It’s possible that I shall make an ass of myself. But in that case one can always get out of it with a little dialectic. I have, of course, so worded my proposition as to be right either way (K.Marx, Letter to F.Engels on the Indian Mutiny)
Thursday, January 09, 2025
M23 CRIMINAL CAPITALI$M
Congo rebels muddy minerals market with illegal Rwanda exports, says UN report
Reuters | January 8, 2025 | The Luwowo coltan mine near Rubaya, DRC. Credit: Wikipedia
Rebels in eastern Democratic Republic of Congo fraudulently exported at least 150 metric tons of coltan to Rwanda last year, leading to the largest contamination of the Great Lakes Region’s mineral supply chain on record, UN experts said in a report.
The flows started after the M23 movement, a Tutsi-led organization purportedly backed by Rwanda, seized the Rubaya area, which produces minerals used in smartphones and computers, following intense fighting in April.
M23’s control of transport routes from Rubaya to Rwanda led to Rubaya minerals mixing in with Rwandan production, the UN Security Council’s Group of Experts said in the report, published on Wednesday.
“This constitutes the most important contamination of supply chains with ineligible … minerals recorded in the Great Lakes region over the last decade,” the report said, referring to a vast area that includes north-east Congo, Rwanda, and other countries east of Congo.
Rwanda and M23 did not immediately respond to a request for comment.
The situation complicates procurement for technology manufacturers, who are under scrutiny to ensure that metals used in their products are not sourced from conflict zones like eastern Congo.
The report said the rebels established a so-called mining ministry in the occupied territory and ensured a monopoly for the export of coltan to Rwanda from Rubaya, which has one of the world’s largest deposits of the strategic mineral.
In this way, the militants collected at least $800,000 per month in taxes on coltan production and trade in Rubaya, it said.
On the ground, the rebels doubled the wages of diggers to convince them to keep working in Rubaya and oversaw forced labour to widen roads to accommodate truck transport. They also patrolled the town and its mining sites to make sure minerals were only sold to authorized Congolese and Rwandan traders, it said.
In December, Congo filed criminal complaints against Apple subsidiaries in France and Belgium, accusing the tech firm of using conflict minerals in its supply chain. Apple disputes the allegations and says it has told its suppliers they must not use the minerals in question sourced from Congo or Rwanda.
(By Sonia Rolley and Alessandra Prentice; Editing by Alexandra Hudson)
HD Hyundai Targets $18B in Orders as Korea Raises Industry Support
HD Hyundai is targeting $18.12 billion in orders while it expects to deliver 139 newbuilds in 2025 (HD Hyundai file photo)
HD Hyundai, South Korea’s largest shipbuilder, announced its order target for 2025 increasing it over last year but forecasting slowed industry growth. Recognizing the strong competition, Korea’s Export-Import Bank also said it would be increasing its financing capacity in 2025 for the shipbuilding industry.
The South Korean industry continues to face fierce competition said the president of the Korea Export-Import Bank Yoon-Hee-seong. The bank he reported will be increasing its financing capacity in 2025 by approximately 10 percent to support the shipbuilding industry. According to the reports, the bank will make approximately $8.2 billion in financing available for the export of ships, an increase of $683 million versus 2024.
The bank cited data from Clarkson and others reporting that overall shipbuilding orders are expected to fall by nearly 30 percent in 2025. They projected orders of 42 million compensated gross tons down from 59 million CGT in 2024.
Hyundai said its focus will remain on higher-value vessels and environmental applications such as ammonia dual-fuel as well as new technologies. The company reported in a stock exchange filing that its target for 2025 is $18.12 billion in orders. They are raising the target by 34 percent compared to its target for 2024. However, the company exceeded its 2024 target booking orders valued at $20.56 billion. As such, the target for 2025 is 12 percent lower than the actual results in 2024.
The shipyard highlights that its near-term building slots are committed with years’ worth of backlog. The order targets are divided with $9.75 billion at the largest yard HD Hyundai Heavy Industries, $4.5 billion at the Samho yard, and $3.8 billion at the Mipo yard.
