News & Media

23 October, 2020

Australian Newsletter - Issue 649

SHIPPING TO ADVANCE GLOBAL DEAL TO CUT GREENHOUSE GAS POLLUTION FROM SHIPS
Source: Jessica Shankleman and Ewa Krukowska (Bloomberg)
Nearly 200 countries are nearing an agreement to reduce pollution from the world’s cargo ships, a step forward after two years of talks on how the industry should clean up its emissions. A series of virtual meetings will start on Monday hosted by the United Nations shipping agency over a new rating system that will measure the carbon intensity of 60,000 large ships that haul very thing from containers to crude oil. After an historic agreement in 2018 by the International Maritime Organization, its members are negotiating ways to get to their goal of cutting the industry’s emissions in half by the middle of the century.  FULL STORY

DIGITIZATION TO SUPPORT JUST-IN-TIME PORT CALLS FOR CONTAINER SHIPPING
Source: The Maritime Executive
As part of its continuing efforts to support the adoption of digitization in the shipping industry and improve operating efficiency, the Digital Container Shipping Association (DCSA) published standard data definitions for the port call process. By adopting a just-in-time approach to port calls, the association says it can facilitate vessel speed optimization and reduce CO2 emissions. “The JIT port call will streamline a number of key processes for industry stakeholders, and it will also benefit the environment,” said Thomas Bagge, CEO DCSA. “Enabling a vessel to optimize its speed during the voyage to arrive just in time at the pilot boarding place, when berth availability is ensured, will significantly reduce the amount of fuel consumed.  FULL STORY

SEAFARERS FORCED TO SPEND UP TO 18 MONTHS ON SHIPS, INTERNATIONAL TRANSPORT WORKERS' FEDERATION SAYS
Source: Jasmine Hines and Jemima Burt (ABC Aus)
Australia's ports are being kept open by "slavery", a transport workers' union says, with seafarers forced to spend up to 18 months at sea after being "cajoled, sometimes bribed, very often threatened". The International Transport Workers' Federation's (ITF) Australian branch said seafarers were kept working on ships for as long as 18 months, unable to set foot on land because of Australia's COVID-19 quarantine restrictions. This meant crews aboard vessels were unable to fly home when their contracts ended and replacement crews were unable to take their places for the ships' next voyages, as would normally occur.  FULL STORY

IMO SET TO PASS SAFETY MILESTONE FOR METHANOL SHIP FUEL
Source: Martyn Wingrove (RivieraMM.com)
A key milestone in developing and regulating methanol as an alternative marine fuel is set to be passed in early November IMO’s delayed Maritime Safety Committee (MSC) is expected to approve proposals to include methanol and related chemicals in relevant regulations for use as ship fuels. Methanol Institute chief executive Chris Chatterton expects methanol will be incorporated into the International Code of Safety for Ships using Gases or other Low-flashpoint Fuels (IGF Code) in less than 10 days time. MSC 102 committee meetings will be held remotely to keep delegates socially distanced from 4-11 November. “We have been working 10 years to get to this,” said Mr Chatterton during Riviera Maritime Media’s Maritime Air Pollution, Europe virtual conference.  FULL STORY

MYTHBUSTING: CURRENT EVENTS, COSTS, CONGESTION AND UNSUBSTANTIATED ALLEGATIONS
Source: Shipping Australia Limited
Recent industrial action has presented considerable challenges to maintaining the efficiency and low costs of the supply chain. There are a number of adverse consequences including, unfortunately, campaigns of disinformation. As previously explained, the lingering effects of industrial action has caused extensive congestion for ships coming into Port Botany. Ships and shipping companies have a lot of daily costs that are incurred regardless of whether a ship is actually sailing with cargo. These costs are wasted when there is congestion. There are also all kinds of issues with fuel management.  FULL STORY

WE’RE READY: AUSTRALIA’S CRUISE LINES PREPARE TO START SAILING WITH NEW SHIPS AND ITINERARIES
Source: Peter Lynch (CruisePassenger.com.au)
Australian-based cruise lines have spelt out exciting new options for 2021 as the expectation of a resumption reaches new heights. Princess, Carnival, P&O and Royal Caribbean have all announced their plans for 2021, as Cruise Lines International Association Australasia launched a campaign to press the government to lift the cruise ban. Australia’s hard-pressed travel agents – and cruisers – are being urged to write to their MPs to convince that the time is right for a resumption. And cruisers are welcome to join the campaign. All this happened in the week when Coral Expeditions completed its first journey from Cairns without incident.  FULL STORY

QUEENSLAND MONITORS SHIP BOUND FOR BRISBANE BRINGING NEW COVID STRAIN
Source: Lucy Stone (Brisbane Times)
The decision on whether to reopen the Queensland-NSW border is not a "yes or no" question but the issue will be discussed over the next week, Deputy Premier Steven Miles says. Mr Miles said on Wednesday morning Queensland had recorded one new COVID-19 case, a man in his 30s in hotel quarantine who had returned from Kenya. Queensland has had 41 consecutive days with no community transmission cases reported. The state now has five active cases.  FULL STORY
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JAPANESE FIRMS DEPART PORT KEMBLA LNG PROJECT
Source: (Kallanish Energy)
Japanese firms Marubeni Corporation and JERA have exited the Australian Industrial Energy (AIE) consortium heading up the Port Kembla gas terminal project, Kallanish Energy reports.
In a statement on Tuesday, Australian firm Squadron Energy announced it had agreed terms to take 100% ownership and operatorship of AIE by acquiring JERA’s 19.9% and Marubeni’s 30.1% interest in the project. AIE was formed in 2018 to develop the Port Kembla liquefied natural gas (LNG) project, with Squadron Energy as the main stakeholder, alongside the Japanese firms.  FULL STORY

