence Seaway push for expansion in hopes of becoming the “go-to” destination

The comeback king

Eastern Canada’s fishing industry is an example of perseverance and prosperity

35 NAVIGATION

Out with the old

Canada’s Department of National Defence plans to give the Royal Canadian Navy’s Victoria class of submarines an upgrade

38 Design Profile

Let me take you down

The latest towboat designs are incorporating features such as retractable pilothouses to provide owners and operators with flexibility

•M atson orders two Con-Ro ships from NASSCO •M aersk Supply to shed vessels and cut jobs •P asha ushers in new era of cargo operations • I ndustry legend passes away • Tug expansion: Vane Brothers continues to add to its fleet •A ustal’s new China venture wins ferry contract •D ata recovered from El Faro’s VDR •C rowley takes delivery of new LNGready tanker

13 inside Washington U.S. Coast Guard issues final rule for TWIC 42 Newsmakers Crowley Maritime names veteran executive to new VP role 43 Tech News Damen and Evoqua debut new plug and play BWMS

45 Contracts Conrad delivers ATB tug to Vane Brothers

48 Marine Salvage So long sweet summer

September 2016 MARINE LOG 1

MarineLoG September 2016 Vol. 121, NO. 9 ISSN 08970491 USPS 576-910

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editorial

Ferry builders under the microscope Sparks are flying at Horizon Shipbuilding and Metal Shark as the two shipyards cut aluminum for 19 new 149-passenger catamarans for New York’s new Citywide Ferry Service. Both shipyards will be under the microscope, and in the largest media spotlight in the world, because of all the political capital being waged on the start up of the new service by next spring. New York City Mayor Bill de Blasio’s $325 million plan for the Citywide Ferry Service is bold and ambitious and any slip up could cost the Mayor his re-election bid in the fall of 2017.

In this issue, we profile the two progressive entrepreneurs that are building the ferries in our CEO Spotlight—Travis Short, Owner and President, Horizon Shipbuilding, and Chris Allard, Owner and President, Metal Shark Aluminum Boats. They talk candidly about how they will meet the ambitious build schedule and what the contract means to the future of their companies.

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

which he details the vitality of Eastern Canada’s commercial fishing sector. While the lobster is the “money” catch, Kerry reports that a certain groundfish is making an historic comeback.

And speaking of contracts, as you can see in this month’s Update, Matson Navigation had signed a contract worth more than half a billion dollars with General Dynamics NASSCO for the construction of two 3,500TEU, LNG-Ready CONROs. The ships would be the 30th and 31st LNG-powered or LNGReady oceangoing vessels in operation, under construction or on order under the U.S.-flag.

That’s a pretty impressive jump in new tonnage that will burn an alternative fuel. Now, where’s the LNG bunkering infrastructure?

In a series of articles for this month’s cover story, we write about the shipping and shipbuilding activity in and around one of the largest trade corridors in the world—the Great Lakes-Saint Lawrence Seaway. The region has an economic output that is larger than Germany’s.

If you like lobster or like me, lobster rolls, then your interest should be piqued by Kerry Hann’s piece, “The Comeback King,” in

Don’t forget to renew your subscription Thanks again for being a loyal reader. Our goal, through our Marine Log media network of print and digital magazines, daily newsletter, website, and conferences, is to bring you the best possible information on the everevolving marine market, so that you can use it to make sound business decisions about your company and your career. If you like being part of our marine community, don’t forget to renew your subscription. You can do it quickly online at www.marinelog.com/subscribe. Just a few minutes of your time now will ensure that you don’t miss an issue all year long.

Maritime Trivia Trivia Question #41: What was a “Gone West” sea burial?

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August’s trivia question: When it was allowed on the deck, what was “taking a nap” called?

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UPDATE biz notes Maersk Supply to shed vessels, cut jobs

Matson orders two Con-Ro ships from NASSCO General Dynamics NASSCO will build two new combination container and roll-on/ roll-off (Con-Ro), LNG-capable containerships for Matson Navigation Company Inc. The Kanaloa class vessels will complete the renewal of Matson’s Hawaii fleet. Construction is expected to begin early 2018, with delivery scheduled for the end of 2019 and mid-year 2020, respectively.

The 870 ft long, 3,500 TEU Kanaloa class vessels will feature an enclosed garage space for up to 800 vehicles, and transport containers, automobiles and rolling stock, including trailers.

The new ships will replace three dieselpowered vessels and are expected to be more fuel-efficient and add rolling stock carrying capacity while lowering maintenance cost.

NASSCO says that once the Jones Act qualified vessels are delivered the two will serve a trade route between the continental U.S. West Coast and Hawaii.

“This vessel order underscores Matson’s long-standing commitment to serve Hawaii with the largest, most reliable, efficient and environmentally friendly fleet for the longterm,” says Matt Cox, President and CEO of Matson. “The Kanaloa Class ships will be built specifically to meet Hawaii’s freight demands while reducing our environmental impact and improving our efficiency for decades to come.”

The ships, named Lurline and Matsonia, will be equipped with a number of state-ofthe-art green technology features, including a fuel-efficient hull design, environmentally safe double hull fuel tanks, fresh water ballast systems and dual-fuel engines.

The two ships will operate at speeds of up to 23 knots, burning either conventional fuel oils or LNG that meet Tier III emission requirements. The design also leaves room for the future installation of an LNG fuel gas system.

Maersk Supply Services will cut its fleet by up to 20 vessels and reduce its crew pool by 400 offshore positions by the end of this year. According to Maersk Supply Service, the plan is in response to vessels in lay-up, limited trading opportunities and the global over-supply of offshore supply vessels in the industry.

The first 10 vessels are expected to exit the fleet within 2016. As a consequence of the fleet reduction and the flagging of existing project vessels to the Isle of Man registry, 400 crew members will be laid off.

“One of Maersk Supply Ser vice’s pr ime objec tives is to at tempt to restore the supply demand balance in the offshore supply market. This is why the vast majority of the divested vessels will be recycled or modified by their new owners to compete outside their present segments,” says CEO of Maersk Supply Service, Jørn Madsen.

Maersk Supply Service will flag its four “Stingray” subsea support newbuildings under construction at China’s COSCO Dalien shipyard to the Isle of Man registr y. Additionally, a commercial hub will be established in the United Kingdom consolidating ownership and operation of the company’s project vessels. This includes the “Stingray” vessels and five existing project vessels that will also be flagged to the Isle of Man registry.

Two D’Amico engineers plead guilty in pollution case Two senior engineering officers employed by Italian shipping company D’Amico have admitted that they deliberately concealed their vessel’s discharge of oil waste into the sea, according to U.S. Attorney Paul J. Fishman.

Chief Engineer of the oil tanker, the M/T Cielo di Milano, Girolamo Curatolo, pleaded guilty to one count of conspiring to violate the Act to Prevent Pollution from Ships.

Meanwhile, the ship’s first assistant engineer, Danilo Maimone, pleaded guilty to conspiring to obstruct justice.

According to documents filed in the case and statements made in court, Curatolo 6 MARINE LOG September 2016

stated that crew on board the D’Amico Shipping Italia S.p.A. vessel—which had visited multiple ports in New Jersey, Maryland and Florida—intentionally bypassed required pollution prevention equipment by discharging oily waste from the engine room through its sewage system into the sea. Curatolo also admitted that he falsified the vessel’s Oil Record Book.

False statements were made by Curatolo to the Coast Guard during inspection of the M/T Cielo de Milano in January 2015.

He also admitted that lower-level crew members were instructed to make false statements and destroy the vessel’s sounding log. The log records the contents of

storage tanks aboard the vessel, including those containing oily waste.

Maimone admitted to concealing the discharge of oily waste, as well as causing a false Oil Record Book to be presented to the Coast Guard during its inspection of the vessel. He further admitted to making false statements and instructing lower-level crew to make false statements during the January 2015 inspection.

The charges the two pleaded guilty to each carry a maximum penalty of five years in prison and a maximum fine of $250,000—or twice the gross gain or loss resulting from the offenses. Both will be sentenced on November 21, 2016.

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UPDATE Industry legend passes away

Pasha GROUP ushers in new era of cargo operations at the Port of San Francisco Pasha Line’s 12,424 dwt Roll-On/RollOff ship M/V Jean Anne called on the Port of San Francisco last month with some 500 autos onboard for Northern California dealerships, ushering in vehicle import and export by ship at the port’s 69-acre cargo terminal Pier 80. Pier 80 is San Francisco’s primary general cargo terminal. It consists of 69 acres of cargo laydown space, two warehouses, and four deep-water berths.

Pasha Automative Services (PAS), a subsidiary of the family-owned Pasha Group, San Rafael, CA, signed a new 15-year lease agreement with the port to allow the import and export of vehicles by ship at Pier 80, with on-terminal automobile preparation and detailing services.

The Pasha Group is a family-owned, multi-faceted transportation company with shipping services on the U.S. West Coast and Hawaii. PAS currently operates automobile marine terminals in San Diego and Grays Harbor, WA. The delivery marks a return to its roots for Pasha as well a new beginning for cargo

operations at the Port of San Francisco.

“Pasha Automotive’s transformation of Pier 80 reopens our city as a national hub for shipping and trade,” said San Francisco Mayor Edwin Lee. “The revival of a once thriving industry ushers in a new era of commerce at the Port of San Francisco, bringing economic growth and creating hundreds of new local skilled-worker jobs in the Southeast neighborhoods.”

Pier 80 will employ 50 longshore workers during vessel operations and as automobile processing reaches capacity, it is anticipated that 150 new employees will be hired.

“Not only are we returning to our roots in San Francisco, but we are transforming this underutilized pier to a facility requiring a maritime use to serve customers and create local jobs,” said John Pasha, Senior Vice President of Pasha Automotive Services.

“As a company, we are committed to ensuring that maritime users are supported, and that our country’s valuable waterfront assets receive the investment they need to serve commercial, not just recreational uses.”

The U.S. maritime industry lost one of its strongest advocates last month. Former Federal Maritime Commission chairman and five-term U.S. Congresswoman, Helen Delich Bentley passed away at the age of 92.

Throughout her 70-plus year career, Delich Bentley worked tirelessly to promote the advancement of the U.S. industrial/manufacturing base and its maritime community.

She began her carrer at the Baltimore Sun where she was dispatched to the waterfront to revive coverage of the port.

Then, in 1969, President Richard Nixon appointed Delich as the Chairman of the Federal Maritime Commission— making her the fourth-highest ranking woman in the history of America’s federal government, and the highest ranking woman in his administration. She was also the first woman to serve in a key governmental position in the maritime field and the first woman appointed by a President to head a regulatory agency.

Bentley was a principal architect of the Nixon Administration’s 1970 Merchant Marine Act. The Act established a level of government support for building tankers and bulk carriers in U.S. shiypards.

From the FMC she went on to serve as a congresswoman for five terms, representing Maryland’s 2nd Congressional District. After leaving Congress in 1995, she formed a maritime consultancy in Baltimore, Helen Bentley & Associates.

In 2004, the Governor of Baltimore renamed the por t The Helen Delich Bentley Port of Baltimore.

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Inland • Coastal • Offshore • Deepsea

Tug expansion: Vane Brothers continues to add to its fleet Vane Brothers, Baltimore, MD, is in the middle of a fleet expansion with the addition of three class of tugs to its fleet.

The classes are being built at three different shipyards.

One of those new classes of tugs, the Assateague Class, Articulated Tug Barge (ATB) tugs, was designed by naval architect and marine engineering firm Castleman Maritime, LLC, of Clear Shores, TX. The 110 ft x 38 ft tugs are being built at Conrad Orange Shipyard, Orange, TX. The first tug in the class, the Assateague, will be delivered in late 2017, followed by the Chincoteague and Wachapreague in 2018.

Each tug will feature a raised forecastle and will be powered by two Cummins QSK60 diesels driving open propellers through Reintjes reduction gears. Two 125-kW Cummins generators and a 60 kW Cummins emergency generator will power the tug’s electrical systems.

The three tugs will be mated with three 800 Series 80,000 bbl tank barges, also being built by Conrad.

Additionally, Vane Brothers recently took delivery of the latest tug in its Sassafras class.

The 3,000 hp tug Fort McHenry is the most recent in the 12-vessel series to be built by Chesapeake Shipbuilding, Salisbury, MD. Designed by Frank Basile, PE, of Entech Designs, LLC, Kenner, LA, the Sassafras class of tugs is 94 ft x 34 ft x 12 ft, and is powered by two Caterpillar 3512 Tier 3 main engines.

The tugs are also fitted with a Jon-Rie series 500 hydraulic towing winch.

