Capesize Casualty

So, the Antipodean Mariner has a new job. The downturn in the offshore Oil and Gas Industry saw corporate life leaving me in 2017, and another career reinvention. With two colleagues, we have started our own business as Marine Superintendents and which is successful. We do mainly do pre-Port State Control inspections for our Clients' ships with the occasional casualty to manage. Here's one of our success stories!

A Client's Capesize bulk carrier suffered a flooded Engine-room after an internal pipeline failure. Quick work by the ship's Engineers stopped the water ingress and got her generators back on line, but she was disabled in part-loaded condition on the loading terminal in cyclone season.

Water flooded to the Bottom Plates

Two of us flew to the ship and, with the Owner's blessing, took over the local casualty recovery to reestablish critical services - power, cooling water and fire fighting systems - and prepare the vessel for ocean tow to a Repair Yard. The water level in the Engine-room had inundated the crank case and the Main Engine was immobilised.

My partner Steve, a Chief Engineer, took on the Engine Room and I took on the preparation for tow. Together, we manged the daily communications with the Port State Control Authority, Harbormaster, Charterers and Terminal Operators.

The vessel was 'blocking' valuable out-loading capacity at the Terminal, and they wanted the ship off ASAP which required us to plan for two movements. The first was to get the Engine Room dry, services re-established and critical pumps operational. Working around the clock, electric motors were sourced to replace those immersed and cabling run to Distribution Boards. Using portable pumps, 1,110 cubic metres of sea water and oil were pumped into an empty ballast tank and the ballast system made watertight with cement boxes encased with steel plate.

With the vessel released from berth detention, an Anchor Handler was chartered to tow the 'dead ship' from the Terminal to anchorage with an escorting entourage of harbour tugs. The Pilots had practiced 'dead ship' towage in a Simulator, but this was their first live show.

With the Anchor Handler as a proxy Main Engine and four tugs made fast, we let go and got underway on a calm dawn morning for the expected six hour tow to open water.

Dead ship tow with the entourage

Safely anchored, the next task was to work out how to perform a 3,000 nautical mile tow to the Repair Yard. A Naval Architect's calculation has shown that the towing resistance in ocean conditions was twice the load the the mooring bitts were rated. Through a process of elimination, we identified the anchor chains has having the strength needed to perform the tow. However, to enable to vessel to anchor in an emergency, we had to leave one anchor ready for use.

The salvage tug chartered to perform the ocean tow arrived at the anchorage, and preparations got underway to rig the tow. The anchor was 'lassoed' with a mooring rope and decked on the salvage tug.

First, lasso your anchor...

With the chain safety in the Karm Forks, the cutting torch came out and the chain was cut for connection to the Tow Wire.

Decking the pick

With the tow connection made, regulatory approval to depart granted and a second tug made fast for the initial passage to clear a forming tropical cyclone, the anchor was heaved and the convoy put to sea.

Connected and ready to depart

The happy ending... the vessel was repaired, returned to the Terminal to finish loading and completed her voyage. We learned a lot about managing a casualty, lessons that we put to good use recently on another disabled ship. But that will be another Blog Post...

The Antipodean Mariner

15th September 2018

Scuttled

On August 19th 2013, the Capesize bulk carrier 'Smart' ran aground departing Richards Bay, South Africa, with a full cargo of coal. It's been reported that there was a heavy swell running at the time, and that 'Smart's stern hit the seabed in the swell trough. After grounding, she drifted out of the channel, stranded and broke in two. If you open up the first photo to full screen, the lower part of the rudder has sheared off - whether from the grounding for afterwards.

If the grounding is attributed to touching bottom in the heavy swell, it bears a remarkable resemblance to the grounding and successful salvage of the 'Jody F Millennium' in Gisborne, New Zealand.

'Smart's stern was 'cleansed' of bunkers, lubricants (and hopefully the crew's personal possessions) and was successfully towed into deep water were she was scuttled. Maritime blog gCaptain carries the story and photo sequence from the salvors, Subtech Group, for which the AM attribute the sequence below.

M/v 'Smart' was an elderly Capesize, built 1996 at Mitsui Shipbuilding in Japan. Salvors continue to work on the forward section (Holds 1-6).

