Thursday, July 25, 2024

Star Diamond boosts resource estimate for Orion South project in Saskatchewan

Amanda Stutt | July 24, 2024 

The Star-Orion diamond project in Saskatchewan. Credit: Star Diamond

Star Diamond Corp. (TSX: DIAM) announced Wednesday a significant increase in the estimated mineral resources for the Star-Orion South diamond project in Canada’s Saskatchewan province.


The company holds 100% in certain Fort à la Corne mineral dispositions, including the Star-Orion South project, which it says is the largest undeveloped diamond deposit in the world.

The mineral dispositions are located in the Fort à la Corne provincial forest of central Saskatchewan, near the highway and power lines, some 60 km east of the city of Prince Albert.

Indicated mineral resources on Star have increased 22% to 34.8 million carats and the grade has increased 20% to 19.4 cpht (carats per hundred tonnes). Indicated mineral resources on Orion South have increased 37% to 36.9 million carats, with a 32% increase in grade to 17.9 cpht.

Star Diamond said it has determined that no additional bulk sampling is required on the Orion South kimberlite for the estimation of the mineral resources, which results in the savings of tens of millions of dollars in exploration expenditures and speeds the completion of the pre-feasibility study (PFS).

“Our technical team and outside consultants have been working hard for the last year and a half to arrive at this incredible outcome,” Star Diamond CEO Ewan Mason said in Wednesday’s news release. “We intend to have a feasibility study completed by the end of 2026, with hopes that shovels could be in the ground within 3-5 years.”
A storied past

Exploration has been ongoing at Star-Orion for years, but the company only became sole owner in March of this year, acquiring Rio Tinto’s 75% interest in Fort à la Corne.

Although the explorer made peace with Rio Tinto Exploration Canada (RTEC) in 2021, the two companies faced off in court in 2020 due to a drawn out dispute over the development of what was once a joint diamond project.

The legal row stemmed from a 2017 earn-in deal under which Rio Tinto’s subsidiary RTEC committed to spend $75 million in phases to acquire 60% of the Star-Orion South project.

When RTEC exercised all its options simultaneously, Star Diamonds objected, alleging the the world’s second-largest miner did so to boost its stake at below market value.

“We ended up with 100% of it, plus C$100 million in machinery, equipment, and supplies, plus a 10-year environmental bond, plus C$4 million in cash. And for that, we gave them 17% of our stock, which is roughly C$8.5 million,” Mason told MINING.com in an interview.

Mason also said when Star Diamond and RTEC first entered the joint venture, the mining giant’s executives were eyeing new diamond projects to fill the gap that the aging Diavik mine in the Northwest Territories – which is running out of ore – would fill, but are now focused on expanding the company’s critical minerals portfolio.
Red tape

First discovered in the 1980s, in a forest environment, the site contains at least 70 kimberlite pipes, Mason said.

“We already have over 500 million tons of ore from just two kimberlite pipes. We’ve been at it 30 years, and we’ve extracted over 150,000 diamonds already, and we still haven’t built the mine.”

Mason said Star Diamond has already spent over a billion dollars on the late-stage project and the last PEA showed that it was going to kick off C$25 billion to the province over the first 34 years.

The diamonds that have been extracted so far are not on the market because the company is not permitted to sell them under Saskatchewan mining legislation until it has a mining permit.

Star Diamond had 160 diamonds from Fort à la Corne property cut and placed into the Black Rod of the Saskatchewan Legislature in Regina.

Symbols depicted on the rod include the provincial motto: MULTIS E GENTIBUS VIRES (From Many Peoples Strength), a First Nations eagle, the circle of life, feathers, sweet grass and buffalo. Credit: Star Diamond.

“We keep them in a bank vault, but we’ve started to take them out and cut and polish them and display them, and they’re magnificent,” Mason said.

Star Orion is a type 2a prevalent deposit, meaning high purity diamonds and contain no boron, Mason said.

“Not one of the mines operating now, or the ones that did operate, had type 2a. These diamonds are very rare and most mines around the world do not have them. Nobody in Canada has them,” Mason explained.

“We have extracted diamonds up to 50 carats so far, just in sampling, and some of those diamonds are worth over $100,000 each. It’s very high-quality deposit, there’s really nothing like it in the world, not even close.”
A (real) diamond is forever

While Mason believes lab diamonds have a place in the jewelry market, he pointed out that a synthetic diamond, “the second it leaves the store, is worth nothing.”

