Regis Resources sues Australian minister over blocked gold mine

Cecilia Jamasmie | November 7, 2024 |

The McPhillamys gold project, about 250 km west of Sydney. (Image courtesy of Regis Resources.)

Regis Resources (ASX: RRL) has initiated legal proceedings to overturn a federal minister’s decision that halted its $1 billion McPhillamys gold and silver project in New South Wales, Australia.


Environment Minister Tanya Plibersek issued in August a “Section 10” order to protect Indigenous heritage sites, which effectively prevented Regis from constructing the mine’s tailings dam near the headwaters of the Belubula River, the proposed site.

The Western Australia-based gold miner argues the ruling contained “several issues and alleged failures,” providing grounds for their legal challenge.

Regis contends that the decision has made their project unfeasible and had hinted at potential legal action in recent statements.

“None of the extensive expert evidence produced during the years-long processes we went through to approve the McPhillamys project and respond to the Section 10 application indicated there was Aboriginal cultural heritage that could not be appropriately managed,” managing director and chief executive manager, Jim Beyer, said in the statement.

The executive emphasized that no impartial data supporting Plibersek’s cultural heritage ruling has been found to date.

“In the weeks following the Minister’s decision, it has become clear that key findings made by the Minister regarding Aboriginal cultural heritage are vigorously disputed,” Beyer added.

Following the decision, Regis wrote down A$192 million ($128m at today’s rates), nearly the entire value of the McPhillamys project.
Warnings dismissed

Beyer accused the Minister and the Department of not adequately considering the company’s warnings about the consequences of such a broad declaration.

“Since the minister has not agreed to revoke the Section 10 declaration, we are now seeking judicial review and relief from the decision,” the company said.


Regis hopes that the Federal Court will declare the Section 10 ruling legally invalid and appoint a new decision-maker to reassess the claims.

The project had faced delays since October 2020, when the Section 10 application was submitted, despite having received all other major State and Federal approvals.

If successful in their judicial review, Regis expects the Federal Court to declare the ruling legally invalid and appoint a new decision-maker to reassess all claims.

Shares in the company fell on the announcement, closing almost 5% lower to A$2.48 each in Sydney on Thursday. That leaves Regis with a market capitalization of almost A$1.9 billion ($1.3bn).

 

Terminal Trouble: Is the EU Building Too Many Regasification Terminals?

Energos Force docking in Germany, becoming the nation's fourth FSRU (DET)

Published Nov 6, 2024 4:56 PM by Erik Kravets

 

(Article originally published in Sept/Oct 2024 edition.)

 

When was the last time you made a great decision in the middle of a panic?

In February 2022, Russia invaded Ukraine. Sanctions passed against Russia by European governments included a ban on Russian liquefied natural gas (LNG) imports. Russian pipeline gas, which had cheaply fed 40 percent of European energy demand before the invasion, stopped. The goal was to deprive Russia of foreign exchange so as to hinder its war effort against Kiev.

But this also meant that Europe suddenly found itself burning through gas reserves. With little replenishment in sight, the concern was that industry would shut down and the next winter would see citizens freezing and dealing with scheduled blackouts.

From Spain to Poland, one after another, governments built new LNG terminals. By 2030, Europe will have added 19 new LNG regasification terminals. Europe's capacity to import LNG will grow from 160 billion cubic meters (bcm) to 350 bcm.

There's just one little problem: That's more bcm of gas than all of Europe uses. Even if Europe imported 100 percent of its LNG through these terminals, they couldn't be fully used.

"FIT FOR 55"

The E.U. and its Member States have been pushing renewable green fuels, most notably in the recent "Fit for 55" package. The "55" refers to a 55 percent reduction in greenhouse gas emissions and economic decarbonization.

On its website, the E.U. presents 14 clickable infographics detailing the various fields of endeavor that will be affected by "Fit for 55," from agriculture to real estate to taxation. One infographic implicates "aviation and maritime" with ships over 5,000 gross tons required to progressively curtail their emissions by up to 80 percent by 2050 – a topic for another day.

Right now, it's difficult to judge whether legislation, as above, or a slow economy (Q3 2024 growth was only 0.7 percent across the E.U.) are why gas demand is falling. Rystad Energy estimates that, by 2030, Europe will need only 340 bcm of gas per year.

Since Europe's drive to use less gas shows no signs of abating, it stands to reason that 2030 is only the beginning of the problem. As "Fit for 55" moves along, the demand for gas, and LNG terminals, will shrink. Even if all gas imported into Europe came by sea in 2030, these many new LNG terminals would still have significant remaining unused capacity. That leaves aside the fact that LNG pipelines from North Africa, Norway and Azerbaijan will continue to supply a major portion of Europe's LNG demands.

