Dry Bulk Summer 2023

SHIP LOADER SPECIALIST

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24 Building On Strong Foundations

Rino Bedeschi, Bedeschi S.p.A, Italy, overviews his company’s historic success and plans for the future in a Q&A with Will Owen, Editor of Dry Bulk Magazine.

28

The Black Hole Of The Supply Chain

Bernard Cohen, IntelliTrans, USA, discusses best practices in ocean shipping and potential solutions to ocean freight being the black hole of the supply chain.

33 Beware Of ‘Easy Fixes’

Simon Hodgkinson, West P&I, UK, reviews the dangers self-heating coal cargoes can present to shipowners and how coal carriers can minimise the risks involved.

36 Embracing Stillness

Todd Swinderman, Martin Engineering, USA, considers passive dust control in conveyor loading zones.

41

Making The Best Decisions In Compliance With ISO 2023

Pierre Morel, AXSMarine, France, explores some of the solutions available to help the shipping industry comply with the latest emissions regulations.

44

Bolstering Environmental Best Practice

Zak McElvenny, Solent Stevedores, UK, evaluates how companies can create a culture of environmental best practice in order to help the industry meet its net zero goals.

48

Pushing The Pedal To The Metal On Decarbonisation

The ways in which shipping builds commercial relationships need an overhaul. Henrik Wihelms, Wärtsilä Marine Power, Finland, details how introducing long-term, transparent collaboration and outcome-based partnerships can accelerate decarbonisation.

The Bedeschi stacking and reclaiming system for coal and pet coke with a stacking capacity of 6500 tph is installed in one of the most advanced and environmentally friendly facilities in Europe. Visit bedeschi.com for more information.

Be ready for docking!

Fast. Effective. Preventive.

Our engineers provide fast and effective maintenance solutions. We inspect your cranes four to six months before dry-docking at your chosen location and offer detailed repair recommendations. This ensures efficient management of necessary works, with parts delivered beforehand for preventive maintenance and extended service life.

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GUEST COMMENT

CHRIS OLIVER INTERNATIONAL CHAMBER OF SHIPPING

Bulk carriers are the workhorses of merchant fleet, transporting the raw materials that help us to house, heat, and feed our populations. Put simply, the bulk fleet is crucial to modern life. Driving the movement of the goods they carry are seafarers –the shipping industry’s most important and valuable asset.

MANAGING EDITOR

James Little james.little@drybulkmagazine.com

SENIOR EDITOR

Elizabeth Corner elizabeth.corner@drybulkmagazine.com

EDITOR

Will Owen will.owen@drybulkmagazine.com

EDITORIAL ASSISTANT

Isabelle Keltie isabelle.keltie@drybulkmagazine.com

SALES DIRECTOR

Rod Hardy rod.hardy@drybulkmagazine.com

SALES MANAGER

Ryan Freeman ryan.freeman@drybulkmagazine.com

PRODUCTION MANAGER

Kyla Waller kyla.waller@drybulkmagazine.com

ADMINISTRATION MANAGER

Laura White laura.white@drybulkmagazine.com

EVENTS MANAGER

Louise Cameron louise.cameron@drybulkmagazine.com

DIGITAL ADMINISTRATOR

Leah Jones leah.jones@drybulkmagazine.com

DIGITAL EVENTS COORDINATOR

Stirling Viljoen stirling.viljoen@drybulkmagazine.com

DIGITAL CONTENT ASSISTANT

Merili Jurivete merili.jurivete@drybulkmagazine.com

The COVID-19 pandemic taught us all lessons about the importance of safeguarding seafarer health and wellbeing if we want to maintain global supply chains. Due to government-imposed travel restrictions, many seafarers found themselves unable to return home, leaving them stuck on board their vessels for many months longer than anticipated. Apart from humanitarian and crew welfare concerns, as well as issues of regulatory compliance, there was the risk that fatigue would lead to serious maritime accidents. The situation was unsustainable for the safety and wellbeing of ships’ crew and the safe operation of maritime trade.

In our approach to seafarer safety, preparation is key to handling medical emergencies to achieve the best possible outcome. We can begin this before seafarers even board their ships. Pre-employment medical checks are sometimes the only time seafarers get to see a doctor, and so are a valuable opportunity to find out about any underlying illnesses and receive appropriate treatment before they begin work.

In times of emergency or unforeseen illness, seafarers need to be prepared through training to give medical care for both physical and mental illnesses. The Maritime Labour Convention 2006 and the STCW Convention states that all ships must carry either an international medical guide or national medical guide that seafarers can draw on should a medical emergency arise.

The ICS recently published the International Medical Guide for Seafarers and Fishers, written and reviewed by an international group of maritime medical practitioners. It was created with seafarers and fishers in mind – acknowledging that they are not medical professionals, and so are in need practical and clear guidance on procedures, medicines, and equipment. Shipowners must make sure that crew have access to easy-to-follow and up-to-date guidelines such as these. This is key to providing effective medical treatment on board.