AUSTRALIA: SANTOS 3Q REVENUE DROPS ON LOWER GAS PRICES
Source: OEdigital.com
Australia’s Santos Ltd said on Thursday third-quarter revenue slid nearly 23%, hit by a drop in realized gas prices because of the COVID-19 pandemic. The country’s no. 2 independent gas producer said sales revenue came in at $797 million for the quarter ended September, missing an RBC estimate of $814 million, and lower than the $1.03 billion reported last year. Santos, like energy producers worldwide, was hit by a sharp decline in oil-linked liquefied natural gas (LNG) prices as excess supply and a pandemic-driven drop in demand hammered crude prices this year.  FULL STORY

PILBARA PORTS AUTHORITY RELEASES ITS ANNUAL REPORT
Source: Lydia Woellwarth (Dry Bulk)
The world’s largest bulk export port authority, Pilbara Ports Authority (PPA), has released its 2019/20 Annual Report. The report provides an overview of PPA’s strong financial and operational performance during the COVID-19 pandemic, as well as emerging trade developments such as the establishment of an LNG bunkering hub in the Pilbara which play a significant role in the shipping industry producing lower emissions. In April 2020, PPA issued Australia’s first ship-to-ship LNG bunkering service licences to Woodside Energy for the ports of Dampier and Port Hedland. PPA CEO Roger Johnston said the licences recognise the ongoing commitment by PPA to achieving sustainability of the ports.  FULL STORY

CREW MEMBERS ON SHIPS AT PORT IN FREMANTLE AND GERALDTON TEST POSITIVE FOR COVID-19
Source: Jacob Kagi (ABC Aus)
Two crew members on separate ships in Western Australia have tested positive for COVID-19, with a crew member aboard a ship docked in Fremantle becoming the state's latest coronavirus case. The crew member, from the Al Messilah livestock carrier, was taken to Fiona Stanley Hospital for another condition and was tested for COVID-19 as a precaution, but returned a positive result. He was transported to hospital in a charter bus along with crew members from three other vessels. All crew members in the bus were wearing personal protective equipment at the time. About 52 crew from a number of countries are believed to be on board the Al Messilah, which was scheduled to be loading stock but has now been delayed.  FULL STORY

RIO TINTO RAISES WESTERN AUSTRALIA IRON ORE SHIPMENTS
Source: Argus Media
Iron ore shipments from the four largest producers in the Pilbara region of Western Australia (WA) have stayed above average levels for the fifth consecutive week, with strong Rio Tinto shipments offsetting a weaker performance by BHP. The four producers — UK-Australian resource giants BHP and Rio Tinto, and Australian producers Fortescue Metals and Roy Hill — loaded vessels with 19.47mn deadweight tonnes (dwt) of capacity in the week to 17 October. This is up from 17.62mn dwt in the week to 10 October and above the average of 17.19mn dwt/week over the past year. The deadweight tonnage is the maximum capacity of the vessel and overestimates actual shipments by around 5pc.  FULL STORY

COVID-19: HEAVILY CONGESTED PORTS CAUSE SHIPPING DELAYS
Source: Madison Reidy (NewsHub.co.nz)
COVID-19 has forced ports to delay, with some shipping companies suspending all New Zealand-bound cargo. "You wouldn't know it by looking... but the port is heavily congested, ships are bypassing Auckland to go to Tauranga, or now, worse, not coming to New Zealand at all." One shipping company has stopped taking all bookings for imports to New Zealand and says it doesn't have space. "They are wanting to put containers on our ships, but we just haven't got enough capacity to fill it," OOCL NZ General Manager. Planes being grounded due to COVID-19 has led to a surge in sea freight demand, right in the middle of peak import season.  FULL STORY

COVID 19 CORONAVIRUS: NAPIER PORT REFUSING TO LET LOG SHIP DOCK
Source: Shannon Johnstone (NZHerald.co.nz)
Napier Port is refusing to allow a ship with 21 close contacts of a port worker who tested positive for Covid-19 to dock, meaning the ship and crew could be forced to sail to Auckland. The Ken Rei was due in port on Sunday to load logs but has been anchored off the coast since Sunday afternoon. It is carrying 21 sailors, all of whom are considered close contacts of New Zealand's newest Covid-19 community case. The male port worker, a marine electronics engineer from Auckland, who went to New Plymouth for work last week, tested positive for Covid-19 on October 16.  FULL STORY

COVID-19: SUSPECTED HISTORICAL CASE IN CREW MEMBER AT PORT OF TAURANGA
Source: RNZ.co.nz
A crew member on a vessel that's docked at Port of Tauranga is suspected to previously have been infected with Covid-19. The Ministry of Health is investigating the case on the IVS Merlion after the crew member returned a weak positive test result, with a high CT value, which indicates an old infection. The vessel arrived into New Zealand waters on 15 October after departing Indonesia on 24 September. The ministry said it was most likely that the person had been infected some time ago but was no longer infectious. They are now isolated as a precaution and have had a repeat Covid-19 test as well as a blood test to confirm whether their case is a historic one.  FULL STORY

Whilst every effort has been made to ensure the accuracy of the information contained herein, Inchcape Shipping Services accepts no liability nor makes any representations or warranties of any kind, express or implied, as to its completeness, accuracy, reliability or suitability