Wednesday, August 21, 2024

 

China Pays Owners to Scrap and Replace Old Ships

Ship in Shanghai in fog
Pixabay

Published Aug 19, 2024 10:58 PM by The Maritime Executive

 

 

As part of a wave of measures to stimulate demand, China's government has announced new subsidies to incentivize domestic shipowners to renew their fleets with more efficient, green-fueled tonnage. The policy echoes the "scrap-and-build" subsidy program of the 2008 financial crisis, which helped buoy Chinese shipyards during a severe downturn. 

China's economy grew at a comparatively sluggish pace of five percent in the first half, meeting government targets but falling below historical patterns. A housing market downturn, weak consumer demand and reduced government spending are weighing on the pace of Chinese economic expansion. To stoke demand, Beijing has rolled out subsidies for consumers and businesses to replace older buses, cars, appliances, farm machinery and more. The incentive for swapping an old car with a new battery-electric model has doubled to nearly $2,800 - about 15 percent of the purchase price for a typical EV in China. 

Shipowners and shipyards need not feel left out. China's Ministry of Transport and the National Development and Reform Commission have released a new schedule of subsidies for the demolition and replacement of older domestic vessels. China's coastwise and inland fleet is vast, and replacing these small ships with newbuilds would create industrial-scale demand for steel and skilled labor. 

The subsidies apply to domestic vessels of as little as 10 years of age, and vary depending on type (coastal, inland or passenger vessels). The starting-point value for the subsidy is $140 per gross ton, ranging up to $210 for qualifying passenger ships and tankers. 

The subsidy applies when the newbuild replacement vessel is powered by LNG (at least 50 percent), or by methanol, hydrogen, ammonia or battery-electric propulsion. 

The scrapping subsidy points to the possibility of a future for China's inland waterways that looks more like China's heavy-truck sector, which is already transitioning to LNG single-fuel power. Per unit of energy, LNG is now cheaper than diesel in China, and it has made rapid gains in the Chinese trucking market. Owners of older trucks who wish to make the switch may be eligible for subsidies of up to $19,000, enough to cover up to 20 percent of the price of a new LNG-fueled tractor-trailer. Even before the subsidy, LNG-powered trucks accounted for a third of all Chinese new-truck sales as of the end of 2023 - and China's road diesel demand is dropping, according to Wood Mac. 

WWIII

Philippines Gathers Evidence on Chinese Collision While Stressing Diplomacy

collision damage
One of the holes in a Philippines Coast Guard vessel caused by the collision with a Chinese ship (PCG)

Published Aug 20, 2024 2:25 PM by The Maritime Executive

 


A day after possibly the most damaging collision between Chinese and Filipino coast guard vessels, officials in the Philippines sought to de-escalate the situation by talking about the diplomatic options available. While the National Maritime Council called for collecting evidence, senior government officials stressed that President Ferdinand Marcos, Jr. has called for resolving the issues in the South China Sea through diplomacy.

The newly appointed spokesperson for the National Maritime Council Vice Admiral Alexander Lopez spoke to reporters a day after the incident in which two of the Philippines' newest patrol boats were damaged in collisions with Chinese vessels. The two incidents took place about 20 minutes minutes apart and at a distance of approximately two nautical miles from each other. 

The vessels involved were delivered to the Philippines in 2018 under a loan program administered by OECD (Organisation for Economic Co-operation and Development) an intergovernmental organization to promote economic progress. The BRP Bagacay reportedly has a 3-foot wide and 2.5-foot long gash on one side and a foot-deep dent on the other side. The BRP Cape Engano is reported to have a 3.6-foot gash on one side. Pictures showed a hole in the hull as well as multiple dents on both vessels and reports of damage to engine exhaust on BRP Cape Engano.

 

One of the dents in the Philippines' coast guard vessels after contact with the Chinese vessels (PCG)

 

Lopez told reporters at the briefing in Manila that the Coast Guard has been ordered to “gather evidence” and develop proper documentation. He said it could be used for a possible filing of a diplomatic protest.

During the press briefing, he said the Philippines is still pursuing a diplomatic or peaceful approach, saying kinetic actions, “would not be in the best interest of our country and of China and even in the region.”

This came after both sides on Monday traded accusations about the incidents. The Philippines accused the Chinese vessels of being unprofessional and performing illegal and dangerous maneuvers. The Chinese called their actions “legitimate, professional, and restrained,” insisting that the Philippine patrol boats changed course into the path of the Chinese vessels.