“They can make an infinite number of these diamonds. They have no resale value, so a lot of wholesalers are [saying] they’re garbage,” he said. “They say they’re chemically equivalent to an actual stone [because] it’s carbon, except that it’s not formed the same way. It’s not formed naturally. It’s not environmentally friendly by any stretch. Our mine will be all electric powered. It’s going to be at least carbon neutral, if not carbon negative.”

Mason said legacy diamond supply is down 15% over the last three years and by the end of this decade will be down even more.

“Where are you going to get the conflict-free diamonds that are not from Russia? Canada. And Russia produces 30% of diamonds that are for jewelry purposes right now and the West eats 70% of all diamonds for jewelry purposes.”
Indigenous engagement

Mason said the project is being built out on Cree Nation territory in Saskatchewan with the cooperation of the local community, and the company aims to provide ample opportunities for Indigenous employment.

Star Diamond chose the trademark “Kīwētin” (pronounced “kee-way-tin”), meaning north wind in the Cree language, for its Fort à la Corne diamonds.

“We’re at a very pivotal time in our country with respect to these types of projects,” Mason said.

“I think it’s the best province to be building a mine in Canada right now – and this is an exciting project – it’s going to be a market mover when it gets up and running.”

By market close in Toronto, Star Diamond’s stock was up over 8%. The company has a C$39 million ($28.2 million) market capitalization.
HALT DEEP SEA MINING

Deep-sea miner TMC plans to be ready to apply for licence

Cecilia Jamasmie | July 24, 2024 | 

TMC has carried out exploratory mining expeditions to the Clarion-Clipperton Zone (CCZ) — a vast area between Hawaii and Mexico. (Image: TMC.)

Canada’s The Metals Company (NASDAQ: TMC) plans to be ready to apply for a licence to start mining the seabed before the end of this year, with production expected to start at the end of the first quarter of 2026.


TMC, a deep-sea mining pioneer, has long said it would submit its application after the United Nations’ International Seabed Authority (ISA) current meeting, which ends on July 26.

Gathered in Kingston, Jamaica, the 36-member ISA council is negotiating the latest draft of the anticipated seabed mining rules.

“We’ve told the market that we would lodge (our application) after the July (ISA) session [and] we see no reason to change that,” chief executive Gerard Barron told Reuters.

“From our perspective, what we’re looking for out of the current session is continual movement towards finalizing the regulations,” Barron told the news agency.

The ISA is currently meeting in Kingston, Jamaica to negotiate a draft “mining code” that will regulate the activity. The council has been reviewing the 225-page document produced in February and making adjustments as they proceed, TMC told reporters last week in a market briefing.


“WE’VE TOLD THE MARKET THAT WE WOULD LODGE (OUR APPLICATION) AFTER THE JULY (ISA) SESSION [AND] WE SEE NO REASON TO CHANGE THAT”TMC chief executive Gerard Barron

The Vancouver-headquartered firm also said in the online update that based on feedback received from ISA and stakeholders in 2023, they are running new environmental tests in the area they plan to mine.

Barron’s comments to Reuters are in contrast to what the TMC told attendees last week. The company said then it would not rush a submission for a mining licence, as the results of tests have not come back yet.

These conclusions would be key to finish the Environmental Impact Study (EIS) and Environmental Monitoring and Management Plan (EMMP) TMC is currently working on.

“We will do it once and we will do it right,” company representatives said about applying for a mining permit, adding that TMC may not submit the application now after all.

After submission, the permit request will undergo a review process that is anticipated to last for one year.
Years of exploration

TMC has been actively carrying out exploratory mining expeditions to the mineral-rich Clarion-Clipperton Zone (CCZ) – a vast area between Hawaii and Mexico, where polymetallic nodules the size of potatoes were discovered more than 120 years ago.

The company will scoop up those nodules in a process they say is less damaging than land-based mining.

A study published this week may throw a new wrench into TMC and other companies’ plans. Experts found metallic nodules produce “dark oxygen” — oxygen generated without using sunlight, as it is on the Earth’s surface via photosynthesis — and warned that extracting these nodules could negatively affect the seafloor ecosystem.