Basile also designed the Elizabeth Anne Class tugs being built for Vane Brothers by

St Johns Ship Building, Inc., Palatka, FL. This past May, Vane Brothers took delivery of the second tug in the class, the 4,200 hp Hudson. The 100 ft x 34 ft x 15 ft Hudson has two Caterpillar Tier 3 main engines, each producing 2,100 hp at 1,600 rev/min.

Reintjes gearboxes were supplied by Karl Senner, LLC. Two John Deer PowerTech 4045, 99 kW generators deliver service power to the boat, while a third John Deere 4045 teamed with an Allison transmission drives the chain-driven INTERCON DD200 towing winch.

Austal’s new China JV wins ferry contract Aulong Shipbuilding, a joint venture between Austal and Guandong Jianglong Shipbuilding, Zhuhai, China, has been awarded an A$10 million (about $7.6 million) contract to build a 42 m high-speed aluminum ferry for Chinese mainland operator, Blue Sea Jet. The ferry, based on a proven Austal design that optimizes performance, fuel efficiency and passenger comfort, can carry 288 passengers on the Zhuhai – Hong Kong route at speeds of 36 knots.

The contract was awarded to the shipyard less than two months after the joint venture was announced. The goal of the JV is to pursue commercial passenger and non-military vessel opportunities in mainland China.

“To win our first vessel to be built in China within weeks of setting up the join venture is a great testament to Austal and our joint venture partner, Jianglong Shipbuilding,” said Austal Chief Executive Officer, David Singleton.

Delivery of the ferry is expected to take place October 2017.

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September 2016 MARINE LOG 9

8/16/16 11:02 AM

UPDATE 26 hours of Data recovered from El Faro’s Voyage Data Recorder

THE FINAL MOMENTS OF THE EL FARO could be among the recordings retrieved from the Voyage Data Recorder (VDR) recovered by National Transportation Safety Board (NTSB) last month. After a couple of weeks, the NTSB was able to recover about 26 hours of information from the “black box.”

The 241 m TOTE cargo ship sank 39 nautical miles northeast of Crooked Island, Bahamas, during Hurricane Joaquin on October 2015.

The VDR was retrieved from the ocean floor on August 8, and transported to the NTSB’s lab on August 12. Investigators were

able to examine the VDR and download the memory module, recovering bridge audio, weather and navigational data.

According to the NTSB, a number of events leading up to the vessel’s sinking can be heard on the VDR’s audio, recorded from microphones on the ship’s bridge.

High levels of background noise degraded the quality of some of the recordings, but the NTSB was able to clear up some of the content using audio filters.

The recording begins about eight hours after El Faro departed Jacksonville, FL, at about 5:37 am on September 30, 2015, with the ship about 150 nautical miles southeast of the city.

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On the morning of October 1, the ship’s master and crew can be heard discussing their actions regarding flooding and the vessel’s list. At 6:13 am the vessel’s loss of propulsion was mentioned on the bridge audio. Also captured was the master speaking on the telephone, notifying shoreside personnel of the vessel’s critical situation, and informing them that he would be sending out an emergency distress signal.

The master sounded the abandon ship alarm at about 7:30 am on October 1.

The recording ended about 10 minutes later. The NTSB notes that these times are preliminary and subject to change— with final validation by the Voyage Data Recorder Group. The group is comprised of technical experts that will continue to review the entire recording, including crew discussions regarding the weather situation and the operation and condition of the ship.

The NTSB says it remains unknown how long it will take to develop a final transcript of the ship’s VDR—since the recording is long, and the high levels of background noise make the transcribing process time consuming.

Inland • Coastal • Offshore • Deepsea

Crowley takes delivery of new LNG-ready tanker

Crowley Maritime Corporation, Jacksonville, FL, has taken delivery of its latest Jones Act product tanker, the MT West Virginia. The LNG-ready tanker is the fourth delivered to Crowley from Philly Shipyard, Inc. The 600 ft long MT West Virginia, and its sister ships, Louisiana, Ohio and Texas, are the first-ever tankers to receive the ABS LNG-Ready Level 1 approval.

The 50,000 deadweight tons (dwt) vessel is capable of carrying 330,000 barrels of product that includes crude oil or refined petroleum products, as well as various

chemical cargoes.

Marathon Petroleum Corporation is the vessel charterer.

“The delivery of the West Virginia represents our total commitment at Crowley to providing the best performance for our customers with efficiency and innovative solutions,” said Crowley’s Rob Grune, Senior Vice President and General Manager, Petroleum Services. “The completion of West Virginia and its sister ships demonstrates our belief in the Jones Act trade, and our commitment to supporting our economy through U.S. shipbuilding and crewing.”

New Container Shipping Service launched In an at temp t to increase ef f iciency and savings for its customers, last month, Crowley announced that it was launching a new, weekly, fixed-day container shipping ser vice between Jacksonville and Costa Rica.

The two containerships in the service will call at the Jacksonville Port A u t h o r i t y ’s Tal l e y r a n d Te r m i n al .

T he ships will make por t calls in J ac k s o n v ille o n T hur s da y s , P o r t Ever g l ade s , F L , on Fr iday s , and arrive in Puerto Limon in Costa Rica on Wednesdays.

T he new ser vice is expec ted to save customers both time and money, explains, Frank Larkin, Crowley Senior Vice President and General Manager, Logistics. “We can swing loads from trailers to ocean containers here, reducing equipment, re-positioning expenses, and save the additional inland transportation costs that come with the traditional movement of cargo to South Florida.”

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September 2016 MARINE LOG 11

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U.S. Coast Guard issues final rule for TWIC IN THE MONTHS FOLLOWING the terrorist attacks on September 11, 2001, Congress demanded the development of a universal biometric ID system—the Transportation Worker Identification Credential (TWIC)—in order to improve security at high-risk maritime transportation-related vessels and facilities. That process proved easier said than done.

After years of proposed requirements and public commentary, the Coast Guard has established the final rule under the Maritime Transportation Act of 2002 (MTSA) and the statutory requirements of the Security and Accountability For Every Port Act of 2006 (SAFE Port Act).

The TWIC final rule will apply to owners and operators of U.S. vessels and marine terminals that either carry or handle more than 1,000 passengers or certain dangerous cargoes in bulk to conduct electronic inspections of TWICs as an access control measure.

Right now that boils down to one vessel and 525 facilities designated in “Risk Group A,” says the agency. That’s out of the about

13,825 vessels, 3,270 facilities, and 56 Outer Continental Shelf (OCS) facilities regulated

by MTSA. No OCS facilities are affected by this final rule.

According to Coast Guard estimates, the annualized cost of this final rule will be about $22.5 million, while the 10-year cost is $157.9 million, discounted at 7 percent.

The main cost drivers of the rule are the acquisition, installation, and integration of TWIC readers into access control systems. The agency says, “Annual costs will be driven by costs associated with updates of the list of cancelled TWICs, recordkeeping, training, system maintenance, and opportunity costs associated with failed TWIC reader transactions.”

The rules are aimed at ensuring that prior to being granted unescorted access to a designated secure area, an individual will have his or her TWIC checked against an up-to-date list maintained by the TSA, and the individual’s identity confirmed by comparing his or her biometric (i.e. fingerprint) with a biometric template stored on the credential. With the implementation

of the final rule, all of the biometric security features integrated into the TWIC will be used.

Currently, the TWIC is only being used as an expensive ID card on many vessels and facilities. The Department of Homeland Security currently requires that a security guard examine the security features (hologram and watermark) embedded on the surface of the TWIC, checks the expiration date listed on the card, and compares the photograph to the person presenting the credential. While this system of “visual TWIC inspection” provides some benefits, it does not address all security concerns, nor does it make full use of the security features contained in the TWIC. This final rule also implements recordkeeping requirements and security plan amendments that will incorporate these TWIC requirements. The TWIC program, including the electronic inspection requirements in this final rule, is an important component of the Coast Guard’s multi-layered system of access control requirements designed to enhance maritime security.

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September 2016 MARINE LOG 13

CEO SPOTLIGHT

Horizon Shipbuilding, based in Bayou La Batre, AL, is known for meeting tight production deadlines

A Tale of Two Shipyards New York City ferry contract puts two Gulf Coast shipbuilders in the spotlight

By John R. Snyder, Publisher & Editor

I

n the months following Hornblower’s selection by New York City as the operator of its new Citywide Ferry Service, speculation was rampant as to what shipyard or shipyards would be able to build the fleet of 19 ferries in less than a year’s time. Many of the traditional passenger-only ferry builders in the U.S. were fully booked or declined to tender an offer because of what one shipbuilder called “an impossible delivery schedule.”

When we broke the news in early July of the award of the boatbuilding contracts, the two Gulf Coast shipyards to emerge as the winners were Horizon Shipbuilding and Metal Shark Aluminum Boats. The selections caught many outside the marine industry by surprise because neither yard had built a passenger-only ferry to date.

One, Horizon Shipbuilding, is situated in Bayou La Batre, AL—the heart of the shrimp boat business. While the other, Metal Shark Aluminum Boats, is headquartered in Jeanerette, LA—known as “Sugar City” because of its local sugar cane crop and sugar processing mills.

While the selections might have raised some eyebrows among the general public, both yards have carved out impeccable reputations for meeting challenging production schedules for constructing boats and vessels in series for government and commercial customers.

Both have a highly skilled, core workforce; both count the U.S. Navy and U.S. Coast Guard among their customers; and both are owned by confident, forward-thinking entrepreneurs.

Horizon Shipbuilding’s Travis Short Travis Short, Owner and President of Horizon Shipbuilding, knows 14 MARINE LOG September 2016

his shipyard can deliver. He points out that the shipyard built 40 vessels in a 20-month timeframe for a commercial offshore oil customer.

Those boats, by the way, just so happen to be the same tonnage as the 149-passenger Citywide Ferry catamaran vessels.

He also cites a contract that Horizon Shipbuilding won to build ten 10,000-gallon-capacity oil barges after the Deepwater Horizon disaster. The barges were to be used in the cleanup in the Gulf and the shipyard had one month to deliver them.

“Our key people have been with us for a long time,” says Short.

“They know how Horizon Shipbuilding operates. Building boats is what we do.”

The Gordhead Factor A graduate of the University of Southern Alabama with a Bachelor of Science in Business Administration, Short started Horizon Shipbuilding in 1997 with his father, Travis Sr. While Short is fully confident in the ability of his core workforce, five years ago he felt that they could be more productive. “We weren’t doing poorly,” says Short, “but we just weren’t getting any better.” Short wanted to make improvements in workflow, reporting and resource management.

That’s where he got the idea for Gordhead management software.

“We wanted to start by giving access to more information,” says Short. “With Gordhead, we created a software platform that brings together all of the information.”

Gordhead is an app that can be used on your mobile device. By using a modular-based system, it syncs with existing enterprise

CEO SPOTLIGHT resource planning, scheduling and timekeeping software to provide project transparency and promote collaboration between production managers and workers.

“It’s all about better communication,” says Short. He says the use of Gordhead by management has allowed Horizon Shipbuilding to share information throughout the day on projects and do away with daily production meetings. Short says that what often holds up any production process is that someone is waiting on an answer before he can proceed with his work. “Gordhead wipes that out. It raises the level of communication, allowing the time for decision-making to get shorter. It gets rid of bottlenecks.” The software also allows greater transparency for an owner to check on the status of the construction of his vessel.

Cameron Clark, VP and GM, Hornblower NY, cited the use of Gordhead as one of the factors in selecting Horizon Shipbuilding as one of the builders for the NY Citywide Ferry project. Clark says the use of the Gordhead management software will allow Hornblower to stay connected with the team on the ground 24/7 and ensure the project stays on schedule.

Located about three miles from Mobile Bay, Horizon’s facility is made up of a West Yard and Main Yard, with nine steel buildings for steel and aluminum fabrication and construction. The construction and outfitting of modules and vessels is mainly performed in two 175 ft x 50 ft buildings. Horizon Shipbuilding also uses a huge 660ton Travelift for the transfer and launch of vessels.

A key piece of the fabrication process is the ALLtra Model PG14-12 Shape Cutting Machine, which is a CNC-controlled gantry designed for cutting complex shapes for sheet or plate materials. It is capable of producing parts at high speeds and close tolerances and was used to cut precise jig patterns, allowing for innovative ways of rapid hull construction for the ferries. The machine is easily configured for plasma or oxy/fuel shape cutting processes and can be customized for special applications. Horizon’s application uses the Hypertherm HPR260 plasma cutter controlled by the Burny 10 LCD shape cutting motion controller using MTC ProNest 8 nesting software.

