The service provided by container shipping lines is rated as poor to average and has deteriorated in the past year, according to a survey of exporters, importers and freight forwarders conducted jointly by Drewry and the European Shippers’ Council (ESC).

The ESC and Drewry contacted several hundred shippers and forwarders from all over the world in March 2017 and asked them how satisfied they were with 16 price and non-price related attributes of the services provided by ocean carriers. The survey also looked into areas most in need of improvement and how quality varies by type of carrier.

On a scale of 1 (very dissatisfied) to 5 (very satisfied), customers on average did not rate carriers higher than 3.3 for any of the 16 service attributes, the survey showed (see chart).

The three areas of service or price in which shippers and forwarders were the most dissatisfied with were “carrier financial stability”, “quality of customer service” and “reliability of booking/cargo shipped as booked”. At the other end of the spectrum, the three areas where they were the most satisfied were “price of service”, “accurate documentation” and “quality of equipment (containers)”.

"We see that shippers want to be treated not only as customers, but also as partners, when discussing their container transport requirements. In times when supply chains are becoming more and more complex, partnership is of key importance and unfortunately it is missing," said Fabien Becquelin, Maritime Policy Manager at ESC. “Comparing transport modes, the air freight industry is suffering from similar problems to the container shipping industry, but it came to the conclusion that partnership is the only way out and is reaching out to the shippers”, Becquelin added.

“Shippers and forwarders clearly see the necessity for the carrier industry to invest in IT and to balance the needs for cost competitiveness and for more predictability and reliability,” said Philip Damas, head of the logistics practice of Drewry.

The ESC and Drewry plan to run the shipper and forwarder satisfaction survey regularly and invite interested shippers and forwarders to contact them, should they wish to be included in next year’s survey, provide their views and be kept informed of our carrier performance assessments.

Drewry Supply Chain Advisors works for beneficial cargo owners on benchmarking contract rates and best practices in ocean transport procurement and runs optimisation-based ocean freight rate tenders. Drewry Supply Chain Advisors is the logistics practice of the Drewry group.

www.drewry.co.uk

Agreement signed at Gastech between Hyundai Heavy Industries (HHI) and Lloyd’s Register (LR)

Left to right: Chung-Sik Hong, Business Development Manager Korea, Marine & Offshore, Lloyd’s Register and Young-jun Nam, Senior Vice President, Initial Design Office, Shipbuilding Division, Hyundai Heavy Industries

LR and Hyundai Heavy Industries (HHI have signed a joint development project (JDP) to commence an approval in principal (AiP) for a barge mounted power plant, Hi-Floating Power™.

Hi-Floating Power™ is HHI’s floating power plant solution capable of generating maximum power of 221MW by running 13 units of HiMSEN dual fuel engines, upgradeable up to 400MW through the addition of extra HiMSEN dual fuel engines.

The design of the Hi-Floating Power™ combines HHI’s shipbuilding expertise with advanced engine engineering and manufacturing capabilities. By separating duel fuel engines into two independent compartments it provides more reliable operation, even in the case of emergencies such as fire and/or shut-down of either compartment.

Hi-Floating Power™ can produce power with barge-mounted generators using natural gas sent out from adjacent LNG FSRUs via jetty or marine gas oil stowed on board as a back-up fuel. By removing the need for LNG storage and regasification facilities onboard, design and build time is shortened with simpler configuration and improved safety features.

The mobility feature allowing the generation of electricity in collaboration with LNG FSRU only when needed and being independently stationed when not in operation, brings increased economic solutions to operators. The three different types of 4-stroke dual fuel engines model of Hi-Floating Power™, which can be selected as per the client's preference, will allow operators to enjoy operational flexibility as well.

Mr Chang, Executive Vice President of HHI said, “Since we have been given a list of inquiries of much more economical and flexible floating power generating plants from the market, we come to conclusion that there will surely be demand for the new concept of floating power plant. And that’s the rationale behind the JDP signed by HHI and Lloyd’s Register today. We do believe the JDP will bring a win-win solution for both companies and will surely lay a solid foundation for the era of new floating power generating plants.”

In response, Jin-Tae Lee, Korea Chief Representative & Marine Manager, Lloyd’s Register, said “We are very pleased to be able to work with HHI on Hi-Floating Power™. Gastech is the perfect platform to be able to announce the commencement of the approval in principle and we look forward to supporting HHI in this process”.