The paper follows a formal complaint filed this week against TMC by three civil society groups with the US Securities and Exchange Commission.

Deep Sea Mining Campaign (DSMC), The Ocean Foundation (TOF) and Blue Climate Initiative (BCI) allege the company has significantly mislead investors, government officials and the public through material misrepresentations and omissions.


Civil society groups file complaint against The Metals Company

The Metals Company (NASDAQ: TMC) (TMC) is under fire from three civil society groups for its deep sea mining project 

By Marilyn Scales July 23, 2024 

TMC’s vessel Nori has successfully collected polymetallic nodules from the seafloor and the company recovered cobalt sulphate from them. 
(Image courtesy of The Metals Company.)

The Metals Company (NASDAQ: TMC) (TMC) is under fire from three civil society groups for its deep sea mining project in the Clarion Clipperton zone of the Pacific Ocean between Mexico and Hawaii.

Deep Sea Mining Campaign (DSMC), The Ocean Foundation (TOF), and Blue Climate Initiative (BCI) have filed a formal complaint with the U.S. Securities and Exchange Commission (SEC) against TMC. They accuse the company of significantly misleading investors, government officials, and the public through material misrepresentations and omissions.

In the submission, they claim a pattern of overly optimistic and deceptive shareholder communications regards TMC’s financial forecasts, the feasibility of the mining operation, the level of demand for the battery metals that would be recovered, and the company’s environmental and socially responsible efforts. Furthermore, TMC is accused of under-reporting the opposition to its plans and its “dubious” claims about using renewable power in their processes.

The filing also alleges that the company misrepresents its ties and economic benefits to the united States, omits the impacts on Indigenous communities, misrepresents pricing data and asset values, and not updating its financial models.

DSMC, TOF and BCI say the new complaint builds on a previously closed investigation by the SEC into the company’s practices.

Last month, TMC and SGS Canada successfully produced cobalt sulphate from deep seafloor polymetallic nodules. See www.Metals.co for more information.

 

West P&I: Sanctions on Russian Insurer Could Impede Claims

STS transfer
Claims involving an STS transfer with a Russian-insured vessel could be especially hard to cover (file image)

PUBLISHED JUL 24, 2024 8:09 PM BY THE MARITIME EXECUTIVE

 

The UK-based P&I club West has warned its shipowning customers that it may not be able to pay out in the event of a casualty involving a vessel insured by Ingosstrakh, the Russian underwriter that helps "shadow fleet" tankers keep moving without Western services. 

Ingosstrakh has attracted the attention of Western regulators because it facilitates the continued sale of Russian oil at full price, circumventing the service-provider restrictions of the G7 price cap. Since the implementation of the cap in 2022, Russian shipping interests have acquired their own aging tankers, relocating ownership and flag registration to lightly-regulated jurisdictions. Exiled from the European maritime-service sector by the G7 cap, these new "dark fleet" operators have turned to new insurance providers - like Ingosstrakh.

In addition to its status as a gray-zone underwriter, Ingosstrakh also faces concerns that it may not be willing to pay in the event of a major claim. In March, investigative NGO DanWatch and the Financial Times reported that Ingosstrakh may deny casualty claims if an insured oil cargo breaches the G7 price cap - even though all or most of its customers' cargoes likely do. 

Last month, the British government added Ingosstrakh to its list of sanctioned Russian companies. Though the company has few ties to Britain, the sanctions measure is expected to have secondary effects on Ingosstrakh's business as counterparties evaluate the risk of interacting with a sanctioned Russian company. 

"The potential effect lies in whether e.g. Indian authorities will reconsider their stance on accepting vessels insured by a freshly sanctioned insurer into their ports," Malin Hogberg, director of corporate legal at Swedish Club, told Reuters at the time. 

In a circular released this week, West P&I warned shipowners that the UK's designation of Ingosstrakh could have another effect. As West is a UK-based company, it is prohibited from "making funds or economic resources directly or indirectly available to or for the benefit of" a sanctioned firm like Ingosstrakh. In the event of a casualty involving an Ingosstrakh-covered vessel, West "may be constrained on our ability to provide cover for members with regard to any liabilities incurred" - particularly if the damage is caused during an STS transfer with the Russian-insured vessel, the club warned. 

