News & Media

20 November, 2020

Australian Newsletter - Issue 653

IMO AT MEPC 75 APPROVES AMENDMENTS TO CUT SHIP EMISSIONS
Source: Malcolm Latarche (ShipInsight.com)
Draft new mandatory regulations to cut the carbon intensity of existing ships have been approved by the IMO at MEPC 75 meeting in virtual session from 16-20 November 2020. The rules have been criticised by environmental groups, but the IMO has taken a pragmatic approach. The new rules build on current mandatory energy efficiency requirements to further reduce greenhouse gas emissions from shipping.  The MEPC also agreed the terms of reference for assessing the possible impacts on States, paying particular attention to the needs of developing countries, in particular Small Island Developing States (SIDS) and least developed countries (LDCs).  FULL STORY

UN AGENCY SUPPORTING SEAFARERS CAUGHT UP IN AUSTRALIA-CHINA SHIPPING CRISIS
Source: Eryk Bagshaw (SMH.com.au)
The United Nations agency responsible for global shipping has become involved in the diplomatic dispute that has left dozens of Indian sailors stranded for months with tonnes of Australian coal in Chinese waters. The International Maritime Organisation confirmed on Tuesday that it was using its diplomatic channels to bring an end to the impasse that has caused at least two ships to be marooned in northern China for months. "The IMO seafarer crisis action team is aware and we are involved at a diplomatic level to try to help resolve these cases," an IMO spokeswoman said in response to questions on Tuesday. The halt on Australian coal exports to China now threatens to grow to more than 20 ships anchored in Bohai Bay.  FULL STORY

HOW TO SPEED UP SHIPPING: A LOOK AT THE IMO’S ‘JUST IN TIME’ ARRIVAL GUIDE
Source: Adele Berti (Ship-Technology.com)
The International Maritime Organization’s Global Industry Alliance to Support Low Carbon Shipping has published its new Just In Time Arrival Guide – Barriers and Potential Solutions, which provides recommendations on how to speed up and optimise the port call process. Optimising a ship’s port call process may not be the ultimate solution to tackling the climate change crisis, but according to guidelines from the International Maritime Organization (IMO) and its Global Industry Alliance to Support Low Carbon Shipping (Low Carbon GIA), it has real potential to cut down emissions while bringing savings and more efficiencies to the entire supply chain.  FULL STORY

IRON ORE SOARS AS AUSTRALIAN SHIPMENTS HIT OVER 2-MONTH LOW
Source: HellenicShippingNews.com
Benchmark Dalian and Singapore iron ore futures jumped to fresh contract highs on Thursday, driven by concerns about supply of the steelmaking raw material from Australia and optimism around demand as steel prices picked up in China. January iron ore, the benchmark contract on the Dalian Commodity Exchange, rose as much as 3.6% to 886 yuan ($134.77) a tonne, extending gains into a fourth straight session. It was up 2.5% when trading ended. Iron ore’s most-active December contract on the Singapore Exchange climbed 0.9% to $124.06 a tonne by 0703 GMT, also rising for a fourth day. Resilient iron ore demand from China, the world’s top steel producer, and “signs that the rise in exports from Australia was easing” buoyed market sentiment, said Daniel Hynes, senior commodity strategist at ANZ.  FULL STORY

RPT-COLUMN-AUSTRALIAN COAL EXPORTS TO CHINA SLUMP, BUT PRICES ARE MIXED
Source: Clyde Russell (Reuters.com)
China’s unofficial ban on coal imports from Australia is starting to take its toll on volumes, with departing cargoes down sharply so far in November. But something odd is happening with prices. China imports two main types of coal from Australia, coking coal used to make steel and thermal coal, used predominantly to generate power, but which can also be used in industrial processes such as cement and ceramics. As you may expect, the lower Chinese demand for coking coal has hit prices, with Singapore Exchange futures, which mirror free-on-board Australian prices, dropping to a four-year low of $104.86 a tonne on Friday.  FULL STORY

AUSTRALIAN PORT IPO SEEKS AT LEAST $477 MILLION IN TEST OF APPETITE FOR COAL ASSETS
Source: HellenicShippingNews.com
The listing of Brookfield Asset Management’s Australian coal export terminal is aiming to raise at least A$656 million ($477 million), in what is set to be a test of investor appetite for coal assets. In a sign that initial demand may not have been as strong as hoped for, the company, Dalrymple Bay Infrastructure (DBI) DBI.ASX, will offer an annual dividend yield of 7%, according to a term sheet seen by Reuters. Previously, selected investors had been offered more than 5.5%. The terminal will export mostly steel-making coal from the Bowen Basin in Queensland state, a type of coal that is still generally accepted by investors who are divesting from thermal coal in favour of renewables amid climate concerns.  FULL STORY

MMG MARKS MILESTONE AT PORT OF TOWNSVILLE
Source: Derek Barry (NorthQueenslandRegister.com.au)
MMG Dugald River mine has produced and exported one million tonnes of zinc concentrate in just three years. The company celebrated the milestone in Townsville last Thursday and it signals a strong foundation for ongoing operations, predicted to continue for 20-plus years, after a good third quarter result. Mining executives presented commemorative plaques to supply chain stakeholders, including the Port of Townsville. Townsville Port chief operations officer Drew Penny said the milestone was a testament to the production team of Dugald River.  FULL STORY