Addressing the general wellness of the workforce must not be underestimated. We have seen the devastating impact that seafarer fatigue can have, not just on bulk carriers, but all types of shipping. We cannot ignore the positive influence that proper nutrition, hydration, and fitness has on the safety of day-to-day operations.

Dry bulk carries a diverse range of cargo and this can be challenging at times. Working under difficult conditions can take its toll, not just physically but mentally too. Just as with poor physical health, poor mental health can jeopardise the safe and efficient running of a ship. The COVID-19 pandemic exacerbated mental health issues, and emphasised the need for training around psychology. There are huge benefits to be gained when there is early involvement from mental health professionals and we need to make sure on-board medical guidance includes guidance specific to mental health.

The dry bulk industry and seafarers go hand in hand. Without one there is not the other. To ensure maritime trade can continue to operate, we must not forget to look after our people too, and equip them with the knowledge to tackle medical emergencies. A happy and healthy workforce makes all the difference to keeping vital goods moving safely and efficiently.

WORLD NEWS

USA Bruks conveyor technology ordered for US clinker operations

Bruks Siwertell has secured an order for a comprehensive conveyor system package from Borton LC, a US construction company.

The three new belt-type conveyor systems will deliver reliable, high-capacity material transfers and are specifically designed to withstand the extremely abrasive properties of clinker. They will be an integral part of a plant modification at Capitol Aggregates’ cement manufacturing facility in Texas.

The three new conveyor systems (C-810, C-940, and C-975) will modify the site’s existing material transport

system and the new storage silos. They are all standard widths of 91cm (36 in.). The C-810 conveyor will be 148 m (486 ft) in length and will transfer clinker to a bucket elevator at a rated capacity of 150 tph. The 84 m long (275 ft) C-940 conveyor will have a rated capacity of 200 tph and will transfer clinker to the silo reclaim, while the final C-975 conveyor will be 40 m long (131 ft) and connect to an existing conveyor. It will also have a rated capacity of 200 tph.

The conveyors are being fabricated in Mexico and will be delivered to the operator later this year.

THE NETHERLANDS Hanzevast Shipping contracts Castor Marine for fleet IT-communications

Bulk carrier operator and investor, Hanzevast Shipping BV, and Dutch maritime IT and SatCom infrastructure provider, Castor Marine, have completed the renewal of all onboard IT communications systems on Hanzevast’s Hanze Gdansk, Hanze Gendt, Hanze Genua, and Hanze Göteborg. All four ships are now fully up to par, with the crew being supported by Castor Marine’s Service Desk.

Hanzevast Shipping operates four Handysize bulk carriers – each double-hulled, 35 000 DWT vessels with four 30 t cranes and a Green Passport. In addition, Hanzevast has chartered the OSV Noordhoek Pathfinder to N-Sea Group. This is a maximum 40 persons, 62 m support and maintenance vessel for North Sea Offshore Wind installations.

The master of the Hanze Gendt commented: “In a positive way, the system really does make a difference. Consider troubleshooting, for example: we now don’t need an IT person actually having to come onboard to fix problems. That is handled remotely and saves a lot of time. I feel we’re in good hands with Castor Marine.”

Peter Dekker, Director at Hanzevast Shipping and Hanzevast Capital, stated: “At Hanzevast we do not just operate any vessels, we take a very close interest in their performance, both from a commercial and financial

position and from a sustainable and crew welfare point of view. This means we want our vessels to always be well-maintained. When it became apparent that the existing onboard communications infrastructure was no longer fit for purpose, we quickly decided to seek options and alternatives. One of the reasons we chose Castor Marine was that they offer 24/7 remote monitoring and support services, which we feel is crucial. The more so because our vessels operate worldwide. The fact that the software can be monitored and updated remotely was a deciding factor.”

Mark Olthuis, director at Castor Marine, said: “We are very pleased and grateful to welcome Hanzevast as our new client. And it has been an interesting process. For example, it took about 20 minutes from their first call to the moment I sat down in Hanzevast’s HQ in Groningen. We always try to respond fast to new enquiries, but in this case we really made a flying start! Together we made a plan and I am pleased to say that the project has been successfully completed. We delivered and installed the full network, including: servers, access points, switches, firewalls, Thin clients, printers, and more. In addition, Hanzevast has subscribed to our support services, which means that the crew can literally call on us at any time in the knowledge we will help them to the best of our abilities.”