Even if the casualty were a pure accident, like a collision, West might need to apply for a government license in order to pay a claim - if a license could be obtained at all, the insurer warned. 

 

Florida County May Consider Buying and Sinking SS United States

SS United States
Courtesy SS United States Conservancy

PUBLISHED JUL 23, 2024 8:28 PM BY THE MARITIME EXECUTIVE

 

 

After a court order to vacate its longtime berth in Philadelphia, the storied ocean liner SS United States is in need of a new home. Florida's Escambia County has a controversial proposal: a commissioner wants to buy the vessel from its current owners and sink it as a dive attraction. If adopted, the ship's graceful lines would be preserved and accessible to the public; while reefing is not a preferred alternative for the nonprofit conservancy that manages the ship, the other remaining option might be scrapping, a board member warned in a statement last month. 

The SS United States was built in 1952 for United States Lines, and was designed to be the fastest transatlantic liner ever delivered. She made good on that promise and still holds the average speed record on the  The U.S. government covered about 70 percent of the construction cost on condition that the ship could be requisitioned as a troop transport, and as a result, she was built to U.S. Navy survivability standards. With eight boilers, four steam turbines and four shaftlines, she could develop 240,000 horsepower and attain a top speed of 38 knots (and some claims put it higher). She broke the eastbound and westbound average speed records for a transatlantic crossing on her maiden voyage in 1952, and she still holds both records today. 

SS United States operated in commercial service until 1969, when new corporate owners decided to retire her. Though still serviceable, the vessel was costly to operate and had lost money consistently for years. She was passed to the Maritime Administration in 1973, and - like many decommissioned passenger vessels with a storied pedigree - underwent multiple changes in ownership as would-be developers acquired her, then went bankrupt or abandoned their business plans. She was purchased by the SS United States Conservancy in 2011, which had plans to turn her into a waterfront casino, shopping center, museum, hotel or residential complex; though several well-qualified parties entered into serious talks over the years, a permanent buyer has not materialized. 

In 2021, the owner of the ship's semipermanent pier in Philadelphia decided to double the daily rent and cancel the lease agreement with the conservancy. This June, after a lengthy court battle, the SS United States lost its case: a judge in a Philadelphia federal court ordered the vessel removed by September 12. So far, the conservancy is still looking for a suitable destination. 

Officials in Escambia County, Florida are contemplating whether they might be able to offer a solution: cleaning and sinking the ship, in water shallow enough to attract divers. The location would be near the USS Oriskany, another popular destination off Florida's Gulf Coast. The cost of the proposal would come to about $10 million, but organizers believe that the economic activity from extra visitors would more than pay for the price over the decades to come (with no ongoing expenses like pier rent or maintenance). The county's marine advisory committee has already started fundraising to buy the ship, according to the Pensacola News Journal, and county board member Jeff Bergosh is on board with the idea. 

The conservancy's board would prefer to find a pierside home for SS United States, but under the circumstances, it is willing to consider reefing - especially if there could be a shoreside museum nearby to house artifacts from the ship. 

"As the Conservancy continues its exhaustive search for possible berths for the ship, we are open to exploring the prospect of reefing as a fallback scenario," the group's board said in a statement. "While converting the vessel into an underwater, artificial reef is clearly not our first choice for the future of America's Flagship, it presents several advantages over scrapping the vessel, including the retention of her economic and tourism potential for those willing to invest in such a scenario."


 

Unveiling the Mysteries of the Deep: OceanXplorer’s Mission in Asia

OceanXplorer
Courtesy OceanX

PUBLISHED JUL 24, 2024 1:39 PM BY SEAN M. HOLT

 

 

The research ship OceanXplorer hosted nearly 200 students and educators on board for tours while operating in Indonesia from May 4 to August 25, 2024. This expedition, organized in partnership with the National Research and Innovation Agency (BRIN) of Indonesia and the Coordinating Ministry of Maritime Affairs and Investment (CMMAI), kicks off the Young Explorers Program (YEP). 

Fourteen lucky university students embarked and set sail to Bali, receiving hands-on experience and mentorship from crew, scientists, and media professionals on one of the world's most advanced research vessels. Students took to the helm, interacted with marine operations, including deep-sea and remote vehicles, and conducted live-streaming.