The current workforce at the shipyard is about 300, with about 125 of those dedicated to the New York ferry project.

The NYC Ferry Design Designed by Incat Crowther, the new catamaran ferries will be 85 feet 3 inches long, with a beam of 26 feet 3 inches, and draft of 3 feet 4 inches. The ferries will also feature plenty of charging stations for the connected crowd, concessions, Wi-Fi and a space for up to 19 bicycles on board.

Each vessel will use two 803-hp EPA-compliant Tier 3 Baudouin 6M26.3 P3 main engines to help reduce diesel emissions and noise.

Incat Crowther’s innovative hull design will help limit wake and maximize fuel efficiency, and the ferries will primarily be built out of aluminum further increasing fuel efficiency.

Each boat is expected to carry at least 149 passengers (some could have higher capacities). The vessel’s main deck will have seating for 123 passengers plus space for four wheelchairs and four strollers. The upper deck will have seating capacity for 42 passengers.

“We are going to start out with a five-day-a-week schedule,” says Short, “and adjust if necessary. It is an ambitious schedule, but we’ll start delivering boats on their own bottoms starting in the early spring and finishing in the late spring.

“While these are the first catamaran ferries we’ve built,” he continues, “they are not the first passenger boats. We’ve delivered high-speed crewboats for Mexico and West Africa.”

Of course, the New York ferries aren’t the only game in town.

Horizon also has five repair jobs in the yard, including river inland

Chris Allard, Metal Shark

Travis Short, Horizon

towboats, a research vessel, and a 130 ft yacht.

It is also building two 100 ft x 40 ft escort tugs for McAllister Towing, New York, NY. Based on a design by Jensen Maritime, Seattle, WA, the steel-hulled tugs will be ABS classed and fitted with Caterpillar 3516E Tier 4-compliant main engines, driving Schottel SRP4000FP propulsion units. The tugs are to be delivered in early 2017.

Bold Plan, Bold Choice New York Mayor Bill de Blasio’s plan to create the citywide ferry service—at a cost of $325 million—is a bold reimagining of the city’s future public transportation. The Mayor thinks that the ferry service, when up and running, would carry an estimated 4.5 million passengers in a year. The new ferries would be in service by mid-2017.

At $2.75 per ride the ferry service would be affordable for the average New Yorker. The new citywide ferry service would be a crowning achievement for the Mayor just months before he stands for reelection in the fall of 2017.

Metal Shark’s Chris Allard The choice of Metal Shark Aluminum Boats as the other shipyard to build the new ferries is a bold one, too. Metal Shark is owned by Chris Allard and Jimmy Gravois. A Long Island native, Allard joined American Marine Holdings after graduating from the prestigious Webb Institute. He later partnered with Gravois, owner of Gravois Aluminum Boats, to acquire Metal Shark in 2006.

Ten years later, Metal Shark has emerged as a premier builder of aluminum military craft for all of the branches of the U.S. military— Navy, Coast Guard, Air Force and the Army.

Metal Shark will build the ferries at its Franklin, LA, yard

September 2016 MARINE LOG 15

CEO SPOTLIGHT All of those craft are built at what Allard calls the Jeanerette “boat production facility” because it delivers a vessel almost on a daily basis. Back in 2011, Metal Shark grabbed headlines when it was awarded the contract to replace the U.S. Coast Guard’s aging Response Boat-Small (RB-S) fleet. The nearly $200 million contract of over 470 boats, was the largest of its kind ever awarded by the Coast Guard.

In 2014, Metal Shark took the next step in its growth with the acquisition of a 25-acre waterfront tract in Franklin, LA, a short drive from the company’s headquarters in Jeanerette. Located on the Charenton Canal, the Franklin yard, says, Allard, is designed for shipbuilding and provides direct access to the Gulf of Mexico.

Recent deliveries include 90- and 75-foot catamarans and 60- and 50-foot catamarans. The Franklin yard has also built some 45-foot patrol boats.

Allard sees the New York City ferry contract as a springboard into growth in the commercial vessel market. “We’ve been primarily known as a military and government contractor,” says Allard. “This contract is part of a major company diversification.”

In the coming months, Allard expects to announce a number of commercial contracts to build its largest vessels yet. The Franklin facility has enough capacity to build multiple vessels of 200 feet in length.

Engineering Company at Heart “We are really an engineering company at heart,” says Allard. He says the company leverages technology, such as robotics, CNC cutting, bending, and CAD software systems to stay focused on production efficiencies, controlling costs and producing quality products for the

customer. These same engineering processes can be seen in the sheet metal, automotive, and aeronautical industries.

As for the New York City ferry contract, Allard says Metal Shark secured the business “the good, old fashioned way.” Allard says, “We’ve been working with Hornblower for more than two and a half years providing them the information and the tools they needed to secure the contract. We also showed them how we could replicate our building processes to construct the ferries.”

Metal Shark currently has about 200 workers between its two shipyards and might ramp up “a little,” says Allard. The company will also be able to shift some of the labor pool from one facility to the other based on project demand.

The Franklin yard is also benefitting from a Small Shipyard Grant from the U.S. Maritime Administration for $582,410, which will be used to acquire portable shelters and marine transporters.

“We were able to cut metal within 10 days of signing the contract,” he says. “We do most of our design work in-house with its naval architectural staff—but for the New York City ferry project, the design is owner-furnished from Hornblower. We are working on the same design as Horizon Shipbuilding in order to make the boats as absolutely identical as possible.”

According to Allard, Metal Shark (and Incat) are participating in a limited usage of Gordhead at Hornblower’s request for sending and receiving technical clarifications during the design phase of the project in order to minimize differences in interpretation of design clarifications by the two builders. He says that Metal Shark has its own advanced software, tools and processes for project management, engineering planning, production coordination and customer communications. ■

The aluminum catamaran hull of a 75 ft long Endurance Class model vessel is flipped at Metal Shark Aluminum Boat’s Franklin shipyard

16 MARINE LOG September 2016

start spreadin’ the news…

Coming 2017

RI ON

S H I P B U I L D I N G

NEW YORK www.horizonshipbuilding.com

A leading defense contractor expands its focus for the benefit of customers everywhere Best-known for the vessel fleets it produces for the U.S. Armed Forces and allies around the globe, Metal Shark has expanded its focus to include state, local, and commercial operators across a wide range of markets. Today, the Louisiana-based company produces a wider range of specialty vessels than perhaps any comparable yard. What does a diversified defense contractor have to offer that specialty yards don’t? Read on to learn how Metal Shark’s unique approach to shipbuilding benefits customers across a growing list of commercial markets.

Formidable Engineering Power Metal Shark is an engineering-centric company that has won historically large government contracts by developing solutions to challenging military criteria. To accomplish this, the company has amassed engineering resources like no other.

With an in-house engineering team composed of over a dozen naval architects and marine engineers, Metal Shark possesses the know-how and the bandwidth to create its own highly specialized and thoroughly engineered vessel designs and also to interface seamlessly with outside engineering firms.

Globally Proven Hulls Metal Shark delivers over 150 vessels a year to the United States Coast Guard, Navy, Air Force, Army, and the militaries of partner nations worldwide. The performance and reliability of these vessels are continually proven through aroundthe-clock operation in Latin America,

the Caribbean, Africa, Asia, the Middle East, and all across North America. Metal Shark’s designs have been optimized to deliver maximum durability, economy, and performance regardless of operating conditions and environmental challenges.

The Latest Technology Metal Shark refines and enhances its designs by developing crewfriendly features improving safety and increasing overall operability.

Innovative features that are developed to meet a particular military requirement are tested in service and then implemented across the board, allowing state, local, and commercial operators to benefit from the latest in proven technology. A key example is Metal Shark’s signature “pillarless glass” pilothouse. This design substantially reduces the dangerous blind spots common on traditional vessels using smaller, framed windows. Initially proven on patrol craft for the U.S. Navy and Coast Guard, Metal Shark now provides this technology to firefighters, harbor pilots, and other operators. The benefits of forwardthinking advancements such as this and others become apparent when compared to traditional offerings that have remained virtually unchanged for decades. Metal Shark’s substantial economies of scale allow for a heavy investment in R&D to solve design challenges and push technology forward.

government contracts, Metal Shark has implemented processes that assure efficient and repeatable builds.

This begins with an engineeringcentric approach that utilizes 100% digital design, cutting, and sheet metal bending, and carries through to the extensive use of jigs to guarantee precise tolerances throughout the welding process. By utilizing a completely transparent quality assurance system and robust production scheduling management tools, Metal Shark is able to satisfy the government inspectors that it hosts on a weekly basis. Applied across the board, this fanatical attention to detail results in “mil spec” precision for all customers and allows Metal Shark to meet delivery timeframes that competitive yards often cannot.

Stability Through Diversification Metal Shark has taken the innovation, technology, processes, and sheer size developed through its military programs and implemented them across a wide range of markets.

This has allowed the company to avoid reliance on any one particular market segment, which has been the downfall of many specialty yards.

Customers can trust that Metal Shark will be with them for the long haul, supporting them with best-in-class products and service.

For more information visit www.metalsharkboats.com.

Unmatched Production Efficiency To meet the demanding delivery schedules required by its many

September 2016 MARINE LOG 19

SHIPYARDS

Orders For New Ships Down Dramatically

The Stena Weco Impulse, an IMOIIMAX tanker, was recently delivered from CSSC Offshore & Marine Engineering

Deliveries of OSVs could be pushed back further; Cruise ship market booming; Matson orders two LNG-ready CONROs Compiled by Marine Log Staff

A

s we pointed out in our Annual Yearbook & Maritime Review back in June, shipyards are struggling amid the downturn in the market, with newbuilding orders at their lowest levels since the 1980s. As further evidence, during the first half of 2016, orders for new ships worldwide dropped 65 percent as compared with the first half of last year, according to VesselsValue.

The leading ship valuation provider says that 689 newbuilds were ordered in the first half of 2015 as compared with a mere 239 this year.

As we mark the midway part of this year, VesselsValue also points out that $28.4 billion worth of vessels have been delivered this year, with another $43.8 billion worth still on the orderbooks and due for delivery in 2016. VesselsValue says that there a total of 2,518 vessels to be built in 2016, with 1,613 as yet undelivered by mid-year.

Almost a third of the undelivered vessels are bulkers.

LPG tanker deliveries are on track for the year, with 50% of the 2016 orderbook having been delivered (worth $3.0 billion).

However there is still 80% of the Offshore Support Vessel (OSV) orderbook still undelivered, valued at $5.5 billion. Overall, only 93 of the 500 OSVs on order were delivered to the fleet this year. VesselsValue Valuation Analysts say many of the undelivered vessels in 20 MARINE LOG September 2016

underperforming markets are candidates for slippage: the vessel’s delivery date may be pushed back into the next few years.

The Tanker Outlook So how does the second half of 2016 look? In updating its Mid-Year Tanker Market Outlook, McQuilling Services says that 49 uncoated tankers were delivered at the end of July, representing “36% of our full-year expectations and supporting our original thoughts of a second half skew of tanker deliveries.” McQuilling Services sees the supply outlook over the next five years as a “tale of two halves.” It says 2016 and 2017 are projected to increase the Dirty Petroleum Products (DPP) fleet as a whole by 3.6% and 5.7% on an average inventory basis. In total, 62 coated Aframaxes (LR2) and 46 coated Panamaxes (LR1) will join the fleet over 2016 and 2017.

McQuilling Services says, “We anticipate that LR2 inventory will expand 10.7% and 9.9% in 2016 and 2017, respectively amid high deliveries and minimal deletions, while the MR product segment is to average only 1.0% growth through 2020. Overall, Clean Petroleum Products (CPP) growth will average 3.5% in 2016 before trending lower over the forecast period. The net fleet growth of the chemical f leet (IMO 2) is projected to expand by 13.5% in 2016,

SHIPYARDS

The 19,437 TEU MSC Jade was delivered

by DSME in May

According to McQuilling, CPP rates will remain stable in 2017 due to increasing demand and decelerating supply. TC1 rates will average WS 108 in 2017, returning owners $19,200/day, while the LR1 trading the same voyage will generate earnings of $13,800/day.

Gradually increasing freight rates through 2020 are projected. For MR owners, it is projected that vessels positioned in Asia will earn more than those in the West amid expanding refinery capacity in the East and slowing demand in the West. The TC2/TC14 triangulation will return owners $11,806/day in 2017.

McQuilling sees prices for secondhand DPP tankers continuing lower into 2017 amid poor rates, while CPP values may rise slightly amid a more stable earnings outlook. Declining shipyard capacity and higher commodity prices may lead to a slight increase in newbuilding values next year.