WORLD NEWS

DIARY DATES

TOC Europe

13 – 15 June 2023

Rotterdam, the Netherlands www.tocevents-europe.com

TOC Africa

20 – 21 September 2023

Tangier, Morocco

www.tocevents-africa.com

Coaltrans Asia

24 – 26 September 2023

Nusa Dua, Bali

www.fastmarkets.com/coaltrans/ coaltrans-asia

POWTECH

26 – 28 September 2023

Nürnberg, Germany www.powtech.de

TOC Americas

17 – 19 October 2023

Panama City, Panama www.tocevents-americas.com

World Coal Leaders Network 2023

05 – 07 November 2023

Madrid, Spain

www.fastmarkets.com/coaltrans/ world-coal-leaders

Global Grain Geneva

07 – 09 November 2023

Geneva, Switzerland

www.fastmarkets.com/agriculture/ global-grain-geneva

TOC Asia

28 – 29 November 2023

Singapore

www.tocevents-asia.com

Antwerp XL

28 – 30 November 2023

Antwerp, Belgium

www.antwerpxl.com

To stay informed about industry events, visit Dry Bulk Magazine’s events page: www.drybulkmagazine.com/events

THE NETHERLANDS EMS-Tech opens new office in the Netherlands

EMS-Tech, a leading provider of custom designed bulk material handling systems, has opened a new office in Haarlem, located northwest of Amsterdam in the Netherlands, marking a significant milestone in the company’s growth and expansion in the European market.

The ribbon-cutting ceremony, held on 3 May 2023, was attended by several members of the EMS-Tech team, the Senior Commissioner from the Embassy of Canada to the Netherlands, as well as one of the Dutch Directors for EMS-Tech.

Peter Sorensen, President of EMS-Tech, commented: “We’re excited to establish EMS-Tech Europe in Haarlem and reinforce our presence in Europe. This move reflects our unwavering commitment to providing the highest quality technical solutions to our clients worldwide.”

EMS-Tech’s expansion in the region demonstrates its dedication to delivering timely support, fostering innovation, and taking advantage of the vast technical resources available within the European market. With the establishment of EMS-Tech Europe, the company is poised to offer more efficient and effective support to its clients, while creating new opportunities for growth and innovation in the region.

UK Liebherr electric cranes offer sustainability boost at PD Ports’ Tees Dock

Two new electric harbour cranes, representing an £8.6 million investment, have arrived at Tees Dock, as port operator and owner PD Ports continues to demonstrate its commitment to driving sustainability.

The Liebherr cranes, which tower at a height of 83 m with their boom’s fully raised and improve handling capacities from 100 to 140 t, are electric-hydraulic powered and offer a more environmentally conscious and efficient solution for loading and discharging a range of bulk commodities.

The state-of-the-art equipment also represents the latest in a string of investments made to support growing demand, as global customers recognise Teesport as a hub for bulk commodities, following the unveiling of the £12 million Teesport Bulks Terminal in 2020.

Thanks to collective efforts over recent years and the hard work of our people –coupled with a range of initiatives, including the procurement of electric vehicles, conversion of existing equipment, and the introduction of low and zero emission energy sources – PD Ports’ CO2 emissions are already back to levels last seen in 2000.

The company is now also on track to be Carbon Neutral by 2027, supporting its ambitions to become the UK’s most sustainable port operator.

WORLD NEWS

JAPAN United Maritime signs agreement to acquire three dry bulk vessels

United Maritime Corp. has entered into a 12-month bareboat charter agreement for a Japanese-built modern Panamax dry bulk vessel with an unaffiliated third party in Japan. The bareboat charter agreement will commence in 3Q23 and includes a purchase option for United.

The company has also taken delivery of two previously announced Kamsarmax vessel acquisitions and has secured time charter contracts for both ships that commenced upon the respective deliveries.

The recent Kamsarmax acquisitions and the down payment, paid on signing of the Panamax bareboat charter agreement, were funded through a combination of United’s cash reserves and proceeds from a sale and leaseback facility, with no equity offering or dilution of its shareholders to fund these transactions.

Stamatis Tsantanis, the company’s Chairman and Chief Executive Officer, stated:

“Following the recent, highly profitable sale of three of our tankers, we have re-grown our fleet by acquiring high-quality dry bulk carriers at attractive values. This re-growth of our fleet has been achieved without diluting our shareholders in funding these acquisitions.

“The new bareboat-in agreement for another modern Panamax vessel strengthens our presence in the sector further, without substantial capital outlay on its delivery, and provides a purchase option at the end of the bareboat period. Moreover, the delivery of two Kamsarmaxes and the prompt commencement of their charters is expected to generate approximately US$8 million in gross revenues by the end of the year.

THE NETHERLANDS Ports of Belledune and Rotterdam agree to work together on clean energy solutions

The Belledune Port Authority (BPA) has signed a Memorandum of Understanding (MOU) with the Port of Rotterdam to work together on the movement of dry and liquid bulk commodities, and manufactured products, between Canada and the Netherlands, with a focus on green products and clean fuels, specifically hydrogen.

The CEOs of both ports signed the agreement at the World Hydrogen Summit in Rotterdam, Netherlands, with New Brunswick Premier, Blaine Higgs, in attendance.

This agreement follows two similar clean energy trade MOU’s between the BPA and the German Ports of Wilhelmshaven and Hamburg, signed in 2022.

The agreements will support the BPA’s planned Green Energy Hub, a special development district for clean energy projects and complementary, low-carbon industries.