On March 6, 2024, OceanX announced a multi-year mission to explore the waters of Southeast Asia, using Singapore as a central meeting point. This mission aims to deepen global understanding of this biodiverse region, which is critical for marine life and environmental sustainability. Aboard the OceanXplorer, the world’s most advanced exploration, scientific research, and media production vessel, the team will embark on expeditions in Indonesia and Malaysia, partnering with local government agencies and scientists to conduct essential oceanic studies.

Images courtesy OceanX

Mark Dalio, Founder and co-CEO of OceanX, emphasized the significance of this mission: “Southeast Asia is well-known as one of the world’s largest marine biodiversity hotspots, and much of it remains undiscovered and unexplored. Naturally, we’re excited at the prospect of what we might find beneath the water’s surface.” He also highlighted the region's deep connection to the ocean: "From fisheries to ocean sustainability, natural disasters to climate change - there are few regions with a deeper connection to and dependence on the ocean. OceanX is committed to joining Southeast Asia by exploring the depths of its waters and bringing back critical data to understand better how to protect and preserve it.”

The OceanXplorer is a 286-foot floating laboratory equipped with cutting-edge technology to survey diverse marine environments, including deep-sea, shallow, and coastal habitats. Its capabilities include:

  • Two 1,000-meter manned submersibles (Nadir and Neptune)
  • A 6,000-meter remotely operated vehicle (ROV)
  • State-of-the-art research laboratories & diving facilities
  • Next-gen DNA sequencing capabilities
  • Full acoustic mapping capabilities
  • Conductivity, temperature, and depth (CTD) analysis

This advanced equipment allows scientists to capture high-definition footage and collect invaluable data in deep water. These tools are instrumental in mapping the uncharted territories of our planet's final frontier.

OceanX's commitment to education is demonstrated by OceanX Education, which will launch new on-ship experiences and educational programs in partnership with universities and nonprofits around the region. The organization aims to nurture future marine scientists, engineers, and storytellers by leveraging OceanXplorer's technology and a team of leading scientific and media experts to inspire and educate the next generation.

A recent highlight of OceanX’s endeavors is its mission in Asia. This expedition aims to uncover the mysteries of the region’s deep-sea ecosystems, from the Coral Triangle's vibrant coral reefs to the Philippine Sea's enigmatic trenches. OceanXplorer has already yielded remarkable discoveries, including new species of marine life and insights into the intricate dynamics of ocean currents.

Working in collaboration with Dalio Philanthropies – a founding member of the Temasek Trust’s Philanthropy Asia Alliance – OceanX is expected to take on numerous projects throughout Southeast Asia over several years. Their team is in active discussions with regional governments to organize additional expeditions. These collaborative efforts are essential in fostering a comprehensive understanding of the ocean's health and its role in sustaining life on Earth. 

The opinions expressed herein are the author's and not necessarily those of The Maritime Executive.

 

GE Vernova Finds “Material Deviation” and Orders Wind Blade Inspection

broken wind turbine blade
A manufacturing defect is being blamed for the blade fracture (Nantucket Government)

PUBLISHED JUL 24, 2024 5:24 PM BY THE MARITIME EXECUTIVE

 

 

As the investigation continues into the failure of one of the wind turbine blades at Massachusetts’ Vineyard Wind 1, GE Vernova manufacturer of the turbines and blades says it has found a manufacturing issue that will cause it to inspect one model of blades. While saying they do not believe it is a design flaw, GE Vernova is warning investors of potentially material consequences.

The incident began on July 13 when one of the approximately 350-foot-long blades at the wind farm off Martha’s Vineyard and Nantucket fractured. Vineyard Wind, which is a joint venture between Iberdroa’s Avangrid and Copenhagen Infrastructure Partners, initially emphasized that a large portion of the blade had remained attached while smaller pieces were being retrieved from the ocean and began washing up on local beaches. 

 

 

The company warned on July 17 that it had “observed compromise to the integrity of the GE Vernova blade,” and by the following day said a significant portion had detached from the turbine. Pieces of fiberglass continued to wash up on shore while the Bureau of Safety and Environmental Enforcement ordered the wind farm to suspend operations and installation pending further investigation.