Cruise Market Booming The cruise ship market is booming, with orders for more than 60 cruise vessels valued at over $44 billion, including two 100-passenger coastal cruise ships being built at Nichols Brothers Boat Builders, Whidbey Island, WA, and two overnight cruise ships at Chesapeake Shipbuilding in Salisbury, MD. Chesapeake delivered the 185-passenger America to its sister company American Cruise Line in the first quarter of this year. reducing to 3.4% in 2018 and below 2.0% in 2019 and 2020.

“We project spot rates for DPP voyages to exhibit weakness in 2017 amid accelerating supply growth,” says McQuilling Services.

“TD3 freight rates will average WS 57 in 2017 before increasing to WS 71 by 2020. Floating storage economics may help stabilize the recent downturn in the market. Correspondingly, we anticipate VLCC TCE levels to average $33,800/day in 2017. Suezmax rates on TD20 are projected to average WS 66 in 2017, returning owners $15,300/day during the year. Aframax rates are likely to be elevated in the East with TD8 returning owners $19,600/day in 2017, following $22,300/day in 2016.”

Matson Orders Two Conros In the U.S., orders for the first half of 2016 for new oceangoing ships for Jones Act trade have slowed, with shipyards working off their existing backlogs. The second half of the year started off with a bang as Matson Navigation awarded a $511 million contract to General Dynamics NASSCO, San Diego, CA, last month for two new LNG-Ready Container Roll-on/Roll-Off (CONRO) vessels that will have a capacity of 3,500 TEU. The two CONROs would be the 30th and 31st LNG-powered or LNG-Ready ships built, in operation, under construction or conversion for Jones Act service. ■

Percentage of 2016 built vessels delivered and still to be delivered Undelivered

Delivered

Source: VesselsValue

Ship Type

Number of Vessels

Total Size

Total Value $M

Number of Vessels

Total Size

Total Value $M 59%

Bulker

40%

40%

41%

60%

60%

Container

44%

48%

49%

56%

52%

51%

LNG

25%

28%

28%

75%

72%

72%

LPG

47%

58%

50%

53%

42%

50%

Multigas

25%

25%

25%

75%

75%

75%

OSV

19%

19%

20%

81%

81%

80%

Small Dry

32%

38%

36%

68%

62%

64%

42%

42%

42%

58%

58%

39%

64%

Tanker

Grand Total

36%

58%

61% September 2016 MARINE LOG 21

Need repairs made to comply with Subchapter M regulations?

Our Craftsmen Stand Prepared to Help!

New Subchapter M rules regarding inland towing vessels will soon be impacting us all. Tradesmen International employees can help with the construction-related repair work or upgrades your vessels require in order to pass imminent Coast Guard inspections.

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Tradesmen has nearly 150 Recruitment and Operations Facilities nationally and we stand prepared to deploy our craftsmen – who emphasize safety, productivity and craftsmanship – to work on tugs, barges, dry docks and any other inland marine project wherever you are located.

Let us help you complete needed Subchapter M repairs. Call our Inland Marine Group to Reserve Craftsmen or to Schedule a Meeting: 866.203.6795.

Reserve Our Best Craftsmen at: 866.203.6795 or online at: tradesmeninternational.com/Marine1 ©2016 Tradesmen International, LLC

REGIONAL FOCUS

Thriving

Business

Fincantieri, Great Lakes Towing continue to invest in, and generate business for the Great Lakes region

A

nyone needing reassurance that shipbuilding in the U.S. is alive and well need look no further than the Great Lakes.

While yards along the U.S. Gulf reshuffle business strategies to help during the downturn in the oil market, yards along the Great Lakes continue to work on a number of projects, invest in infrastructure and leverage partnerships to diversify portfolio offerings.

Perhaps the busiest of all is Fincantieri Marine Group (FMG)—the U.S. subsidiary of one of the world’s largest shipbuilders, Fincantieri.

The Fincantieri Marine Group is comprised of three Great Lakes shipyards—Fincantieri Bay Shipbuilding (FBS), Fincantieri Marinette Marine (FMM), and Fincantieri ACE Marine (FAM).

Since acquiring the Wisconsin yards in 2008, Fincantieri has invested well over $100 million to build a shipbuilding group that will provide flexibility for its customers, and provide construction and repair services to both the government and commercial sectors.

Sturgeon Bay-based FBS, one of the last boat builders remaining in the Bay, has been running essentially non-stop the last couple of years. The yard currently has numerous projects under various stages of construction with a backlog that extends through 2018.

Most notably, the projects include newbuilds for one of the most active sectors in the country, the ATB market.

This past May, the yard delivered the Articulated Tug Barge (ATB) unit Barbara Carol Ann Moran and the 110,000 bbl ocean tank barge Louisiana to Moran Towing Corporation, New Canaan, CT. The unit was the third delivery to Moran under a 2014 contract.

Compiled by Marine Log Staff

The 5,300 hp, 121 ft ATB tug Barbara Carol Ann Moran is certified ABS Class +A-1 Towing Service, +AMS. The unit was delivered on the exact day called for by the contract—emphasizing FBS’ high standards of meeting customer requirements, building a quality vessel and delivering on time.

Currently, FBS is under contract to construct two ATB tugs and two oceangoing tank barges for Kirby Corporation; one ATB tug and one oceangoing tank barge for Plains All American Pipeline, LP; and one ATB tug and one oceangoing tank barge for AMA Capital Partners.

“We continue to be optimistic about the future of the industry we serve,” says, Todd Thayse, Fincantieri Bay Shipyard Vice President and General Manager.

To keep the momentum going, Fincantieri recently purchased the Palmer Johnson facility adjacent to the Bay Shipbuilding yard.

Fincantieri has extensive expansion plans set for the three-acre site, including the construction of new indoor Fabrication/Erection facilities, an indoor Blast and Coating building, outfitting shops and additional office facilities.

“This recent acquisition of the former Palmer Johnson facility has been well received by the industry and will allow us to pursue several new construction projects, which may include fishing vessels, ferries and landing crafts, while continuing to serve our core ATB market.

These purpose-designed buildings will increase our overall output and capacity and improve our ability to meet critical schedules,” says September 2016 MARINE LOG 23

North America’s Premier Ferry Event

Nov 3–4, 2016 Grand Hyatt Hotel Seattle, WA

{

TOPICS INCLUDE

}

Waterfront Creation for Economic Development Improving Propulsive Efficiency in Ferries Development of NYC Ferry Network Diesel-Electric Ferries Double-Ended Ferry Design Perspective Exhaust Gas Treatment for Ferries

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SUPPORTING ORGANIZATIONS

OPENING REMARKS Kostas Mallios CEO Clipper Navigation

WHAT’S HAPPENING IN WASHINGTON Jon Waldron Partner Blank Rome LLP

EXHAUST GAS TREATMENT FOR FERRIES

DIESEL ELECTRIC PROPULSION: ITS EVOLUTION AND FUTURE

Bill Mossey Vice President

Guido F. Perla Chairman

Pacific Power Group

Guido Perla & Associates Inc.

LEVERAGING HYBRID TECHNOLOGY TO NAVIGATE TIER 4 COMPLIANCE

LEVERAGING HYBRID TECHNOLOGY TO NAVIGATE TIER 4 COMPLIANCE

Allan Grant Vice President

Joe Hudspeth Vice President of Business Development

Corvus Energy Ltd.

All American Marine

50 YEARS OF DOUBLE– ENDED FERRY DESIGN

HYBRID BATTERY FERRY WITH LNG CAPABILITY

John Waterhouse Chief Concept Officer

John Hatley

EBDG

Wärtsilä North America, Inc.

Americas VP Marine Solutions

VIGOR SHIPYARD TOUR No shipbuilder has built a broader portfolio of ferries than Vigor. On November 4, take part in a special tour of Vigor Seattle’s facility at Harbor Island where the latest generation of ferries for Washington State is taking shape. Space is limited, so sign up early to secure your spot.

REGIONAL FOCUS of America earlier this year. The award recognizes a shipyard’s commitment to safety, and the hard work and dedication put forth from shipyard employees.

The Great Lakes Group Eyes Expansion

A rendering of the Damen Stan Tug 1907 ICE

Thayse. “We will also be able to move more construction indoors which will allow FBS to further provide cost-effective solutions for our customers,” he adds.

Indoor facilities will enable work to continue for both newbuilds and repair—especially during the winter months when Great Lakes fleet repairs are vital and time sensitive.

Earlier this year, FBS had 17 vessels at the yard undergoing winter repairs well into April. The vessels ranged from thousand-foot long bulk tankers, to medium-sized ships, to tugs and barges.

Work included large-scale scheduled maintenance repairs, scrubber installations, repowering and structural steel renewal, in addition to electrical automation enhancement and ABS and U.S. Coast Guard inspections.

One project FBS is currently working on is the repowering of Canadian National Railway Company’s 768 ft bulk carrier John G. Munson, a member of CN’s Great Lakes Fleet. Operated by Keylakes Shipping, the vessel is currently undergoing a multi-million conversion at FBS. The vessel, featured on this month’s cover, is the tenth steam-to-diesel, or diesel-to-diesel repowering project that FBS has been awarded since 2009. The freighter, built in 1952 will have its original GE steam turbine replaced with a Caterpillar MaK43C engine, generating 7,000 hp. The John G. Munson is expected to undergo sea trials in 2018.

Meanwhile, FMG’s two other Great Lakes shipyards are busy constructing the next generation of warships for the U.S. Navy.

Earlier this summer, a keel laying ceremony was held at Fincantieri Marinette Marine, Marinette, WI, for the U.S. Navy’s 17th Littoral Combat Ship (LCS), the USS Indianapolis. The ship is one of six in various stages of construction at FMM, with an additional three ships in long-lead procurement.

The Lockheed Martin-led team is made up of Fincantieri Marinette Marine, along with naval architectural firm Gibbs & Cox, and more than 500 suppliers across 37 states. The U.S. Navy’s LCS construction program is divided between two groups—the Lockheed Martin team, building the Freedom variant, and the General Dynamics-led team, with Alabama-based Austal USA building the Independence class LCS. Fincantieri Ace Marine, Green Bay, WI, also has a hand in producing the Freedom variant of the LCS. The yard, which specializes in the design and construction of high-speed coastal intercept and patrol vessels, most notably the builder of the Response BoatMedium (RB-M) for the U.S. Coast Guard, produces the aluminum superstructures and additional aluminum components for the class.

To top off FMG’s three shipyards success, all three received the annual “Excellence in Safety” award from the Shipbuilders Council 26 MARINE LOG September 2016

FMG isn’t the only regional player growing. This past June, the City of Cleveland authorized the sale of property adjacent to the Great Lakes Towing company headquarters. The acquisition of the property will enable the Great Lakes Shipyard, part of the Great Lakes Group, to operate at full capacity, all year round.

The expansion will include a 68,000 ft 2 facility that will accommodate a 770-ton mobile Marine Travelift crane—the largest on the Great Lakes, and third largest in the world.

Part of the services Great Lakes Shipyard will offer are those required for Subchapter M. Under Subchapter M regulations, towing vessels greater than 26 ft, or any vessel type moving dangerous or hazardous materials, must obtain a Certificate of Inspection documenting: Drydock inspection; Internal Structure Exam; Annual Inspection and Surveys; and Machinery and Electrical.

Just last month, the yard kicked off construction for the first Damen Stan Tug 1907 ICE. The tug is the first in a series of 10 being built in compliance with the new Subchapter M regulations. The tugs are being built for The Great Lakes Towing Company (the Towing Company). The tugs will be 65 ft x 24 ft x 9 ft with two MTU 8V4000 M54R main engines generating 1,000 hp at 1,600 rev/min.

“This new construction program is further evidence of the innovative spirit the Towing Company has always embraced since its founding over 117 years ago, and reflects the commitment we have to our customers and the entire Great Lakes/St. Lawrence Seaway marine transportation industry,” says Joe Starck, President of the Towing Company.

Under the construction program two new harbor tugs will be introduced each year for the next five years, helping to stabilize operations and improve day-to-day business, assures Starck.

The Great Lakes Towing Company’s f leet provides ship assist, cargo transportation and logistics, ice breaking, and emergency assistance for every kind of vessel, barge and marine structure on the Great Lakes-St. Lawrence Seaway.

The Damen Stan Tug 1907 ICE are also the first tugs to be built in the U.S. under Damen’s Technical Cooperation program with Great Lakes Shipyard. The agreement, which was entered into at last year’s Workboat show, authorizes the Great Lakes Shipyard as an official builder of Damen designs for the next five years.