In August, the BPA announced an agreement with Cross River to develop a hydrogen facility powered by green-certified energy that would produce ammonia fuel

for export. Planned expansions would create additional capacity to serve local, domestic, and international markets. The facility will be located at the Port’s Green Energy Hub.

The MOU with Rotterdam will strengthen the ports’ bilateral partnership with the goal of supporting the energy needs of both Canada and the Netherlands, with a particular focus on the production, storage and shipment of cleaner fuels, such as: green ammonia, hydrogen, biomass, and renewable natural gas.

The agreement also enables the ports to explore: the possibility of infrastructure developments; innovations and technology advancements in the maritime transport sector as it transitions to cleaner fuels and greener energy; best practices in liquid and dry bulk products storage and shipping, particularly in the areas of clean fuel and green energy; and support for the development of relationships between importers and exporters in Canada and the Netherlands.

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Tanvi Sharma, Drewry, India, examines the current state of the global dry bulk market and looks ahead to future challenges.

As the global economy is grappling with an economic slowdown and mounting inflation, with most of the weakness concentrated in Europe and the US, the global dry bulk trade is experiencing a shift in trade volumes and patterns. The demand for dry bulk commodities contracted by 3.7% in 2022 (Figure 1) on the back of global recessionary fears, the Russia-Ukraine war, and China’s prolonged lockdowns. A significant decline was observed in iron ore and minor bulk trade, which declined by 4.5% and 8.0%, respectively, over the course of the year. This led to a 3.4% decline in shipping demand, leading to subdued charter rates.

The Americas region is indispensable in the dry bulk market, trading essential commodities such as coal, iron ore and grain, as well as minor bulks. The region’s contribution to the global shipping demand is paramount as various long-haul trade routes emerge from there, with a significant share of larger vessel segments (Figure 2).

For instance, iron ore trade alone accounts for 36% of the global dry bulk trade, out of which the volume traded on the Brazil-China route is 19%. Global soybean supply is completely driven by the economies in Latin America as well as the US and Canada.

The markets have undergone substantial volatility during and after COVID-19, while the Russia-Ukraine war has led to a major turn of events. The ongoing turmoil in the Black Sea region and the reopening of the Chinese economy will continue to shape trade flows in the region.

Recent trends and developments

The unprecedented situation of the COVID-19 pandemic invited measures to keep the economies afloat. Lockdowns halted industrial activity, constraining demand for steel making materials, while the central banks around the world adopted an expansionary monetary policy to keep the economy heated. The dry bulk market

experienced historic highs in freight rates due to the COVID-19 induced congestion at ports.

However, it was inevitable to face inflation after the extended period of easy circulation of money in the global economy. As major central banks around the world started tackling inflation by raising interest rates, an economic slowdown, with a lag, was in sight.

China’s manufacturing activity and real estate market remained subdued in 2022, due to COVID-19-linked lockdowns. Its iron ore imports also contracted by 3.1% during the year, leading to a ripple effect in the global economy as it is the biggest producer (as well as consumer) of steel in the world.

Brazil’s iron ore exports to China shrunk by 3% y/y after having contracted by 2% y/y in 2021 as well. A significant decline is seen in the export of third quarter, which shrunk by 12% y/y and 1% y/y in 3Q21 and 3Q22 respectively (Figure 3). This also corresponds to the otherwise peak

construction season in China, which has been subdued for the last two years.

China introduced its ‘three red lines’ policy in 2020 to address the problem of unbridled borrowing by property developers, which led to a contraction in the property sector of the economy. New home sales tanked while cash strapped developers struggled to finish projects. As the real estate sector is the biggest consumer of steel making inputs in the economy, demand for iron ore took a hit.

As the Chinese economy has reopened, Brazil’s iron ore exports rose 2% q/q in 1Q23. After a long period of a dormant housing market, sales of new houses in China rose consecutively in February and March, along with a high production PMI. The country’s iron ore inventory fell 5.5% m/m and 14% y/y in March, signalling a surge in import demand in the upcoming months.

Brazil’s long-term vision to cater to the world supply amid growing environmental concerns also looks promising,

as Vale, the country’s mining giant, has set its production guidance of high-quality iron ore from 310 – 320 million t in 2023 to 340 – 360 million t in 2026. It has started producing iron ore pellets without adding coal on an industrial scale to reduce its carbon footprint.

The Brazil-China trade relation is cemented due to the huge soybean trade as well. Brazil is the largest exporter of the commodity, which is also the country’s largest export crop. More than 90% of its exports go to China, which uses the crop as animal feed. With the exception of 2019, when animal flu in China led to a decline in the import of the crop, Brazil’s exports have been increasing y/y in the last decade, with an increase in the harvest area as well as the yield. However, in 2022, its exports declined by 8%, primarily due to depressed demand from China. As the country went under lockdown, demand for animal feed also contracted. Despite mild recovery in the country, Brazil’s exports to the Far East remained low in 1Q23, declining 18% y/y. However, heavy rain in Brazil had delayed the harvest of the crop this season. As Brazil enters its peak export season, exports will rise, which can possibly increase congestion in the east coast of South America.

