Saturday, May 18, 2024

Survey: Better Connectivity is Turning Ships into "Floating Offices"

Seafarer with phone — File image courtesy Inmarsat

A new study prepared by consultancy Thetius for Inmarsat suggests that ships are becoming remote offices, thanks to improved access to connectivity and the advent of cloud-based software services. Higher bandwidth is making life better for crewmember welfare, and industry is relying on better connectivity to improve operations and boost efficiency.

"A reliable high-speed Internet connection will allow us to move critical IT functions like email or identity and access management to the cloud, instead of maintaining it on all vessels. This will realize cost savings
for us," Dr. Dominik Pfeiffer, Director of Fleet IT at Hapag-Lloyd, told Thetius in a survey. "Since the crews need the critical applications at any point in time in order to do their work, these systems need to be always-on. With these high availability requirements in mind, we carefully observe new highspeed products that are emerging in the market."

Use cases for always-on software include fuel monitoring for cost reduction, environmental recordkeeping software for regulatory compliance, dashboarding, and various asset monitoring software. In the survey segment oriented towards shoreside staff, 83 percent said that they expect a greater reliance on digital applications like these within the next five years.

Conversely, when connectivity goes offline, it has a significant impact on operations for digitally-enabled shipping. Respondents said that losing a data connection to a ship is hard on the shipowner/operator, leading to increased work, more errors, delayed communications and lost opportunities. "The expectation from both shipboard and shore staff is for constant movement of information," one respondent said.

It also has a serious impact on crew morale. When connectivity goes down, the ship's crew cannot make video calls to family and friends, stay up to date with their circle on social media, or access their personal accounts. Sometimes this causes distress and anxiety. 89 percent of respondents said that connectivity is important or extremely important for seafarer wellbeing, a finding that is consistent with other independent surveys.

"Reaping the rewards and avoiding the potential pitfalls of shipping’s new digital wave requires fast and reliable internet with consistent global coverage – including in hotspots and remote locations," said Inmarsat President Ben Palmer.

Carnival rolls out Starlink across its fleet

In addition to high uptime and global reliability, shipping companies also have an interest in high bandwidth at lower cost - particularly in the data-hungry cruise industry. On Tuesday, Carnival Corporation announced that it has finished rolling out Starlink internet access across its global fleet. The low-latency, high-speed connectivity is intended primarily for passenger and crew usage via onboard Wifi, and is part of a series of investments that have given Carnival four times as much bandwidth as it had before the pandemic.

Carnival says that Starlink's speed lets passengers and crewmembers stay connected almost as though they were still ashore. This allows them to share their onboard cruise experiences with their followers on social media, stream video content and even work remotely at sea. The service is also helping Carnival with increasing bandwidth demand for onboard equipment monitoring and for data transfer between the home office and the bridge.

"Starlink has been a game-changer for the onboard connectivity experience our cruise lines deliver to their guests, and we've already seen a surge in guest satisfaction and positive feedback from the super-fast and reliable Wi-Fi service we provide onboard," said Josh Weinstein, CEO of Carnival Corporation. "We see this technology as a win-win-win – it provides our guests with more flexibility to stay as connected as they'd like on vacation, it allows our crew to stay in touch with friends and loved ones, and it enhances our onboard operational systems."

The roll-out began 16 months ago and is now complete across all 90-plus vessels in all of Carnival's brands. The company notes that it puts a premium on reliability, and uses multiple providers - not just Starlink - to ensure a consistent experience across all geographies.

Harland & Wolff Denies Reports Government Will Reject Financial Rescue Loan

Harland & Wolff Group, the continuation of the storied 160-plus-year-old Northern Ireland shipbuilder, is adamantly denying reports in the British media that the government is poised to reject loan guarantees critical to the future of the operations. The company called the reports which first appeared today in The Times (London) and spread like wildfire to outlets including The Financial Times, “misleading and inaccurate,” while it sought to reassure shareholders and the financial markets.

Last December, the company reported that it had sought and obtained permission to proceed with negotiations for a proposed £200 million guaranteed loan facility through UK Export Finance. Under the scheme, the government would provide a 100 percent guarantee to UK commercial lending banks, in effect a bailout to provide the working capital necessary for the business to continue.