Philippine government officials highlighted that the decisions would be made by the president after reviewing the recommendations of the council. Philippine Coast Guard Commodore Jay Tarriela, the spokesperson for the organization, went on the radio and called for negotiations to cover expanded elements of navigation in the disputed areas. 

One suggestion that many Philippine officials have backed is seeking to expand the tentative agreements governing the resupply efforts. They said it could possibly be expanded to other areas in the maritime domain. 

The United States, Germany, France, New Zealand, and Australia all issued statements of support for the Philippines. The Japanese embassy said it was “seriously concerned” over the recent aggressive conduct.

Chinese officials reiterated in their briefings the position that the Philippines was the first to violate China’s rights. However, the Chinese also seemed to refocus their criticism from the Philippines instead to the United States. They said America should stop inciting confrontations calling U.S. actions as undermining regional stability and exacerbating tensions. 


Video: China Coast Guard Rams Two Philippine Vessels

China Philippine coast guard collision
China released videos claiming the Filipino vessels were the aggressors (CCG)

Published Aug 19, 2024 12:45 PM by The Maritime Executive

 

Two Philippine Coast Guard vessels were damaged overnight on August 19 during the latest resupply missions into the disputed areas near Second Thomas Shoal. Chinese and Philippine officials have both issued harsh statements loaded with new accusations coming just weeks after both sides had tentatively agreed to reduce tensions in the region.

There is very little China and the Philippines are agreeing about in this incident but neither has claimed any injuries to their crews. The Philippines however is saying both vessels were holed with what it calls the worst damage since the incidents began in the Spratly Islands.

The Philippine Coast Guard cutters BRP Bagacay and BRP Cape Engano were underway when they encountered the Chinese vessels. Both sides are saying the vessels were headed toward the waters around Sabina Shoal in the same area as Second Thomas and the latest flashpoint in the conflicts.

BRP Cape Engano was the first vessel that the Chinese attempted to stop with a collision with the CCGV-3104. About 20 minutes later and two miles from the first incident, the BRP Bagacay and the CCGV 21551 collided. Philippine officials said Cape Engano suffered the more significant damage releasing pictures of a gash they are reporting measures 3.6 feet and damage to an engine exhaust. They initially termed the damage to Bagacay as “minor structural damage,” but reports now say the vessel has a hole approximately 2.5 feet long and 3 feet wide. There is a 1-foot dent on the other side of the vessel. 

 

 

 

China quickly released videos and a series of angry statements calling the Filipinos “intruders,” but only acknowledging the encounter with Cape Engano. The Chinese statements are accusing the Filipinos of ignoring repeated warnings and “intentionally sailing dangerously.” China says its Coast Guard took “legitimate, professional, and restrained restrictive measures,” while the “Philippine side bears full responsibility for the incident.” 

China refers to it as a “scrape.” They claim the videos show the Chinese vessels were sailing straight while the Philippine vessels “suddenly turned right, causing a collision.”

The Philippines responded calling the Chinese actions “dangerous and illegal maneuvers.” They are saying the Chinese Coast Guard was “aggressive” with the Cape Engano while they accused the Chinese of twice ramming Bagacy on both of her sides.

 

 

 

Chinese Coast Guard spokesperson Gan Yu was especially forceful in today’s statements saying the Philippines “repeatedly made provocations and stirred up troubles, violating the temporary agreement reached by the two sides about delivering living material supplies to the Philippine vessel,” grounded and used as a base at Second Thomas Shoal. China says the provocations began about a year ago and “from the beginning, they were instigated by the US.”

“This is the biggest structural damage we have incurred as a result of the dangerous maneuvers carried out by the Chinese Coast Guard,” said Commodore Jay Tarriela of the Philippine Coast Guard. The Philippines vows to continue its essential supply missions to its personnel.

The United States was quick to condemn the actions of the Chinese saying it stands with the Philippines.

China has continued its efforts to encroach on the Philippines and seeking to extend its territorial claims in the South China Sea.

Italian Divers Continue to Search Sunken Yacht for Missing Tech Exec

Italian divers come aboard a RIB
Courtesy Guardia Costiera

Published Aug 20, 2024 4:54 PM by The Maritime Executive

 

Italian rescue divers are still searching for missing passengers and crewmembers of the sailing yacht Bayesian, which went down in a sudden thunderstorm off Sicily on Monday morning. 