While China will remain the largest importer of soybean, the growth rate in imports will plateau in the upcoming years; as the country continues to stress national security in food and thereby expand its soybean production, which rose by more than 20% y/y in 2022. The country has been making continual efforts to change patterns for soybean inclusion in animal feed, expand crushing margins, and undertake crop rotations to improve domestic production, posing a downside risk to Brazilian exports.

However, a significant development in Brazil-China trade relations has been the export of corn. As China has shifted its focus on increasing its domestic production of soybean, its import demand for corn shot up from 2021. Traditionally, the US has been the largest producer and exporter of corn in the world, with China being its largest market. As a fallout of the Russia-Ukraine war, Ukraine’s corn exports were adversely affected. Therefore, China has been diversifying its sources and started importing corn from Brazil for the same, with imports from the US continuing. While China’s contracts for delivery from the US are projected to be lower in the marketing year 2022 – 2023, they could increase from Brazil as it has been expanding its export capacity for corn and this low-priced Brazilian corn could benefit China. China waived-off many sanitary and phytosanitary requirements in 4Q22 to approve imports from Brazil. The recent decision of the two economies to settle trade in the Chinese currency instead of USD can also remove any hassles in the trade process, while at the same time promoting higher trade volume. The USDA projects a 10% y/y increase in production of corn this marketing year. Even though this is still one-third of the production of corn in the US in 2022, the difference between the exports of the two economies has been reducing, with exports of Brazil catching up.

Meanwhile, as Brazil’s soybean exports to the Far East fell y/y in 1Q23, the exports of the US to the region rose by 35% y/y in the same period. The US, in addition to being the largest corn exporter, is also the second largest soybean exporter. Its total exports rose 7% y/y in 2022, despite a slowdown in 4Q22 due to extremely low water levels in the Mississippi river in the US Gulf. Despite the ease in logistical constraints in the region, stiff competition from South America and higher crush margins in the US will keep the increase in exports minimal in this marketing year.

The US’ feed grain exports and wheat exports will rise, on the other hand. The US, along with its neighbour Canada, are among the top six exporters of wheat. As exports from Ukraine squeezed in 2022 due to the war and sanctions on Russian banks hampered Russian wheat exports, the US and Canada helped fill the gap.

The US also played a significant role to fill in the gap left in the coal market, especially for the EU. The US has a significant share in global coal exports, constituting 4% of non-coking coal exports and 15% of coking coal exports globally in 2022. In 2022, global exports of coal narrowly escaped a contraction. However, the exports of the US rose by 14%, primarily to the EU and India (Figure 4).

Since the EU imposed sanctions on Russian coal and cut LNG supplies amid the ongoing Russia-Ukraine war, the continent has battled an energy crisis – high gas prices have

Figure 1. Dry bulk trade.

Figure 2. Major dry bulk trade routes.

Figure 3. Brazil-China iron ore trade.

necessitated massive imports to maintain a decent buffer. While Russia’s share in the EU’s thermal coal imports dropped from 43% in 2021 to just 21% in 2022, the EU diversified its imports, leading to a shift in trade patterns.

The US’ exports of thermal coal to the EU more than doubled from 6 million t in 2021 to 13 million t in 2022, while exports of total coal rose by 53% y/y (Figure 4). This was particularly beneficial for the shipping industry as long-haul journeys added to the tonne-mile demand. Additional coal exports from Columbia to EU also contributed to this.

The heightened coal trade in the Atlantic will persist as the EU continues to depend on non-Russian sources to meet its energy demand. This will continue to boost demand for coal, with a forecast of 9% growth y/y in the EU’s imports in 2023, after having surged 72% y/y in 2020.

The US’ coal exports to India rose as the country faced heatwaves with inventories that had deteriorated sharply in 2021. To maintain a sufficient buffer, the country imported substantially large quantities of coal in 2022. Projections of higher than usual temperatures in the country are likely to keep the demand for coal upbeat.

Challenges facing the industry

As the energy crisis persists in the EU, industrial activity has been adversely affected and steel production activity has been curtailed massively. The EU’s iron ore imports shrunk 8% y/y in 2022, on the back of 11% y/y decline in steel production. The EU is Brazil’s second largest iron ore market, and the gloomy outlook of the EU’s economy could limit Brazil’s exports.

A tangential impact of the Russia-Ukraine war on the agrarian exports of Latin America is through the soaring cost of fertilizers. Russia is the largest exporter of fertilizers, which have been erratic since the beginning of the war last year. The supply shortage led to the extreme volatility of fertilizer prices in the market, affecting the cost of production and the timeline of purchase of essential inputs. The extension of the grain trade deal is likely to ease the flow of fertilizers in the market compared to the last year.