So, is this another classic example of European governments competitively overbuilding subsidized infrastructure – or is something else going on?

Counterbalancing

As I wrote in these pages a couple of years ago, from 2012-2019 an LNG regasification terminal's typical utilization rate was less than 25 percent. By comparison, the 47.2 percent utilization rate for the first part of 2024, and the 62.8 percent utilization rate in 2023, seem like a Golden Age.

The warning from the Institute for Energy Economics and Financial Analysis (IEEFA) that "up to three-quarters of the continent's LNG import capacity" could potentially go unused by 2030 looks more like a return to the pre-2022 status quo than anything sinister.

"Since the beginning of 2023, new terminals or expansions have been shelved in Albania, Cyprus, Ireland, Latvia, Lithuania and Poland, while it is unclear whether three planned terminals in Greece will go ahead," said IEEFA analysist Jaller-Makarewicz. Why abandon these projects if they could still potentially be twice as heavily utilized as before 2022?

On second glance, though, this counterbalancing may make sense. Older LNG terminals have a different cost basis. A report by the Oxford Institute for Energy Studies found that the dollar cost of tons per annum ($/tpa) for an LNG facility had risen from around $450 in the 1980s to over $1,800 in 2014. That cost has only continued to spiral.

The Hanseatic Energy Hub LNG terminal in Stade, Germany, is going to cost 1.3 billion euros. It's likely that the newer terminals must rely on a higher anticipated utilization, allowing higher revenues and profits, which will permit servicing more debt. If these assumptions do not play out, the lender banks may end up in trouble.

Newer LNG terminals suffer from more expensive labor and materials, and they broke ground during a period of peak demand. The sheer number of new LNG terminals being built, and the relatively small number of companies capable of carrying out such complex construction projects, have bid up prices.

The other contributor to cost, namely ever-growing bureaucracy, was addressed in 2023 by German Chancellor Olaf Scholz, who promised that the new LNG terminals would be built at what he termed "Germany speed" – a descriptor that very soon became a newspaper punch line.

The good news is that with so much skin in the game, with both banks and governments footing the bill for the new LNG terminals, admitting failure is not palatable. Like other ill-fated prestige projects – viz., the perennially bankrupt German shipyards along the North and Baltic Seas – avoiding the stink of failure will be politically paramount.

And that is excellent news for LNG exporting countries, and especially for the U.S., which is planning to build 17 more LNG export facilities by 2028 and exported a record 125.8 bcm of LNG in 2023, according to trade publication LNG Industry. Europe, with its high energy prices, is a lucrative, stable market for American LNG, particularly as long as cheap gas from Russia remains marginalized.

Realignment

If both sides of the equation remain committed to the endeavor, with new terminals on either end of the Atlantic that have a financial stake in a continuing relationship, it's possible that even if Russia rejoins the society of civilized nations and even if Russian gas is once again on offer at a reasonable price, politics could override the market.

In such a scenario, Europe remains a loyal American LNG customer both for geopolitical reasons and in order to financially support European banks and their investments in LNG terminals, which will require steady streams of revenue for decades.

The other component of this realignment is the relationship between Russia and China. Russia's commitment to selling LNG to China reached an historic peak in 2024 with 40 bcm finding its way east. That is just the beginning. The new Far East LNG pipeline route being built by Gazprom will serve up 10 bcm/year by 2027 and, eventually, the planned Power of Siberia 2 pipeline will provide a further 50 bcm/year. Such steps move Russia more permanently into China's orbit and away from Europe.

The overbuilding trap

Will Russian LNG still be cheap when pipelines point to either continent?

Drewry notes that strong Asian LNG imports have been supporting LNG tanker spot prices. Russian LNG cargoes, it noted, are avoiding Europe and heading to Asia instead – a long and circuitous route. That would indicate that once the Russian pipelines are built, there will be plenty of demand for product to move through them instead.

While all may be well for the time being, owners would be wise to avoid the European overbuilding trap. In 2023 alone, owners spent $46 billion on LNG newbuilds, according to Clarkson's. The orderbook for LNG tankers stood at 331 vessels in 2023, equivalent to 51 percent of fleet capacity. Then, in early 2024, another 33 LNG tanker contracts were inked.

Shipping isn't baseball. Just because you build it doesn't mean they will come.