UK-flagged Bayesian was a 180-foot luxury yacht owned by the UK's most prominent tech entrepreneur, Mike Lynch. Mr. Lynch is among the missing, along with his lawyer, Chris Morvillo, and Jonathan Bloomer, the chairman of investment banking house Morgan Stanley International. 

On Monday morning, at about 0400-0500 hours, an unexpected and fierce thunderstorm ripped through Bayesian's anchorage area off the small port of Porticello. Bystander accounts suggest that a waterspout tore through the port,  turning a normally-calm Mediterranean destination into a stormy sea. Residents and good Samaritans saw a flare from Bayesian, but could not reach the vessel until the winds subsided. 20 minutes later, only floating debris - and 15 survivors - remained on the surface. 

One body was recovered, and five remain missing. Divers reported Monday that they had seen the remains of deceased passengers inside the vessel, but had not yet been able to reach them. The relatively deep water of the harbor (about 160 feet) limits the amount of time that the dive teams can spend at the bottom. 

Divers from Italy's national fire and rescue service are inspecting the interior of the wreck in a "long and complex" process, the agency said in a statement Tuesday. "The fear is that the bodies got trapped inside the vessel," explained Sicily's head of civil protection, Salvatore Cocina.

The casualty appears to have brought an untimely end to most members of a successful legal defense team. In June, Lynch was acquitted of U.S. wire fraud charges in connection with the sale of his former company, Autonomy, to Hewlett Packard in 2011. Morvillo was his counsel for the trial, and Bloomer served as a character witness for the defense. Lynch's sole co-defendant, former Autonomy VP of Finance Stephen Chamberlain, was hit by a car and killed on Saturday.  

Lynch's wife, Angela Bucares, and his assistant Charlotte Golunski were among the survivors, along with Golunski's one-year-old daughter. 

 

More than 700 Kilos of Cocaine Seized in One Week in Port of Rotterdam

cocaine Rotterdam
In one week, Dutch authorities reported seizing more than 700 kilos of cocaine all concealed in refer boxes (Openbaar Ministerie)

Published Aug 20, 2024 5:57 PM by The Maritime Executive

 

 

Dutch officials made a series of cocaine seizures totaling more than 700 kilos all coming through the Port of Rotterdam in just a matter of days. Police report that they believe the intended recipient of the containers was not involved in the smuggling, but it was part of an effort by the drug cartels to use legal shipments to smuggle narcotics.

The seizures came as the major European ports and governments launched a concerted effort to interrupt the flow of cocaine and other illegal drugs. International police have warned that the drug gangs have infiltrated the operations of the European ports and are being more aggressive in their smuggling tactics.

The largest of the seizures was 514 kilos of cocaine found in a shipment of avocados. The containers had originated in Peru and traveled via Panama to Rotterdam. A second shipment also of avocados following the same route but destined for a different company in the Netherlands was discovered to contain a concealed shipment of cocaine. This second seizure recovered 100 kilos of cocaine.

The police reported these two seizures on August 14 and two days later made a further discovery of cocaine. This time they were making a routine check on an empty container and found 39 kilos of cocaine in the construction of the container. The refer box had been used to bring bananas from Ecuador.

The following day, August 17, the police reported yet another seizure. Again, during a regular inspection of a refer box transporting bananas they located cocaine. This shipment was coming from Costa Rica and was found to contain 60 kilos of cocaine.

The four interdictions totaled 712 kilos of cocaine. Police put the estimated street value at approximately €53.5 million ($59.5 million).

In each of the cases, it seemed that the importer had nothing to do with the smuggling. However, the cartels are showing a preference for refrigerated boxes for their smuggling. Earlier in August, Greek authorities reported they found 34 kilos of cocaine also in a shipment of bananas. A year ago, Dutch authorities reported their largest single seizure, totaling over 8,000 kilos in 12 pallets of bananas, and that same month Spanish authorities reported their largest seizure of nearly 9,500 kilos of cocaine also in a banana shipment. 

Belgian authorities reported in 2023 they seized 116 tonnes of cocaine in Antwerp up from 110 tonnes in 2022. They used this information to advocate for additional action by the European Union and police in a coordinated effort to interrupt the flow of cocaine and other drugs through Europe’s leading ports.
 