The group started 2025 strong delivering its first vessel, a 174,000 cbm LNG to an Asian shipping company. They highlighted the vessel was ordered in 2022 when the company set a record with 44 orders for LNG carriers. Today, January 6, the group also celebrated the naming of two ammonia dual-fuel vessels at its Mipo yard in Ulsan. The vessels were ordered by Exmar. They also reported that the Mipo yard is scheduled to deliver a 16,000 TEU containership and a 2,800 TEU vessel tomorrow, January 7.
The outlook for 2025 includes deliveries across the major categories of ships. Scheduled completions include 26 LNG carriers, 14 LPG carriers, two ethane carriers, and one liquid CO2 carrier. They expect to complete a total of 40 containerships and 50 crude oil and product tankers.
South Korea’s strategy for combating the increasing competition from Chinese shipbuilders has been to focus on high-value and more complex ships. While China continues to make inroads into the LNG carrier segment, South Korea is pursuing eco-friendly technologies and vessel automation to maintain its position in the shipbuilding market.
Shell Reaps Rewards of "Design-One, Build-Many" With Whale Platform
Shell has brought its Whale offshore production facility in the U.S. Gulf of Mexico online, the supermajor announced Thursday. The floating platform is located about 200 miles off Houston in about 8,600 feet of water, and will addan estimated 100,000 bpd of peak production to Shell's portfolio.
"Whale demonstrates our focus on driving more value with less emissions from our upstream business as we deliver the energy people need today," said Shell gas and upstream director Zoe Yujnovich. "It will make a significant contribution to our commitment to bring projects online, with a total peak production of more than 500,000 barrels of oil equivalent per day from 2023 through 2025."
To keep down cost, Whale reused about 99 percent of the hull design and 80 percent of the topside design from Shell's Vito platform. Shell also invested in more efficient gas turbines and compression systems to bring down greenhouse gas intensity by about 30 percent compared to Vito - tracking with Shell's intention to keep its GHG intensity among the lowest in the world. Shell holds a 60 percent operating share for Whale, and Chevron holds the balance.
Whale's development was rapid by offshore standards. The field was discovered in 2017 and achieved first oil just 7.5 years later, thanks in part to Shell's decision to reuse many design elements from Vito. It would have been even faster if not for the pandemic: Shell paused its final investment decision on Whale for a year as part of a cash-preservation strategy during the COVID era.
Shell is taking the same standardization approach with its Sparta platform, under construction at Seatrium. Sparta will be Shell's 15th deepwater platform in the Gulf, and should come online in 2028. Sparta will be the first in the series will all-electric topside compression equipment, enhancing efficiency, and will be Shell's first Gulf development in reservoirs over the 20,000-PSI pressure mark. The basic hull and topside arrangement - and importantly, the team - will remain the same.
“With Sparta, we’re not just repeating the design with Whale, but also relationships with many of the key vendors, fabricators and suppliers,” Shell Project Manager Oro Awaritefe told Offshore Magazine last year. “This helps bring certainty in the design.”
Australian Border Force Captures 12 Illegal Fishing Boats in a Month
The Australian Border Force is pushing back hard on illegal fishing off the country's northern coast, where Indonesian fishermen often trespass to harvest protected species. In the last 30 days alone, ABF officers have seized a dozen vessels and six tonnes of illegally-caught seafood, the agency said Thursday.
In December, the agency launched a new operation to intercept foreign fishing vessels off the Northern Territories, a long and empty stretch of coastal waters with little local traffic. The new push has been bearing fruit: 12 vessels have been interdicted, including two that were destroyed at sea.
On Saturday, in the latest intercept, ABF officers boarded a suspect vessel off the remote Cobourg Peninsula, a national park at the northern tip of the NT. There were seven crewmembers aboard the boat, along with two tonnes of sea cucumber and fishing equipment. After consulting with the Australian Fisheries Management Authority, the agents returned the catch over the side and released the suspects, directing them to exit Australian waters.