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

 

Trump's Win Boosts Oil Stocks, But Offshore Wind and Ocean Freight Tumble

Hapag-Lloyd's stock fell 10 percent after news of Trump's electoral victory (file image)

Published Nov 6, 2024 12:08 PM by The Maritime Executive

 

 

The decisive electoral victory of future President Donald Trump has sent energy stocks soaring, while the initial investor reaction for the rest of the industry appears mixed. Ocean carriers might face headwinds ahead, based on early trading for Maersk, Zim and Hapag-Lloyd, among others. 

Trump has promised to open the floodgates for oil and gas companies, pledging a "drill, baby, drill" orientation towards regulation. U.S. petroleum production is currently at an all-time high, and the market showed expectations that it could go even higher if producers faced fewer restrictions. At the same time, the possibility of tighter sanctions on Venezuela and Iran could reduce net global oil exports under a new Trump administration, noted analysts at Goldman Sachs. 

In early trading Wednesday, U.S. energy, drilling and tanker firms showed strong performance. Offshore drilling leader Transocean jumped nearly three percent; inland barge operator Kirby rose more than six percent; Chevron rose three percent; and Exxon was up by 1.5 percent. 

Shell, BP and Equinor - all active players in the U.S. Gulf of Mexico's oil patch - fell in early trading, including a four percent drop for Equinor. The global Brent benchmark oil price remained stable. 

Trump has also promised to radically increase tariffs on imported goods, particularly from China. If carried out, that campaign pledge could hamper containerized freight volumes, especially on transpacific trade lanes. Publicly-listed container carriers' stocks fell in early trading, led by Maersk (down eight percent), NYK (nine percent) and Hapag-Lloyd (10 percent).

The president-elect has pledged to end the U.S. offshore wind industry by executive order "on day one," and investors in the sector have responded to the changing regulatory environment. Market leader Orsted shed 15 percent of its value on Wednesday, followed by turbine builder Vestas, which dropped 13 percent. Siemens Energy, owner of turbine manufacturer Siemens Gamesa, fell by two percent.  

American Retailers: Tariff Hikes Would Raise Prices, Reduce Import Volume

File image courtesy Port of Los Angeles

Published Nov 6, 2024 9:42 PM by The Maritime Executive

 

The tariffs that President-elect Donald Trump has proposed to enact on imports could raise retail costs on basics like apparel and furniture by up to $78 billion a year, enough to prompt some U.S. consumers to stop buying as much as they do today, according to the National Retail Federation.

Current effective tariff rates on everyday items run in the range of 0-17 percent. Trump has proposed to increase these rates by 10-20 percent - plus at least 60 percent more for all goods from China, America's number-three trading partner after Canada and Mexico. Average tariff rates in this range have not been seen in the U.S. since the 1800s, and would have a substantial effect on trade flows. 

Importers pay tariffs (also known as duties, in trade parlance) to U.S. Customs and Border Protection during the customs process. Some or all of this additional cost is typically passed on to the consumer in the form of higher retail prices, and the NRF estimates that this will raise expenses for the average American household by about $7,000 per year. Some consumers will be able to accept this cost and will pay it, either by purchasing imported goods at higher prices or by buying domestically-made substitutes. Others will not be able to afford the increase and will buy less, NRF suggested, reducing retail demand. 

The NRF commissioned a study to examine the effects of tariffs on six common categories of imported products: apparel, footwear, furniture, household appliances, toys and travel goods. Assuming that some amount of import sourcing shifts out of China to other nations - for example, Vietnam - then average tariff rates for these categories would run between 33-98 percent, with toys being affected most. About $46-78 billion a year in extra costs would be passed on to the customer for these goods alone, according to NRF. 

"Consumers would pay $13.9-24 billion more for apparel, $8.8-14.2 billion more for toys, $8.5-13.1 billion more for furniture, $6.4-$10.9 billion more for household appliances, $6.4-10.7 billion more for footwear, and $2.2-3.9 billion more for travel goods. Cost increases come at the expense of purchases of other goods and services and represent lost household spending power," NRF concluded. 

Reduced retail spending would mean less cargo across the pier, and shipping investors responded accordingly: on Monday, publicly-listed container carriers' stocks fell sharply, led by Maersk (down eight percent), NYK (nine percent) and Hapag-Lloyd (10 percent). 

Share prices for major retailers were also down, reflecting expectations of lower sales volumes. Walmart dipped slightly, Target fell by 2.5 percent, and Best Buy fell by nearly four percent. Shares in leading apparel retailers were also down slightly. 

