After what promised to be a disastrous 2009, most suppliers to
the dry bulk industry were surprised by just how quickly global
demand for commodities recovered in the second quarter, writes
Michael King. Indeed, coal and iron ore exporters saw demand
far surpass expectations helped by China’s rapid recovery and
generous economic stimulus package.
For companies providing transhipment services, the surge in
demand for coal put even greater pressure on export facilities,
feeding demand for innovative, fast-to-install, handling and
logistics solutions.
“While 2009 started with great uncertainty, commodity
demand proved resilient and export volumes were strong,
especially throughout the second half of the year,” said Andrew
Minh Hooper-Nguyen, chief financial officer of Singapore’s
Scorpio Logistics.
“After the initial shock caused by the financial crisis,
sentiment has rebounded well and coal producers are dusting off
their development and expansion plans. Analysts seem
unanimous in forecasting increased coal volumes this year, which
is very good for the marine logistics sector.”
Mario Terenzio, head of Logmarin Advisors and a leading
figure over the last decade in a wide range of offshore
transhipment and logistics projects, said that despite the global
economic downturn, demand for coal-fired power stations in the
Far East was growing steadily. “This necessitates suppliers and
users focussing on seeking improvements in all sections of the
supply chain,” he told DCI.
Terenzio argued that since fuel is the biggest budget item for
most power plants, the manner in which coal is handled
influences overall plant efficiency and operations. “A dominant
factor in logistics costs for most of the new coal- fired power
stations is the cost of ocean freight, mainly due to the limited
accessibility of larger bulk carriers to both suppliers in Indonesia
and Vietnam and end users in India, Indonesia, Vietnam and the
Philippines,” he said. “As a number of the new power stations
are affected by shallow water draughts, this can prevent end
users from benefiting from the utilization of the larger size of
modern vessels.”
The solution in many cases can be the deployment of a
floating transshipment crane or full terminal, usually positioned
as closely as possible to the mine or the end user to minimize
inland transportation costs. “The investment cost in a floating
facility is definitely much lower when compared with a dedicated
shore terminal infrastructure,” said Terenzio. “The project
implementation time for a floating facility is also significantly less
than the development time for a shore-based facility.”
Another upside of an offshore installation is often the limited
permitting required, with offshore installations usually
administered by the national coast guard or maritime
administration, avoiding changes in laws and regulations affecting
landside investments such as the right of ownership for nonnationals.
And, of course, a transshipment terminal can be
moved if the market changes.
Nowhere are the benefits of offshore transshipment more
apparent than in Indonesia. Asia’s largest coal exporter
produced 254mt (million tonnes) of coal in 2009, a 5.8% increase
from 2008 and well ahead of the government’s 230mt target,
according to figures from the Energy Ministry.
About 78% of the coal was exported to buyers in Japan,
China, India, Australia and Africa with the rest used domestically,
said Bambang Gatot Ariyono, the Energy Ministry’s director of
coal and minerals.
With its main coal producing areas lacking harbours suitable
for receiving large bulk carriers, Indonesia has become the
world’s leading centre for offshore transhipment operations.
“Most of the Indonesian coal is exported by means of floating
facilities,” said Terenzio. “There are 35 transshipper units in
operation there — the majority of coal is loaded by means of
floating facilities.”
Terenzio cited Adaro, Indonesia’s second-largest coal
producer, as a prime example of the export logistics operations
in place in Indonesia. He estimated that over half of the
company’s annual production total of some 40mt in 2009 had
been loaded off the Kalimantan coast at an anchorage 15
nautical miles from the Barito river entrance canal using five
floating transshipment systems to load vessels up to 200,000dwt.
This year Indonesia is forecast to produce 280mt of coal with
75mt allocated for domestic use and, with doubt surrounding
the long-term competitiveness of Australian producers due to a
proposed carbon tax, that figure is set to continue rising through
to 2015.
“The prospects for the marine logistics sector look good,”
said Hooper-Nguyen. “We are seeing a number of new
opportunities in Kalimantan, but also in less-established
producing regions. The risks in 2010 relate to the sustainability
of coal demand, especially from China.”
As new mines come on stream, more transhipment facilities
will be needed in Indonesia said Hooper-Nguyen. “We have the
combination of existing fixed infrastructure being at capacity; a
transition from geared to larger gearless vessels; and new coal
volumes coming from small, remote KP mines for which
transhipment is often the only economically viable export
solution,” he explained. “It’s difficult to see these trends
changing in the short to medium term, meaning that the
proportion of cargoes loaded offshore is likely to continue
increasing.”
 