The company said through a combination of cash on the balance sheet and expected cash flows in 2024 it had sufficient funds to meet its working capital requirements until the new loan facility was completed. However, it requires a third-party review and government approval. Its auditors warned the business faced “material uncertainty” requiring new sources of financing and additional work.

The Times report which is now being echoed by the BBC and The Financial Times suggested that Jeremy Hunt, Chancellor of the Exchequer (the government's chief financial minister) has decided to reject the application. Media reports however said that the Defence Minister, Grant Shapps, the Trade and Business Ministry, and the Northern Ireland Office, are all in favor of providing the loan guarantee. Yesterday, Shapps heralded a new “gold age” of shipbuilding in the UK as part of the efforts to enhance the Royal Navy and a broader government policy to revitalize UK shipbuilding.

BBC is suggesting that the news is a demonstration of a deep divide in the government over the shipbuilding strategy. They reported the treasury is against the policy.

The famed shipbuilding which traces its roots back to 1861 has been working to rebuild its business after falling into administration (UK form of bankruptcy) in 2019. The current owners acquired the assets in Northern Ireland in 2019 and later other facilities to its current form of four shipyards and fabrication facilities. The shipyard delivered its first newbuild in 20 years in 2023, garbage barges for the Thames.

The hallmark of the efforts is the participation in the £1.6 billion contract from the UK government for support ships to a group consisting of Harland & Wolff and Spain’s Navantia. The Times asserted in its report that H&W would collapse without the loan guarantee and the Royal Navy ships would be built in Cadiz at the Navantia yard. Harland & Wolff has been winning other contracts including the recent refurbishment of the new Margaritaville at Sea cruise ship and the conversion of another cruise ship for a three-year live-aboard world cruise. They also won the mid-life extension contract for the SeaRose FPSO and are the preferred bidder in the Falkland Islands Port Replacement Project. They also recently announced an agreement to work with Austal.

"We were disappointed to read this article (Times) and the reaction it has caused, given that we have grown the business to become a major player in the UK shipbuilding sector, whilst spreading our risk over multiple markets,” responded John Wood, Group Chief Executive Officer, Harland & Wolff in a statement filed with the stock exchange. “Our EDG application has not been rejected and continues to be work in progress. I expect to be providing a fuller update on our refinancing plans in the next few weeks."

Despite the company’s assurances that it “remains comfortable with the progress of this application,” the stock price plunged 30 percent after The Times article appeared. The share price recovered later in the day but was down nearly 15 percent versus the prior closing price.

Harland & Wolff states that it working through a five-year plan while forecasting revenues of £200 million by the close of FY 2024. They said 90 percent of the revenue is already contracted for this year. They said the company is working to build 2025 revenues with a goal of EBITDA break-even in FY24.

Other sources are also expressing confidence in the company and the loan guaranty. An MP for Northern Ireland told the BBC the reports were “wide of the mark,” saying they were confident in broad support for Harland & Wolff.

Eastern Shipbuilding Starts Next Phase of Infrastructure Expansion

ESG — File image courtesy Eastern Shipbuilding`

Florida-based Eastern Shipbuilding Group has begun the second phase of a series of investments in its waterfront infrastructure, supporting a growing orderbook of government and commercial contracts.

The second phase includes the construction of an additional 1,000 linear feet of berthing space, which would support outfitting for multiple vessel deliveries every year. It's also putting in more infrastructure for mooring in heavy weather; expanding its launch way by another 120 feet, allowing the yard to build and launch ships more than 500 feet in length; and dredging out the vessel berthing spaces and the shipyard's turning basin. All of these improvements help boost the yard's throughput capacity, and also prepare it well to serve U.S. Navy contract requirements. The Navy's leadership is interested in growing its roster of shipyard suppliers, and ESG is positioning itself to be a competitor.

"This infrastructure improvement project represents a major investment in our government shipbuilding capabilities," said Joey D’Isernia, Chairman and CEO of ESG. "The increased capacity and shipyard enhancements will allow us to better support the Navy’s initiative to expand the shipbuilding industrial base in order to meet the demands of the national defense strategy."