 

Court Rejects Bid to Delay Date to Finalize Plan to Move SS United States

ss United States
ss United States shows her style at her Philadelphia pier that she must leave (Allan Jordan photo)

Published Aug 19, 2024 6:58 PM by The Maritime Executive

 

 

The S.S. United States Conservancy lost its latest court bid to extend the date to move the once famed ocean liner from its pier in Philadelphia. The nonprofit had asked the court to give it till December to finalize arrangements to remove the ship from the pier it has been at for the past 28 years with the court rejecting an extension but creating a little extra space for the efforts.

The group has been involved in a fight with its landlord Penn Warehousing over an effort to increase the rent for the dock and for potential damages to the pier. They won on those claims but Judge Anita Brody told the Conservancy it could not stay at the pier forever and it had till September 12 to remove the ship. In a ruling today for the motion to extend the date till December, the judge said she feared granting an extension would only lead to another request for an extension. She told the court, “We all have to live in realism.”

The Conservancy said it has been unable to secure a new pier although unconfirmed reports are that some potentials might still be willing. In the court filing, they admitted the Philadelphia Navy Yard does not have space at the government-controlled berths while port authorities in Virginia, Maryland, North Carolina, South Carolina, and Georgia have been dead ends. 

The organization confirmed it is in discussions with two Florida countries, Escambia and Okaloosa, about reefing the 990-foot ocean liner, but while they said a deal was being negotiated, the group contends both are reluctant because of the short timeline for removal. Contractors hired by Okaloosa County have been on the vessel on two occasions to evaluate the extent and cost of environmental remediation associated with a reefing project. Escambia has also identified a potential reefing site and initiated testing, and advanced towing and other potential arrangements. 

Among the challenges they point to is it would take 10 to 14 days of towing to move the liner from Philadelphia to Pensacola, Florida. Reports said the counties are reluctant because of the short time window and concerns about moving the vessel during hurricane season.

They also site challenges such as getting U.S. Coast Guard approval for the move and the need for stability assessments. The Conservancy told the court it has engaged in preparations including obtaining a hydrographic survey of the water depth around the vessel and pier. It is coordinating a vessel inspection with its insurance carrier and following up on the insurer’s recommendations for a tow. Alternate discussions are also underway with potential scrappers.

The Conservancy questioned a declaration from Penn Warehousing that Hyundai Glovis is interested in using the pier for offloading cars from its Ro/Ros. Also, they cited a threat from the landlord to impose a $3 million penalty if the ship is not removed by September 12. 

“Penn Warehousing hopes to bankrupt the Conservancy, whose precarious financial situation Penn Warehousing recognizes, and seize the ship in the process,” the Conservancy wrote in its court filing. In a letter attached to an earlier court filing, Penn Warehousing offered the Conservancy to hand over the title and walk away from the ship with no further obligations.

The judge agreed that the September 12 deadline could be for the Conservancy to finalize a plan for the vessel and not for the removal. The Philadelphia Inquirer report suggests Penn Warehousing would be willing to negotiate a lease extension with the new owners of the ss United States once a deal is struck to transfer ownership.

The Conservancy in its court filing said along with Okaloosa County they have “pursued extensive negotiations on the terms of a written contract acceptable to both parties, which the parties are close to finalizing.”

The ss United States remains one of the last examples of a trans-Atlantic ocean liner from the heyday of passenger shipping. The Conservancy had hoped to find development partners to convert the vessel into a multiuse attraction. 

 

MOL Looks to Cow Manure to Supply Biomethane Fuel

cows
MOL researches cow manure as source of biomethane fuel (MOL)

Published Aug 19, 2024 7:29 PM by The Maritime Executive

 

A group of Japanese companies is researching cow manure as a source to produce biomethane to fuel the decarbonization of heavy industry and shipping. While methane is viewed as a promising alternative fuel shipping companies such as Maersk continue to cite the shortage of supply while others such as Ørsted cite the weak demand for biomethane.

Mitsui O.S.K. Lines and its MOL Sunflower ferry company along with Hokkaido Gas Co., Takanashi Milk, and others announced they are launching a study on the production and utilization of biomethane. They point out the thriving dairy farming industry in Hamanaka town saying they believe animal manure from local dairy farms could be used in fuel production. MOL in 2023 highlighted that farmers have traditionally used this as a power source saying the biogas produced by cattle farmers is about 60 percent methane and 40 percent carbon dioxide.