 
Two new cranes due for transshipment specialist
Later this year two new transshipment cranes will be delivered to PT Mitra Bahtera Segarasejati (MBSS), one of the key
providers of shipping and terminal logistics services to Indonesia’s miners.
The company already boasts a sizeable transhipment presence. Two floating cranes are in place serving Kaltim Prima Coal at Bengalon. The TS Bulk Pioneer offers loading capacity of 30,000 tonnes per day while the FC Ben Glory handles coal at some 24,000 tonnes per day.
The 24,000 tonnes per day capacity FC Nicolas started operations last year at Taboneo, while the 18,000 tonnes per day
capacity FC Princesse Abby — jointly owned with Swire CTM Bulk Logistics — was commissioned last August.
MBSS currently deploys a fleet of 80+ barges of 4,000–11,000dwt which feed a series of transshipment stations. “We are constantly renewing our barge fleet,” said Jon Vassella, vice president. “This year MBSS and Swire will jointly take delivery of two additional transshipment crane systems in the third quarter which will be stationed in East Kalimantan and South Kalimantan, respectively. Rated at 18,000 tonnes per day and 30,000 tonnes per day, as with some of the company’s previous designs Logmarin was to the fore in the planning and construction, with Italian classification society Rina overseeing the safety of the new units and classing them for open water operations.
The designs feature Liebherr cranes which are used with a combination of Bedeschi supplied hoppers, conveyors and
shiploaders equipped with telescopic shuttle loading belt and a rotating chute at the telescopic loading end.
The combination of the slewing and luffing movement of the main body of the ship loader, the telescopic movement of
the loading boom and the rotating loading chute enables optimum coal distribution and trimming to all parts of the
vessel’s hatches, according to Terenzio.
“The design and deployment of the equipment on the unit are geared to ensuring high turnover and efficient and
effortless loading and unloading from most types of vessels up to Capesize bulkers, as well as smooth and wider life cycle times,” he added.
Terenzio said Logmarin was also working on an additional floating terminal which will feature a Liebherr crane rated at
some 24,000 tonnes per day, while a further floating terminal for Indonesia is at the final design stage.
 
Offshore transshipment: overcoming inadequate shore-based infrastructure
 Coeclerici Logistics, Coeclerici Group’s logistics division is one
of the world’s leading bulk commodities transshipment
companies, with more than 30 years’ experience in this specific
field, writes Capt. Giordano Scotto d’Aniello, business development
manager at Coeclerici Logistics. Technical innovations, crossdisciplinary
expertise, skill optimization, long direct operational
experience and a proven track record are the main strengths of
Coeclerici Logistics.
Coeclerici Logistics has engineered and promoted the use of
floating terminals in countries such as Italy, Venezuela, Indonesia,
Bahrain, India, and Black Sea area transshipping annually over
17mt (million tonnes) of dry bulk cargo.
 
