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Selected News Headlines 2018/Q3

THIS WEEK’S HEADLINES SELECTED BY INTERCARGO (23/07/2018 – 29/07/2018)

Contaminated bunker fuel sold in Singapore

Adulterated marine fuel that clogs and damages engines has made its way to the world’s largest refuelling hub. Contaminated bunker fuel has been found in Singapore, with a local marine fuel surveyor warning clients that samples of marine fuel had resulted in severe sludging at centrifuges, clogged pipelines and overwhelmed fuel filters. (Tradewinds: click here)

 China’s stricter rules on shipping emissions a boon for IMO 2020 compliance

Tighter rules on shipping emissions around China’s coastlines from the start of next year is a clear sign the world’s No. 2 economy will strive for 100 percent compliance when the global sulphur emissions cap starts in 2020, consultants Wood Mackenzie said on Tuesday. (Hellenic Shipping News: click here)

Scrubbers in numbers: 983 vessels have opted for EGCS

Scrubber uptake is rapidly accelerating with the number of ships with exhaust gas cleaning systems installed or on order standing at 983 as of 31 May 2018, according to a survey by the Exhaust Gas Cleaning Systems Association (EGCSA). (Safety4Sea: click here)

Port state control to focus on ship emissions

The Paris MOU, Tokyo MOU, Indian Ocean MOU and Black Sea MOU port state control (PSC) regimes have agreed to focus on the prevention of air pollution by ships during their forthcoming concentrated inspection campaigns (CICs). The CICs will be carried out between 1 September 2018 and 30 November 2018 and the Port State Control Officers (PSCOs) will pay particular attention to visiting ships’ compliance with MARPOL Annex VI during regular PSC inspections. (Bunker Ports News: click here)

OPEC remains key to price recovery through 2040

Though non-OPEC production will ensure supply to 2030, OPEC will need to continue to exploit its available reserves. Despite record-breaking gains in the Permian, strong demand growth and heightened geopolitical risk pushed Brent to USD80/bbl in May. For the market to truly rebalance, OPEC will remain key to price recovery over the short to medium term. (Bunker Ports News: click here)

IMO video on Safety, Security and Green improvements over last 70 years

IMO’s 2018 World Maritime Day will celebrate 70 years of helping international shipping become safer, more secure and develop a greener environmental footprint. A short animated film shows how IMO has developed mandatory international regulations covering almost every aspect of shipping. (Maritime Cyprus: click here)

Emergency Procedures: Necessary steps required in case of power failure

Collisions, contacts and groundings are some of the most usual maritime accidents. There are many factors which may lead to them, such as failures at vessel’s main systems. In the previous articles, we experienced failures at vessel’s main engine and steering. At this point is critical to analyze what happens in the case of power failure. (Safety4Sea: click here)

Capesizes to Deliver the Goods in H2

Capesizes, the most volatile sector of the dry market that reaps the most gains and again faces biggest risks when rates spiral down, are headed for another strong period. (World Maritime News: click here)

Dry Bulk Market: Capesize Index Reached Year-High Prior to Correction

Capesize: After the BCI timecharter average went over $26,000 mid-week, the highest level this year, the market then went into a correction. Panamax: The Atlantic witnessed some positive gains last week driven largely by shorter trips from the North Continent, with vessels fixed in the upper teens via the Baltic and Murmansk to the Continent/Mediterranean. Supramax: The Black Sea area captured most of the spotlight this week, with Ultramax tonnage reportedly fixed over $20,000 to the East and the tonnage supply tight. Handysize: The handy market generally remained weak, but the Mediterranean/Black Sea proved the exception. This was the standout area as demand for grain shipments in particular pushed levels forward. (Hellenic Shipping News: click here)

 

 
27.07.2018
WEEK AGO
WEEKLY CHANGE
WEEKLY CHANGE %
52 Week Range
Baltic Dry Index
1,676
1,689
-13
-0.8%
933-1,774
BRENT ($/bbl)
74.4
73.2
+1.2
+1.6%
WTI ($/bbl)
75.4
73.3
+2.1
+2.9%
MGO ROTTERDAM ($/mt)
626.0
614.0
+12.0
+2.0%
MGO  FUJAIRAH ($/mt)
712.0
712.5
-0.5
-0.1%
MGO SINGAPORE ($/mt)
656.5
642.5
+14.0
+2.2%
ULSFO ROTTERDAM, MAX 0.1% SULPHUR ($/mt)
607.5
601.5
+6.0
+1.0%
LSMGO SINGAPORE, MAX 0.1% SULFUR DISTILLATE ($/mt)
666.0
654.0
+12.0
+1.8%
IFO 180 ROTTERDAM ($/mt)
472.5
458.0
+14.5
+3.2%
IFO 180 FUJAIRAH ($/mt)
521.0
520.5
+0.5
+0.1%
IFO 180 SINGAPORE  ($/mt)
508.0
493.0
+15.0
+3.0%
EUR-USD
1.17
1.17
0.00
0.0%
 GBP-USD
1.31
1.31
0.00
0.0%
USD-JPY
111.05
111.41
+0.36
+0.3%
USD-KRW
1118.11
1133.75
+15.64
+1.4%
Sources: KPI Bridge Oil, Bloomberg.com, ShipandBunker.com
16 July 2018 - 22 July 2018