In a statement, the American Association of Port Authorities - whose members will be affected by any changes in trade volume - said that it was looking forward to working with the next administration. 

"America’s ports wish to congratulate the newly elected Trump – Vance Presidential Administration," said Cary S. Davis, AAPA President and CEO. "AAPA looks forward to working closely with our Federal Government partners to get shovels in the ground faster, continue rebuilding our critical infrastructure, and strengthen the resiliency of our nation’s ports over the next four years."

Over the next few months, freight volumes and rates may spike as retailers rush to get ahead of any changes in tariff policy, according to consultancy Xeneta. The presidential inauguration will occur on January 20, and the new administration may take time to enact its trade plans, so retailers may take advantage of a narrow window in which to stock up early, Xeneta predicted. During the last Trump administration, in 2018, freight rates jumped by 70 percent before the implementation of a tariff hike on Chinese goods. 

"The knee-jerk reaction from US shippers will be to frontload imports before Trump is able to impose his new tariffs. Back in 2018, the tariff on Chinese imports was 25%, now it is increasing up to 100% so the incentive to frontload is even greater. If you have warehouse space and the goods to ship, frontloading imports is the simplest way to manage this risk in the short term," said Xeneta chief analyst Peter Sand. 

Video: Salvaged Car Carrier Fremantle Highway Get Piggy Back Lift to China

Floor being loaded on the heavy transport in Rotterdam (Friday & Co.)

Published Nov 8, 2024 4:46 PM by The Maritime Executive

In one of the more unique operations and a creative demonstration of the circular economy, the hulk of the fire-damaged car carrier Fremantle Highway is off to China to be rebuilt into a new vessel. It is one of the first times that such a heavily fire-damaged vessel is being repurposed emphasizing the need for additional capacity in the car carrier segment.

The ship brokerage firm Friday & Company based in the Netherlands is calling attention to the unique deal and its role in arranging for the transport of the vessel. They highlighted brokering a major charter deal between heavily lift shipping specialist Boskalis and the Chinese buyer of the vessels as well as clearing all the red tape to make the transfer possible for the vessel now named Floor.

Friday & Co detailed the operation to the publication Heavy Lift reporting it provided representation for its client during pre-loading preparations, and a marine warranty surveyor was engaged to address safety requirements and structural adaptations post-fire. The modifications to Floor’s structure following steel cuts altered its bending and twisting characteristics added complexity to the load-out process.

A fire broke out on the Fremantle Highway (18,549 dwt) on July 25, 2023, shortly after the vessel left Germany loaded with approximately 3,800 vehicles including up to 55 electric vehicles. One crewmember died in a poorly organized evacuation of the vessel, but the others made it to safety in the Netherlands. The fire burned for a week before the vessel was brought to Eemshaven and later to Rotterdam for the salvage operation.

 

 

Insurers declared the vessel a Total Constructive Loss but it was acquired by Netherlands-based Koole Contractors for a nominal sum. A survey confirmed the machinery was intact with the fire only having heavily damaged the upper decks. The vessel spent 10 months in a Rotterdam yard having the fire-damaged sections of its structure stripped away.

The plan to tow the hulk to China was delayed by EU export rules and questions if the ship was subject to the rules of the European Waste Shipment Regulation (EVOA). After a court battle, an export license was issued.

The Boskalis semi-submersible heavy transport vessel Boka Vanguard (116,175 dwt) was hired to transport the vessel to China. The loading took place early in October in Rotterdam where they lowered the Boka Vanguard to a depth of 24 meters (nearly 79 feet). Tugs positioned the Floor on the lift vessel which was built in 2012 for these unique transport assignments. Custom-built supports were required to secure the Floor for the 55-day journey to China.

The ships departed Rotterdam on October 20 and the Boka Vanguard is currently sailing south along the west coast of Africa. It is expected to make a stop in Singapore before completing the delivery to China. According to the reports, Floor will be re-born as a new car carrier reentering the market in 2025.

 

Cybersecurity: Ghosts in the Machine

CyberOwl/HFW Report: Maritime industry pays an average ransom of $3 million in cyberattacks.

Published Nov 8, 2024 4:03 PM by Sean M. Holt

 

(Article originally published in Sept/Oct 2024 edition.)

"The supreme art of war is to subdue the enemy without fighting."
– Sun Tzu, The Art of War
 

In the dead of night, a fully laden LNG tanker quietly navigates the narrow channel of a strategic U.S. port. Suddenly, the ship's GPS blinks and alarms, showing the vessel miles off course. The crew has no idea their instruments have fallen prey to a sophisticated spoofing attack—where false GPS signals are broadcast to deceive a ship's navigation system into believing it's in a different location. 