The work will be completed by mid-2025, and will help Eastern expand on its portfolio of projects. Right now, it holds contracts for the U.S. Coast Guard's Offshore Patrol Cutter; the Army Corps of Engineer's next-generation hopper dredge; and a contract to complete two OSVs for Hornbeck Offshore.

Eastern has also invested heavily in hardening its yard to withstand hurricane-force storms, an outgrowth of its experience from Hurricane Michael. Much of its infrastructure was rebuilt from the ground up after the storm, and was designed specifically for modern, more-efficient operations.

Indian Coast Guard Rescues British Mariner Aboard Sealift Ship

On Thursday, the Indian Coast Guard rescued a British mariner from a UK sealift ship off the coast of Kochi, according to India's defense department.

At about 2100 hours on Wednesday night, the UK's maritime rescue coordination center reached out to its counterparts in Mumbai. The civilian-crewed British sealift ship Anvil Point was operating off the coast of Kochi, and a 62-year-old male crewmember had developed a medical problem - likely deep vein thrombosis (a dangerous blood clot, typically in a leg).

The maritime rescue coordination center in Kochi set up a telemedicine consultation to assess the mariner's condition. After determining the seriousness of the problem, it dispatched an Indian Coast Guard response vessel to meet up with the Anvil Point. The next day, the ICG cutter C-410 rendezvoused with Anvil Point off the coast of Kochi, transferred the patient aboard and delivered him safely to the port's harbor. He is in stable condition at Renai Hospital in Kochi, according to Indian authorities.

Anvil Point is a Point-class ro/ro sealift ship, a privately-operated vessel supported by the UK government and available when needed for use as a naval auxiliary. Six were built, including two at the famed yard of Harland & Wolff in Belfast. Anvil Point, delivered in 2003, was the final large merchant ship built at Harland & Wolff before its bankruptcy and restructuring. The other four were built in Germany by Flensburger Schiffbau-Gesellschaft.

Pelican Island Bridge's Future is Uncertain After Barge Strike

Barge stuck in bridge after allision — Courtesy Galveston County Office of Emergency Management

Pelican Island, the home of Texas A&M Maritime Academy, is cut off from the rest of the state for an indefinite period after a barge hit the only bridge connecting it to Galveston.

A petroleum barge belonging to Martin Marine hit the bridge on Wednesday, plowing through a railway span and then damaging the separate, parallel road bridge. A section of the rail bridge collapsed, and the barge was damaged enough to release 1,000-2,000 gallons of vacuum gas oil into the water.

On Thursday, officials said that the allision left the roadway bridge unstable, and that it will be closed to all island-bound car traffic for the forseeable future. However, cars have been allowed to cross the bridge in order to leave the island, and pedestrian traffic has been allowed in both directions. There were only a few hundred people on the island at the time of the casualty.

The barge was carrying about 960,000 gallons of product when the accident happened, and the tank that was damaged held about 160,000 gallons. Little of that spilled, according to the Coast Guard, and the environmental effects are expected to be limited. About 5,600 gallons of product were recovered from the barge's deck, and skimmers have picked up about 600 gallons of oil-water mixture from the waterway.

The Coast Guard boomed off the area to contain the spill, forcing the temporary closure of this section of the commercially-important Intracoastal Waterway. The barge also remains stuck in place, trapped by the weight of the bridge span it collapsed.

Rick Freed, vice president of Martin Marine, said at a press conference that the tug and barge had a "coupling issue" in the leadup to the casualty. The Coast Guard described it as a "break in the coupling." Speaking to ABC, Freed declined to give further details, citing an ongoing investigation.

The bridge's stability is uncertain, especially once the barge is removed, local officials said. It was already aging and due for replacement. While the discussion about its usability continues, the loss of access will have an effect on Texas A&M's campus. It is closed to students and most employees (except for essential life and safety personnel) through the weekend.

Video: Barge Hits Bridge Linking Galveston to Texas A&M Maritime Academy

Rail bridge collapse barge strike — Courtesy Galveston County Office of Emergency Management

On Wednesday morning, a barge hit a bridge to Pelican Island near Galveston, Texas, shutting down a road causeway and spilling oil into the water. The road connects a variety of shipyard and maritime enterprises - including Texas A&M University's maritime college - with the rest of the city.