"With well in excess of 10,000km of NT coastline to protect – vast amounts of which is situated in very remote areas – we are not naive enough to suggest that we can be everywhere at any one time, which is why members of the public are important as extra eyes and ears," Acting Commander Tracie Griffin said. "Everyone can do their part by simply keeping a watchful eye and reporting anything out of the ordinary."
Local First Nations have reported an increasing number of Indonesian fishermen and maritime migrants along the remote coast of the Northern Territories, including some unprepared arrivals who have had to be rescued. In October, a group of up to 30 unauthorized migrants from four boats were reported - igniting a minor political furor in Australia, where maritime migration is rigorously discouraged.
"These illegal fishermen have been stealing from our Sea Country and encroaching on our land for a long time now and they have recently stepped up the pace," Northern Land Council chair Matthew Ryan told The Guardian last year. "Now we know for sure that they’re people smuggling as well, which takes it to a whole new level."
BOMB SHIP
Ivory Coast Holds Ammonium Nitrate Cargo Offshore as Concerns Continues
Port of Abidjan is holding the cargo ship laden with ammonium nitrate offshore (Port of Abidjan file photo)
The Port of Abidjan in the Ivory Coast (Côte d'Ivoire) has decided to hold the cargo ship laden with ammonium nitrate offshore while it reviews safety concerns raised in the community and the local media. It is a continuation of the drama that began in September with bulker Ruby and now with the cargo transferred to the Barbados-flagged cargo ship Zimrida (37,296 dwt).
Concerns were reported in the Ivory Coast that the cargo aboard the vessel might have become contaminated and possibly unstable. The vessel took board nearly all the 20,000 tonnes of ammonium nitrate fertilizer that was first shipped from Russia last summer. The first ship, Ruby (37,000 dwt) was damaged in an Arctic storm and sought refuge in Norway. It was denied multiple ports before finally being permitted to offload its cargo in Great Yarmouth in the UK.
Serenity Ship Management based in the UAE which manages Ruby arranged for the cargo to be transferred to another vessel it manages, Zimrida, as part of the agreement. However, it came out in the British press that some of the cargo had been contaminated with fuel oil. That portion was reportedly dumped by the Ruby into the North Sea. However, concerns are being raised in Abidjan that the cargo aboard the Zimrida might also be contaminated.
Port officials in a statement on January 4 said they had decided to hold the vessel offshore while they were meeting on Monday, January 6, with the buyer of the cargo, the carrier, and customs officials.
Zimrida had arrived off Ivory Coast on December 30 and had been scheduled to dock this afternoon local time, January 6, in Abidjan. According to the statement, the plan was to offload 3,000 tons of the fertilizer which is in bags. There was no information on where the remainder of the cargo would be going.
The port highlights that ammonium nitrate is a regular fertilizer and that all cargoes landed are subject to strict safety protocols. They said the port of Abidjan handled 20,000 tons of traffic in 2023 and 38,000 tons in 2024.
“This is the place to reassure the Ivorian populations that all goods, entering or disembarking in Ivorian ports, are subject to diligent control by the competent State services, which constantly monitor the health and safety of the populations,” the port authority wrote in its statement.
As of late Monday afternoon, local time, the Zimrida continues to wait offshore according to its AIS signal.
Construction Underway for Luxury, Low-Emission Arctic Cruise Ship
Captain Arctic aims to reduce emissions by 90 percent using sails and solar power (Selar)
Work is underway to build what is being billed as the most sustainable cruise ship. Known as Captain Arctic, it is designed to present a new level of luxury expedition in the Arctic.
Goltens highlighted the keel laying and its role in the development of the new ship. The ceremony took place on November 22 marking the start of the construction of the 70-meter (230-foot) hull which Goltens notes is also a first for the UAE.
The concept for the ship was developed by Sophie Galvagnon who has worked for nearly 20 years in the commercial shipping industry. She notes for a decade she has led expeditions into the Arctic but the trips have become “disconnected from the traditional ways.” Expedition cruising started with a focus on the destination but in recent years the cruise industry has focused on luxury amenities aboard the ships and add-ons such as submarines and helicopters.