Fraser Shipyards Faces Osha Fine Since 1890, Fraser Shipyards, part of the Fraser Industries Group, has been a prominent fixture in the Twin Ports of Duluth and Superior, serving the Great Lakes shipping community.

Most of its current 150 workers, 75 percent of which are structural welders, equipment operators, fitters and pipe fitters, are third generation employees for the company. That kind of longevity and loyalty from workers can serve as a testament to Fraser’s commitment to the industry, the community and its employees, but recent findings have raised questions about the yard’s safety culture.

Last month, the U.S. Department of Labor’s Occupational Safety and Health Administration (OSHA) announced that sampling results taken during a recent retrofit determined that 14 of Fraser Shipyards workers were exposed to heavy metals and had lead levels 20 times higher than the exposure limit.

According to OSHA’s Assistant Secretary of Labor, Dr. David Michaels, “Fraser Shipyards accepted a contract with a very low

REGIONAL FOCUS profit margin and penalties for delayed completion, but could not meet the schedule without endangering its workers.”

That contract, from Interlake Steamship Co., Middleburg Heights, OH, was for the modernization of the Herbert C. Jackson.

OSHA stated in its report that Fraser Shipyards’ management was aware of the presence of lead and asbestos throughout the 1959 built vessel. The ship arrived at Fraser December 2015 for a sixmonth retrofit project and was required back in operation for the summer iron ore shipping season.

In a statement, James Farkas, Fraser Industries President and COO, said “We take the health and safety of our people and our community seriously. We acted to protect our people as soon as we learned of the problem. We have worked with all of our employees, laborers and contractors to ensure their health by bringing in medical experts, as well as the highest levels of testing, protective equipment and safe operating procedures. We strongly disagree with OSHA’s statement that any of the issues were caused or worsened by business or profit motivations.”

The agency cited 14 willful egregious health violations for each instance of overexposing a worker to lead, and cited five additional willful violations for failing to conduct monitoring to assess lead exposure and failing to implement a lead compliance or respiratory program.

Additionally, OSHA issued 10 serious violations to the company, and placed Fraser Shipyards in its Severe Violator Enforcement Program (SVEP). For companies on the list, mandatory follow-up inspections become the norm.

Since the findings, Fraser has taken steps to help mediate the matter, and protect its employees.

According to a statement, as soon as the management learned

of the high lead levels it halted work on the Herbert C. Jackson.

Fraser Shipyards also went on to engage medical experts from the region’s two leading hospitals, and industrial safety experts from the International Brotherhood of Boilermakers union to advise the company and oversee health testing. And it purchased state-of-theart safety gear and equipment to protect workers.

Additionally, Fraser engaged medical professionals, OSHA and union officials to develop and implement new safety procedures.

“We appreciate their responsiveness to getting this issue fixed and taking care of our members,” said Mark Garrett, Director of Health and Safety Services for the International Brotherhood of Boilermakers, the union that represents workers at the yard. “We don’t get many employers that step up like they did. They were straightforward, asked for our help and put in place our recommendations for safety.”

In total, Fraser could face close to $1.4m in OSHA penalties.

Burger Boat’s Diverse Portfolio Since 1863, Burger Boat Company, Manitowoc, WI, has delivered countless vessel types in the range of 50 ft to 200 ft in length, implementing a “lean” philosophy to its business practice, ensuring procedures are performed and completed on time, and vessels are delivered to customers on budget.

A builder of steel and aluminum vessels, Burger builds everything from yachts to passenger vessels, such as the 98 ft passenger vessel Chicago’s Classic Lady for Chicago’s First Lady Cruises—and patrol to research vessels, such as the 78 ft research vessel Arcticus which was delivered to the U.S. Geological Survey in 2014. Last year, Burger delivered a 340-passenger tour boat to Chicago-based Wendella Boats. ■

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A1303

September 2016 MARINE LOG 27

REGIONAL FOCUS

A vessel enters the Port of Cleveland which has seen steady growth in month-to-month tonnage numbers this season

The Opportunity Belt Ports in the Great Lakes push for expansion in hopes of becoming the go-to destination for container and cruise market

T

he Great Lakes – St. Lawrence Seaway is one of the largest trade corridors in the world, spanning over 2,300 miles from the Gulf of St. Lawrence to Lake Superior. The system—primarily used for the shipping of traditional and new cargoes, such as mining products, steel, iron ore, dry bulk and grain—has an economic output of nearly $5 trillion, it sustains over 220,000 jobs in both Canada and the U.S.; produces $34 billion in business revenues and $3.6 billion in transportation cost savings; and provides competitive shipping and direct access to America’s heartland.

But anyone reading the latest trade reports coming out of the region would not be at fault for thinking the market is in a downturn.

Sluggish traffic and a slide in iron ore cargoes for the steel industry and limestone shipments for the construction market grabbed the headlines in the local papers last month.

For the month of July, shipments of iron ore on the Great Lakes and St. Lawrence Seaway decreased by 15 percent when compared to July 2015 numbers. According to the Lake Carrier’s Association, which represents 14 American companies operating 56 U.S.-flag vessels on the Great Lakes, shipments were also down by more than 18% compared to the five-year average.

The Association went on to say that shipments from U.S. ports totaled 4.95 million tons in July, a decrease of nearly 14 percent compared to a year ago. Loadings at Canadian terminals dipped 23 percent to 643,000 tons. Year-to-date, the iron ore trade stands

28 MARINE LOG September 2016

Henryk Sadura/Shutterstock

Compiled by Marine Log Staff at 26.8 million tons, a decrease of 3 percent compared to the same period in 2015. Moreover, year-over-year, loadings at U.S. ports are down by 113,000 tons, while loadings from Canadian ports in the St. Lawrence Seaway are down 743,000 tons (21 percent).

Limestone didn’t fair any better. Shipments on the Great Lakes totaled 3,348,040 tons in July—a decrease of 18 percent compared to a year ago, and July loadings were down 14 percent below the month’s five-year average.

“We are about half-way through the 2016 navigation season and our overall cargo tonnage numbers are down by 11 percent,” says Betty Sutton, Administrator of the Saint Lawrence Seaway Development Corporation.

According to the Saint Lawrence Seaway Development Corporation, year-to-date cargo shipments from March 21, 2016 to July 31, 2016 were down 11 percent as compared with the same period in 2015. The dry bulk category was down 13.4 percent (however, stone and potash were up), iron ore was down 28 percent and coal was down almost 13 percent.

The news isn’t all doom and gloom for commodities, however.

“The lack of iron ore and coal has definitely been a contributing factor for this decrease; however traffic continues to be well above the five-year average, keeping our ports and their workforce busy,” says Sutton.

They don’t call the system the “Opportunity Belt” for nothing.

REGIONAL FOCUS

Ports in Minnesota and Ohio are in high demand with the push of agricultural products, such as corn and wheat. Meanwhile, ports in Chicago, Indiana and Wisconsin are benefiting from the movement of steel products and machinery, explains Sutton. Between March and July of this year, steel slabs, which would be categorized under general cargo, were up 214 percent over the same period in 2015, while other general cargo was up 74 percent.

The Port of Cleveland, for instance, has “seen steady growth” in month-to-month tonnage numbers during the 2016 season, says David S. Gutheil, Vice President, Maritime and Logistics at the port.

The rise in tonnage goes hand-in-hand with the success of the port’s Cleveland-Europe Express liner service. The service, launched in 2014 with vessel partner the Spliethoff Group, directly moves cargo between the Great Lakes and Europe, offering customers savings on transits and shorter transit times between the U.S. and Europe.

Gutheil adds, that the Port is seeing “steady volumes of imported steel from Europe,” and an “increased interest in the project cargo market” from customers with a vested interest in moving cargo through the St. Lawrence Seaway.

To that end, the Port of Cleveland has invested in, and recently completed, the construction of a new 21,000 square foot warehouse.

This new facility, explains Gutheil, was “partially funded through a grant secured through the Ohio Department of Development Logistics program,” and will be used for “trans-load opportunities and increases our inside storage capacity to 320,000 square feet.”

The new warehouse is part of the Port’s ongoing infrastructure investment plan. Earlier this year, the Port commissioned two Liebherr 280 mobile harbor cranes. The cranes are expected to significantly increase the port’s speed and efficiency.

Beyond the shipping of commodities, ports in the region are also seeing an uptick in tourism—leading to a proliferation in expansions and infrastructure investments.

Resurgence in Cruise Shipping “In a time when the world’s industrial giants and cruise ships are all landing in the ports of the St. Lawrence, we have to utilize the strategic location of the Port of Québec to make it the marine destination of choice,” says Mario Girard, President and CEO of the Port of Québec.

30 MARINE LOG September 2016

The deepwater port of the Port of Québec, which sits at the end of the St. Lawrence-Great Lakes trade route, is seeking to rebuild and enhance a number of areas around the port in the hopes of increasing both foot and vessel traffic. But the area likely to get the most buzz will be the expansion of the port’s cruise terminal.

With a resurgence in the cruise market in the Great Lakes region, ports such as the Port of Québec are looking to capitalize on the market, making large infrastructure investments to help meet growing vessel and passenger demand.

Over the last decade, the Port of Québec has seen cruise ship visitor numbers increase—from 55,000 in 2000 to 180,000 in 2014.

Operating at full capacity, the Port of Québec will oversee a redesign and expansion of the Ross Gandreault Cruise Terminal and the installation of a mobile terminal at wharf 30 in the Estuary sector.

The hope is that the expansion, which will double the accommodation capacity at the Ross Gaudreault terminal and make way for larger ships, will enable the growth of the cruise market sector to continue, with the port capable of accommodating 400,000 passengers a year by 2025.

The $89.5 million project, called “Québec, A Destination of Choice of the St. Lawrence” will be completed over the next decade.

Meanwhile, over at Port Saint John, the second largest port by tonnage in Canada, cruise activity is expected to increase by 20% this Unloading salt at Valleyfield, Quebec City

Top: St. Lawrence Seaway Management Corporation, Bottom: Jean Brosseau

The Welland Canal connects Lake Ontario with Lake Erie

REGIONAL FOCUS year, with 64 ships calling at the port, bringing in 144,000 passengers and 57,700 crew members to the region, before the season’s end October 28, 2016. Cruise activity at the port represents a $25 million annual boost to New Brunswick’s economy.

Beyond the cruise sector, Port Saint John’s expansion is being driven by a steady increase in containerized cargo. Catering to a diverse cargo base, which includes dry and liquid bulk, break bulk, containers and cruise ships, the traditionally smaller container port is modernizing its facilities to maintain and support increases in both trade and business.

The port’s $205 million, seven-year, West Side Modernization Project—funded by the port, the Canadian federal government and the government of New Brunswick in three equal parts ($68.3 million each) — will see the upgrading and consolidation of the Rodney and Navy Island terminals, enabling the accommodation of larger vessels; and the installation of new operating systems and technology to help enhance cargo-handling capabilities.

Port Saint John says the project, which is slated for completion in seven years, builds on Canada’s commitment to drive economic growth in Atlantic Canada through trade and investment.

Linking the Past and Future The Port of Montreal is in the midst of its latest modernization project. The port, which supports 16,000 jobs, generates $2.1 billion in economic spin-offs annually, and in 2015 handled 32 million tonnes of cargo and welcomed 91,000 cruise passengers and crew, will revamp its aging Alexandra Pier and Iberville Passenger Terminal, where cruises ships have called for decades.

While the restoration is taking place, passengers will be welcomed at alternative cruise ship terminals, berths 34-35 and 36-37, located east of the JacquesCartier Bridge.

The goal is to have a majority of the project done in time to celebrate the 375th anniversary of the City of Montreal’s founding next year.

The restoration project is intended to help integrate the pier and terminal into the urban fabric of Old Montreal, provide better access to the St. Lawrence river, and improve conditions to help meet growing cruise ship passenger demand.

“The Port of Montreal is a real treasure for the city, and remains one of our main economic assets,” says Montreal Mayor Denis Coderre. “The restored facilities of Alexandra Pier and Iberville Passenger

Terminal will let us extend a magnificent welcome to the tourists and visitors who will come celebrate Montreal’s 375th anniversary with us in 2017.”

The total cost of the project is estimated at $78 million—with the Government of Quebec providing $20 million in funds through the Maritime Strategy -Tourism Component, and the City of Montreal providing an additional $15 million.