At the same time, exports from Argentina will be in the doldrums in the short term as the country continues to undergo a severe drought and a doubling of inflation y/y. The inflation-struck economy also underwent a strike from grain inspectors for three weeks in March, decelerating the pace of exports. The government has introduced the ‘soy dollar’ for April – May, to enable soybean exports at an exchange rate higher than the official exchange rate, supporting the cash-strapped exporters.

Moreover, many containerised dry commodities that swing between containers and dry bulk vessels can move back to the container segment, as rates in the container sector moderate after skyrocketing during the period.

Charter market

As the market approached the end of the seasonal low of the first quarter, which was accentuated this year due to the steep decline in charter rates in February, the market recovered significantly in March (Figure 5). Drewry’s dry bulk TCE index (base = 100, 2015) rose to 142 in March from a low of 36 in February.

The time charter equivalent rate of Capesize vessels on iron ore routes will improve substantially in 2023 in the base case scenario, from the historic low in 2022 (Figure 6).

Conclusion

The region of Americas is a key force in the dry bulk trade. After experiencing massive earnings during COVID-19 and sharp volatility during the last year, the market is likely to remain subdued in 2023 for period charter rates, with the weight of recovery on China. The EU’s coal demand will continue to pose an upside for trade in the Atlantic. The performance of freight rates will vary with routes, but will be optimistic for Capesizes on major iron ore routes, in comparison to the historic lows of last year.

Figure 4. US coal exports.

Figure 5. Spot rates.

Figure 6. Time charter equivalent. Brazil-China (iron ore). Capesize (180 000 dwt).

As spending continues to be allocated to rebuilding roads, bridges and other aging infrastructure, minerals such as lithium, cobalt, nickel, and many others are expected to see a spike in demand to support this growth. As a result, this increase in mineral production by way of mining is bleeding into the mineral processing industry, with indicators pointing to strong growth in the coming years. This progression can lead to increased profits for mineral processing operations. However, maximising efficiency to capitalise on this opportunity requires the right equipment. It is critical that operations evaluate their process flow and equipment selection routinely, in order to ensure they are using the best tools for the job. Screen media selection, for example, is an often-overlooked factor that can have a significant impact on an operation’s overall efficiency. Though relatively cheap compared to the rest of the equipment in a quarry or mine, it can be argued that screen media has as much impact on productivity and material quality as the vibrating screen. It is important that operations give screen media as much buying consideration as they do the vibrating screen itself.

For this reason, a number of factors influence the choice of screen media. Certainly, cost is a consideration, but it should not be reduced to purchasing price versus wear life. A full cost analysis needs to include labour cost for change-outs and cleaning, loss of production during downtime, media performance – tonnes produced, for example – and indirect factors like crusher relief. Thinking only in terms of dollar value can be short-sighted and end up

Lars Bräunling, MAJOR, Germany, explains how choosing the right screen media can improve efficiency and profitability.

costing an operation more in the long run. The operating environment, including material characteristics and recurring screening problems, should also be considered. From there it is important to look at different media types in order to assess which fits best, and to learn proper installation and maintenance to ensure long-term success.

Application is key

Selecting the proper screen media for an application first involves examining the screening plant and any issues surrounding it. Start with taking a look at the material being processed to get an idea of what the screen media needs to stand up against. Consider the drop height, material size, abrasiveness, weight, and volume. Naturally, the more impact the material will have on the media, the higher durability it should have, at least at the impact point. Also, abrasive material, such as granite, calls for resistant screen media, such as polyurethane or high-vibration wire media. Likewise, top sizes of 10 in. or larger demand a more durable screen, including options such as double wire screens, perforated plate, or rubber.

With regards to the flow of material, a visual check or belt cut of the crusher feed belt is an effective way to see if there is saleable rock being sent to the crusher. This could be the result of carryover or because the deck capacity is exceeded. The solution may be adjusting the cut, improving capacity, or fixing screening problems such as blinding or pegging with alternative screen media.

Next comes an examination of the longevity of the existing screen media. Is it wearing much faster than expected? An area of the deck showing the most wear can indicate a need for stronger media. Wear can be spotted by looking at the wire diameter and whether wires are developing a flat top, especially in high wear zones like the feed end and centre area of the deck. Look for rounded openings if using synthetic media, such as rubber or polyurethane.

In addition to the deck itself, the pile of discarded screen media can be a good area to look for insight into screening problems. Broken wires, wear areas, pegging, or blinding should all be noted to help pinpoint problems on decks. Any of these can lead to material contamination and downtime, making them a significant cause for concern. Also, black marks on the underside of polyurethane or shiny undersides of wire can indicate a poor fitted screen media, and may point to a need for additional personnel training.

Determining the proper screen media

Depending on the operation, an hour of downtime could cost hundreds of dollars in lost production. That makes choosing a screen media that maximises uptime and efficiency even more critical.