 

About Lloyd’s Register
Lloyd’s Register (LR) is a global engineering, technical and business services organisation wholly owned by the Lloyd’s Register Foundation, a UK charity dedicated to research and education in science and engineering. Founded in 1760 as a marine classification society, LR now operates across many industry sectors, with some 8,000 employees in 78 countries.

LR has a long-standing reputation for integrity, impartiality and technical excellence. Its compliance, risk and technical consultancy services give clients confidence that their assets and businesses are safe, sustainable and dependable. Through its global technology centres and research network, LR is at the forefront of understanding the application of new science and technology to future-proof its clients’ businesses. www.lr.org

About Hyundai Heavy Industries
In an effort to improve management efficiency and sharpen its core competitiveness, Hyundai Heavy Industries (HHI) Group, the world’s biggest shipbuilder and a leading integrated heavy industries group is recently spun off into four independent companies; Hyundai Heavy Industries, Hyundai Electric & Energy Systems, Hyundai Construction Equipment and Hyundai Robotics.

The new Hyundai Heavy Industries now with Shipbuilding, Offshore & Engineering, and Engine & Machinery Division has delivered more than 2,000 plus quality ships to 305 ship owners in 51 countries since its foundation in 1972. HHI is continually enhancing its leadership position in the world shipbuilding industry, in collaboration with its affiliated shipbuilding companies Hyundai Mipo Dockyard and Hyundai Samho Industries. Moving forward, HHI will continue to strengthen its global standing as the world’s leading heavy industries company by providing total ship and marine solutions for its valued clients across a diverse selection of industries. For more information, please visit www.hyundaiheavy.com

On Saturday, 1 April 2017, the annual Gala Dinner of our Association took place at the Hotel Grande Bretagne, with the gathering of more than 250 members and friends.

Amongst our guests were Mrs. Daifa, Vice Mayor for Culture of Piraeus Municipality, the Ambassador of Panama Mrs. Liakopoulos de Papadikis, Mr. Leontaras, Commodore of the Hellenic Coast Guard, Mr. Plakiotakis, Head of Sector at the Ministry of Maritime Affairs and Insular Policy of Nea Dimokratia, Mr. Simantonis President of the Hellenic Shortsea Shipowners Association, Mr. Tsamis, President of the Port Captains Club and Mr. Xiradakis, President of the International Propeller Club, Port of Piraeus.

The room was full and the guests had the opportunity to meet and network in a very friendly atmosphere at the event which started at the foyer with a welcome drink. The President of WISTA Hellas, Angie Hartmann welcomed, on behalf of the Board of Directors, the guests and wished them a lovely and enjoyable evening. It seems that her wish was fully granted, as the guests enjoyed a lovely dinner followed by a lucky raffle draw giving all the opportunity to win. Furthermore, WISTA Hellas, in what has started to become tradition, by way of video presentation, also took guests on a photographic and musical journey of the year in review. The evening went on with guests moving to the musical rhythms on the dance floor until the early morning hours.

 

The Board wishes to thank all, members and friends, for taking up on the invitation and for contributing to the success of the event.

SINGAPORE - Chinese conglomerate HNA Group has formally tabled a pre-conditional general offer for logistics provider CWT after almost a year of exclusive talks with CWT's three controlling families.

Chinese conglomerate HNA Group's corporate headquarters in Haikou, China. PHOTO: HNA GROUP

HNA is offering $2.33 in cash for each CWT share, in a deal that values one of Singapore's largest logistics groups at about $1.4 billion.

CWT chairman Loi Kai Meng and his son and group chief executive Loi Pok Yen, together with the Liao and Lim families, own 65.1 per cent of CWT. The families have given their undertaking to accept the offer. HNA Group is making the offer through a special vehicle of Hong-Kong-listed HNA Holding Group Co.

One pre-condition of the offer is that shareholders of HNA Holding Group must vote to approve the CWT takeover, although this is not expected to be a problem since two entities that collectively own 66.8 per cent of the Hong Kong-listed company have undertaken to vote in favour of the deal as well as provided assurance that they have sufficient financial resources and will fund the takeover.

Other pre-conditions include the receipt of certain anti-trust approvals from China.

HNA Holding Group has agreed to pay a $15 million deposit to CWT, which CWT will retain in the event that all pre-conditions are met and HNA does not proceed with the takeover. If the deal does not proceed because of material adverse effects created by CWT over the next five months however, the $15 million will be returned to HNA.

Trading of CWT shares had been halted since April 6. At $2.33 a share, the offer represents a 12.6 per cent premium to the last traded price of $2.07. The offeror intends to make CWT its wholly-owned subsidiary and does not intend to preserve its listing status.

