NAFTOMAR SHIPPING & TRADING CO
Fuelling ambitions and industry for 50 years
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NAFTOMAR SHIPPINGS
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PROFILE
For half a century, the name of Naftomar Shipping & Trading Co has been a constant in the changing world of liquid petroleum gas (LPG) but is still synonymous with reliability and a can-do attitude. As LPG has gone global, so Naftomar has risen to the challenge to ensure safe transportation by committing to continuous investment in its people and vessels. Profile by Andy Probert.
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pioneer of the LPG sector of the 1970s, Naftomar Shipping & Trading has remained ever-present down the decades and is now one of the most influential players in its field. 50 years later, Naftomar refuses to age gracefully, as it continues to adapt to modern technologies, advancing investment in people, rising to customers’ needs and industry pressures, while, significantly, retaining its reputation for reliability. Having managed to retain full capacity for its 19-strong fleet of tankers even through the pandemic, Naftomar is stronger and more united than ever and ready to press on, according to Fleet and Technical Director, George-Paul Perantzakis.
Blazing a trail Established in Beirut, Lebanon, in 1972 as a trading house focused on the distribution of petroleum products in the Mediterranean region, Naftomar took advantage of the vast potential of the LPG market and opened a chartering and ship management office in Greece. A representative office was also opened in Paris under Chemigaz’s name, aligning the family-owned company to establish
and develop partnerships with oil majors, brokers, and the LPG market. In 1991, Naftomar transferred its entire business operations to Voula, Athens. By that time, the company had, for 15 years, been operating its own dedicated fleet of LPG tankers, starting with the 4,000 cbm Gaz Unity in 1977, that paved the way for expansion into dedicated LPG transportation. Today, the company’s expertise in shipto-ship cargo transfer operations is unrivalled. Since the 1990s, more than 4,000 ship operations have been safely concluded,
with more than 10 million tonnes of product trans-shipped. The scope of Naftomar’s business extended further afield to embrace the trading of petrochemical gases, including ethylene, propylene and crude C4. This move further strengthened Naftomar’s relations with a number of specialised industries. During the 1990s, it took the lead in developing Very Large Gas Carriers (VLGC) activities in the Far East and has since been recognised as one of the largest
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NAFTOMAR SHIPPINGS
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PROFILE
independent ship operators in the region. In addition to pioneering imports into Pakistan and Syria, the company was instrumental in encouraging LPG imports into China by operating floating storage facilities, accounting for a significant proportion of all LPG imports. Imports rose from zero to 7 million tonnes. Fast forward to 2022: Naftomar now operates a 45,000 cbm state-of-the-art German-made storage installation on land in Lebanon, as well as a floating storage facility in the Mediterranean. The company now has an 19-strong fleet, including ten tankers built from new in 2010-11 to support its global LPG trading activities. These include fully refrigerated, semi-pressurised/fully refrigerated and fully pressurised gas carriers ranging in capacity from 7,200 to 84,000 cbm.
Highly adaptable Mr Perantzakis stated: “Our flexibility means that our fleet is independent of our trading obligations. They can be chartered by Naftomar Trading for their own activities and cargoes, but can also be chartered by others, such as oil majors. “We are one of most well-known players in the market for LPG and ammonia, and our expertise in that space is second to none. We are pioneers of practices that are now common place, but we also remain a key innovator in the business.” Naftomar’s tankers primarily focus on trading in the Med, but also operate worldwide, calling in at locations such as the USA, Far East, and Northern Europe.
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He said: “Our diversified fleet means we have different sized tankers that can cater to all the demands of clients. We are highly adaptable to all circumstances.” Naftomar is also heavily involved with the London-based Society of Gas Tanker and Terminal Operators, which drives guidelines, compliance and advice in the market. The company now employs 120 staff at its Athens headquarters and has a pool of 900 seafarers drawn from the Philippines, and West and Eastern Europe. “From day one, we have been committed to investing in people,” Mr Perantzakis emphasised. “To be successful in shipping operations, it is important to have the right people in the right place.” The company has a comprehensive cadetship programme that helps it to select individuals of proven quality. That strategy has proven immensely important during the pandemic to help staff provide a service to clients at the highest level. “This strategy gives us the opportunity and possibility to have a suitably educated and motivated workforce to assist in meeting
clients’ requests, keeping them happy, and enabling the business to grow. The human element is essential to us,” Mr Perantzakis underlined. “Our approach is to build recruits from the ground up with the right training and education, and in this way, we have the company mentality incorporated in their mindset from the beginning of their careers. “We believe that by unlocking the potential of our employees, we are safeguarding the long-term interests of our clients. It is a policy that continues to pay handsome dividends. Our approach has produced a highly motivated workforce that co-operates together to meet clients’ needs while leading the way in the international LPG sector.” The biggest challenge for the next few years, he confirmed, will be the environmental compliance and transition to cleaner fuels and new technologies, and the overall goal of carbon emission reduction. “It is a difficult task, involving many different aspects, such as operational improvement, new equipment coming into the industry, new fuels, and many different other things. So the challenge will be how to manage all these tools to reduce emissions.” Mr Perantzakis said that due to this global “shakeup” to the world’s fleet, the company was actively engaged with sup-
pliers and shipyards to understand what is available and what vessels can be manufactured that can improve things. “We are in the active process of searching for the optimum solution to any new vessels. This research is still in its infancy, and we continue to evaluate our options and possibilities to make a sound financial and operational decision on any new vessel that will comply with all future industry needs.”
Staying reliable in uncertain times Mr Perantzakis said the pandemic proved an opportunity to increase the speed of digitisation across the company and make everything more efficient. “We also focused on the workforce by providing a safe environment to work in and perform to their best.” “We were also determined to enable crews work safely, and were changed in good time. We even deviated ships to have crew changed, so allowing them to get back home despite the restrictions. We never spared
any effort in keeping their safety and wellbeing top priorities.” He emphasised: “These are uncertain times. We are responding to the challenges of the environmental aspects, the market being affected by the conflict in Ukraine, and trying to retain high-grade staff. All these are challenges facing Naftomar and the industry today.” But the company continues to reap the benefits of strong engagement with clients through its expertise and experience, with him adding: “Being reliable, sharing the same values and being transparent has enabled us to maintain long-term relations. “The commercial market is very volatile and it is hard to keep a steady course. We have to adapt on multiple levels, support our clients, and promote a positive stance without any negative cost impact.” Mr Perantzakis concluded: “Naftomar will focus on all these aspects, while ensuring the service we have provided for the last 50 years continues consistently.” n
George-Paul Perantzakis Fleet and Technical Director
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