Perforated steel plates and heavy rubber panels are, almost by definition, the most durable options. Rubber can be effective for screening material with a top size larger than 12 in. or for openings bigger than 4 in., but it tends to be more susceptible to pegging. A perforated plate is an acceptable option for applications requiring durable screen media with a lot of open area, but is often noisier and heavier, which can cause issues. Both also typically have less open area than wire alternatives.

Woven wire cloth has been the traditional option for a long time for a reason. It is relatively inexpensive and effective, however there are a number of advanced options available that offer more durability, throughput, and versatility. Furthermore, purchasing a traditional woven wire design based solely on price may end up costing more in terms of wear life and more frequent change-outs.

Synthetic modular media, such as polyurethane or rubber, is typically known for its long wear life and ability to reduce noise levels, but it is not without its own challenges. This type of media typically has less open area than wire screens, leading to decreased throughput. This, in turn, also reduces the capacity of bottom decks because the material takes longer to make its way down. Also, operations using synthetics must keep a close eye on the panel openings. Openings tend to wear by rounding out, making it necessary to regularly check that the panels are still the correct size and not letting out-of-spec material through.

Both synthetic screen media and traditional woven wire are very rigid and rely on the vibrating screen to do most of the heavy lifting. The static movement of the screens limits vibration to 800 or 900 cycles per minute. In most cases, this does not hinder the screen media from achieving adequate production and throughput, but it is not fully utilising screening equipment either. This often results in common issues, such as blinding and pegging.

High-vibration screen media offers a wear-life compromise between synthetic and woven wire and often provides the most performance benefits. The media features high-strength wire bonded by polyurethane or rubber strips to hold individual wires. The wires vibrate independently of one another – within opening size specifications – to amplify the screening process and

Figure 1. Choosing a screen design based solely on price may end up costing more in the long run. The lower price often comes with reduced performance and wear life, as a result of poor quality materials, weaving, trimming, or countless other factors. While the up-front cost will be lower, the lost production and frequent screen replacements quickly add up.

increase throughput by as much as 40%. Additionally, the vibrations prevent or significantly reduce pegging, blinding and clogging issues, improving product quality and reducing potential downtime.

However, not all high-vibration screen media is the same. Most manufacturers do not customise the media specifically to each application to ensure optimum performance and wear resistance. When properly fitted to an application, high-vibration screen media can amplify the work of the vibrating screen with vibrations of 6000 to 10 000 cycles per minute – up to 13 times greater than traditional, rigid media options. Often the screen media can be modified with thicker or double wires and additional polyurethane to further boost durability.

There are inexpensive options for every style of screen media, but operators should hesitate before choosing them. The lower price often comes with reduced performance and wear life, as a result of poor quality with the material, weaving, trimming, and hooking process for wire screens – or similarly, poor manufacturing and materials with other styles of screen media. The up-front

cost will be lower, but lost production and frequent screen replacements will quickly add up.

Following through on screen maintenance

The best screen media for the job will not do much good in the long term if it is not installed and maintained correctly. Start off right with proper installation, and then monitor to ensure the longest possible wear life. Manufacturers often offer installation guides, which should be followed closely when provided. Though specifics depend on the type of media, there are some general tips that apply to most:

n Inspect the condition of all components that come in contact with the screen and replace them if necessary.

n Ensure the panel is the correct size and orientation prior to installation and clean off any build-up of material for a solid fit.

n Make sure all support bars touch the screen and tension matches manufacturer recommendations. Too-loose tension will not yield optimal throughput and can lead to early breakage and a potential increase in blinding problems.

Preventative maintenance is also key, such as checking screen media at least weekly to make sure tensioning is still properly adjusted and that there are not any unusual signs of wear. Also examining surrounding components for any potential issues, such as corrosion or cracks. Vibration analysis systems can be a useful way to not only monitor and fine-tune a vibrating screen’s health, but also to spot inconsistencies that could lead to problems. This could include imbalance or excessive vibration, which can lead to screen failure or accelerated component wear. Some of today’s systems do not even require the operation to shut down the machine for testing.

Screen media maintenance and installation seminars with the information provided by a trusted OEM can be another excellent way to learn how to effectively maintain screen performance. Manufacturers often offer this service through site visits or via a nearby dealer.

Looking at the big picture

Just because a vibrating screen is a much larger investment than a screen media panel does not mean buying considerations should not be equal. Both components significantly impact material quality and operational efficiency. With infrastructure on the rise and mineral demands spiking, selecting the best screen media is more important than ever. An operation can expedite the decision process with experience-backed recommendations from a screen media OEM or dealer, in order to ensure they are getting the most appropriate screen media for their mineral processing application. Minerals are the building blocks of the world’s infrastructure. Investing time and resources into selecting the proper screen media facilitates not only increased productivity and efficiencies, but also the confidence of making a meaningful impact towards rebuilding critical infrastructure to be enjoyed by future generations.

Figure 2. The best screen media for the job will not do much good in the long term if it is not installed and maintained correctly. Start off right with proper installation and then monitor to ensure the longest possible wear life.