Nantucket’s government advised on July 22 that approximately 25 percent of the blade remained upright at the 12 o’clock position. They estimated (which may be high according to other reports) that about 50 percent of the blade was still hanging down. They said the part of the blade that descended into the ocean last Thursday morning had been located but not yet retrieved.

Speaking to investors today, GE Vernova which has been investigating the circumstances of the failure now says it has found what it believes to be a manufacturing error at its plant in Gaspe, Canada. The preliminary results show “insufficient bonding,” in effect a failure of the glue that holds the composite materials together. Speaking to investors, management said its inspection and quality assurance process should have identified the problem before the blade was shipped. 

The company reports it has produced approximately 150 blades for its 13 MW Halliade-X turbines at the plant in Canada. With 10 operating turbines, each with three blades as well as another 11 in place of the planned 62 wind turbines, Vineyard Wind 1 has just under half of the blades. GE Vernova says it will as the next step re-inspect all the blades from the facility to determine if it was a one-off or wider problem. The company told analysts today that it was not prepared to discuss a timeline.

While not providing further details, GE Vernova did say it was a different issue than the blade failure at the UK’s Dogger Bank wind farm experienced earlier this year. A blade also detached from one of the turbines but the investigation showed it was an installation failure.

 

Larger pieces of debris being removed from the beaches (Nantucket government)

 

These problems come as the company is reporting strong sales and works to hone its offshore strategy after spinning off as part of the breakup of GE. Earlier this year the company said it was abandoning plans for a larger 18 MW turbine, which New York State later blamed when it canceled three selected projects in its third-round solicitation.

In a filing with the Securities Exchange Commission (SEC), GE Vernova warns that it is the contractor for the installation of the Vineyard Wind 1 turbines. It said this could represent a contractual breach due to delays which could result in claims as well as claims related to remedial costs. The Town of Nantucket as well as others in Massachusetts are discussing recovery strategies for the costs they are incurring ranging from cleaning their beaches to lost revenues due to it being the peak summer tourist season.

 

Malaysia Detains “Foreigners” for Unlicensed Sand Dredging

dredger
Dredger was illegally harvesting sand without a license (Malaysia Maritime)

PUBLISHED JUL 24, 2024 4:46 PM BY THE MARITIME EXECUTIVE

 

 

[Brief]  Malaysia Maritime reports it has detained a dredger operating on the west coast of the peninsular after receiving complaints from the maritime community. The vessel along with a crew of 11 foreigners has been taken to port for further investigation.

The unnamed vessel was operating in the waters off Pulau Ketam, one of a series of islands near Port Klang on the Malacca Strait. After receiving complaints about the vessel’s operations, Malaysia Maritime had been monitoring the vessel’s activities for a few days. The vessel was apparently actively conducting seabed sand drilling and sucking up the precious material.

Patrol boats were later sent to inspect the vessel which was located approximately 11.5 nautical miles southwest of Ketam. Boarding the ship, the authorities reported they found it was being operated by a 30-year-old Indonesian sailor along with two Indonesian crew and eight additional Chinese crewmembers. All the crewmembers failed to present valid identification.

A further inspection also showed that the vessel could not present a license to operate. The vessel which had 2,200 cubic meters of sand aboard along with the 11 crewmembers was taken to the Pulau Indah Marine Police Force pier. They were then handed over to Malaysia Maritime for further investigation.

The authorities are reporting the vessel will be charged with conducting seabed sand drilling activities without a license. The crewmembers are being investigated under the immigration act because they did not have valid identification documents. 

 

Uniper to Work with Navigator Gas and Bumi Armada on CO2 Transport

gas carrier
Navigator Gas looks to expand into CO2 transport working with Bumi Armada to support a Uniper UK power plant (Navigator Gas)

PUBLISHED JUL 24, 2024 3:49 PM BY THE MARITIME EXECUTIVE

 

 

Energy major Uniper is turning to a partnership between Navigator Gas and Bumi Armada as the next phase of a project to capture, recycle, and store CO2 emitted from one of the company’s UK-based power plants. Navigator and Bumi Armada last year announced a partnership to develop carbon transfer capabilities and now the companies are proposing a fleet of vessels as part of Uniper’s efforts.