Without their knowledge, the tanker was silently steered off track, headed toward critical infrastructure.

Hours earlier, a shoreside vendor had completed what appeared to be routine maintenance, leaving behind a smartphone in the engine control room—a harmless oversight, or so it seemed. Unbeknownst to the crew, that phone was a Trojan horse, silently infiltrating the ship's systems despite the air gap designed to safeguard critical functions. 

As the crew struggled to regain control, the malware awoke, crippling the ship's electrical network, communications and emergency uninterrupted battery supply. The vessel, making way while not under command, drifted helplessly toward catastrophe. 

Do you think this is fiction? Hardly.

GPS Spoofing

In the dark waters off Crimea, the battleground has undeniably gone digital, truly evoking the "ghosts in the machine" scenario. This battleground embodies fifth- and sixth-generation warfare where cyber operations, electronic warfare and disinformation blur the lines between physical and virtual combat. 

AIS (Automatic Identification System) broadcasts vessels' positions via GPS inputs, but GPS spoofing manipulates this data, creating navigational confusion. Jamming, on the other hand, blocks signals altogether, leaving vessels without critical navigation and communication capabilities. These tactics could lead to catastrophic accidents in high-traffic areas like the Black Sea. In one incident, spoofed signals traced a "Z" across the sea near Crimea. It was unclear if it was the symbol for Russia's war efforts or the mark of Zorro, but it was disruptive.

In May 2023, a mass spoofing event off Crimea caused ships to appear far from their true locations. The Center for Advanced Defense Studies documented over 10,000 spoofing incidents between 2017 and 2019, demonstrating a correlation between Putin's movements and GPS spoofing incidents near Crimea. Such tactics are deployed to shield high-value targets from GPS-guided weapons, complicating the use of drones, missiles and other advanced precision systems.

In June and July 2021, NATO warships like the HMS Defender and USS Ross were spoofed near Crimea, underscoring Russia's use of electronic warfare to disrupt maritime operations and global shipping lanes. 

Just days before this article was published, the Ukrainian Navy launched an operation to combat Russian GPS spoofing, destroying an idle gas platform off Crimea. Russian forces were purportedly using the platform to broadcast GPS interference, which Ukraine claimed threatened civilian navigation. "The occupiers used this location for GPS spoofing to endanger civilian navigation. We cannot allow this," said Ukrainian Navy spokesman Dmytro Pletenchuk. 

The attack came just hours after Russian personnel and equipment were spotted on the platform.

On October 1, the Panama-flagged oil tanker M/V Cordelia Moon survived a major explosion. The attack, claimed by Yemen's Houthi rebels, involved eight ballistic and winged missiles, a drone and an uncrewed surface boat (videos of both attacks are online). A missile northwest of Hodeidah also hit a Liberia-flagged bulker. 

These incidents, along with the Ukrainian strike on a Russian GPS spoofing platform, underscore how low-tech, unmanned vessels, along with electronic warfare like GPS spoofing and jamming, pose severe risks to maritime safety.

As maritime systems become increasingly digital and interconnected, cyber warfare is no longer confined to the pages of a novel. It's an urgent, evolving threat lurking in the waters of global trade. 

CyberOwl & DNV: Securing Maritime Networks

The maritime sector faces increasing cybersecurity risks, driven mainly by the complexity of vessel lifecycles and supply chains. Daniel Ng, CEO of Singapore-based CyberOwl, explains that many shipping companies still treat cyber risk management as a one-off compliance task. 

"For cyber risk management to be effective, it needs to be continuous," says Ng. “This is where our partnership with DNV brings real value. By combining our expertise, we can address cyber risks throughout the vessel lifecycle."

This collaboration brings together over 70 maritime cybersecurity specialists in five global hubs from Oslo to Singapore, backed by a network of 500 cybersecurity experts and 7,000 maritime risk professionals. "This allows us to cover everything—from the design stage to vessel operations to incident response," notes Ng.

He points out that a significant challenge is the difference between operational technology (OT), which controls shipboard machinery, and information technology (IT), which handles data: "Legacy OT systems often aren't as secure as newer technologies. We align with standards like UR E26 for new systems but take a more practical approach to legacy systems. CyberOwl's technologies provide visibility into OT risks so shipowners can focus on real threats rather than theoretical ones."

Looking ahead, Ng sees the partnership driving innovation in maritime cybersecurity. He highlights CyberOwl's OT Security Manager as a key tool: "It ingests and interprets Excel documents, PDF reports and system drawings, helping shipowners assess risks without needing to deploy tech onboard." 