To ensure continuity in the management, business and operations of CWT, the offeror plans to retain the senior management team of CWT's key business units.

One of China's richest companies, HNA was founded by billionaire Chen Feng as the parent company of Hainan Airlines, China's largest private airline.

HNA has since grown into a global transport, logistics,tourism and financial services empire, earning itselfa reputation for being one of the most aggressive Chinese buyers of overseas companies in recent years.

Credit Suisse and DBS had been assisting C&P's shareholders with the review since August 2015.

Using an enterprise value of $2.94 billion after adding CWT's net debt of $1.54 billion, HNA's offer price represents an enterprise value of 15.7 times CWT's operating Ebitda (earnings before interest, tax, depreciation and amortisation), a measure of profit, for 2016.

In 2015, NOL divested APL Logistics at a purchase price that represented a 15 times multiple to the APL Logistics's core Ebitda for 2014.

CWT, which operates in more than 90 countries, was once part of government-linked port operator PSA until C&P bought over the company in 2004.

CWT is also the sponsor of Cache Logistics Trust, and manages the Reit together with ARA Asset Management, with CWT holding a 40 per cent stake in the Reit manager.

http://www.straitstimes.com

On Wednesday the 29th of March 2017 the Piraeus Marine Club featured a talk as a part of its series of Working Luncheons highlighting key current events issues entitled “Geopolitical Developments: Risks and Opportunities” and bringing together two highly regarded expert speakers for the exclusive connection with Piraeus Club members.

Thanos Dokos, Doctor of International and Strategic Studies of Cambridge University and General Manager ELIAMEP spoke on an d analyzed the very critical issues on The tension in the Aegean and the Greek–Turkish relations’ prospects, while Athanasios Ellis, Senior Diplomatic Editor and Columnist for the daily KATHIMERINI enlightened the audience on changes and developments in US politics under the new administration.

Dr. Dokos emphasized the higher degree of conflict rising between Greece and Turkey which could have significant consequences not only on the two countries but in the region generally and reflected on the continuing clashing of even simplistic aspects of coastline borders which remain to date a serious point of contention. Mr. Ellis updated the attending members on the changing scene in the White House with the new Trump administration which now has influence from Reince Priebus, the new Chief of Staff and well known Greek American and how this can potentially have a softening impact on foreign affairs of the US with respect to issues concerning Greece and Turkey.

The members had the opportunity to raise questions and delve deeper into the topics while the two distinguished speakers provoked an engaging discussion which went well on in to the afternoon.
For further information and photos please contact Mr. Christos Panaretos, Manager, at 210 42 93 606 or email: This email address is being protected from spambots. You need JavaScript enabled to view it. or visit: www.marineclub.gr

DryShips Inc., a diversified owner of ocean going cargo vessels, announced today (April 6, 2017) that its Board of Directors has determined to effect a 1-for-4 reverse stock split of the Company’s common shares.

At the Company’s annual general meeting of shareholders on October 26, 2016, the Company’s shareholders approved the reverse stock split and granted the Board, or a duly constituted committee thereof, the authority to determine the exact split ratio and proceed with the reverse stock split.

The reverse stock split will take effect, and the Company’s common stock will begin trading on a split-adjusted basis on the Nasdaq Capital Market as of the opening of trading on April 11, 2017 under the existing trading symbol “DRYS”.  The new CUSIP number for the common stock following the reverse stock split is Y2109Q143.  When the reverse stock split becomes effective, every four shares of the Company’s issued common stock will be automatically combined into one share of common stock. 

No fractional shares will be issued in connection with the reverse split of the issued common stock. Shareholders who would otherwise hold a fractional share of the Company’s common stock will receive a cash payment in lieu thereof at a price equal to that fraction to which the shareholder would otherwise be entitled multiplied by the closing price of the Company’s common stock on the Nasdaq Capital Market on April 10, 2017.

Shareholders with shares held in book-entry form or through a bank, broker, or other nominee are not required to take any action and will see the impact of the reverse stock split reflected in their accounts on or after April 11, 2017. Such beneficial holders may contact their bank, broker, or nominee for more information.

Shareholders with shares held in certificate form will receive instructions from the Company’s exchange agent, American Stock Transfer & Trust Company, LLC, for exchanging their stock certificates for a new certificate representing the shares of common stock resulting from the reverse split.