THIS WEEK’S HEADLINES SELECTED BY INTERCARGO (16/07/2018 – 22/07/2018)

ReCAAP ISC: 10-year low of piracy incidents reported in first half of year

ReCAAP ISC released its Half-Yearly (January to June 2018) Report. Namely, 40 incidents were reported from January to June 2018. This is the lowest number of incidents since 10 years for the same period. It also marks a 15% year-on-year decrease. (Safety4Sea: click here)

UK Maritime and Coast Guard Agency issues Ballast Water Management FAQs (July 2018)

The UK Maritime and Coast Guard Agency (MCA) has published a document containing Frequently Asked Questions on the subject of Ballast Water Management. These address questions on a variety of current topics such as application of regulation to different types of ships, domestic or international, Survey and Certification Requirements, Ballast Water Exchange (BWE) requirements, Ballast Water Treatment Systems (BWTS), Alternatives to meeting the D1 or D2 Standards, handling sediments, and more. (Maritime Cyprus: click here)

New INTERCARGO project to address bulk carrier safe loading/unloading

INTERCARGO, the International Association of Dry Cargo Shipowners, announced the introduction of a new project, from 1 August 2018, through a reporting scheme “INTERCARGO Bulk Carrier Reporting Form (II) – Safe Loading/Unloading at Anchorage”, in a bid to respond to the increasing issues related to safe loading/unloading at anchorage. (Safety4Sea: click here)

Owners face long scrubber queue for 2020

Largest manufacturers booked through end of next year as rush of shipowners want scrubbers ahead of 2020. (Tradewinds: click here)

China gives even younger ships the thumbs down

Authorities tighten grip on import rules as critics argue that the change creates ‘quasi-Jones Act’ conditions for the country’s domestic trade (Tradewinds: click here)

Dry Bulk Market: Capesize Index Slows Down

Capesize: Charterers slowed the pace this week to try and check rates, and, to an extent, succeeded. Panamax: The Atlantic experienced some large gains this week, triggered by a lack of tonnage on the North Continent and significant enquiry from Murmansk and the Baltic. Supramax: More activity was seen as the week progressed from key areas in the Atlantic, whilst rates from the Asian sector moved sideways. Handysize: A flat week for Handysizes, reflected overall in the BHSI, unchanged for two days this week. (Hellenic Shipping News: click here)

Baltic Dry Index climbs to 1689, up 32 points

Today, Friday, July 20 2018, the Baltic Dry Index climbed by 32 points, reaching 1689 points. (Hellenic Shipping News: click here)

 
20.07.2018
WEEK AGO
WEEKLY CHANGE
WEEKLY CHANGE %
52 Week Range
Baltic Dry Index
1,689
1,666
+23
+1.4%
933-1,743
BRENT ($/bbl)
73.2
73.6
-0.4
-0.5%
WTI ($/bbl)
73.3
70.1
+3.2
+4.5%
MGO ROTTERDAM ($/mt)
614.0
631.0
-17.0
-2.7%
MGO  FUJAIRAH ($/mt)
712.5
708.0
+4.5
+0.6%
MGO SINGAPORE ($/mt)
642.5
656.0
-13.5
-2.1%
ULSFO ROTTERDAM, MAX 0.1% SULPHUR ($/mt)
601.5
603.0
-1.5
-0.2%
LSMGO SINGAPORE, MAX 0.1% SULFUR DISTILLATE ($/mt)
654.0
650.5
+3.5
+0.5%
IFO 180 ROTTERDAM ($/mt)
458.0
467.0
-9.0
-1.9%
IFO 180 FUJAIRAH ($/mt)
520.5
510.5
+10.0
+2.0%
IFO 180 SINGAPORE  ($/mt)
493.0
495.0
-2.0
-0.4%
EUR-USD
1.17
1.17
0.00
0.0%
 GBP-USD
1.31
1.32
+0.01
+0.8%
USD-JPY
111.41
112.38
+0.97
+0.9%
USD-KRW
1133.75
1123.36
-10.39
-0.9%
Sources: KPI Bridge Oil, Bloomberg.com, ShipandBunker.com
09 July 2018 - 15 July 2018

THIS WEEK’S HEADLINES SELECTED BY INTERCARGO (09/07/2018 – 15/07/2018)