OFFSHORE TRANSSHIPMENT FACILITIES VS PORT TERMINALS
In today’s market, logistics and infrastructure represent the most
important challenge to handling increased dry bulk demand. The
ports of some of the countries with the world’s biggest reserves
of coal, iron ore and other bulk minerals like Brazil, Indonesia,
Venezuela and Africa lack either the adequate infrastructure or
the draught to accommodate Panamax or Capesize vessels.
A similar situation also prevails in some importing countries
like India and Vietnam. Exporters and importers are therefore
not able to profit by economies of scale as they have to load in
smaller size ships.
As we all know, the process of developing port terminals for
handling dry bulk cargo is a very expensive one. Where draught
restrictions are an issue, constructing terminals requires
dredging which in most cases has to be done regularly and
becomes a recurring cost. The other option is to build a long
jetty that will reach a depth water where the big oceangoing
vessels (OGV) can be accommodated. The time required for
building terminals is also an important factor, especially if
operations need to be commenced in a short time span. Port
terminals are the solution where there is a very long-term
project, enough space for storing big quantities of cargo, a deep
enough draught and adequate pier length to accommodate the
latest generation of bulk carriers. Where any of these factors is
missing, the construction of a port terminal becomes the less
commercially viable solution.
The main advantages of floating transfer stations versus port
terminals :
  • cheaper capital expenditure;
  • faster implementation;
  • overcoming draught restrictions;
  • flexibility, being transferable from one site to another as per customers’ requirements;
  • high loading/discharging rates;
  • some even offer storage facility like Coeclerici Logistics Bulkwayuù in Venezuela which can store around 60,000 tonnes of coal; and
  • environmental friendly
SOME EXAMPLES OF COECLERICI’S OFF-SHORE FACILITIES
Coeclerici’s FSTS (floating storage transfer station) Bulkwayuù —
currently employed for coal transshipment in the Maracaibo
Lake, Venezuela for the largest coal exporter in the area,
Carbones del Guasare — remains the largest and most
successful floating coal terminal built so far.
The choice of the most suitable offshore solution depends on
many factors such as sea, weather and location, the type of cargo
to be handled and the foreseen annual tonnage.
At times of economic belt-tightening and environmental
pressures, when comparing the merits of offshore logistics
facilities and the construction of port infrastructures, the
offshore vessel is a valid and suitable alternative.
Another example of Coeclerici Logistics’ experience in
offshore projects is the FTS (floating transfer station) Bulk
Prosperity developed through the Indian joint venture company
CGU Logistic Limited. Bulk Prosperity was designed for the
Indian market, is a very versatile offshore transshipper capable of
operating 12 months a year and, being self-propelled, can be
transferred to different areas of operation dispensing with the
hire of tugs.
The cranes and its heavy-duty design give the FTS open sea
operation capability; the facility is environmental friendly and is
expected to have an annual transshipment capacity of 6mt.
The FTS is able to fully discharge vessels — up to Capesize
— and to handle different types of coal or other dry cargoes,
thus providing customers with the advantage of using the same
facility to handle different commodities.
The multi-purpose FTS is also capable of carrying out loading
operations of cargo from barges onto the OGVs up to Capesize
by using its own cranes and the shiploader.
The FTS Bulk Prosperity, represents today’s ultimate evolution
in offshore logistics. Coeclerici Logistics is already promoting
the FTS’s advantages for shippers in other parts of the Far East,
where many countries are in search of suitable logistics solutions
to handle different types of cargo in higher tonnages and at
higher handling rate, with reduced stevedoring charges.
 
COECLERICI TRANSSHIPPERS: WORLDWIDE OPERATIONS
Coeclerici Logistics, which operates worldwide, has attained a
formidable leading position in the field of dry bulk logistics as a
market-oriented company, focused on the real needs of
customers.
Coeclerici Logistics is committed to ensuring that all its
operations are conducted in an environmentally responsible
manner. Every project provides for appropriate measures to
perform the cargo handling operation in a smooth mode; the
company will continue to devote its best efforts towards the
achievement of the best results for all the parties involved in the
logistic chain.
 
GAC and MariFlex in ship-to-ship transfer services tie-up
GAC Transfer Services S.A. (headquartered in Dubai) and
European STS service provider MariFlex (based in Rotterdam)
have launched ’GAC Transfer Services — Powered by MariFlex‘
(GTSM) to provide a wider range of services and choice of shipto-
ship (STS) transfer locations across Europe, Asia, the Arabian
Gulf and Indian Ocean.
The alliance combines the global reach of GAC — provider
of shipping, logistics, marine and related services — with
MariFlex’s expertise in a comprehensive range of complementary
maritime services, bringing a total of 60 years of experience in
ship-to-ship transfers of dry and liquid cargoes such as crude oil,
petroleum products and liquefied gas.
 
SKILLS, EQUIPMENT, EXPERTISE
“Transferring dry or liquid bulk from ship to ship is a highly
technical and challenging operation that requires not only
specialized skills and equipment, but also rapid mobilization
capability and in-depth experience in dealing with contingency
situations”, says Ruud Cogels, managing director of MariFlex.
“GAC Transfer Services powered by MariFlex (GTSM) has the
skills, equipment and network to handle any STS operations
safely and seamlessly.”
 
SAFETY FIRST
Every liquid bulk and gas transfer operation is carried out by
GTSM in accordance with the guidelines set out by the Oil
Companies International Marine Forum (OCIMF) latest edition
and International Chamber of Shipping (ICS) Guidelines, with
strict adherence to safety regulations.
 
MORE LOCATIONS
STS transfer operations will be offered from more than ten
bases, including Rotterdam, Amsterdam and Flushing in the
Netherlands; Gibraltar in Spain; Frederikshavn and Kalundborg in
Denmark; Gothenburg in Sweden; as well as Malta, Cyprus,
Malaysia, Vietnam, the Arabian Gulf and Indian Ocean.
Group vice president for GAC Solutions Christer Sjödoff
says: “With the increased number of bases, GTSM can now
respond faster and with greater mobility and flexibility, and
operate anywhere and anytime, as required by clients.
“All operations are handled by trained and experienced
personnel to ensure safe control. We also provide all necessary
equipment such as hoses, fenders and support craft, as well as
full back-up services including standby boats, equipment
transportation and 24-hour communication.”