Under an agreement signed with Uniper for its natural gas-powered Isle of Grain power plant, the Navigator Gas and Bumi Armada partnership known as Bluestreak CO2 will explore the feasibility of implementing a jetty-moored floating liquid CO2 storage facility which would support a fleet of liquid CO2 shuttle tankers. The vessels would be capable of loading from the facility and delivering the sequestered CO2 to either a floating carbon and storage unit or a unit that also has injection capability to send the CO2 into offshore storage aquifers and or depleted oil and gas reservoirs. 

Bluestreak CO2 was first proposed a year ago as their entry into the emerging CO2 transport and storage market. The company looks to leverage Navigator Gas’ experience operating what it calls the world’s largest fleet of handysize liquified gas carriers. The fleet includes 56 gas carriers of which 25 are ethylene and ethane capable. Bumi Armada is a provider of floating infrastructure systems including offshore engineering facilities. It is also the operator of FPSOs.

The companies are saying they anticipate subject to board approval to formalize the Bluestreak CO2 joint venture by the end of 2024. They highlighted that the collaboration with Uniper will demonstrate how Bluestreak CO2 would be able to serve emitters with no access to pipeline infrastructure. They believe it will provide an effective tool in managing and storing CO2 emissions.

“Flexible CO2 transport solutions are needed to decarbonize essential industrial processes, which are not close to pipeline and subsea storage locations and will be critical to get first-of-a-kind non-pipeline projects like Grain Carbon Capture into operation,” said Uniper’s UK Country Chair Mike Lockett.

Grain is a power station in the Southern UK operating on the Isle of Grain in Kent since 2011. It has a capacity to generate 1,326 MW of power using natural gas. In February 2024, Uniper launched the next phase of exploration for a carbon capture project at the plant. They assigned projects to Technip Energies and Aker Carbon Capture competing to engineer the carbon capture system for Grain.

The companies are developing the technology required for CO2 capture, conditioning, liquefaction, and a temporary storage facility. Uniper is proposing to use post-combustion carbon capture technology on up to three units at Grain. They will evaluate the two companies’ proposals with the aim of selecting a preferred technology provider during FEED and other project stages. Uniper estimates it would be possible to remove over two million tonnes of CO2 per year during the electricity generation process. They expect to take a final investment decision by the mid-2020s for this concept.

Bluestreak would provide the missing piece of the CO2 value chain. The liquid CO2 tankers would transport the captured material for storage and also be able to provide a buffer storage capability. 

Several other projects are pursuing similar concepts. Norway’s Northern Lights is set to launch this year. The company will ultimately have four purpose-built liquid CO2 carriers. The first two vessels, each with a capacity to transport 7,500 cbm of liquified CO2 at approximately 15 bar(g) pressure and -26°C temperature, are nearing completion in China. Japan’s K Line has been hired to run the vessels to start the world’s first commercial CO2 transport and storage operation.

 

U.S. Coast Guard Tows Stricken Superyacht for 28 Hours

Black Pearl
Coastguardsmen board Black Pearl I, July 21 (USCG)

PUBLISHED JUL 24, 2024 3:38 PM BY THE MARITIME EXECUTIVE

 

 

When the dive yacht Black Pearl 1 sustained a serious casualty off the coast of Palau last weekend, the crew and the owner were unusually lucky: the cutter USCGC Oliver Henry was located nearby. Coastguardsmen dewatered the charter vessel, helped with damage control, and towed it for 28 hours to a safe harbor.

On July 20, the Coast Guard's Guam station received a satellite distress alert from the 154-foot yacht Black Pearl I. The alert contained no information, but the station determined the yacht's location by AIS and diverted the cutter Oliver Henry to the scene. The freighter SLNC York was about 135 nautical miles away, and also agreed to divert from its voyage in order to assist the yacht. 

The York arrived on scene in the early hours of July 21 and made the first contact with the yacht's crew. The Black Pearl reported that all crewmembers were safe, and that they were attempting to repair their steering gear, which had locked the rudder over at 10 degrees. 

Oliver Henry arrived about six hours later and the crew assessed the situation. Black Pearl was now taking on water, so a boarding party of coastguardsmen transferred over to help with dewatering and damage control. The yacht's stern platform was awash in the swells, complicating the boarding, but the crew passed a tow line successfully and got under way for Palau - 200 nautical miles away. 