 Risk Focus – Engine Room Fires

Considering the wide range of both sources of fuel and sources of ignition within the engine room, it should come as little surprise that a large proportion of fires onboard ships originate there. Engine room fires are one of the most common fires on ships owing to the presence of a wide range of sources of fuel, sources of ignition and running machinery. (Maritime Cyprus: click here)

Loss Prevention – Asian Gypsy Moth guide from West of England club

The Asian Gypsy Moth (AGM) is a highly destructive forest pest that feeds on both deciduous and coniferous trees. The voracious appetite of AGM larvae (caterpillars) coupled with the ability of the female moth to travel up to 21 nautical miles can cause widespread defoliation leaving trees weakened and susceptible to disease and other pests. (Maritime Cyprus: click here)

 Chinese Rescue Diver to Receive IMO Exceptional Bravery At Sea Award

A Chinese rescue diver who led a series of dives to help rescue six crew members from a sunken cargo ship will receive the 2018 IMO Award for Exceptional Bravery At Sea, the International Maritime Organization has announced. (gCaptain: click here)

Addressing seafarer mental health issues: Do’s & Don’ts

Anxiety, social isolation, pressure of work and disturbed sleep, may negatively influence the mental health of seafarers.  Taking care of the mental wellbeing of crew is vital and currently industry places a high priority on the issue.  MLC, 2006 is a landmark convention on crew welfare but not enough; therefore, shipping operators need further policies to promote the health, safety and welfare of seafarers. (Safety4Sea: click here)

IMO – Ship noise negative impacts on humans and marine life

Continuous noise onboard ships can have an adverse impact on human health. IMO adopted, in 2012, a regulation in the International Convention for the Safety of Life at Sea (SOLAS) to require ships to be constructed to reduce on-board noise and to protect personnel from noise, in accordance with the Code on noise levels on board ships. The Code sets out mandatory maximum noise level limits for machinery spaces, control rooms, workshops, accommodation and other spaces on board ships. (Maritime Cyprus: click here)

Newbuilding Orders A Divisive Issue at the Moment

The choice to place an order for a newbuilding vessel, dry bulker or tanker, is dividing opinions at the moment, as ship owners appear to be unable to agree on the shipping markets’ future potential, especially at the current ships’ prices offered by yards. (Hellenic Shipping News: click here)

Dry Bulk Market: Things Are Looking Perky

Capesize: A shaky start to the week in Asia where rates on the key West Australia/China run lost almost 90 cents dropping to $8.30. However, ongoing interest from the miners and operators saw levels regain ground with the expectation of over $9.00 on the cards, with some suggesting timecharter business was done, which equated to $9.10.

Panamax: Like the football, last week was a game of two halves. Rates in the Atlantic took off as a combination of a reduced tonnage supply in the North coupled with increased mineral transatlantic trades and several front haul stems from various alternative loading areas to East coast South America fuelled the bull’s optimism.

Supramax: Another week of diverging markets, with rates in the Atlantic gaining ground whilst the Asian routes lost support. Very limited period activity was discussed although a 63,500-dwt open CJK was failed on subjects at $12,750 for four to six months trading.

Handysize: The handy index slightly recovered and the market began to see a ray of hope especially in the Atlantic. It started from mid-week with more cargo appearing on East coast South America and the US Gulf area, but sentiment in the Pacific was still weak with little reported. (Hellenic Shipping News: click here)

Baltic Dry Index climbs to 1666, up 34 points

Friday, July 13 2018, the Baltic Dry Index climbed by 34 points, reaching 1666 points. (Hellenic Shipping News: click here)

 

 
13.07.2018
WEEK AGO
WEEKLY CHANGE
WEEKLY CHANGE %
52 Week Range
Baltic Dry Index
1,666
1,622
+44
+2.7%
900-1,743
BRENT ($/bbl)
73.6
77.3
-3.8
-4.9%
WTI ($/bbl)
70.1
73.1
-3.0
-4.1%
MGO ROTTERDAM ($/mt)
631.0
644.5
-13.5
-2.1%
MGO  FUJAIRAH ($/mt)
708.0
724.5
-16.5
-2.3%
MGO SINGAPORE ($/mt)
656.0
672.0
-16.0
-2.4%
ULSFO ROTTERDAM, MAX 0.1% SULPHUR ($/mt)
603.0
623.5
-20.5
-3.3%
LSMGO SINGAPORE, MAX 0.1% SULFUR DISTILLATE ($/mt)
650.5
674.5
-24.0
-3.6%
IFO 180 ROTTERDAM ($/mt)
467.0
470.0
-3.0
-0.6%
IFO 180 FUJAIRAH ($/mt)
510.5
520.0
-9.5
-1.8%
IFO 180 SINGAPORE  ($/mt)
495.0
493.5
+1.5
+0.3%
EUR-USD
1.17
1.17
0.00
0.0%
 GBP-USD
1.32
1.33
+0.01
+0.8%
USD-JPY
112.38
110.47
-1.91
-1.7%
USD-KRW
1123.36
1115.86
-7.50
-0.7%
Sources: KPI Bridge Oil, Bloomberg.com, ShipandBunker.com
02 July 2018 - 08 July 2018