PRESS RELEASE: LABOR WOULD RIP $50M OUT OF PORTS UPGRADES
Source: MirageNews.com
Michael Ferguson,Minister for Infrastructure and Transport Rebecca White and Labor have already begun flagging where they would shred infrastructure funding – which would cost Tasmanian jobs. Under our Port Master Plan, $100 million will be invested at the Port of Burnie to deliver a significant increase in capacity. As part of the works, significant dredging to accommodate Toll’s new ships and berth congestion relief works have already been undertaken. TasPorts aims to further expand this work under its Burnie Export Gateway initiative, to meet increased future business demand from forestry, mining and cruise ships. Labor claims it would put $60 million into the Devonport Port.  FULL STORY

STRANDLINE SECURES PORT ACCESS FOR COBURN EXPORTS
Source: Salome Haselgrove (AustrlianMining.com.au)
Strandline Resources has received permission to export its mineral sands products from the Coburn project in Western Australia via the Port of Geraldton. Under the port access and services agreement, Strandline is permitted to export 230,000 tonnes per annum of mineral sands product, including heavy mineral concentrate, premium zircon, zircon concentrate, chlorine grade ilmenite and rutile products – for an initial 10-year term. Strandline managing director Luke Graham said the agreement marked a key milestone for Strandline on its path to finalising project funding for Coburn through the agreement with Mid West Ports Authority (MWPA).  FULL STORY

NEW ZEALAND PORTS BENEFIT FROM NATIONAL HIGH-TECH SEABED SURVEY
Source: Hydro-International.com
In New Zealand, high-tech seabed surveying of the approaches to Port Taranaki began this week. The survey area extends along the coast from Ōkato to Waitara and approximately 7km from the shore. The survey is part of the Land Information New Zealand (LINZ) annual work programme to update New Zealand’s nautical charts for commercial and recreational mariners. LINZ Manager Hydrographic Survey Stuart Caie says the data gathered during the survey can be used in other ways to benefit the Taranaki region.  FULL STORY

SHIP REFUSED ENTRY TO CHRISTCHURCH PORT AS COVID-19 PRECAUTION
Source: Martin Van Beynen (Stuff.co.nz)
An LPG tanker has been refused entry to the Christchurch's Port of Lyttelton as a Covid-19 precaution. The 99m vessel Arago arrived from Australia on Wednesday and was told to moor well away from the port at Camp Bay, on the southern side of the harbour between Purau and Little Port Cooper. Ironically, Camp Bay was the site of New Zealand's second quarantine station. It was set up in 1863 with tents for accommodation. A doctor was transported to the vessel by the port's pilot boat so the crew could be tested. Port spokesman Phil de Joux said several of the crew had travelled on a flight earlier this month on which another passenger was subsequently diagnosed with Covid-19.  FULL STORY

AUTOMATION PROBLEMS BEHIND AUCKLAND PORT DELAYS - WHARFIE
Source: RNZ.co.nz
An Auckland wharfie estimates Ports of Auckland is half as efficient as it used to be because of problems switching to an automated system to load and unload freight containers. Some ships are waiting up to 12 days to unload at the port, and many retailers fear their shelves will not be full as they approach the festive season. On Tuesday, Ports of Auckland general manager of communications Matt Ball told Checkpoint Covid-19 had caused delays to the full roll-out of automation, but he said the system was working efficiently and was not to blame for the problems. Ball also said the ports were short of about 50 staff, including crane drivers, straddle operators and lashers. He said the company's performance at the moment was not good enough.  FULL STORY

NAPIER PORT HOLDINGS LIMITED (NZX: NPH) 2020 FULL YEAR RESULTS
Source: ShareChar.co.nz
Revenue for the year to 30 September 2020 rose 0.8% to $100.4 million from $99.6 million in the same period a year ago. Napier Port’s total container trade was down just 1.1% to 268,000 twenty-foot equivalent units (TEU) from 271,000 TEU, while bulk cargo volumes fell 8.3% to 3.1 million tonnes from 3.4 million tonnes, principally reflecting the impact of the pandemic lockdown on the log export trade. Although the pandemic brought the cruise ship season to a premature end the port hosted 76 cruise lines, up from 70 in the prior year. Revenues were also underpinned by increased revenues per trade unit.  FULL STORY

HERITAGE EXPEDITIONS’ SHIP ARRIVES IN NEW ZEALAND FOR FIRST CRUISES SINCE LOCKDOWN
Source: Helen Hutcheon (Seatrade-Cruise.com)
After 29 days at sea, Heritage Expeditions’ flagship Spirit of Enderby (Russian icebreaker Professor Khromov) arrived at the Port of Lyttelton on Monday. She will next head for Bluff to operate an ‘Unseen Fiordland and Stewart Island’ cruise on November 24. Spirit of Enderby will undergo some maintenance in Lyttelton in preparation for the company’s upcoming Southern Ocean season. As Heritage Expeditions is a family-owned New Zealand company, Spirit of Enderby was granted an exemption by the New Zealand government to restart cruising in the country.  FULL STORY

ZESPRI MAKES FINAL SHIPMENT OF NZ SEASON
Source: Matthew Jones (FruitNet.com)
Over 87m trays of SunGold and 70m trays of green kiwifruit have been exported this year. The final shipment of this season’s New Zealand kiwifruit export campaign has departed the Port of Tauranga. Containers, carrying around 735 tonnes of green kiwifruit, are headed for Malaysia, the Philippines, Indonesia, Singapore and China. Meanwhile, the final chartered reefer vessel, the Southampton Star, will unload 2,228 tonnes of kiwifruit in the Japanese cities of Tokyo and Kobe. Alastair Hulbert, chief global supply officer of Zespri, said the single desk marketer used 49 chartered reefer vessels and 17,829 refrigerated containers to ship around 157m trays of kiwifruit to more than 50 countries around the world this season.  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