Galveston's office of emergency management said that the barge hit the bridge at about 0930 on Wednesday morning. Video from the scene appears to show that the barge struck a decommissioned rail bridge, which runs parallel to the causeway. A span of the rail bridge has collapsed.

The extent of the barge's penetration beyond the rail bridge - towards the separate causeway structure used by road vehicles - was not immediately clear. The Texas Department of Transportation is on scene and evaluating the damage.

In a statement, Texas A&M University confirmed that the bridge is now closed to all traffic. Electricity to the island was also briefly interrupted but has now been reconnected. An incident command center has been set up on campus and is working with state officials to determine the impact of the bridge shutdown on the school.

Over the course of the day, first responders and road engineers supervised a series of vehicle evacuations on one lane only, allowing residents and workers to get from Pelican Island to the Galveston side of the bridge.

Because of the oil pollution in the water, the U.S. Coast Guard has temporarily shut down a short stretch of the Intracoastal Waterway while cleanup efforts are under way.

Courtesy Galveston Office of Emergency Management

LCO2 Carrier Design Developed by Deltamarin for ECOLOG’s CO2 Platform

LCO2 carrier concept — LCO2 carrier design to transport intra-Europe captured carbon for storage or reuse (Deltamarin)

Designs were presented for the first of a fleet of purpose-built CO2 carriers to transport captured CO2 intra-Europe for storage. The designs were developed by the well-known Deltamarin Group, part of China Merchants, for ECOLOG, an emerging services company that seeks to build the first large-scale CO2 services platform.

Based in Greece and established by Greek shipping tycoon Peter Livanos, ECOLOG is using the model of the gas sector to develop its business model. It plans to be a mid-stream company operating a service platform in the carbon capture, utilization, and sequestration supply chain. According to its statement, the company is building a business that would liquefy, transport, and store 50 million tons of CO2 annually anywhere in the world.

The vessel concept is for short-range transportation. ECOLOG plans to develop a fleet of vessels and terminals connecting hard-to-abate emitters, such as large industrial sites, and providing connections to sequestration sites or re-use facilities.

Deltamarin says in developing the vessel it worked to optimize the LCO2 aspects. It explains that there are different configurations of cargo containment and handling available to address the wide variety of CO2 compositions.

They did not provide details on the size of the vessel but said it is designed to be a versatile and efficient carrier. It uses a low-pressure cargo system and would have a shallow draft to facilitate access to facilities. To reduce the vessel’s environmental impact, they selected dual-fuel LNG engines along with wind-assisted propulsion and capabilities to use shore power.

The designs were developed for the purpose of tendering at shipyards worldwide. No timeline was proposed for construction and entry into service.

ECOLOG’s vessels would follow the Northern Lights vessels which are currently completing construction in China. Each of the ships will have a capacity of 7,500 cubic meters designed to transport captured CO2 from European producers to the Northern Lights’ terminal in Norway before pumping the CO2 to the offshore storage location. The company has agreements for a total of four ships with the first two expected to be delivered this year.

Video: Wreckage Removal as Dali Refloating Awaits Dive Survey

Baltimore wreck removal — Wreckage remove on May 15 (USCG photo)

The removal of the containership Dali from Baltimore’s Fort McHenry Federal Channel remains in flux according to a report in the Baltimore Sun. The Unified Command reports they are awaiting the results of a dive survey but in the meantime, wreckage clearance is continuing and a large part of the port is reopened to traffic.

The goal had been to refloat and move the containership early in the week after the controlled demolition of the wreckage sitting against the bow was completed. First, the demolition was delayed for 48 hours till Monday due to weather concerns. Now they are waiting for a survey of the wreckage and the underwater areas around the vessel after the demolition to plan the refloating. Dredging Contractors of America CEO Bill Doyle also previously said they had dredges standing by to assist as needed in the refloating process.

The Unified Command in its update on Thursday said it had evaluated sonar and lidar imagery from around the vessel. They were awaiting the dive survey before proceeding with the refloating plan. The diving was proceeding slowly due to the dangers and conditions in the Patapsco River.

“To permit safe diver access to the Patapsco riverbed next to the vessel, Unified Command cranes must first remove submerged and unstable wreckage from the controlled demolition,” they reported. “Safety also dictates the securing or removal of severely damaged containers and overhanging wreckage from the initial bridge collapse onto the deck of the M/V Dali.”