Galvagnon reports she and the team spent the past two years designing the innovative ship, convincing the market of the opportunity, and funding the project. They launched a French company, Selar, which they believe will present a new approach to sustainable tourism.
The Captain Arctic represents the company says a new vision in luxury cruise expeditions. The vessel has accommodations for just 36 passengers and will carry a crew of 24. There will be no set itineraries and schedules but instead, it will be a unique adventure offering chances to encounter polar bears, navigate through ice, and kayak among grounding icebergs.
The ship will be powered by five 35-meter-high (115-foot) retractable solar sails. Built to endure the harshest weather, they will be made of aluminum and fitted with 2,000 square meters of solar panels. The ship will have shaft generators and batteries to store power. The heating onboard will be from a pellet boiler that uses recycled wooden waste pellets. The ship will have an engine, using biofuel made from vegetable oil, but seeks to operate almost exclusively on the sails and solar power.
“Beyond tourism, our first ship will support science through zero emission logistics and remove over five tons of plastic annually,” Galvagnon writes on social media. She says the ship will produce 90 percent less emissions.
The project is a partnership between Goltens and Chantier Naval de l'Ocean Indien (CNOI), based in Port Louis, Mauritius. Bureau Veritas is the class society for the vessel. Selar on its website shows the first trip in November 2026 with the Captain Arctic sailing from Troms?, Norway.
RIP
Experienced Fisherman Dies of Hypothermia in English Channel Rescue
Eastbourne RNLI lifeboat responds to the distress call from the Jerki (Eastbourne RNLI)
Last weekend, an experienced fisherman went over the side of a commercial trawler in the English Channel and died of hypothermia, according to local media.
Glenn Vandewalle, 50, was a lifelong fisherman and a crewmember aboard the beam trawler Jerki Z-45. On Saturday, the vessel was operating about 12 nautical miles off Eastbourne, England in rough weather when Vandewalle fell over the side.
His crewmates initiated a rescue and called the UK Coastguard for help. The Royal National Lifeboat Institution (RNLI) station in Eastborne received the call just before midnight and quickly dispatched their volunteer-crewed response boat, the Esme Anderson, to join the search.
The Jerki's crew conducted their own search pattern for Vandewalle, though they were hampered by onboard mechanical troubles. In darkness, driving rain and waves of up to 12 feet, the small trawler's crew managed to find the helmsman in the water. They recovered him aboard the vessel, but he succumbed to hypothermia.
The RNLI lifeboat stood down and returned to its station once the Jerki had Vandewalle aboard; the trawler returned to port at Oostende, Belgium to deliver the victim's body to shore.
The public prosecutor's office in West Flanders, Belgium has started an investigation into how Vandewalle went over the side, but at this point officials are treating the casualty as an accident, according to The Fishing Daily.
Jerki's operating company, Aude Audenda, issued a brief statement commemorating Vandewalle's life and expressing sympathy for his loved ones. "Out of respect for the family and our crew, we want to let them process this tragic accident in peace," the firm said. "We can only stress that Glenn was a well-liked and experienced fisherman, a fisherman through and through."
ECOCIDE
Oil Leak Causes Salvage Effort for Grounded Tanker to be Suspended
Sanwa Maru grounded in Northern Japan (Japanese TV)
The Japan Coastguard is reporting that efforts to remove a small tanker that grounded earlier in the week have been suspended. The majority of the crew was evacuated from the ship after it shifted while an investigation was seeking the source of an oil slick that formed on Wednesday, January 8.
The vessel, the 5,000 dwt Sanwa Maru, grounded at the southern end of Hokkaido, Japan’s northernmost island. Asahi Tanker Company confirmed the incident reporting the vessel grounded around 1830 on January 6. Initial reports said there were no injuries and that the vessel had not suffered damage.
The Japan Coastguard dispatched vessels and there was an attempt on January 7 to pull the tanker which is owned by Wako Kisen off the rocks. They were unable to dislodge the vessel and additional tugs were being dispatched.