The project will include the reconstruction

of the ground floor of the passenger terminal, construction of a new observation tower (with completion expected in 2019), the lowering of the pier and installation of a public place, implementation of a port center, an upgrade to parking on the side of the secondary terminal, the addition of a green rooftop terrace, and the introduction of a main access entrance to the pier, further integrating the terminal into the surrounding area. ■

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September 2016 MARINE LOG 31

INTERFERRY CONFERENCE 41st ANNUAL OCTOBER 15 -19, 2016

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Wed., Oct. 19 Technical Tour

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CONFERENCE SESSIONS INCLUDE: WELCOME & OPENING CEREMONIES, ASIA PACIFIC FERRY SCENE, MOVING FORWARD, BEST PRACTICES, SAFETY CONSIDERATIONS, VESSEL CONSTRUCTION, NEW TECHNOLOGY FOR FERRIES, and REGULATORY & GOVERNMENT ISSUES SPECIAL GUEST SPEAKERS KITACK LIM, SECRETARY GENERAL, IMO OLIVER WEISS, GRIFFON MARITIME ASSOCIATES LTD., U.K.

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REGIONAL FOCUS

The Comeback King Eastern Canada’s Fishing Industry: An example of Perseverance and Prosperity

By Kerry Hann, Managing Editor, The Navigator Magazine

T

he commercial fishery has been part of the lifeblood of Eastern Canada for more than five centuries. Adjacency to the fishing grounds was the initial catalyst for the settling of the near countless harbors, coves and inlets throughout the five provinces that border the rich, pristine waters of the North Atlantic.

And while the technology and vessels used to prosecute the fishery has changed over the generations, the industry in Newfoundland and Labrador, Nova Scotia, New Brunswick, Prince Edward Island and Québec is more valuable than it has ever been.

The seafood caught and produced in Eastern Canada is now worth nearly $2.4 billion (CDN landed value) annually.

According to the most recent statistics from the Canada’s Department of Fisheries and Oceans (DFO), the value of all seafood produced in the five Eastern Canadian Provinces totals an impressive $2,387,424. This number is quite staggering when you think about it. Few industries in this region produce products that contribute this much to the economy and gross domestic product (GDP) in one year.

As one would expect, a wide variety of species contribute to the overall multi-billion dollar total. But it will come as no surprise to anyone associated with the fishery or seafood industry in Eastern Canada what group or species really drives the industry here — shellfish. This

group of crustaceans accounts for an impressive $2.37 billion.

Lobster is king in Eastern Canada, with a value in excess of $942 million and shows no sign of slowing down. Lobster catch rates are increasing year-over-year. Combine this with record prices and you have the formula for a very valuable and sustainable fishery.

Next in order of economic importance is snow crab, contributing $534 million, followed closely by Northern shrimp at $369 million.

Scallops round out the top four shellfish species at $178 million.

The seafood industry continues to be a strong employment driver in the region, responsible for more than 50,000 direct jobs—both seasonal and permanent—in the harvesting and processing sectors.

This, of course, does not include the thousands of spin-off jobs associated with the fishery and millions of additional dollars pumped back into the Eastern Canadian economy.

While the fishing industry is producing literally billions of dollars in product each year, it is not without its challenges. In fact, few industries in Eastern Canada, if any, have faced the adversity the fishery has over the decades—including dwindling stocks, quota cuts, labor shortages, constant conflicts with the federal government and building competition from outside Canada. Those catching and producing seafood in this region have seen and experienced it all—but have always persevered.

September 2016 MARINE LOG 33

REGIONAL FOCUS Shipbuilding Resurgence

Fishing winter lobster off Yarmouth, Nova Scotia.

Northern Cod Stocks The biggest story coming out of the Eastern Canadian fishery as of late involves groundfish stocks – cod in particular.

In 1992 the Federal Government of Canada declared a moratorium on the Northern Cod fishery, which for hundreds of years had largely shaped the lives and communities of Canada’s Eastern coast.

After it was discovered in the late 1980s that the Northern cod biomass had fallen to one percent of its historical levels, the fishery was essentially shut down, ending the region’s 500-year dependence on Northern cod.

But cod is making a comeback.

A 2015 study into the state of Northern cod stocks off Newfoundland and Labrador confirmed a dramatic recovery for a species that became virtually commercially extinct in the 1990s—a confirmation that commercial fishermen have been documenting and commenting on for several years.

The study, co-authored by well-known and respected fisheries scientist George Rose, reported that the cod biomass has increased from tens of thousands of tonnes to more than 200,000 metric tonnes within the last decade and shows signs of continued growth.

In fact, Canada’s federal Department of Fisheries and Oceans (DFO) recently reported that according to its research, the spawning stock biomass was actually in the range of 300,000 metric tonnes.

The news of the groundfish recovery has been met with optimism— so much so that DFO just announced in August of this year, the first expanded commercial Northern cod fishery in decades.

Another bright spot for the Eastern Canadian fishing industry is the Comprehensive Economic and Trade Agreement (CETA) between Canada and the European Union. Once ratified in 2017, this free trade agreement will lead to the dropping of the punishing tariffs now applied to Canadian seafood exported to the member states of the EU. Not only will this agreement increase the profitability of Eastern Canadian seafood companies now shipping product overseas, but will open up a vast array of new, hungry markets, with an appetite for fresh, top quality Canadian seafood.

34 MARINE LOG September 2016

When any industry is doing well and its participants are prospering, that good fortune has a tendency to spill over to related spin-off and supply companies—and the Eastern Canadian fishing industry is no exception.

One area that has seen a renewed revitalization in recent years is the region’s shipbuilding industry.

Many Eastern Canadian yards, that a decade ago were either shuttered or only producing a few vessels per year, have sprung back to life and are now at capacity—with many booked up to three to four years. New fishing vessels are in demand in Eastern Canada more than ever and the region’s naval architects and builders are just trying to keep up.

Rick Young is witnessing this growth and resurgence in shipbuilding first hand. Young is a Director and Owner of TriNav Marine Design and Marine Services International—two St. John’s, Newfoundland-based companies that design and provide indepth technical assistance to the Eastern Canada shipbuilding and marine sectors.

“There was considerable vessel construction activity in Newfoundland and Labrador from 1995 to about 2005, mostly related to changes in the industry from harvesting groundfish to harvesting shellfish. Nova Scotia and the other Eastern Canadian provinces have seen a steady growth in vessel construction in the past five years or so due to strong market prices for lobster and also because much of the f leet was getting old and required replacement,” Young said.

He noted that fishermen have lobbied hard over the years and have been successful to have DFO change many of their vessel size restrictions.

“This has allowed fishermen to construct larger and safer vessels that can travel further offshore for longer periods of time, while increasing quality with such features as live wells and refrigerated sea water tanks.”

Now with the potential for a renewed groundfish fishery in the near future and continued strong prices for shellfish, fishermen are willing to invest further in newer and multi-purpose vessels, Young added.

“This will allow them to be more diversif ied, have a longer fishing season and be more profitable. Fishermen it seems, always find a way to adapt to the changes in the industry and persevere. We will be there with them side-by-side to help make this happen.”

The optimism expressed by industry leaders, such as Rick Young, seems to be contagious throughout the Eastern Canadian fishery.

After years of uncertainty, combined with the constant nattering of the naysayers mumbling about how the fishery will soon be no more, the industry is on the upswing – driven by positive factors that could help this still valuable business turn the corner and further increase in value.

Just as sure as the strong Northeast winds will continue to buffet the shores each year, those prosecuting the seafood industry in Eastern Canada will stand by their resolve and continue to produce the products that continue to drive the growth and evolution of this critically important, multi-billion dollar machine called the fishery. ■

Kerry Hann is the Managing Editor of The Navigator Magazine, the largest publication covering the marine and fishing industries in Eastern Canada. Hann has been covering the North Atlantic fishery and other natural resources-based issues for nearly 25 years.

NAVIGATION

The HMCS Windsor will be the first Victoria Class submarine to feature the new autopilot system

Out With The Old Royal Canadian Navy’s Victoria Class of submarines are getting an autopilot upgrade

By Andrew Safer

W

hen it came time to upgrade the autopilot system in four Victoria-Class long-range patrol submarines, Canada’s Department of National Defence (DND) assembled a consortium including three federal government departments— National Research Council of Canada (NRC), DND, and Defence Research and Development Canada (DRDC)—and L-3 MAPPS of Montreal, the contractor that is supplying the control and simulation solutions for the new system. The builds of HMCS Victoria, Windsor, Chicoutimi, and Corner Brook began in the mid-1980s, so the original autopilot system has become obsolescent. The submarines are transitioning from point-to-point wiring to modern digital data bus communications.

The system includes an operator console, computers, and electronic enclosures. The computers receive data on depth, course, speed, pitch, roll, and heading from transducers, calculate, and send values to the rudder and hydroplanes’ control surfaces. When engaged, the new autopilot system will automatically adjust and compensate for any disturbance that could affect the submarine’s set course through the water, advises DND, either on the surface or when submerged. The autopilot system is independent from the ballast control system.

Built in the UK for the Royal Navy, the diesel-electric-driven submarines were bought by the Canadian government in 1998, after the

Royal Navy decided to convert to an all-nuclear fleet. The first vessel slated for conversion to the new autopilot system is HMCS Windsor.

She measures 70.3 meters long by 7.6 meters across the beam, and has a maximum operational depth greater than 200 meters. Displacement is 2,220 tons surfaced and 2,439 tons submerged, and maximum submerged speed is 20 knots.

David Millan, Senior Research Council Officer at the National Research Council of Canada in St. John’s, Newfoundland, has worked on the autopilot replacement project since 2012. The first order of business was to help develop the specifications for the autopilot control system. Then, on behalf of DND, he and his team evaluated three proposals for providing the simulation and control solutions. L-3 MAPPS was awarded the contract. Millan was aboard HMCS Victoria for 10 days off Halifax to collect full-scale baseline data on the existing autopilot system. When the new system is installed, the baseline data will be used to gauge its performance.

Next, DRDC provided a numerical model which Millan and his team modernized, added an external interface, and used to provide an independent evaluation of L-3 MAPPS’ autopilot algorithm software. They then simulated the interaction between the numerical submarine and the numerical autopilot to commands such as “Do a turning circle,” “Hold a straight line,” and “Change depth,” and observed the movements of the simulated submarine. There were September 2016 MARINE LOG 35

NAVIGATION

The National Research Council of Canada’s towing tank helps evaluate a submarine’s performance

criteria for each maneuver such as accuracy in meeting the set point and course keeping. They also combined maneuvers, such as both changing depth and turning. They recommended improvements, which were quickly addressed by L-3 MAPPS. Millan notes that the new autopilot system has “a very snazzy interface” which emulates the old one, even though the technology has changed from push buttons to touch screens.

NRC’s tow tank —measuring 200 meters long by 12 meters wide by 7 meters deep, making it the largest in Canada—is used to test ships, marine components, assemblies, and software in varying current, wave, wind, and water conditions. Millan and his fabrication team spent five months building a model submarine for testing. It is 4.5 meters long by 6 meters, 1.1 meter from keel to top of sail, and weighs 670 kilograms. The model is comprised of: the nose assembly, containing the forward hydroplane system; the midbody assembly, an aluminum pressure housing for the control and communication systems, support electronics, batteries, and sensors; the aft water-tight housing for the propulsion, rudder and aft

hydroplane systems; the sail section for antennas and positioning systems; and a ballasted keel.

Dr. Jim Millan, NRC Director of Research and Development, explains that according to Froude scaling laws, the 1-to-15-scale model submarine they built measures 1/15th of the real submarine in each dimension. The model’s weight and propulsion power are 1/3375th of the actual submarine; the speed is one-quarter of the actual vessel, and events in model-scale time happen four times faster than at full scale (e.g., it can turn around in ¼ of the time).

The model’s maximum submerged speed is 2.6 meters per second, and maximum power is 11 kilowatts.

In 2014, one week was spent in initial testing and commissioning, and a second week was spent conducting 14 operational tank tests in calm water, and also with seas coming from the bow and stern, with various wave heights, and with three different boat speeds. The tests included surfacing, diving, maintaining depth, and snorkel depth in various wave fields. The data from the physical model was used to improve the numerical model, which will be

Confidence Booster: Model helps predict submarine behavior The National Research Council of Canada’s (St. John’s) experience with warships dates back more than 50 years, which includes provision of support to the Canadian Patrol Frigate program. NRC then helped Defence Research and Development Canada (DRDC) model the behavior of submarines underwater during the acquisition of the four Victoria-Class submarines.

“DRDC had developed numerical tools to predict the behavior of new submarines,” recalls Director of Research and Development Dr. Jim Millan, who is in his 32nd year at NRC. “They said: we need to validate this with a physical model.” NRC staff built the Marine Dynamic Test Facility, which forced a submarine model built at 1-to-15 scale through various maneuvers. They measured the forces impacting on it while going through the water, and used the measurements to validate the numerical model. “It gave DND an extra level of confidence that they could use a software tool to predict the behavior of submarines,” says Dr. Millan.