The target for the refloating is currently about a week behind the previous schedule. Officials said during the hearings this week in Washington D.C. that they expected to refloat the ship early next week. It will then be moved to the Seagirt Terminal in Baltimore. It will undergo further inspections, including a visit by the NTSB, and additional debris will be removed. The U.S. Coast Guard said they expect the vessel to remain at the terminal for four to six weeks and then likely shift to a shipyard for repairs.

Videos released by the command show new images aboard the vessel and the extent of the damage. It also shows the ongoing efforts to remove wreckage from the ship and the surrounding area. The Unified Command also highlights that clearance is ongoing in the central part of the Fort McHenry Channel.

Currently, nearly half the 700-foot-wide channel has been cleared to an operational depth of 48 feet. While access remains restricted, this means the port has been able to expand operations. To date, officials report more than 365 vessels have transited the four Port of Baltimore temporary alternate channels.

The two large bulkers that had remained trapped have both departed the port while inbound traffic is resuming. Yesterday, Wallenius Wilhelmsen’s first car carrier, Tannhauser (24,155 dwt) returned to the port for an overnight operation to offload. She departed today, May 17.

Port officials also highlighted the first RoRo cargo ship back into Baltimore. ACL’s Atlantic Sun (55,547 dwt) made her port call. She departed on May 15 for Halifax. Earlier in the week, the port also received another containership, MSC Shanghai V (66,685 dwt / 4,800 TEU). She departed on May 15 for Savannah. Maersk also announced that it is resuming bookings for Baltimore.

Next up is the return of the cruise ships. Today, Carnival Cruise Line confirmed its ship Carnival Pride (88,500 gross tons) will make her final departure from Norfolk this weekend and she will return to Baltimore for the first time on May 26. The ship’s next sailing, a 14-day cruise to Greenland, is scheduled to sail on May 26 and is expected to operate round-trip from Baltimore. Royal Caribbean International’s Vision of the Seas (78,491 GT) is scheduled to make a five-night round trip from Baltimore on May 26 to Bermuda.

The full restoration of the 50-foot channel remains dependent on the removal of the Dali. Officials remain confident that they will have the channel fully operational by the end of the month.

Congressman Pushes NTSB to Check Dali's Systems for Cyber Threats

In a hearing of the House Transportation Committee on Thursday, Congressman Brandon Williams (R-NY) pressed the National Transportation Safety Board to tear down and examine every component of the boxship Dali's electrical switchboards for signs of malicious code.

Working with Hyundai, which built the Dali, NTSB's investigators have determined that the ship lost electrical power because two main breakers tripped. Her generators kept running, but were no longer connected to the electrical bus that powers all critical systems. Soon after the crew restored the connection, two other breakers tripped. Without electrical power, the main engine's lube and coolant pumps turned off, and the engine automatically shut down to protect itself from imminent damage. This left Dali without propulsion as she approached - and then hit - Baltimore's Francis Scott Key Bridge. The resulting bridge collapse shut the port of Baltimore for weeks, and the roadway will not be restored for years; it is on track to become the most expensive maritime casualty claim on record.

These important findings rule out many other possible explanations for the casualty, like fuel contamination. However, the investigators still have to figure out why the breakers tripped at such an unlucky moment, and the answer is not immediately clear.

In questioning before the House Transportation Committee, Rep. Williams asked NTSB chair Jennifer Homendy just how deep her team planned to delve into the breaker system, and hinted at possible cybersecurity risks. Maritime cyber experts, the U.S. Coast Guard and the FBI have assessed that the odds of a cyberattack aboard Dali are low, and Homendy said that the investigation has seen no signs to suggest that there was any cyber intrusion. Rep. Williams - a former U.S. Navy nuclear submarine officer - urged Homendy to look deeper.

In a pointed exchange, Williams questioned whether NTSB has the capability to do a thorough component by component analysis of the entire switchboard control system, down to the most basic building blocks of its code. He raised the possibility that a sophisticated threat actor could target small, miniature computer assemblies - embedded systems - that control simple functions within the electrical system.

"There's a lot of concern about embedded systems, embedded into what is called a real-time operating system or inside the control logic or the control elements," he said. "That would require an enormous amount of forensics to evaluate . . . is that kind of investigation underway?"