This approach supports compliance with the E.U.'s Network and Information Systems (NIS) Directive, aimed at protecting critical infrastructure. "Ultimately," says Ng, "we want to give shipowners peace of mind as they adopt digital technologies to boost performance and reduce emissions."

Information Fusion Centre: CYBSEC Threats & Trends

Based in Singapore, the Information Fusion Centre (IFC) serves as a critical hub for maritime security (MARSEC) monitoring and information-sharing across the Indo-Pacific. Under the Republic of Singapore Navy, the IFC collaborates with international liaison officers from over 25 countries to tackle maritime threats including piracy, smuggling and cybersecurity (CYBSEC).

The IFC emphasizes the increasing cyber risks to vessels' OT systems and the importance of continuous monitoring and rapid response. Its information-sharing capabilities have been instrumental in preventing cyber incidents from escalating into significant disruptions. 

"We've seen growing interest from shipping companies in involving us in their security drills, where we bring a naval perspective and real-time information-sharing," an IFC spokesperson noted.

Despite a 77 percent reduction in CYBSEC incidents in 2024—down to three from 13 the previous year—the IFC warns this may reflect a lack of reporting, not a decline in threats. Recent malware attacks on cargo vessels in Europe underscore the persistent cyber risks in high-threat areas.

The IFC provides regular updates on cybersecurity trends via its social media channels and advisories. Shipowners are encouraged to subscribe to these reports or engage the IFC in security exercises to boost their readiness against cyber threats. 

Tackling Cyber Espionage and Signal Jamming

Sahil Andrews Chand, Founder & CEO of ShipSafe, warns that signal jamming—disrupting communication and navigation—poses significant risks during critical operations like docking. 

"Jamming can lead to disorientation and even collisions in congested waters where precision is crucial," Chand explains. He also highlights the broader threat of cyber espionage, where attackers gather intelligence on shipping routes and cargo, creating severe security implications.

Chand addresses a common misconception in the maritime industry—the assumption that existing navigation systems are inherently secure. "This complacency can lead to dangerous vulnerabilities,” he notes. 

Many systems, primarily operational technology, can be exploited if not properly secured. Chand advocates for a structured cybersecurity approach, prioritizing critical communications such as navigation and safety, which must be safeguarded with dedicated bandwidth and strong security measures.

Chand also stresses the importance of network segmentation to isolate OT systems from administrative IT systems, limiting the impact of any potential breaches. He further emphasizes adopting robust firewalls and intrusion-detection systems to block unauthorized access.

"Limiting remote access is key," Chand continues, recommending multifactor authentication and strong passwords. However, technology alone isn't enough. "Continuous crew cybersecurity training is critical to ensure preparedness against evolving threats," he advises. Chand underscores the importance of collaboration with port authorities to share information about cyber incidents and threats.

Finally, he highlights the need to balance innovation with security, urging companies to evaluate new technologies like AI, machine learning, and blockchain through a cybersecurity lens to prevent new vulnerabilities from emerging.

Staying the Course

As cyber and electronic warfare tactics like GPS spoofing and jamming increasingly impact military and civilian vessels, experts agree that the industry must bolster defenses. Heightened vigilance, coupled with substantial investment in advanced technologies and crew training, is crucial. 

These measures are essential to safeguarding maritime operations against the evolving landscape of cyber warfare. – MarEx 

Technology columnist Sean Holt writes from Singapore.
 

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

 

Partnership in Mobile Presents Option for Dismantling USS Enterprise

Enterprise underway in 2004 (USN photo)

Published Nov 8, 2024 5:31 PM by The Maritime Executive

 

 

A proposal was put forth for the upcoming dismantling of the famed U.S. Navy aircraft carrier USS Enterprise, the first nuclear-powered carrier in the world. Modern American Recycling Services (MARS) through its radiological services division partnered with NorthStar Maritime Dismantlement Services announced they have partnered to present an option to the U.S. Navy which is scheduled to award the contract in 2025.

The famed carrier built by the Newport News Shipbuilding was christened on September 24, 1960, and put to sea in 1961. It sailed more than one million nautical miles on nuclear power over its 50-plus-year career earning the nickname Big E. She participated in critical missions including the blockade of Cuba during the 1962 Missile Crisis, a circumnavigation of the globe without refueling, participation in the early space program tracking John Glenn’s orbit in the Friendship 7 capsule, deployment during the Vietnam War and continuing to more recent roles in the Mediterranean and Persian Gulf before being decommissioned in 2017.