36 MARINE LOG September 2016

A model of a Victoria Class submarine undergoes a tank test

NAVIGATION used in submariner training and also to generate data to assist operators.

Dr. Francois Belanger, Project Engineer for L-3 MAPPS, and DND project manager Hans Pall were involved in the model testing. The model submarine was operated wirelessly. The autopilot algorithm running on a PC on the shore controlled the hydroplanes on the model submarine. “For a PhD, Dr. Belanger is an immensely practical fellow,” observes David Millan. “He was able to change the autopilot on the f ly to ref lect the analysis of each run. I haven’t seen that done before: improving the algorithm while running the model.” He added that the DND project manager saw the model testing as an opportunity to advance the autopilot’s capabilities as much as possible before testing at full scale. Model testing also enabled them to acquire data on boat maneuverability and hydrodynamic characterization, information that was not transferred to DND when the submarines were acquired.

The old autopilot system’s use was captain-dependent, notes David Millan. The autopilot controlled the hydroplanes, but operational preferences determined whether or not the captain adjusted them manually.

“Submarines around a certain speed, enter a transition zone going from maintaining depth in one mode to another mode,” explains Millan. “As you go faster, the hydroplanes move in opposite directions” (compared to moving in the same direction when moving slower), which is why the helmsman may choose to manually take control. The intelligent algorithm in the new autopilot system allows for adaptability, depending on the speed and performance of the vessel. It should be able to feel the boat and how it’s performing—to the extent that a machine can—says Millan, and change control modes as required. “It’s hard to do that with the old-fashioned hard-wired system,” he adds. “I hope it will be used in all of the cases where it’s operationally applicable. It will reduce the load on the helmsman.”

Reflecting on the importance of ensuring the numerical model is accurate, Dr. Jim Millan says, “That data potentially becomes a life and death decision-making tool. Knowing the capabilities of your submarine and being informed of its maneuverability and ability to escape or avoid harm, that’s what it’s all about. That’s what we do for the Navy. It’s safety and performance.”

Factory acceptance testing of the new autopilot equipment sets is complete. Ten days of sea trials are planned for October 2016 to complete characterization of the Windsor before the new equipment set is installed in early 2017. Sea acceptance tests are planned for spring 2017. ■

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www.jrc.am AlphaBridge on the Robert Allan Ltd designed hybrid RotorTug© RT Evolution September 2016 MARINE LOG 37

TOWBOATS

FMT’s towboat M/V Marty Cullinan has a retractable pilothouse

Let Me Take You Down New towboats designed with retractable pilothouses provide operational versatility

I

ndependent commodity trader Trafigura Group, through its subsidiary Impala, is investing $1 billion in creating the infrastructure for a new multimodal supply chain in Colombia that can transport crude, naphtha, break-bulk cargo, containers, and oversized cargo up and down the country’s main waterway, the Magdalena River.

Impala Colombia currently operates a terminal in the seaport of Barranquilla, where the Caribbean Sea meets the Magdalena River.

Some 630 kilometers south of Barranquilla on the Magdalena River, Impala is investing some $450 million in developing a new stateof-the-art inland river port in Barrancabermeja. The inland river port will have an oil terminal with six tanks that can store 120,000 bbls each and a general cargo and container terminal. The port will serve as an intermodal connection between river transport and truck transport. Impala’s fleet of barges will ship product to and from major crude oil production sites as well as major cities such as Bogotá or Medellín.

In addition, Barrancabermeja will also serve as a seaport with bills of lading possible to connect directly with international ports such as Rotterdam or Shanghai.

Part of Impala’s investment includes a fleet of new towboats and barges. Impala’s growing Colombian fleet includes at least 15 new towboats and 68 liquid barges and 45 dry cargo barges. The tank 38 MARINE LOG September 2016

Compiled by Marine Log Staff barges are double hulled, with vapor recovery systems for environmental responsibility and safety and can carry up to 10,000 barrels of oil.

This past summer, Eastern Shipbuilding, Panama City, FL, launched the Impala Soledad and Impala Puerto Salgar, the first two in a series of four inland river towboats for IWL River Inc., an affiliate of Impala Terminals Colombia.

Designed by CT Marine, the towboats are being built to ABS Class Inland River Service. Eastern Shipbuilding expects to finish delivering the boats in 2017.

Impala Soledad and Impala Puerto Salgar along with the other sister vessels in the series, the Impala Mompox and Impala Catagallo, will each be 134 feet long, 42 feet wide, with a depth of 9 feet and minimal operational draft of 6 feet.

Each towboat will be triple screwed, with three Caterpillar 3512C main diesel engines, certified to IMO Tier II. Each will produce 1,280 hp at 1,600 rev/min for a total of 3,840 hp. Karl Senner, Kenner, LA, supplied the three Reinjtes WAF665 reduction gears.

The towboat’s auxiliary power is supplied by two Caterpillar C6.6 125 kW, 220-volt, 3-phase main generators.

The Panama flag vessel will be classed ABS +A1, Towing Vessel, River Service, +AMS, ABCU. CT Marine also designed the towboats to have a retractable

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TOWBOATS pilothouse. When fully raised, the pilothouse will have a 37 foot 6 inch eyelevel above the waterline. Towboats designed with retractable pilot houses can pass under low fixed bridges along their route.

The deckhouse is confined to a single level and only the pilothouse is extended atop a hydraulic ram. When raised, the pilothouse provides excellent visibility for the master to see over top his tow.

New Towboat for FMT Another new towboat built with a retractable pilothouse was Florida Marine Transporters’ M/V Marty Cullinan. Built by Horizon Shipbuilding, Bayou La Batre, AL, the M/V Marty Cullinan has an ABS Load Line Certificate to operate in the waters between Chicago to Burns Harbor for fair weather voyages.

The 387 gt towboat is outfitted for service in areas with restricted overhead clearances and draft limitations. With the pilothouse fully retracted, the maximum air draft is 17 ft 8 in.

The 120 ft x 35 ft x 11 ft 6 in vessel is of all steel construction and powered by two Caterpillar 3512 engines, each rated at 2,011 hp at 1,600 rev/min with Twin Disc gears. The boat is outfitted with two 175 kV Tier 3 John Deer 6090 460 V gensets.

Sleeping accommodations and facilities are provided for eight persons and sound dampening systems have been implemented throughout the main deck house.

The towboat was built in 14 months. Project Manager Terry Freeman, who managed the construction of the vessel, said, “Our team exceeded all expectations with regard to the timely production and quality work on this build especially given the new design, ABS requirements and technical expertise required for the retractable pilot house.”

Jeff Brumfield, Senior Manager of Boat Construction and

The Impala Puerto Salgar under construction at Eastern

Engineering for FMT said, “We are thoroughly pleased with the boat, and when I talk to the Marty Cullinan crew they are quick to note that she is smooth and very quiet. The sound dampening package has exceeded our expectations.”

“We have worked hard to build one of the best boats on the river and we consider ourselves fortunate to have teamed with FMT and John J. Gilbert to do this,” said Travis Short, President of Horizon Shipbuilding. “Horizon has been building FMT boats for almost a decade and in that time we have been able to assemble a team of master craftsmen that produce a superior product. All the praise goes to those men and women in the yard, taking care to do the job right the first time while working safe, working hard and working together.”

Horizon has two more 120 ft FMT towboats, one standard and the other with a retractable pilothouse, in production with deliveries scheduled for this fall and the spring of 2017. ■

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The marine log Job board Recruit and hire the best maritime talent with Marine Log’s online job portal.

To place a job posting, contact: Jeanine Acquart • 212 620-7211 • jacquart@sbpub.com 40 MARINE LOG September 2016

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newsmakers

Crowley Maritime names veteran exec to new VP role Crowley Maritime Corporation, Jacksonville, FL, has promoted veteran company executive Eric Evans to Vice President of Strategy. The newly created position will focus on facilitating long-term growth through external business partnerships, including mergers and acquisitions.

H u n t i n g to n I n g a l l s Industries has named Jim McIngvale Director of Communications and Public Affairs at Ingalls Shipbuilding. In addition, HII also announced that Jennifer Dunn (pictured) has been promoted to Vice President of Communications at Newport News Shipbuilding.

Volvo Penta of the Americas has named Dave Brown its new Director of Commercial Marine Sales. In this position, Brown’s primary focus will be to secure and maintain effective business relationships with government agencies, OEMs, dealers and customers in the marine commercial engine market.

Thomas Semino has been appointed Chief Commercial Officer (CCO) of Golden Ocean Group Limited. Semino, who will take on the role later this year, is currently the Head of Dry Freight in Vitol S.A. and previously held the position of Managing Director of Ocean Freight in Bunge S.A.

Twin Disc, Inc, Racine, WI, has named David W. Johnson to its Board of Directors.

Johnson, who is Vice President and Chief Financial Officer of Johnson Outdoors Inc., brings with him experience in working in the marine industry and managing global financial activities.

Maritime and Energy attorney Julia M. Palmer has joined Holland & Knight’s Houston, TX office as a partner. She was formerly a shareholder with Gray Reed & McGraw, P.C. With more than 30 years of experience, her practice focuses on marine, energy and insurance issues.

42 MARINE LOG September 2016

Ship and rig repair giant, A S R Y, B a h r a i n , h a s appointed Magdy Mustafa its Acting Chief E xecuti ve. T he ne w s comes after current Chief Executive Nils Kristian Berge announced his resignation. Mustafa is the current Procurement and Contracts General Manager. He will continue in that position, in addition to taking on his new Chief Executive duties as of the first of this month.

Bureau Veritas has appointed Nick Brown as its Communication Director, Marine & Offshore Division. Brown will officially take over the role this coming November from Philippe Boisson, who retires after more than 25 years in the role.

GE has named A zee z Moh a mmed President & CEO of GE Energy Connections’ Power Conversion business. Mohammed recently served as President and CEO of GE’s Power Services business for the Middle East and Africa.

techNews The Damen BalCon EC 1500’s compact size makes it a good choice for operators with limited space

Alfa Laval introduces new solution for LPG/E cargo reliquefaction

Damen and Evoqua debut new plug and play BWMS Damen Green Solutions and Evoqua Water Technologies launched a containerized “plug and play” ballast water management system (BWMS)earlier this month at SMM. The Damen BalCon EC 1500 powered by the SeaCure BWMS was developed as a direct result of customer demand for fast plug and play installation at the shipyard.

The new system is a compact solution, with a footprint of 20 ft container for a 1,500 m3/h treatment capacity, making it the optimal choice for shipowners and operators with limited space below deck.

Damen and Evoqua say the system’s arrangement is optimized for maintenance and can be assembled and tested offsite to shorten build time on board.

The Damen BalCon EC 1500 is well-suited for tanker vessels with submersible ballast

pumps, where there is usually no space available for a BWMS to be placed. The system can also be used as a temporary system on vessels that are nearing the end of their life cycle and only need to bridge a short period before being taken out of service.

Matthijs Schuiten, Product Manager, Damen Green Solutions, lauded Damen and Evoqua’s partnership. “Evoqua, which has over 40 years’ experience in manufacturing Chloropac marine growth prevention systems, refined this tried and tested technology and integrated it into its SeaCure BWMS. Damen focused on standardization throughout the development process as part of our requirement to deliver safe and proven solutions to our shipyard customers on demand.

The container will be classified as a deck house by the major classification societies.” www.damen.com

RSC Bio Solutions launches revamped website Environmentally acceptable lubricants and cleaners provider, RSC Bio Solutions, Charlotte, NC, has revamped its website, creating what it says is the ultimate user-friendly experience with improved navigation and functionality throughout.

The cleaner, more attractive website will enable customers to access detailed product information with the option to share information across all major social networking sites. The site includes extensive product information, technical data, glossary of terms and case studies, which help to provide a detailed overview of RSC Bio Solutions’ capabilities across a wide range of applications, including marine construction,

marine transportation, offshore oil and gas, turf management and utility fleets.

“We believe that this new website will allow our visitors to have a very informative experience as we continue to grow and increase our market presence,” says Lisa Clark, Vice President of Marketing and Business Development of RSC Bio Solutions.

The website, features a new enhanced search and navigation capabilities with new content focused on the company’s mission to provide sustainable, high-performing solutions for unforgiving environments and meet the demanding needs of operations, while reducing environmental and employee risk. www.rscbio.com

Alfa Laval is hoping to strengthen its position in LPG/E cargo reliquefaction by introducing its DuroShell plate-andshell heat exchanger.