Additional information about the reverse stock split can be found in the Company’s proxy statement furnished to the Securities and Exchange Commission on September 23, 2016, a copy of which is available on the Commission’s website at www.sec.gov.  

About DryShips

The Company is a diversified owner of ocean going cargo vessels that operate worldwide. The Company owns a fleet of (i) 13 Panamax drybulk vessels; (ii) four Newcastlemax drybulk vessels, which are expected to be delivered in the second quarter of 2017; (iii) three Kamsarmax drybulk vessels, two second-hand vessels expected to be delivered in the second quarter of 2017 and one newbuilding expected to be delivered in the third quarter of 2017; (iv) one very large crude carrier, which is expected to be delivered in the second quarter of 2017; (v) one Aframax tanker newbuilding and one Aframax second-hand tanker, both of which are expected to be delivered in the second quarter of 2017; (vi) four VLGC newbuildings, two of which are expected to be delivered in June and September 2017 and the other two before the end of 2017; and (vii) six offshore support vessels, comprising two platform supply and four oil spill recovery vessels.

DryShips’ common stock is listed on the NASDAQ Capital Market where it trades under the symbol “DRYS.”

Visit the Company’s website at www.dryships.com. 

Athens Exchange Group (ATHEX Group) publishes its AξIAnumbers Derivatives Monthly Statistics Bulletin®.

Summary of basic statistical information of Derivatives Market for March 2017:

• The number of Active investors’ Accounts reached 38,463 (previous month: 38,410).
• The number of Trading Active investors’ Accounts reached 1,953 (previous month: 1,609).
• Total number of open interest was 406,201 increased by 7.90\% compared to the previous month (376,373 open interests).
• Participation of foreign investors in total open interest of Derivatives Market reached 1.80\% in Positions.
• Participation of foreign investors in Futures’ open interest reached 1.85\% in Positions.
• Participation of foreign investors in Index Futures’ open interest reached 50\% in Positions.
• Total traded volume reached 2,001,975 contracts increased by 37.60\% compared to the previous month (1,454,629 contracts).

 

Investors’ Participation in Derivatives Market

The participation of greek investors in total open interest of Derivatives Market was 98.20\% in Positions at the end of March 2017 while the previous month reached 99.10\%. The participation of foreign investors in total open interest of Derivatives March was 1.80\% in Positions at the end February 2017 while the previous month reached 0.90\%.

Greek investors in March 2017 made 99\% of the trading activity in Derivatives Market (number of contracts) while the previous month made 98\%. Foreign investors in March 2017 made 1\% of the trading activity in Derivatives Market while the previous month made 2\%.

Investors’ Participation in Futures

The participation of greek investors in Futures’ open interest was 98.15\% in Positions at the end of March 2017 while the previous month had reached 99.10\%. The participation of foreign investors in Futures’ open interest was 1.85\% in Positions at the end of March 2017 while the previous month had reached 0.90\%.

In Index Futures the number of Positions Accounts reached 304 accounts, increased by 4.10\% compared to the previous month (292 clearing accounts). Greek investors in March 2017 made 95\% of the trading activity in Index Futures (number of contracts) while the previous month made 90\%. Foreign investors in March 2017 made 5\% of the trading activity in Index Futures while the previous month made 10\%.

Also, the participation of foreign investors in open interest was 20.5\% which is decreased compared to the previous month that was 14.8\% (Chart 1).

In Stock Futures the number of Positions Accounts reached 3,282 accounts, decreased by 2.00\% compared to the previous month (3,350 clearing accounts). Also, the participation of greek investors in open interest reached the level of 98.60\% compared to the previous month which was at 99.40\%, while the participation of foreign investors in open interest was at the level of 1.40\% compared to the previous month which was at 0.60\%.

 

About Athens Exchange Group

The Athens Stock Exchange since its establishment in 1876, consistently participate in the financial and business developments in the country.

Athens Exchange Group (ATHEX Group), provides support to the Greek Capital Market. ATHEX Group operates the organized Equities and Derivatives markets, the alternative market and performs clearing and settlement of trades.

The Athens Stock Exchange, through its markets, offers solutions and financing tools to businesses, expands investor choice by providing a safe, stable and easy environment in full alignment with international practices and the European regulatory framework.

In a period that the role of stock markets in exploring alternative ways of financing business, at a European level, is significantly enhanced, the Athens Exchange Group has taken a series of initiatives to highlight the attractiveness of the Greek Capital Market and the Greek companies to the international investment community and expand the variety of investment opportunities.