Images courtesy USCG

"Getting on the Black Pearl was a bit nerve-wracking but thrilling, especially as we maneuvered through swells that threatened to sweep us into the ocean. The boat was not in the best position as the swells were hitting it from the starboard side, so every swell water would come up and over the stern platform and be about two feet deep. The successful connection of the tow felt like a huge relief," said Petty Officer 3rd Class Ryder Nollan, bosun's mate aboard USCGC Oliver Henry. 

Despite strong winds and six-foot swells, Oliver Henry completed the tow and arrived safely off Palau at 1100 hours on July 22. The crew passed the tow off to a commercial tug, and the yacht was safely moored by early afternoon. 

Black Pearl I is a 2019-built yacht with accommodations for up to 20 people, and was designed with dive expeditions in mind. The vessel operates regularly in the South Pacific on luxurious diving charter expeditions. The estimated daily charter rate is $10,500.  

The U.S. Coast Guard never charges for search and rescue operations, regardless of capacity to pay. The policy ensures that all mariners feel free to call for lifesaving help, without the deterrent of an extra cost.  

 

NTSB: Grounding Caused by Master Navigating Alone and Multitasking

Great Lakes bulker American Mariner
American Mariner touched bottom causing $600,000 of hull damage (USCG)

PUBLISHED JUL 23, 2024 6:09 PM BY THE MARITIME EXECUTIVE

 

 

The National Transport Safety Board issued a report critical of the master and operator of a Great Lakes bulker that touched bottom while maneuvering out of Sault Ste. Marine, Ontario in January 2023 saying that the master was required to multitask during a complex maneuver. The report calls for a sufficient number of qualified mariners to be on the bridge, especially at times when a vessel is maneuvering in confined spaces.

The report details the circumstances around the January 7, 2023, incident aboard the American Mariner, a 1980-built laker registered in the United States, owned by American Steamship, and operated by Grand River Navigation. Visibility was good and the wind and sea conditions were calm as the 715-foot-long (218 meters) when the vessel began the departure at around 0720 from Canadian waters and bound for Superior, Wisconsin.

The master was on the bridge while the first mate was supervising unmooring and workboat operations. The bosun and a seaman were on the stern handling lines while other crew had been sent ashore to cast off the mooring lines. The vessel has a total crew of 19, but alone on the bridge, the NTSB concludes the master was required to multitask while managing the departure.

“While maneuvering in confined waters, it is difficult for a single bridge crewmember to effectively drive, lookout, and monitor and use available bridge equipment,” the report concludes. “Owners, operators, and vessel masters are responsible for ensuring that vessel bridge teams are staffed with a sufficient number of certificated/credentialed mariners who are familiar with all bridge navigation equipment and able to independently take immediate action.”

The vessel was traveling at about 4 knots and the master had left the bow thruster on because he was expecting a current in the channel which is about 480 feet wide and has a depth of 24 feet. The channel requires a turn and just outside the buoyed channel are shoal waters. 

As the master straightened the vessel to head outbound, he said he felt a “light shudder.” The fathometer read 13 feet below the keel, and he wondered if they had made contact with ice, although none was visible. Using a searchlight, he confirmed they were clear of a buoy. The first mate in the upper engine room felt a bump and reported a “loud screeching noise.” He thought they might have contacted a buoy but on deck observed mud and rock debris in the water.

 

Hull damage from touching bottom during the maneuver (NTSB)

 

Water levels were not responding as expected the engineers reported in the ballast tanks and subsequently, when the vessel was drydocked three days later, an 80-foot-long hull indentation was found. There were holes in three ballast tanks. The repairs cost $600,000.

The NTSB determined that the master’s initial angle of departure from the dock and a close approach to the shoal water positioned the vessel at a poor angle to complete the maneuver into the channel. The vessel overshoot the turn touching bottom in the shoal on the opposite side of the channel.

The NTSB acknowledges a few other extenuating circumstances. The Canadian Coast Guard in the winter replaces conventional lit buoys with an unlit ice spar buoy to avoid damage to the buoys. On the American Mariner, the master acknowledged that the electronic chart system did not display the footprint of the vessel. Also, safety depths were not programmed into the system.

While they concluded that the master’s multitasking made it difficult to manage the navigation, they also highlighted that effective use of all available resources adds to situational awareness. Proper staffing of the bridge during the departure would have provided additional people to react to the situation and manage the required tasks for safe navigation.