Liquefied natural gas (LNG) is currently being used as a low-carbon fuel alternative to conventional fuels such as coal and oil and can reduce carbon dioxide (CO2) emissions by 25 to 40 percent compared to conventional fuels in factories and vessels. In this study, the six organizations will evaluate the feasibility of using all or part of the biomethane produced in Hamanaka Town to fuel factories and vessels.

Among the advantages MOL highlights are that the fuel can be used in current infrastructure for transport and consumption. MOL confirmed this in tests with one of its coastal vessels in 2023.

The Japanese company AirWater is one of the pioneers in commercializing this form of biomethane.  In the company’s process, the gas is derived from dairy-owned biogas plants, liquefied at about -160°C, separating and refining its main component, methane. The resulting methane can be compressed to 1/600th of its volume when liquefied, enabling it to be transported on a large scale.

While orders of methane-fueled vessels skyrocketed, costs and the lack of production have raised concerns. Maersk recently admitted that it is looking at LNG-fueled vessels in its current fleet renewal project although those vessels could be transitioned to biofuels when it is available. Yet, citing slow delay for biofuels, Ørsted stopped construction on a prototype biomethane plant it is building. Production was slated to begin in 2025.

 

U.S. Secretary of the Navy Wants Maersk to Order American-Made Ships

Taiwan-built, U.S.-flagged boxship Maersk Alabama, 2009 (USN file image)
The Taiwan-built, U.S.-flagged boxship Maersk Alabama, 2009 (USN file image)

Published Aug 19, 2024 8:27 PM by The Maritime Executive

 

 

In a meeting in Denmark last week, U.S. Secretary of the Navy Carlos Del Toro had an unusual suggestion for A.P. Moller-Maersk CEO Vincent Clerc, one of the world's most prominent shipowners: Del Toro recommended that Clerc buy American-made ships to join Maersk's exclusively foreign-built fleet. 

The call is in line with Del Toro's attempt to attract allied help to "renew the health of [America's] broader seapower ecosystem." Del Toro has invited Korean shipbuilders to acquire or open shipyards in the U.S. market, hoping to fix over-budget, behind-schedule naval shipbuilding programs. A signal of demand from a large private shipowner might spark business interest in modernizing American shipyards, he suggested. 

"With some of the world’s most technologically advanced shipbuilders already heeding our call to invest in integrated commercial and naval shipbuilding facilities in the United States, the next step in our maritime statecraft strategy is to attract the world’s foremost commercial shipping firms to signal their demand for new ships built in American shipyards," Secretary Del Toro said.

While meaningful for national defense, the move would be unusual for Maersk, and Clerc has not commented publicly on Del Toro's proposal. The secretary's office said that Maersk's team would continue the discussion during a visit to the U.S. in the weeks to come. 

U.S.-built boxships are typically used on domestic or partially-domestic routes, where they are required, and all are below 4,000 TEU in size. Maersk Line owns more than 330 cellular container ships and charters another 380 vessels, ranging in size up to 24,000 TEU. It has a U.S.-flagged division, but this business unit operates foreign-built vessels, like other participants in the U.S. Maritime Security Program (MSP). 

Del Toro has been working with the U.S. Department of Energy, the Maritime Administration and Congress to look for ways to make American shipbuilding more financially attractive for foreign owners. The secretary's office highlighted the DOE's Title 17 clean-energy financing program, which offers low-interest loans for dual-fuel commercial vessels built in the United States. 

"Our calculus is that bringing a larger portion of the newbuild orderbooks of the world’s biggest shipping firms to American shores in the coming years will offer significant returns to Navy shipbuilding and sealift," said Del Toro in a statement. 

 

Dali Completes Offloading Containers as Salvage Operation Continues

Dali containership
Dali with her decks emptied of container in Norfolk (WTKR/YouTube)

Published Aug 20, 2024 1:07 PM by The Maritime Executive



 

Nearly five months after the fatal allision of the containership Dali with Baltimore’s Francis Scott Key Bridge, offloading of the vessel has been completed in Norfolk, Virginia. TV station WTKR in Norfolk caught pictures of the vessel in recent days with its decks cleared of containers.

The ship arrived in the Norfolk area on June 25 after a complex overnight move from Baltimore’s Seagirt Terminal largely still loaded with a reported 4,800 containers according to the USCG. The vessel has a full capacity of approximately 10,000 TEUs (standard sized boxes) although vessels generally carry larger double-size boxes. There was also speculation that the 4,800 number was only laden boxes with additional empties likely aboard.