 

 

 

 

 

The Antipodean Mariner

Rio Tinto distances itself from fleet expansions

Rio Tinto distances itself from fleet expansions

Australian miner says owned vessels will account for only 5% of its chartering business

Max Tingyao Lin, Lloyd's List, Wednesday 25 April 2012

ANGLO-Australian Rio Tinto has distanced itself from other mining giants’ huge fleet expansion plans, insisting that despite having 15 newbuildings scheduled for delivery over the next two years its own vessels will only account for a small percentage of its shipping needs.

Speaking at a BIMCO conference in Singapore, Rio Tinto Marine chief operating officer Michael Harvey played down concerns raised by the audience that Rio Tinto’s expansion could be similar to Brazilian miner Vale’s newbuilding programme of 35 very large ore carriers to add to its existing fleet of capesizes.

A fear from shipowners is that increased competition for cargo as more miners expand their fleets will drive down freight rates for large bulk carriers even further and therefore squeeze many smaller traditional shipowners out of business.

However, Mr Harvey sought to play down those worries. “We need to manage our physical risks. We are only buying the vessels we have trouble getting [from the market] or the vessels in uncompetitive markets,” he said.

“We’ll always be a big charterer. [Even after the addition] our fleet will only be able to meet 5% of our charter demand.”

Rio Tinto’s orderbook will add 15 dry bulk carriers to its fleet of five 90,338 dwt post-panamax bauxite carriers in the next three years, mostly to meet this demand, according to Mr Harvey.

The new vessels will include eight 205,000 dwt iron ore carriers, three 250,000 dwt ore carriers, two 88,000 dwt bauxite or coal carriers and two 68,000 dwt caustic soda carriers.

Although his company is operating on a “competitive commercial” basis, Rio Tinto will not charter out its vessels except for short term contracts, according to Mr Harvey.

Mr Harvey also said Rio Tinto has no plan to order more vessels aside from existing orders, citing a weak, volatile dry bulk market resulting from overcapacity.

Instead of driving down rates, and suffering from volatilities and uncertainties, “what we want to see are competitive and sustainable rates”, he added.

“Rates today are not sustainable [as they are too low]…what we really want is to use our vessels for 25 years, then recycle,” said Mr Harvey.

In comparison to Rio Tinto, rival Australian iron ore miner BHP Billiton only has a couple of vessels in its owned fleet and uses the chartering market almost exclusively.

Brazilian miner Vale has a fleet of owned bulk carriers but its fleet expansion plans for 35 owned and chartered-in 400,000 dwt VLOCs has attracted a huge amount of attention over the past year or two as they have started to deliver into service from Asian shipyards.

They were originally ordered when freight rates were sky-high for capesizes during the shipping boom of 2007-2008 and the idea was to cut costs; now that capesize rates are weak, Vale has been pushing the environmental advantages of large vessels as they produce less emissions. 

Capes of misfortune

A very succinct piece of analysis, on the parlous state of the Capesize market, which the AM came across this week;

According to online shipping database Sea-Web, Jan-2007 to Oct-2008 bore witness to an unprecedented period in Capesize contracting: 458 vessels were ordered, swelling the orderbook to beyond 100% of the then trading fleet.

During this time quoted newbuild prices for a standard 180,000-dwt vessel accelerated from $71M to $99M with the required break-even time-charter rate ranging from $27,500 per day to $35,600 per day. To date, 314 vessels have been delivered (23% of the current fleet) with many trading in a market whereby Owners are recouping 14%-18% of the required breakeven amount.

Those ordered in early to mid-2007, if traded individually on the spot market, would have briefly traded profitably over the last 12 months. The picture is far worse for those ordered as mid-2008 whereby losses were incurred every day over the last year.

For a Capesize fleet Owner using a portfolio approach for their average cost of cover, these ships would increase the required daily return beyond what is tolerable in the current market, making it particularly difficult for heavily indebted Owners to cover, or refinance their borrowing costs and remain solvent.

AM

PN65 progress report

A short progress report on PN65 and PN66, seen here in dry-dock together. Launching date is fast approaching for PN65, and she will float out on 20th January. On the 23rd January the keels will be laid for PN67 and PN68.