Its shares are traded on the Main Market of the Athens Exchange (Symbol: EXAE).

The profiles of the ATHEX Group and its markets can be downloaded from the link. More information can be found in the website www.athexgroup.gr.

The Italian container terminal, Salerno Container Terminal (SCT) controlled by Gallozzi group, has been able to attract three of the major world container player.

In a week time, the terminal located in Southern Italy, non far from Naples, will host the maiden voyage of three new container services that will call regularly at Salerno. Thanks to the succes of its commercial activity Salerno Container Terminal expect to reach a total 450.000 teu throughoput by the end of the Year with a drammatic 75.000/80.000 increase as compared with the total 2016 traffic.

For these reasons the SCT today announces a 20 millions Euro plan including the purchace of three new weel containare cranes produced by the German Manufacturer Liebbher.

Today the ""BREVIK BRIDGE" started from Salerno, inaugurating the weekly direct line between the Mediterranean and North America with calls at  Halifax, New York, Norfolk and Savannah. The launch of the new service coincides with the decision of the Hapag Lloyd to focus exclusively in the Port of Salerno all of its services to and from South Italy. The ships of The Alliance will call in Italy, as well as Salerno, the ports of Livorno, Genoa and La Spezia. The Alliance includes Hapag Lloyd (and therefore also the subsidiary UASC), Yangming and the three historical companies of Japan, K line, Nippon Yusen Kaisha and Mitsui (Mol).

Tomorrow, on Friday the 7th, the full container "CSL VIRGINIA", belonging to "Ocean Alliance" ( CMA CGM, Cosco Shipping, Evergreen Line and OOCL) will call at Salerno on its maiden  voyage within another weekly service dedicated to North America

(New York, Norfolk, Savannah and Miami). The Ocean Alliance ships will call the Salerno Container Terminal Leghorn and Genoa. The same day will also see the first call of the ship "HS PARIS" with which the French company CMA CGM enters alliance with Hamburg Sud and Seago Line, from Salerno weekly for Northern Europe. With its 299.89 meters long and 84,155 gross tonnage, the HS PARIS get the full prize list of largest container ship landed at Salerno Container Terminal.

And finally, Saturday, April the 15th, will be the turn of the Chinese giant COSCO SHIPPING, that sailing from the hub of Piraeus and from the ports of Turkey, will inaugurate   the "Net Service", a new direct line from the port of Salerno to northern Europe. The service will offer departures every Saturday from Salerno to Felixstowe, with a transit time of 7 days; the Salerno - Hamburg will be covered in nine days and the Salerno - Antwerp trip in 11 days.

Agostino Gallozzi said that  "For SCT terminal it’s a real magic moment: the hard work carried out in recent years on efficiency and quality is producing results with nine companies (including those partners in the two international alliances) that consider Salerno a trustworthy terminal; we then took decision implement drammatically quality of our services and productivity, investing also on new professional figures, including 21 new young port workers”

 

GREEN4SEA announced the winners of the 2017 GREEN4SEA Awards at a prestigious awards ceremony which took place one night before the 2017 GREEN4SEA Conference, on April 4th at the Yacht Club of Greece.

The GREEN4SEA Awards were awarded to organizations that demonstrated outstanding performance within the scope of fostering Environmental Excellence & Sustainable Shipping following an open nomination process.

The winners of the 2017 GREEN4SEA Awards are:

SEA\LNG received the GREEN4SEA Initiative Award for bringing together industry’s key players with the aim to break down the commercial obstacles and transform the localized use of LNG as a marine fuel into a global reality. Other short-listed nominees for this category were: GloMEEP, Liberian Registry, Magnuss and Ursus Maritime Capital.

Presenting the award Mr. Panos Yannoulis, President of OCEANKING, on behalf of the sponsor stated:

“In a highly dynamic, competitive and globalized business field, such as shipping and marine technology, initiatives are important to be recognized. Therefore, it is a great honor that OCEANKING is sponsoring this award. We are excited to announced that the GREEN4SEA Initiative Award goes to SEA/LNG initiative for which major industry’s stakeholders have joined forces with the aim to break down barriers for the taking off LNG as marine fuel in a global scale.””

Accepting the award on behalf of SEA\LNG, Mr. Steve Esau, General Manager stated:

“I’m very pleased to accept the Initiative Award on behalf of SEA\LNG. The coalition was launched only 10 months ago with a mission to accelerate the widespread adoption of liquefied natural gas (LNG) as a marine fuel for cleaner maritime shipping, so it’s humbling to see that the efforts being recognised. We’re dedicated to highlighting the viability of and demand for LNG across the maritime value chain, creating the necessary confidence between each link, and addressing the commercial barriers to LNG in the deep-sea shipping segment.”