Homendy said that her investigative team has 400 years of collective experience and will follow the evidence wherever it leads, adding that a cybersecurity threat would be in the jurisdiction of the Department of Justice. She noted that NTSB is required to notify law enforcement if it uncovers a possible crime or a cyberattack. "We will follow the evidence and anything security-wise, if we find anything, we will turn it over [to the FBI] immediately," she said.

The FBI has launched a parallel, court-authorized criminal investigation, and its agents boarded the vessel on April 15 to search it. The U.S. Coast Guard has also opened a Marine Board of Investigation - its most serious form of inquiry - to examine the causes of the casualty.

Spain Bars Cargo Ship Accused of Carrying Explosives to Israel

Spanish authorities are saying that for the first time, they refused entry for a cargo ship believed to be carrying explosives to Israel. The move came after days of bitter infighting and accusations by activist groups that singled out another vessel demanding it be blocked from Spanish ports.

The Foreign Ministry this morning reported that a Danish-owned vessel, the Marianne Danica (2,200 dwt) had been denied its request for permits both to transit Spanish waters and to make a port call in Cartagena. Jose Manuel Albares announced the decision while on a visit to the United States saying it was part of Spain’s position to deny support for the war in Gaza. Reports are of infighting within the Spanish government over possibly arms ships passing through Spain to Israel.

The Spanish newspaper El Pais reports the vessel is transporting 27 tonnes of explosives. A small general cargo ship (72 meters / 236 feet) the ship departed Chennai, India, and made a stop in the Cape Verde Islands before the scheduled stop in Cartagena on May 21. Reports said the final destination is the Israeli port of Ashdod.

The situation started earlier this week when activists identified the Borkum (5,489 dwt) as the target of their protests. The ship which is owned by German interests and registered in Antigua and Barbuda asked for a permit to make a port call in Cartagena with the activists calling for a denial accusing the ship of transporting arms to Israel.

Transportation Minister Oscar Puente took to social media announcing that the government ministry had checked the vessel’s documentation saying they were in order and the ship’s declared destination was Koper, Slovenia. He further posted online excerpts of documents he said they received from the Czech government attesting to being the final destination of the vessel.

The Palestinian activist supporters however accused the documents of being forged saying they did not have a government letterhead. They continued to contend the vessel was bound for Israel while Puente responded saying they were providing no proof. He reposted reports saying the vessel was carrying Soviet-era arms that Israel does not use and the Czech government statements that the arms aboard the Borkum were for its defense.

He also highlighted that the vessel had already touched Spanish soil during a port call at Las Palmas on May 12. Furthermore, he said it had received customs clearance and a check found the papers to be in order.

The vessel anchored off Cartagena further causing protests from the activists who asserted they would be going to the port on Thursday to stage demonstrations and investigate. Puente angrily responded “You waste your time,” saying the vessel was not scheduled to dock till Friday. However, late on Thursday, the owner withdrew the request for docking privileges, and the vessel was reported departing for Slovenia where it is due on May 22.

In the meantime, the Danish owners of the vessel that was blocked contend it is not accurate and that their ship will be proceeding as planned. The Marianne Danica’s AIS signal shows the vessel off West Africa heading for the Strait of Gibraltar.

Captain and Mate Arrested After Ship Collides with Fishing Boat off Iceland

Icelandic officials are confirming that a court has ordered the captain and second mate of a cargo ship that was sailing off the southern coast held after a suspected collision with a fishing boat early on May 16. Miraculously, the fisherman survived uninjured from his capsized boat but the cargo ship continued sailing with the Coast Guard later tracking the vessel into the port of Vestmannaeyjar.

According to the Coast Guard and the Search and Rescue Service, it was approximately 0300 local time on May 16 when a fishing boat came upon an object in the water. According to the operator, he first thought it was a container and then realized it was the boat of his friend of 40 years. The two men had headed out earlier that evening fishing on their boats and the one was a few miles ahead of his friend who ended up saving his life.

Realizing it was an overturned boat he placed an emergency call and the Coast Guard dispatched a helicopter while the search and rescue team was sailing toward the scene. The fisherman reports his friend suddenly appeared from under the boat in a survival suit. The suit however was waterlogged, and the man had to cut it off his friend to retrieve him out of the water.