The photo shows PN65 on the far side of the dock with PN66 in the foreground. PN66’s complete transom and poop deck are being lifted over PN65 by the dock gantry crane. PN65’s accommodation block, completely fitted out with cabins, public spaces and wheelhouse equipment, will be lifted on before launch.

Sea trials and delivery of PN65 is scheduled for May. Four of the eight NewcastleMax series will deliver into service in 2012 and four in 2013.

AM

Capesize PN65 is a complete hull

Another really quick post on the progress of PN65 and PN66. PN65 is a complete vessel for the first time with the fitting of her bulbous bow.


Block for a sister ship is lifted over PN65


PN65 block comprising side shell, stool piece and bulkhead slotted in to No./No.2 Hold


Ready for lowering


Almost there


In position, ready for welding


Bulbous bow is lowered in to position and PN65 is a complete hull


PN65's Forecastle in the Paint Shop (upside down)


Sister-ship PN66 next to PN65 (Looking in to the Engine Room). Another identical Cape is in the dock ahead.

Photos courtesy of the Site Supervision Team

Tha Antipodean Mariner

PN65 takes to the sea

The Antipodean Mariner's Company is building a series of eight 205,000 DWT Capesize bulk carriers in a South East Asian shipyard, the first of which will be enter service in May 2012. They are called Capesize because they can only sail around Cape Horn and the Cape of Good Hope and are too large to use the Suez and Panama Canals.

Construction of the first Capesize bulk carrier, Hull PN65, has continued steadily and in late October she took to the sea for the first time. The construction technique is for the workshop pre-fabricated hull blocks to be assembled in a large dry dock. The dock has capacity for two complete ships and two partial ships. As one pair of ships is completed, they are floated out of the dry dock and the two partially completed ships are floated forward into their place. The keel blocks are laid for the next two ships, and the process repeats.

PN65’s turn came on the 25th of October. The hull was made watertight with temporary bulkheads and the dock flooded for the tandem float out. Changes to the lifting blocks in the dock floor require the dock to be pumped out, and so PN65 was moved out to the fitting out quay for a couple of days until being returned to the dry dock. After pumping out, construction recommences on the forward section of the hull. The Main Engine, a MAN B&W 6S 70ME-C slow speed 2-stroke diesel will be shipped from the Manufacturers in Korea in November and installed before the accommodation block is lifted on fully fitted out with bridge, cabins, offices and public rooms.









The Antipodean Mariner
26th November 2011

Hull PN65 - The birth of a Capesize

Back to blogging after a long layoff (and a lot of guilt for not maintaining fresh material). With a view to keeping content 'fresh' for the next year or so, I'm blogging the birth of our first Capesize bulk carrier. The Antipodean Mariner's company went to the shipbuilding markets in late 2009 as the first glimmers of post-GFC recover were flickering. The container ship market was in complete meltdown, with ships being cancelled or deferred left, right and centre. Our requirement was for a series of Capesize bulkers for deployment in our iron ore and coal trades, and the 205,000 DWT NewcastleMax were assessed as best in class.



Developed by the Japanese yards for the domestic steel mills, these vessel can be regularly tracked alternating between the west and east Coast of Australia with iron ore and coking coal. The Yard which won the business had held a healthy order book of mega-container ships up until the 2009 crash. With the collapse of the financial structures behind these vessels, the cupboard was suddenly bare. The Yard turned to bulk carriers to maintain production at its facility and employment for its workforce.



The vessels will be 300m LOA by 50m beam and 18.4m summer draft. Electronically-controlled slow-speed diesel main engines have been specified for best performance under MARPOL Tier II regulations. The technical team managing the design process are incorporating features to make the vessels productive, easy to operate and a nice place to live and work.



Steel cutting for the first vessel, PN065, was in February and her progress will be reported regulary in this blog. PN065 is the first of eight identical vessels which will be built in a single dock. The first two will be laid down at the front of the dock and built side-by-side, with the second pair immediately behind them. As each pair are floated out, the pair behind will be floated forward and the next two
started. Sea trials and deliveries commence in 2011.



More to follow...

And by the way, I bought another bike for touring. The Street Triple is a hot 'point and shoot' but is a lonely trip without my pillion buddy.



Antipodean Mariner
March 2011