 

DFDS received the GREEN4SEA Clean Shipping Award for shedding its focus on green shipping by introducing more efficient ship operations, rewarding crews for reducing fuel consumption, sharing best practices among the ships’ crews and investing in scrubber installations. Other short-listed nominees for this category were: Ecoslops, GMS, Port of Rotterdam and Sustainable Shipping Inititiative.Presenting the award Mrs. Helen Polychronopoulou, Business Development Manager of ERMA FIRST, on behalf of the sponsor stated:

‘’We are delighted to present the Clean Shipping Award this year to DFDS, a prominent ship operator who has been distinguished for many sustainable practices. DFDS has set the direction towards a greener industry, reducing their fleet environmental impact by examining many alternative options assisted with hands on decision making. It is time for everyone in the industry to take initiatives towards cleaner and safer seas. To do so, we have to learn from the best and we are glad to say that DFDS is undeniably one such example to follow“ ”

Accepting the award on behalf of DFDS, Mr. Poul Woodal, Director Environment & Sustainability stated

“First of all, we would like to thank ERMA FIRST for sponsoring this award and GREEN4SEA for arranging this event. It is always fantastic to be recognized, whether you are an individual or a company. However, we urge industry always to set higher ambitions that what DFDS has delivered. If the industry does now set own high standards, we will be told what to do and we may not like what we are told. So my request is to go beyond compliance and set aside a budget that will please future generations and not just the short term cash flow. I had the pleasure of working for Maersk McKinney-Moller for 36 years and one thing we learnt and never forget are the wise words: “The one that has the ability have the obligation” ”

 

ABB received the GREEN4SEA Technology Award for providing Sea Water Cooling Pumps and Engine Room Ventilation Fans Variable Frequency Drives Upgrade, which are energy efficient solutions offering savings between 40\% – 80\%, mitigation of cavitation risk, reliability and extended lifetime. Other short-listed nominees for this category were: I-Tech AB, GAC EnvironHull, OceanSeaver and Thordon Bearings.

Presenting the award Mr. Nikolas Theodorou, Managing Director of Verifavia Shipping Hellas, on behalf of the sponsor stated:

“Verifavia Shipping is honoured to be sponsoring this award. As a Double Full Accredited EU MRV Verifier (UKAS & COFRAC) we are working in close partnership with ship owners and operators towards effective monitoring & managing shipping’s carbon emissions. It’s great to see that ABB has a dedicated sustainability focus which balances economic success, environmental stewardship, and social progress to positively impact the industry in which we operate and is also in the final stages of certifying her EU MRV solution with Verifavia Shipping.”

Accepting the award on behalf of ABB, Mr. John Kokotos, General Manager for Industrial Automation, Greece & Cyprus stated

“I feel deeply honored by receiving this award and I would to thank you all for your support. We are going through turbulent times, so this award provides us all with the energy and the motivation to strive for top-notch services both in technology and customer service. In this context, as the new era approaching us has certain demands, such as fuel savings and low maintenance costs, we have developed Innovative Energy Efficiency Solutions that have been welcomed by a few of the largest shipping companies in Greece. ”

 

MARTECMA received the GREEN4SEA Excellence Award for bringing together Greek Technical Managers to share experience feedback on how industry should tackle emissions by identifying the technical requirements of the abatement technology and scrubber designs. Other short-listed nominees for this category were: ESPO, IHMA, INTERTANKO and Port of Gothenburg.

Presenting the award Mr. George Maglaras, Marine & Offshore Client Care Manager, Greece & Cyprus of Lloyd’s Register, on behalf of the sponsor stated:

“It is a great honour to present the Excellence Award to an Association that since its foundation works towards strengthening the voice of the Hellenic Ship Managers at a global level on many subjects including the enhancement of environmentally friendly procedures in Ship Management. This award recognizes the Marine Technical Managers Association, known as MARTECMA, for its key involvement on how industry should tackle emissions by identifying the technical requirements of the various abatement technologies.”