THIS WEEK’S HEADLINES SELECTED BY INTERCARGO (02/07/2018 – 08/07/2018)

Maritime Industry releases the Global Counter Piracy Guidance

Piracy and armed robbery at sea is an organised and persistent criminal activity prevalent in many parts of the world. Attackers are often aggressive and subject their victims to violence and ill treatment. Ships have been hijacked, either for a ransom payment for the release of captive seafarers, theft of cargo or both. Some seafarers have been held hostage for several years. (Maritime Cyprus: click here)

Emergency Procedures: How to act during a cargo shifting

Load shifting is a commonly dangerous situation for ships carrying solid cargo, bulk cargo ships and containerships.  A good seamanship and compliance to safety regulations while loading or trimming, are some of the factors that should be considered before operations start. (Safety4Sea: click here)

Manning costs rising on trade recovery and officer supply shortage

Cost growth returned to seafaring in 2018 and is projected to accelerate moderately on recovering vessel earnings and continued shortfall in officer numbers, according to the latest Manning Annual Review and Forecast report published by global shipping consultancy Drewry. (Hellenic Shipping News: click here)

MLC in the PSC spotlight

Since MLC came into force in August 2013, a lot of inspections have been conducted on items related to working & living conditions of seafarers such as the payment of wages, the provision of food &catering on board and liability issues. ILO has issued a main guidance respectively for PSCOs who are responsible for conducting MLC inspections onboard vessels; the MELCBS/2008/12 Guidelines is a six chapters document which analyses each article of the Convention, providing examples for guidance. Paris MoU and AMSA are two regions which appear to conduct thoroughly PSC inspections with respect to MLC implementation. (Safety4Sea: click here)

 Completion of World’s Largest Sea Lock Delayed

The completion of the sea lock at the North Sea Canal entrance in IJmuiden, the Netherlands, has been delayed for 27 months. (World Maritime News: click here)

Dry Bulk Market: Capesizes Enjoy Week of Significant Gains

Capesize: A punchy week for the big ships that saw Atlantic rates soar, with the tonnage list tight prompting charterers to split cargoes, though, mostly unsuccessfully. Panamax: The Atlantic tonnage list continued to tighten last week, and sentiment was further helped by the appearance of several Cape splits entering the market, as rates there rose rapidly. But more than once charterers found themselves unable to make the business work on smaller ships. Supramax: A mixed week with a growing tonnage lists in Asia putting rates under downward pressure at the end of last week. In contrast, from the Atlantic there was limited activity reported, but as the week closed out certain areas saw a tightening of tonnage especially in the US Gulf and Mediterranean areas. (Hellenic Shipping News: click here)

Baltic Dry Index climbs to 1622, up 10 points

Today, Friday, July 06 2018, the Baltic Dry Index climbed by 10 points, reaching 1622 points. (Hellenic Shipping News: click here)

 

 
06.07.2018
WEEK AGO
WEEKLY CHANGE
WEEKLY CHANGE %
52 Week Range
Baltic Dry Index
1,622
1,385
+237
+17.1%
820-1,743
BRENT ($/bbl)
77.3
79.4
-2.1
-2.7%
WTI ($/bbl)
73.1
74.2
-1.0
-1.4%
MGO ROTTERDAM ($/mt)
644.5
627.5
+17.0
+2.7%
MGO  FUJAIRAH ($/mt)
724.5
737.0
-12.5
-1.7%
MGO SINGAPORE ($/mt)
672.0
668.5
+3.5
+0.5%
ULSFO ROTTERDAM, MAX 0.1% SULPHUR ($/mt)
623.5
632.0
-8.5
-1.3%
LSMGO SINGAPORE, MAX 0.1% SULFUR DISTILLATE ($/mt)
674.5
670.0
+4.5
+0.7%
IFO 180 ROTTERDAM ($/mt)
470.0
474.5
-4.5
-0.9%
IFO 180 FUJAIRAH ($/mt)
520.0
518.0
+2.0
+0.4%
IFO 180 SINGAPORE  ($/mt)
493.5
501.0
-7.5
-1.5%
EUR-USD
1.17
1.17
0.00
0.0%
 GBP-USD
1.33
1.33
0.00
0.0%
USD-JPY
110.47
109.97
-0.50
-0.5%
USD-KRW
1115.86
1107.53
-8.33
-0.8%
Sources: KPI Bridge Oil, Bloomberg.com, ShipandBunker.com