While the nuclear fuel was removed from the carrier in 2017, the U.S. Navy spent years studying the best method of disposing of the vessel and anticipating a process for other carriers due to follow in the coming years. Surveys however confirmed that there are still "legacy radiological and hazardous wastes" on board.

The U.S. Navy announced in September 2023 that it had selected a commercial disposal option where the radioactive and contaminated materials will be removed, dismantled into hundreds of pieces, and shipped to storage facilities while the bulk of the vessel will be dismantled by the commercial yard. The NRC will provide additional oversight of the successful contractor's compliance with NRC standards for radiological work. 

Three locations were identified for the work: Newport News, Virginia; Brownsville, Texas; and Mobile, Alabama. Of the three, Brownsville is the only port with a ship-recycling specialist experienced in disposing of U.S. Navy aircraft carriers.

NorthStar and MARS report they have formed a team to dismantle and dispose of decommissioned United States Navy nuclear aircraft carriers at the Port of Mobile, Alabama, starting with the Enterprise. They put forth that their partnership matches NorthStar's extensive experience decommissioning U.S. Nuclear Regulatory Commission (NRC)-regulated facilities with the MARS' ship recycling and decommissioning specialists. They would use the MARS deepwater facility in Mobile.

NorthStar highlights its nuclear decommissioning approaches under NRC supervision with its ongoing work at the former Vermont Yankee Nuclear Power Station in Vernon, Vermont. NorthStar is also currently leading decommissioning work at Duke Energy's Crystal River 3 nuclear complex, in Citrus County Florida, and the GE Vallecitos Nuclear Center in Vallecitos, California, having previously completed several safe decommissionings of Department of Energy and university research reactors.

"Working with MARS, the most experienced maritime recycler in the U.S., competitively positions NorthStar for the opportunity to dismantle the ex-Enterprise," said Scott E. State, P.E., CEO of NorthStar. "We look forward to applying our well-honed commercial industry practices to this first-of-a-kind project and look forward to a long relationship with MARS and the Mobile community."

MARS highlights that it has undertaken challenges in vessel salvage and recycling. MARS was a lead participant in the 2020-2021 effort to salvage and recycle the 660-foot, 34,000-ton car carrier Golden Ray following its capsizing. It was one of the largest such salvage operations in U.S. maritime history. MARS is also in the process of dismantling and recycling the 1,280-foot, 51,000-ton Floating Production Storage and Offloading vessel Fluminense under a contract with Shell Brasil.  

In their proposal for the Enterprise, the companies report all removal of other radioactive and hazardous materials would be conducted in fully enclosed areas to eliminate any possible contact with the public or the environment. Comprehensive safety protocols and advanced recycling techniques will be employed for the responsible management and off-site disposal of all materials.

The dismantling of the ex-Enterprise is scheduled to begin following the contract award in 2025. It is expected to take several years to complete.

 

Overboard Crewmember Rescued After 24 Hours in the Water off Australia

Two volunteer rescue boats and two police boats were searching for the missing crewmember (Marine Rescue NSW)

Published Nov 8, 2024 10:54 AM by The Maritime Executive

 

In what is being called nothing less than miraculous, a seafarer who went overboard from a bulker off the Australian coast spent 24 hours in the water before being rescued. The unnamed individual reportedly was able to swim close to shore where he was rescued by a recreational fisherman.

The bulker Double Delight (95,522 dwt) registered in Singapore raised the alarm early on Thursday while it was about five miles southeast of Newcastle. The vessel which is operated by Japan’s Sugahara Kisen was inbound after a voyage that started in Japan on October 19.

The crewmember failed to report for duty and the crew began a search of the vessel. They determined the last time the individual was seen was around 11:30 pm Thursday. Assuming the missing crewmember was overboard, they reported the situation to the Newcastle Harbourmaster who in turn notified the police and the Australian Maritime Safety Authority. 

 

 

A search was launched with two boats dispatched from the volunteer Marine Rescue NSW. They were coordinating with two Water Police boats and implemented a search pattern under the direction of the NSW Police Marine Area Command. They were assisted by a helicopter search team.

A recreational fisherman who is also a doctor was inbound Friday evening when he found a person in the water around 6:30 p.m. The seafarer had swum and was close to shore off a beach south of Newcastle. He was floating in the water. Paramedics were dispatched to the beach and the person was been taken to a hospital suffering from hypothermia.

The bulker was docked in Newcastle as of Friday night with the rescue teams having ended the search. 