Accepting the award on behalf of MARTECMA, Mr. Dimitris Heliotis, Technical Director & COO Target Marine Group & Vice Chairman stated

“I am very pleased and proud to receive this year’s GREEN4SEA award for Excellence. I would also like to thank the organizers GREEN4SEA and the sponsors of this award Lloyd’s Register of Shipping for their great efforts in promoting improvement and excellence in our industry. Last but not least I would like to thank all those who voted. MARTECMA since its foundation back in 1998 has participated via its members to nearly all international shipping organizations and associations. Presently MARTECMA more than ever before is in the forefront of monitoring and following the regulatory developments in shipping that will shape the operational profile of the ships in the next decade and beyond.”

Atlantic Bulk Carriers Management received the GREEN4SEA Dry Bulk Operator Award for its presence in shipping with zero tolerance policy for environmental pollution and clear environmental procedures & equipment concerning regulation requirements for bulk carriers. Other short-listed nominees for this category were: Danaos Corporation, ESL Shipping, TOTE Maritime and Wallem Ship Management.

Presenting the award Mr. Elias Kariambas, Manager of Technology & Business Development (Europe Division) of ABS, on behalf of the sponsor stated:

“I am very happy to have the opportunity to give the GREEN4SEA Dry Bulk Operator Award to a shipping company that has a strong presence in shipping worldwide, with long experience in safe and reliable transportation of dry cargoes. Atlantic Bulk Carriers is a reputable company with very long history, that has always been sensitive both to environmental and safety issues. Atlantic Bulk Carriers is always in the forefront of Greek Shipping, investing in and operating young reliable ships, manned with well trained personnel of the highest standards.”

Accepting the award on behalf of Atlantic Bulk Carriers Management, Capt Stelios Papadopoulos, Managing Director stated

“We thank you for this great honour. Atlantic Bulk Carriers Management is a company that pays great attention to safety and environmental protection. On the environmental front, we apply one extra cylinder to our main engines, allowing the engine to operate at the optimum point of 75\% MCR in real conditions of Beaufort 4-5, not at the calm sea trials. This action reduces fuel consumption and thus CO2 emissions by at least 7\%. The bulbous bow shape that we indicated to a major shipyard building our vessels, saved another 7.5\% in fuel consumption and has now been adopted as the yard’s standard bow for all their new ships, while our latest supramax ships, designed jointly with the shipyard, have probably the lowest fuel consumptions of any supramaxes built to date.”

Stena Bulk received the GREEN4SEA Tanker Operator Award for actively working on improving its annual energy efficiency by implementing continuous improvements to technical solutions, energy management, optimisation and individual energy budgets produced for each vessel before every trip. Other short-listed nominees for this category were: StealthGas, Teekay and Tsakos Columbia Shipmanagement.

Presenting the award Mr. George Andreadis, Marine Manager of Bureau Veritas Greece (Pireaus), on behalf of the sponsor stated:

“We are proud to be the ones giving this award to STENA BULK who is one of the world’s leading tanker operators promoting innovation and excellence. The world needs companies like STENA BULK because with their work with energy efficiency reduces the environmental footprint and contribute to a more sustainable shipping. More specifically the world knows STENA for pioneering the concept of propulsion redundancy and the introduction of the ecofuel methanol.”

Accepting the award on behalf of Stena Bulk, Erik Hånell, President & CEO stated

“As both owner and operator, Stena Bulk is exposed to all areas of tanker shipping and thus has a twofold responsibility to be at the forefront of developments. We have long focused on technical development and have created solutions both on board and ashore that have raised awareness. But it has also been important to not only focus on technology for reducing bunker consumption but also to work with a commercial focus on using fuel more efficiently. Since it was implemented in 2012, our Energy Management system has increased our fuel efficiency by 20\%; this is equivalent to 30,000 mt of fuel and savings of 100,000 mt as regards CO2 emissions. In recent years, our leading role when it comes to digital technology has taken us even further and we are currently working with tools that will enable us to predict the market in different ways. With new platforms, we are now transforming shipping as regards efficiency and transparency”

Capt. Dimitrios Mattheou received the GREEN4SEA Personality Award for his overall contribution to the Green Award Scheme since being appointed as Chairman. He has played an important role on adding more value for its stakeholders, expanding further the scheme and increasing the involvement of certificate holders and incentive providers. This was a special category award after consideration and review of a list of “Editor’s Pick” nominees by the GREEN4SEA Team.