The survivor was taken by the Coast Guard to shore and he told them it happened quickly but that he thought his fishing boat had been clipped by a passing cargo ship. He was reported to be cold and wet but suffering no serious injuries. He had been able to pull on the survival suit as his boat capsized. The rescue services were also able to recover the capsized fishing boat.

The Coast Guard tracked the Longdawn sailing from Rotterdam. The 8,250 dwt vessel is registered in Antigua & Barbuda. It is 423 feet (129 meters) and is operated by a shipping company Longship in the Netherlands.

“There are traces of collision on both vessels, which is considered to strongly strengthen the police’s suspicion of a collision as the cause of the capsizing of the boat,” the police said in a statement. Media reports and pictures showed scrapes on the bulb of the cargo ship’s bow.

Initially, the police detained the captain, chief officer, first mate, and second mate while they were investigating. They were also sending for an interpreter reporting two of the men were from Russia and a third was Asian. The chief officer and first mate were later released.

The court ordered the captain and second mate who had been on duty Thursday morning arrested with a detention of up to four weeks while the investigation continues.

The Longdawn departed from Iceland on Friday on its return trip to Rotterdam.

Oregon’s Port of Portland Gets State Funds to Maintain Container Ops

ALL CAPITALI$M IS STATE CAPITALI$M

The Port of Portland, Oregon’s only ocean-going seaport, announced it will reverse course and not suspend container operations. The move came after the state’s governor, Tina Kotek, released a letter on Thursday reporting she would provide stop-gap funding and would include long-term funding for channel maintenance in the state’s budget. In total, she is proposing $40 million in future support to the port and its container operations.

“Farmers, union members, shippers, and business leaders have all asked me what the state can do to keep this important service in place,” Governor Kotek wrote in announcing her decision. She said the port and specifically the container service provides a competitive advantage for Oregon growers and other businesses which would have been forced to truck their shipments hundreds of miles to neighboring ports.

In April, it leaked out into the media that the port authority had sent a letter to shippers informing them that it would be ending container operations at the port as of October 2024. The port reported losing $30 million from the container operations over the past three years, including a projected $14 million shortfall this year. They said talks with an independent operator had collapsed and that they had no other choice but to end container service at the T6 Terminal but would maintain the bulk, RoRo, and other operations at the port.

“The port has been working to rebuild container service since taking over the operation in 2018, following a temporary shutdown under former operator ICTSI,” the port authority writes in its response to the governor. “Without direct state support or a financially acceptable third-party lease, container operations have not been sustainable.”

The governor said it was important to send a strong signal to the state’s business partners and as such she would ask the legislature for $5 million in September to stabilize near-term operations at the port. It is part of an overall $40 million investment she said the state would be making to support the continuation of container service.

In offering the funding and support, the governor said she understands that the port’s location makes container operations economically challenging. She cites the limitations of an upriver port within a relatively small metropolitan area, saying she understands they can not fix those limitations. She however calls on the port authority to use the state’s commitment and to pursue an aggressive strategy to make the container operations sustainable for the long term.

“I expect the port to pursue all viable strategies for making T6 operations sustainable over the long-term,” writes the governor.

In addition to the stop-gap funding, she said she will include an initial investment of $15 million for dredging of the Lower Columbia River. She says the state previously committed nearly $28 million but notes the federal project is due to expire in 2025. She expects up to $70 million will be required in a new round of investment for the river.

She also recognizes the high cost of repairing and replacing needed infrastructure at the port to support container operations. As part of the 2025-2027 recommended budget, she will also support a $20 million investment in a capital program to support container operations.

The Port of Portland has had a difficult history with container operations. They attracted ICTSI to operate the terminal but the company became embroiled in a dispute with the union that ultimately led to the company walking away and a long legal battle. The legal battle was recently settled, but the port had attempted to run the container terminal. It attracted several lines including SM Line during the pandemic offering an uncongested alternative.

Port officials came in for strong criticism from the union, elected officials, and others when they confirmed in April the decision to suspend the operation. In a press release, they said they were grateful to the governor for the declaration of support and for helping to maintain the operation.

LA REVUE GAUCHE - Left Comment