 

Video: Cruise Ship Hits Strong Winds and Turns Around Due to Hurt Passenger

Explorer of the Seas encountered strong winds crossing the Atlantic (RCI)

Published Nov 8, 2024 6:34 PM by The Maritime Executive

 

The Explorer of the Seas, one of the large cruise ships operated by Royal Caribbean International, encountered a sudden gust of near hurricane-force winds sending the massive cruise ship into several exaggerated rolls. Videos and pictures being posted online show passengers sliding about and in the aftermath plates, glass, bottles at the bar, gift shop merchandise, and more all scattered about. 

In the immediate aftermath of the severe weather the ship was put into a safety protocol according to reports with all passengers asked to return to their cabins. The crew worked to account for everyone and determine the extent of injuries. Several crewmembers and passengers reported sustained injuries. One passenger is requiring more extensive medical care. 

The cruise ship which is 137,308 gross tons and 1,20 feet in length had reportedly been experiencing adverse weather during its Atlantic crossing from Spain to Florida. Double occupancy on the ship is approximately 3,300 passengers with a maximum of 4,290 passengers plus 1,185 crew. 

 

 

According to posting online, the ship had already altered its itinerary sailing to Tenerife instead of the Azores due to inclement weather at its scheduled port.  The ship had departed Tenerife westbound and was reported to be 750 miles off the coast of Morocco when around 7:00 p.m. it encountered a burst of severe weather. Passengers are reporting the wind speeds anywhere between 55 and 75 mph.

The Explore of the Seas has turned around and is returning to Las Palmas, Spain for a medical disembarkation according to a Royal Caribbean International spokesperson. One passenger is said to require additional medical attention for the injuries suffered during the roll. The ship is reporting that it will also load fuel and additional supplies before resuming its crossing. Passengers are saying online that they have been told the ship will be three days late reaching Miami on November 17 instead of the scheduled November 14 arrival.

 

 

Photos of the debris scattered about the ship after the roll (Jonathan Parrish on Facebook)

 

Passengers are being very complimentary of Captain Frank who they said responded quickly to the situation. The crew checked on all passengers and reportedly spent the night cleaning the cruise ship and getting it back in order.

The major cruise lines maintain operational centers that are in constant contact with the ships and advise on weather and other issues. Cruise ships typically change course when possible to avoid weather but sometimes find themselves caught in unpredictable situations.

 

 

Portuguese Monitoring VLCC Drifting Offshore While Undergoing Repairs

Portuguese authorities are monitoring a VLCC that lost propulsion offshore a week ago an continues to drift while undergoing repairs (file photo)

Published Nov 5, 2024 4:30 PM by The Maritime Executive

 

Portuguese authorities are closely monitoring the status of a laden Greek-owned VLCC that lost propulsion a week ago and continues to undergo repairs while drifting offshore. The Navy along with the National Maritime Authority (NMA) report they are observing while issuing statements to reassure the public that there is no immediate danger from the disabled vessel.

The Lisbon Maritime Search and Rescue Coordination Center (MRCC Lisboa) reports it was notified on October 29 that the Greek-owned crude oil tanker Nissos Rhenina had lost propulsion and was disabled off the coast near Viana do Castelo in northern Portugal. They report the vessel is carrying 150,000 liters of diesel fuel. 

Built in 2019 by Hyundai Heavy Industries the tanker is 1,092 feet (333 meters) in length. The ship which has a crew of 28 aboard was the final leg of a trip from Saudi Arabia due to reach Le Havre, France on October 31. It is managed by Piraeus-based Kyklades Maritime and owned by the Alafouzos family of Greece and their Okeanis Eco Tankers.

The Portuguese Navy responded by sending its patrol boat Antonio Enes to the vessel which was reported to be 24 nautical miles from the coast. They established contact with the tanker and began monitoring its position as well as warning vessels in the area of the danger. 

A team of technicians boarded the tanker and on October 30 a towline was established to maintain its position at a safe distance from shore. Repairs are underway, but the Portuguese authorities have been advised the ship is not likely to be back under control and underway until late this week.

Onshore, the mayor of Viana do Castelo Luis Nobre is expressing confidence in NMA’s management of the situation. He told reporters that he had been assured there was no immediate danger to the coast. However, he said they were taking the necessary precautions and remained on alert for any eventualities because it is a complex situation.

The tanker continues to show restricted maneuverability. The anchor handler Boka Forward, managed by ALP and registered in Malta, is standing by to prevent the vessel from approaching the coast while repairs remain underway.