Presenting the award Mr. Ioannis Chiotopoulos, Regional Manager South East Europe & Middle East, DNV GL, on behalf of the sponsor stated:

“With great pride and honour, I would like to give this so well deserved prize to Dimitris Mattheou who is not only an excellent partner but also a friend. During our business career, there are a few – maybe a handful of encounters who stay as a precious memory and follow us for the rest of our lives. I am happy to say Dimitris is one of them. His appointment as Chairman of Green Awards Scheme and his passionate engagement was only proof of his commitment to excellence, his dedication to the goals set and his passion to serve the industry and preserve life and assets at sea. ”

Accepting the award Capt Dimitrios Mattheou, Managing Director Arcadia & President Green Award, stated

“It is with great appreciation that I accept this award and I would like to thank GREEN4SEA for this honor. On December 2015, I was offered the honorable position of the President of the GREEN AWARD organization. Since then, many shipping companies and numerous industry-related organizations have become members. I look to the future with optimism and respect for the Green Award Foundation. My willingness and my continuous effort will be, to keep on serving and supporting consistently the maritime sector, to prove capable towards the ones who trust and invest on me and to motivate the younger ones”

GREEN4SEA.com

Rising energy claims against a reducing premium base; and the increased cargo accumulation risk onboard vessels and in port continue to challenge marine insurers.

Statistics released at the International Union of Marine Insurance (IUMI) Annual Spring meeting in Hamburg last week raise a series of issues that will continue to challenge marine underwriters for the foreseeable future.

Hull
The frequency of major vessel casualties rose again in 2016 for the second consecutive year. They had enjoyed a year-on-year decline until 2015 when they recorded a sharp upturn which was continued in 2016.

Conversely, the trend in total vessel losses (from 2000 onwards) continued its downward trajectory through to 2016 notwithstanding a minor uptick in 2015. In general, many markets were reporting a reduction in frequency of claims but an increase in the average cost of the claim.

The main causes of the total losses to 2015 were weather related but the frequency of losses caused by grounding or machinery damage were now increasing faster than any other cause. This was followed by fire and explosion which had remained largely cons tant since 2006.

It was thought that recent increases in total losses caused by machinery damage may have been a reflection of reduced asset values and the consequent increase in constructive total loss risk following major damage.

Energy
A significant drop in offshore activity with very little infrastructure spending and reduced drilling activity had significantly depleted an already limited premium base. The only positive factor in the energy mix was the increase in North American land rig utilisation in the shale basins.

In the mobile sector, concerns were raised over re-a ctivation of rigs after a prolonged period of lay-up and the potential impact on attritional claims activity. However, the current spate of rig scrapping should improve the general age profile of the mobile fleet.

As expected, the low day rate environment had reduced asset values which had impacted negatively on insured values.

For platforms, lack of activity had meant that attritional claims costs were below the historical trend but the number of significant losses were above that trend line. This was particularly concerning given that the premium base had dwindled by at least two-thirds. More worryingly, it was thought that maintenance and HSE budget trimming by oil companies might soon filter through to the claims figures.

Cargo
Accumulation losses both on board ship and in port continued to cause concern for cargo underwriters.

The new generation Ultra Large Container Carriers were capable of carrying 20,000 TEU with a potential cargo value estimated at $985 million. This represented a significant risk for cargo underwriters and one that continued to increase. Put in context, MSC Flaminia which suffered a fire in 2012 carried a cargo valued at $115 million.

Accumulation risk in ports, particularly Chinese ports, was thought to be even greater. It was estimated that the value of cargo throughput at Shanghai could reach $1.6 billion a day, Shenzhen $681 million and Tianjin $477 million. The explosion at Tianjin in 2015 also resulted in a si gnificant loss but might have been much worse. The total cargo estimated to be onboard the 754 ships in the port on the day of the incident would have amounted to more than $53 billion.

Commenting on the issues raised, Donald Harrell, Chairman of IUMI’s Facts & Figures committee said:

“Marine risks continue to grow both in size and complexity and it is vital that underwriters fully understand the potential losses that they are being asked to insure. It is gratifying to see the year-on-year decrease in total losses, but we must take particular notice of the recent increase in major casualties and the reasons for this.

The offshore sector continues to face challenges that look likely to get worse before they get better. Energy risks per se have not reduced, but the premium base from which they are settled, or reinsured, has shrunk dramatically.

The disaster in the port of Tianjin in 2015 serves as a reminder of the growing accumulation risk that continues to dog our sector and one that will only intensify over the coming years. As marine underwriters, we must continue to innovate and provide cost-effective insurance solutions to enable seaborne trade to continue without interruption.”

For copies of the IUMI Technical Committee Chairmans’ Reviews, full statistics and analysis please contact Navigate PR, or if you have a password to the IUMI website, please visit www.iumi.com