This morning however the crew of the vessel reported the ship had shifted listing 5 degrees to starboard and raising concern. They requested assistance in removing the crew. The Japan Coastguard reports seven of the 11 crewmembers aboard were rescued while four have remained aboard to continue the efforts to free the vessel.
An oil slick appeared and people said there was a strong smell of oil around the vessel. Asahi Tanker reports the vessel is loaded with 3,919 kiloliters of kerosene and 700KL of diesel fuel. The slick extended nearly a mile and a half from the ship but the Coastguard believed it was a small leak and that the cargo tanks remain intact.
The salvage operation was suspended while they investigate the leak and attempt to prevent it from growing. Salvage efforts may be resumed on January 9 after the situation is accessed.
Report: China’s Shandong Port Group to Turn Away US-Sanctioned Oil Tankers
Shandong Port Group accounts for a third of China's oil imports (Shandong Port Group)
China’s state-owned Shandong Port Group has reportedly announced a new policy for 2025 blocking tankers under U.S. sanctions from using its port facilities. Reuters released an exclusive report after traders shared copies of memos from the port regarding the new ban.
According to the memos shared with Reuters, Shandong Port Group “forbids ports to dock, unload or provide ship services to vessels on the Office of Foreign Assets Control list managed by the U.S. Department of State.”
An enforcement of the ban would mark a critical blow, especially to Iran which ships the majority of its oil to China. Last week, the NGO United Against a Nuclear Iran (UANI) cited data in its year-end report saying that Iran’s oil exports grew by 10.75 percent to 587 million barrels in 2024. China, it reported remains the largest destination and has grown its percentage of the trade receiving 533 million barrels, which UANI highlights is up 24 percent from 2023. China it said accounts for 91 percent of Iran’s total oil exports up from 83 percent in 2023.
Shandong Port Group is one of the leading port companies in China with operations at Yantai, Quingdao, Rizhao, and Bohai Bay Port. According to Reuters, at least eight large crude oil tankers, all under U.S. sanctions, docked at the group’s ports in December.
Highlighting the significance of the oil trade to China, Li Zhi, President of Dongming Petrochemical Group Co. spoke as part of the port group’s year-end presentation. He highlighted the group’s mission of ensuring national energy security and boosting regional economic development, by accelerating the construction of a safe, efficient, and smooth crude oil artery. Its crude oil imports Li reported account for more than a third of the country's total imports, and has developed into an important global energy supply chain hub.
Reuters says the group told traders the ban would have a small impact because most of the oil arrives on tankers not under the sanctions. However, UANI has called for increased sanctions by the West including an expanded focus on repeat offenders receiving oil in ship-to-ship transfers. Chinese tankers have frequently been cited as receiving oil in these transfers off ports such as Singapore and Indonesia.
Much of the sanctions have been targeted at the so-called shadow fleet servicing the Russian oil trade. The U.S. however has increased the sanctions on Iran in response to the instability in the Middle East and assertions that Iran is using the oil to fund its proxies including Hamas, Hezbollah, and the Houthis.
Analysts speculate China might have taken the move in a step as part of larger trade negotiations it hopes to have with the new Trump Administration. China is working to avoid Trump’s plans for sweeping tariffs.
China and COSCO Lash Out Over U.S. Listing of Military-Related Companies
Today’s action by the Department of Defense, however, is seen largely as symbolic.
DOING IT JUST TO PISS OFF CHINA
COSCO was listed by the U.S. as a "Chinese military company" for its support of the military (file photo)
The Chinese government and COSCO Shipping responded to the U.S. Department of Defense’s inclusion of the company among the 134 organizations listed for ties to the military. The Chinese government continued to blame anti-China sentiments in the U.S. while calling for fair treatment for its companies while COSCO said it would “engage with U.S. authorities to clarify the matter.”
The U.S. Department of Defense was mandated by Congress in 2021 to start compiling and releasing a listing each year of companies it believes are supporting China’s military. The listing of so-called “Chinese military companies” carries no specific penalties, but is used to discourage U.S. businesses from working with these companies. The Pentagon can not do business with companies that are deemed to be supporting the Chinese military.