“DuroShell is a remarkable advance in heat exchanger design,” says Matilda Melby, Application Manager, Gas Components at Alfa Laval. “As an LPG/E c a r go con den s er, i t prov i de s f a r greater resistance to temperature and pressure extremes than most other welded solutions.”

Already in use in the offshore oil and gas industry, the DuroShell features an innovative construction that is said to dramatically increase resistance to thermal and pressure fatigue.

Its patented roller coaster plate pattern make DuroShell more robust, allowing it to condense cargo with a higher ethane content. The roller coaster pattern ensures even expansion around the plate circumference, eliminating weak spots, and increasing the heat exchanger lifetime.

Like its predecessor, the AlfaRex plate heat exchanger, DuroShell is a laser-welded solution combining high thermal efficiency with a very small footprint—but where it differs from AlfaRex is its ability to withstand greater pressure and lower temperatures. DuroShell withstands pressures up to 35 bar when titanium plates are used, along with temperatures as low as 198°C. “The DuroShell design merges stability with thermal efficiency, and it minimizes fouling to ensure high performance over time,” says Melby. “For LPG/E cargo reliquefaction, no solution compares to DuroShell in simplicity, capability or reliability.” www.alfalaval.com

September 2016 MARINE LOG 43

techNews

MTU Series 4000 celebrates twenty years of success

This month’s SMM show marked the 20th anniversary of the launch of the MTU Series 4000 engine. Since its launch at the event in 1996, more than 37,000 of the engines have been sold worldwide.

Series 4000 diesel engines—the first of their kind to be fitted with common rail injection as standard—were developed jointly by MTU Friedrichshafen and Detroit Diesel Corporation, and since its launch the Series 4000 has become MTU’s biggest selling engine in production.

The series is based on the principle of a robust basic engine available in a variety of cylinder versions so that it can be used in marine and energy applications, and in offhighway vehicles.

“Even today, 20 years after it was first launched on the market, the advanced design Series 4000 diesel engine and the new gas engine for marine applications which is also based on the Series 4000 engine, are the leading technologies in the marketplaces,” says Knut Müller, Head of the Marine and Government Business Division at MTU. At SMM, Rolls-Royce Power Systems, the parent company of MTU, showcased the development of the Series 4000 from its origins in marine applications to a modern green and high-tech propulsion system.

The Series 4000 engines are available with power outputs from 746 to 4,300 kW. Their basic design results in an outstanding powerto-weight ratio and compact dimensions.

Today’s fourth generation of the Series 4000 technology achieves 2,200 bar in marine applications. The new version, MO5, will meet IMO III and EPA Tier 4 emission regulations.

Beginning in 2018, MTU will have engines available that have been further optimized for fuel efficiency and will deliver even more enhanced performance, meeting current environmental requirements and emission regulations. www.mtu-online.com

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Biotech antifouling agent goes mainstream The first branded marine coatings to feature the breakthrough antifouling ingredient Selektope has been launched by Chugoku Marine Paints, Ltd. (CMP).

Developed by Swedish bio-tech company I-Tech AB, Selektope repels barnacle settlement on a ship’s hull by temporarily stimulating the barnacle larvae’s swimming behavior. The technology is fully approved under the EU’s Biocidal Products Regulation.

Once applied, Selektope does not compromise the chemical structure, color, or other biocides of a marine coating.

The Selektope solution is available in two new generation CMP solutions: Seaflo Neo CF Premium and Seaflo Neo-S Premium.

Seaflo Neo CF Premium is based on zinc polymer technology. The coating is ideal for ocean going vessels and has an in-service life of more than five years. It has already been applied to vessels owned by shipping companies in Sweden, Hong Kong, South Korea and Japan.

Meanwhile, silyl polymer technologybased Seaflo Neo-S Premium targets “low activity” vessels. selektope.com

ACTUAL MODEL

SIMULATED WATER AND SMOKE

S. S. LANE VICTORY, COMMISSIONED WINTER 2014/15

Take your brand to the next level Contact your sales rep at marinelog@sbpub.com or call 212.620.7200 | MARINELOG.COM 30,000+ qualified subscribers worldwide 86% of subscribers are involved in purchasing decisions 98% of subscribers act on advertisements 52% of subscribers are involved in vessel operations *Source: 2015 Verified Publisher’s Statement and 2016 Readership Survey

44 MARINE LOG September 2016

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 August 1, 2016. A more complete listing of Shipbuilding Contracts, Vessel Deliveries, and a Shipyard Directory are available on Marine Log’s Shipbuilding Intelligence website, www.shipbuilding.marinelog.com Shipyard

Location

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

RECENT CONTRACTS Conrad Orange Orange, TX 3 ATB Tug 110 ft Vane Brothers

2018

GD-NASSCO Great Lakes Shipyard

San Diego, CA Cleveland, OH

2 2

CONROs Tugs

3,500 TEU 65 ft

Matson Navigation 511 Great Lakes Towing

2020-2Q 2017

Jesse Engineering

Tacoma, WA

1

Bunker Tanker

126 ft 2 in

Maxum Petroleum

2017-1Q

DELIVERIES BAE Systems

Jacksonville, FL

1

Tug

141 ft

Seabulk Tankers

2016-3Q

Blount Boats Bollinger Shipyards

Warren, RI Lockport, LA

1 1

Tour Boat FRC

100 ft 154 ft

Shoreline Sightseeing U.S. Coast Guard

2016-3Q 2016-3Q

Eastern Shipbuilding Eastern Shipbuilding

Panama City, FL Panama City, FL

1 1

Escort Tug Escort Tug

80 ft 80 ft

Suderman & Young Bay Houston Towing

2016-3Q 2016-3Q

Lake Assault Boats Philly Shipyard

Superior, WI Philadelphia, PA

1 1

Fireboat Product Tanker

28 ft 50,000 dwt

City of Conroe Fire Dept.

Crowley Maritime

2016-3Q 2016-3Q

PENDING CONTRACTS BAE Systems Southeast Mobile, AL 2 Dump Scows 7,700 cu. ft Great Lakes Dredge BAE Systems Southeast Jacksonville, FL 1 Tug 141 ft x 46 ft, 12,000 bhp Seabulk Tankers Inc. Sturgeon Bay, WI 1 ATB 8,000 hp / 155,000 bbl Plains All American Pipeline Bay Shipbuilding Bay Shipbuilding Sturgeon Bay, WI 1 ATB 185,000 bbl /8,000 hp undisclosed 30 Skimmers 30 ft 3 in x 9 ft 8 in U.S. Navy Vigor (Formerly Kvichak) Seattle, WA TBD 1 Double-end ferry 70-car similar to Pocohontas VDOT $25 3 Double-end ferries 4,500 PAX NYCDOT $328 TBD TBD 3 Pass/Vehicle ferries 1,000 PAX/100 vehicles DRBA $101

NOTES Options Option Option Opt. 2018 Opt. to 2019 2018-2020 RFB Issued 2018- 2021

Index of Advertisers Company Page #

Company Page #

Center Lift. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Marine Art of J. Clary. . . . . . . . . . . . . . . . . . . . . . . . . . 44

Conrad Shipyards LLC. . . . . . . . . . . . . . . . . . . . . . . . . . 9

Marine Group Boat Works . . . . . . . . . . . . . . . . . . . . . . 11

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

Marine Services International Ltd. . . . . . . . . . . . . . . . 2

Fincantieri Bay Shipbuilding. . . . . . . . . . . . . . . . . . . C2

Metal Shark Boats . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

Great American Insurance Group . . . . . . . . . . . . . . . . 13

Motor-Services Hugo Stamp, Inc.. . . . . . . . . . . . . . . . . 12

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

Northern Lights, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . 27

Hatton Marine. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Pivotal LNG. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31

Horizon Shipbuilding. . . . . . . . . . . . . . . . . . . . . . . . . . 17

Rolls-Royce Marine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Interferry. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32

SHIPPINGInsight. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

Japan Radio Co., Ltd. . . . . . . . . . . . . . . . . . . . . . . . . . 37

Smith Berger Marine Inc.. . . . . . . . . . . . . . . . . . . . . . . 2

JMS Naval Architects . . . . . . . . . . . . . . . . . . . . . . . . . . 8

SNAME . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42

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

Tradesmen International.. . . . . . . . . . . . . . . . . . . . . . 22

Lifting Gear Hire . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29

Viega. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 September 2016 MARINE LOG 45

marketplace ENGINEERS & ARCHITECTS

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JMS designed stevedoring barge 300’ x 72’, 6,000 psf deck rating Built by Conrad Shipyard for Rhode Island Commerce Corp. and Port of Providence

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Thickness - hardness crack determination Ultrasonic flaw detection Vibration - noise structural/modal analysis Field balancing Torque - torsional vibration analysis Predictive Maintenance IR - thermography measurements

GILBERT ASSOCIATES, INC. Naval Architects and Marine Engineers

350 Lincoln St. Suite 2501 Hingham, MA 02043

Website www.jwgainc.com

46 MARINE LOG September 2016

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

marketplace ENGINEERS & ARCHITECTS

employment

SOFTWARE

BoksaMarineDesign.com 813.654.9800 Naval Architecture Conceptual Designs Marine Engineering

Open Positions:

Production Engineering Lofting & Nesting Tooling Design

Portland, OR

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49th

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2016

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MarineYellowPages.com ALL MAJOR CREDIT CARDS ACCEPTED September 2016 MARINE LOG 47

Marine salvage

So Long Sweet Summer Autumn is rapidly approaching and as we look forward to cooler weather and the beginning of football season (and maybe not looking forward to the end of summer vacations), the American Salvage Association takes a brief moment to look back at a very productive summer.

Immediately following the successful joint seminar in Miami between the ASA and the Inter-American Committee on Ports, the ASA, represented by Jim Elliott in his executive committee role as Secretary and the Panama Canal Authority (ACP), represented by Administrator, Jorge Luis Quijano Arango, have signed a Cooperation and Technical Assistance Agreement, effective June 15th. The ACP regulates marine traffic control, safe navigation and transit of vessels within Panama Canal waters.

Through their emergency response division, the ACP has implemented the Panama Canal Contingency Plan to respond to potential natural and anthropogenic events, such as environmental pollution. Through this plan, the ACP has signed agreements at the national and international level and developed programs for emergency preparedness. The newly signed agreement with the American Salvage Association will add to their formidable contingency planning arsenal.

The agreement serves as a mutually

MarineLoG

ISSN 08970491

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A Simmons-Boardman Publication Corporate Offices 55 Broad Street, 26th Floor New York, NY 10004 T: (212) 620-7200 | F: (212) 633-1165 www.marinelog.com

beneficial opportunity to enhance emergency planning, preparedness and response operations in Panama Canal waters and to provide a timely and quality salvage response to vessel incidents. It will be in force for an initial term of three years, with either party having the option to extend the deal. There are multiple objectives that the agreement will fulfill, centered on the goal of providing the Panama Canal with emergency response to vessel incidents. Without conflicting with laws, statutes and regulations currently affecting either party, the agreement provides that: 1) Both parties shall exchange all rele vant infor mat ion, case studies and topics and experiences related to marine salvage that are of common interest.

2) Coordinate training opportunities in order to keep all specialized personnel updated on marine salvage and other topics.

3) Identify the best practices in the marine salvage area that might be of interest for the implementation of a Panama Canal Authority Marine Salvage Plan, towards the improvement of its emergency response to vessel incidents in Panama Canal waters.

4) Plan the annual activities required to further the objectives set forth, and determine the evaluation criteria for measuring the accomplished objectives.

Regarded as one of the seven wonders

of the modern world, the Panama Canal is of great strategic importance to global trade and it hosted its one millionth passing ship in 2010. Over ten thousand ships a year made the passage and it just completed a multi-billion renovation that equips it to handle the modern era’s super massive ships.

This Cooperation and Technical Assistance Agreement serves as a further validation of the American Salvage Association mandate to expand our reach beyond North America and into Central and South America. To be chosen to enter into this partnership, with the very important goal of keeping the Panama Canal open and functioning in the event of a vessel incident is a testament to the skills, knowledge and abilities of our members. The cross pollination of institutional knowledge, training, case studies and best practices will only serve to make both organizations stronger and we look forward to a long, productive and fruitful partnership.

On a final note, the ASA just wants to note that our annual meeting will be taking place on November 1 in Tampa and will be held in conjunction with Clean Gulf 2016.

We encourage all members to make plans to attend as we have a full agenda to discuss and implement. For further details, please go to our website at www.americansalvage.org I hope that everyone has a safe and productive fall season.

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

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

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

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

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

48 MARINE LOG September 2016

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