Grace Ocean, the Singapore-registered owner of the Dali declared General Average in April. Cargo owners were required to post security bonds before their cargo and containers were released. Further, since the vessel was bound for Asia, it is likely arrangements were being made to transship the boxes using other vessels to reach their destinations.

 

 

The vessel has repositioned several times including moving in July to the Norfolk International Terminal. In August, it was repositioned switching sides alongside the dock. Images from the end of July showed that the offloading was underway.

The ship’s movements are complicated by the fact that it has no working anchors. The machinery on one side was destroyed when the bridge collapsed onto the ship. The other anchor was cut off when the salvage effort removed the ship from the accident site back to the Baltimore terminal. 

 

Dali offloading at NIT at the end of July (Steve Perry photo)

 

The USCG reported that the vessel would undergo temporary repairs while in Virginia. It was expected it would eventually depart for the Far East to complete repairs. 

All but four of the crewmembers departed the vessel before it left Baltimore at the end of June. Some were repatriated while others remained in Baltimore as the investigation and legal cases proceeded. A replacement crew took over staffing of the vessel.

No timeline has been reported on when the vessel might depart. It will require additional repairs and recertification by class and the authorities before it is deemed safe to undertake an ocean voyage.

 

First Rotor Sails Retrofitted to MOL Capesize Bulker Operating for Vale

bulker with rotor sails
Camellia Dream was the first capesize bulker retrofitted with rotor sails as MOL and Vale expand wind-assisted propulsion (MOL)

Published Aug 20, 2024 7:37 PM by The Maritime Executive


 

The bulker segment continues to be at the forefront of the deployment of wind-assisted propulsion with Mitsui O.S.K. Lines and Brazilian mining giant Vale reporting the first retrofit of rotor sails to a capesize bulker. It adds wind-assisted propulsion to another category of ships in the segment which has already deployed rotors and rigid sails to the largest bulkers as well as smaller vessels.

The Camellia Dream, a 206,800 dwt bulker built in Japan and delivered a decade ago, was recently retrofitted with rotor sails manufactured by Norsepower. The vessel which has an overall length of 980 feet (299 meters) was retrofitted with two rotors. Each stands approximately 115 feet (35 meters) with a diameter of 16.5 feet (5 meters). The ship is registered in Japan.

The vessel departed Ponta da Madeira, Brazil earlier on August 17 on the return leg of its first voyage since the retrofit was completed. It had departed the Far East in early July arriving in South America in mid-August. This is the vessel’s normal routing transporting iron ore for Vale under a midterm contract with MOL.

According to companies, the vessel is expected to achieve about 6 to 10 percent fuel and GHG emission reductions. The rotors are being combined with voyage optimization technology to maximize the results.

It is the latest in a series of efforts by Vale in conjunction with ship operators. Vale reports it has a target for a 15 percent reduction in scope emissions by 20235, related to the value chain of which shipping is included. The company does not own the vessels so calculates the savings as part of its broader supply chain.

Vale began employing wind-assisted technology with a new build, Sea Zhoushan, a 325,000 dwt bulker that was fitted with five rotors in 2021. The company also reached an agreement for the Sohar Max, a 400,000 dwt ore carrier owned by Asyad of Oman to be fitted with five rotors. It is the first installation of rotors on the world’s largest bulk carriers.

Other operators in the segment are also retrofitting rotors to smaller classes of bulkers. The vessel’s long routing and relatively slow sailing speeds mean they are well suited for the technology. 


 

Philippine Coast Guard Makes Progress on Tanker Wreck Cleanup

Terra Nova slips below, July 25 (PCG)
Terra Nova slips below, July 25 (PCG)

Published Aug 20, 2024 7:41 PM by The Maritime Executive

 

 

The Philippine Coast Guard and a local salvage contractor are making slow but steady progress on removing oil from the sunken tanker Terra Nova, which went down in severe weather off Bataan last month. 

Terra Nova sank during Typhoon Gaemi on July 25, and it is resting in the shallow waters of Manila Bay off the town of Limay. The vessel had an estimated 370,000 gallons of petroleum on board, and an unknown quantity of oil spilled out of its holds and into the water. 

As of August 19, salvor Harbor Star had removed about 11,000 liters of fuel oil from the vessel's tanks using hot-tapping methods, including 2,500 liters on Monday alone. The company has brought in an extra booster pump to speed up oil siphoning. 