COSCO, which is the world’s largest shipowner, was added to the listing that was released yesterday, January 7. It joins other well-known Chinese companies including China State Shipbuilding Corporation as well as the manufacturer of shipping containers.
COSCO North America issued a mostly boilerplate statement about consistently adhering to local laws and regulations and maintaining strict compliance in all international operations. In the statement, it said none of its companies (COSCO Shipping, the North American division, and COSCO Shipping Finance which were each listed) are Chinese military companies.
A spokesperson for China’s Ministry of Commerce when asked said they had “noted” the listing while calling on the U.S. to respect facts and stop “discriminatory treatment to Chinese companies.” He said, “China is strongly dissatisfied with and firmly opposes,” the listing of the companies.
The Ministry of Commerce asserted that the U.S. “continued to generalize the concept of national security,” and “groundlessly accused China of its ‘military-civilian integration’ strategy.
China it said, will closely follow relevant developments and take all necessary measures to resolutely defend the legitimate rights and interests of Chinese companies.
China’s COSCO Shipping Listed by U.S. for Links to Chinese Military
COSCO Shipping was added to the list of “Chinese military companies” released by the U.S. Department of Defense (COSCO)
The U.S. Department of Defense published its annual listing of companies linked to China’s military adding shipping giant COSCO Shipping and two of its subsidiaries, as well as other companies including the Chinese oil company Cnooc, to the designation. The associations between Chinese companies and the military have long been reported but this step formalizes the designation in an effort to discourage U.S. involvement with the companies on the list.
The National Defense Authorization Act for Fiscal Year 2021 included the requirement for the annual listing. Written by Congress, the subsection requires the Secretary of Defense to identify and publish a list of “Chinese military companies” annually. DoD published today, January 7, the notice of the annual listing in the Federal Register.
The Pentagon reviews the companies and sets the criteria for what entities qualify as “Chinese military companies.” The U.S. government is barred from doing business with those companies and the publication is meant to expose the companies. Congress’s goal was to discourage private companies from working with companies on the list.
It is not the first time COSCO, which calls itself the world’s largest shipowner, has come under scrutiny by the U.S. government. The first Trump administration in 2019 briefly sanctioned COSCO’s tanker operator for transporting Iranian oil. The sanctions however were removed the following year.
In addition to COSCO Shipping, the new listing includes COSCO Shipping (North America) and COSCO Shipping Finance Co. Cnooc was also included on the list and joins others including China State Shipbuilding Corporation which had already been cited. Among the total 134 companies listed are also China International Marine Corporation, the manufacturer of shipping containers, and China Shipbuilding Trading Co., a CSSC subsidiary used to promote Chinese shipbuilding globally. CATL, the leading battery manufacturer is also on the list.
It has long been asserted that China uses the commercial industry to support its military. COSCO transports military goods and CSSC is the builder of vessels of China’s Navy. Among its projects are China’s new aircraft carrier and it recently launched the world’s largest amphibious assault ship.
Increasingly elements of Chinese industry have been coming under scrutiny. In March 2024, five U.S. unions formed an alliance filing a trade complaint to challenge China’s shipbuilding industry. The U.S. Senate also held subcommittee hearings on China’s shipbuilding industry. The pressure for action against the shipbuilding sector continues to grow as China expands its dominance in the global orderbook for new ships.
A bipartisan group of U.S. Senators and members of the House of Representatives in December 2024 introduced the SHIPS for America Act calling it the first comprehensive effort to revitalize the U.S. merchant marine. Key elements focus on China and Chinese shipping. In addition to Trump’s proposed tariffs on Chinese goods, the act would create a requirement to transport 10 percent of Chinese goods on American ships and add tariffs on Chinese shipping.
Today’s action by the Department of Defense, however, is seen largely as symbolic. It solidifies the designation of the association between Chinese industry and the military. Analysts have long said those ties existed in all parts of Chinese industry.