Meanwhile, ongoing monitoring and sampling around the wreck reveal little new spillage, save for a small sheen near the salvor's barge. Shoreline oiling has largely dissipated, and Philippines' Bureau of Fisheries and Aquatic Resources (BFAR) says that all seafood products from the area are now safe to eat. 

The Terra Nova's ownership interests have pledged to pay damages to those affected by the spill, according to Philippine Department of Justice Undersecretary Raul Vasquez. "We used the Mindoro [MT Princess Empress] oil spill as a template, and the good news is that the owner of Terra Nova, its insurer, and the IOPC immediately stepped forward," he told Manila Times. The provincial government of Cavite - where fishing interests were most affected - is seeking 10 million Philippine pesos (about $180,000) in compensation.

A team of seven advisors from the U.S. National Oceanic and Atmospheric Administration (NOAA) and the U.S. Coast Guard have finished up a technical-assistance deployment to assist the cleanup effort, and are returning to the United States. NOAA's spill modeling tools were used by Philippine authorities to predict the course of drifting slicks. 

Salvage operations also continue for two smaller tankers, the Jason Bradley and the Mirola 1, which went down shortly after the Terra Nova. The work currently focuses on plugging tanks and voids to prevent further release of petroleum. 

Removal of Capsized Oil Barge off Tobago Completed After Six Months

capsized oil barge Tobago
Gulfstream barge was moved offshore after a six-month recovery operation (TEMA)

Published Aug 20, 2024 5:00 PM by The Maritime Executive

 

 

The mysterious oil barge that overturned and was leaking oil off the coast of Tobago has finally been salvaged as the search for the culprits continues. Trinidad and Tobago’s Ministry of Energy and Energy Industries (TEMA) reported the successful refloating of the barge as the last step in the recovery efforts that are expected to cost as much as $30 million.

Refloating of the Gulfstream barge began yesterday afternoon, August 19, with the effort requiring approximately six hours. Shortly before midnight local time the salvage team confirmed the Gulfstream was afloat. T&T Salvage, which had been working with the ministry for months, oversaw the operation.

The barge was discovered by residents overturned and wedged on the west coast of Tobago on February 7 leaking oil. At first, the Coast Guard and local officials thought a cargo ship had capsized, but they were unable to locate any survivors. Further investigation revealed it was a large ocean-going oil barge that had been under tow by a tugboat, which could not be located.

T&T launched a containment and remediation effort requesting international assistance. The barge had a capacity of approximately 85,000 barrels. As of April, the teams reported that over 32,000 barrels had been recovered from the barge. A nine-mile section of the coastline was also covered with the oil while there had been fears it might also wash toward neighboring countries.

The salvage team had to postpone the planned removal operation which had been set for August 5 and 6. It was delayed by the rough surf and conditions created by tropical storm (later hurricane) Ernesto.

 

Salvage teams were securing the barge while divers began a survey (TEMA)

 

The barge was moved overnight to a position approximately three nautical miles off the coast with tugs managing the overturned wreck. Today, divers were beginning an underwater survey of the barge accessing areas that had been aground. They are also looking for hanging debris that needs to be removed before a tow can begin.

The plan is to take the barge from Tobago to Port-of-Spain, Trinidad. The towing operation is expected to take approximately 33 hours. It will be accompanied by a pollution response team on contingency vessels following the two tugs that will maneuver the overturned Gulfstream barge. 

The Ministry of Energy and Energy Industries said the beach and coastal cleanup has been completed, and it was closing its temporary facility at Cove, Tobago. 

The search continues for the crew of the tug that was operating the tow and which abandoned the barge. The tug went dark turning off its locator signal, but further analysis identified it was the Solo Creed, built in 1976 in the United States. It is 128 feet (39 meters) with 538 gross tons. Ownership is unclear as well as its registry. Most databases reflect it as the Ranger registered in Tanzania, but in most cases, the data is reported as old or the owners as unknown.

The tug turned up in Angola in May 2024 and the government of T&T was seeking help from the local authorities to detain the vessel and its crew. T&T’s Energy Minister had also said that they were asking for assistance from Panama, Aruba, Curacao, Tanzania, and Nigeria in the investigation into the vessel.

The International Pollution Fund recognized the claims made by Trinidad and Tobago. It was making up to $50 million available as compensation. It was to be used to assist in the cleanup and to provide compensation to those affected by the spill.