Figure 3. Depending on the operation, an hour of downtime could cost hundreds of dollars in lost production.This makes choosing a screen media that maximises uptime and efficiency even more critical.

Rebecca Long Pyper, Dome Technology, USA,

If current trends are any indication, domes are becoming a go-to solution for companies storing a wide variety of dry-bulk products.

In 2022 Dome Technology’s team tackled 17 construction projects for products ranging from salt to sugar, with wood pellets topping the list in frequency. In 2021 the number of construction projects was similar – cement powder was the star that year – but Dome Technology also tacked on 20 engineering projects.

A dome’s appeal is amplified when customers discover Dome Technology not only builds the storage structure, but also designs customised reclaim systems to match. This article presents an overview of some of the company’s recent projects.

Kajima – Japan

Japanese company, Kajima, and Dome Technology have partnered to bring industrial domes to Japan. The dome method was applied in June 2021 to a storage project in Shunan City, Yamaguchi Prefecture. The structure, with a diameter of 27.5 m, a height of 28 m, and a 10 000 t storage capacity was completed in December 2022.

According to Kajima leadership, the company will expand its utilisation

outlines how diverse bulk-storage companies are choosing domes to secure their products.

of dome-construction methods to a variety of buildings including arenas – a testament to the dome’s versatility.

American Crystal Sugar – Illinois, US

Dome Technology recently constructed a DomeSilo for repeat customer American Crystal Sugar in Montgomery, Illinois. This 60 000 t refined-sugar dome was built adjacent to the distribution hub’s existing dome from a 2017 collaboration between the companies. The new dome is 184 ft in diameter and 146 ft tall, similar to the first DomeSilo.

Dome construction was just one part of this project puzzle. The team also adapted existing infrastructure to provide rail loadout. Before this project, sugar was delivered to the site by rail, stored in the dome, then distributed by truck. To expand its services, ACS asked Dome Technology to modify the rail system to not only accept rail cars but also load them. Some of the company’s clients did not have truck receiving, they had

rail receiving; therefore moving to rail distribution would diversify the customers they could sell to.

On the fabrication side, Dome Technology built and installed a large tube gallery to connect an existing bucket elevator to the new DomeSilo, allowing the company to optimise conveyance and protect product integrity. Built in Dome Technology’s shop, the tube gallery is 13.5 ft in diameter, for ease of maintenance access, and extends 160 ft to connect the bucket elevator to the new DomeSilo.

The tube gallery is essential to the project because it helps keep the temperature and moisture levels consistent during conveyance. As it is being transported, the sugar is 100% protected from the elements.

Fabrication of a round tube gallery requires precision, and bids from outside manufacturers were cost prohibitive. The project was moved to the Dome Technology shop at company headquarters as a cost-saving measure and allowed for greater quality control. The tubes’ exteriors were finished with insulated paint. Loaded with tiny ceramic discs, this paint boosts insulation values and was a customer request. The gallery was installed in 18 hours.

Bridgesource – Utah, US

Two DomeSilos with specialised systems have been built for cement-product provider Bridgesource in Ogden, Utah, US. Fly ash or cement is pneumatically conveyed to one of two domes, the centrepiece of the storage facility.

Each dome is 108 ft in diameter and 120 ft tall with a capacity of 32 000 t cement (25 000 t fly ash) each. Reclaim is achieved using an aerated floor system and side discharge. The DomeSilos will also be capable of transitioning to cement storage if necessary.

Trains deliver and discharge product into the pneumatic transport equipment; Dome Technology also constructed a steel building over the pit. From the domes, the product is conveyed to one of two 300 t day bins for truck loading or a batch plant. A 700 ft pipe transports fly ash and cement from the pit to the batch plant.

Drax – Alabama, US

Renewable-energy giant and repeat customer, Drax, completed another dome-centered wood-pellet facility, this time in the southern US.

Located in Demopolis, Alabama, this new site features two storage domes 90 ft in diameter and 135 ft tall. Both can store 10 000 t apiece, and are designed with a 100% live-reclaim floor system. Product is reclaimed using a sloped hopper floor

Figure 2. Bridgesource’s aerated floor system provides reclaim.

Figure 1. The two Bridgesource DomeSilos were equipped with pneumatic conveyance for either fly ash or cement.

system, and the domes are fitted with state-of-the-art safety systems, including: aeration, heat sensors, and gas-monitoring sensors.

The site is the epitome of efficiency. Pellets are produced at an onsite plant, then belt-conveyed to a bucket elevator, where they climb the first dome. At the top, the pellets enter a diverter, where they are directed to the desired dome.

Inside both domes, an innovative live-reclaim floor system imagined by Drax and built by Dome Technology is built around a V-shaped floor, so product slides easily across the steel-plated floor. The domes’ tall and narrow shape fit the available footprint, while still maximising capacity and live-reclaim capabilities. This cuts down operational costs because less equipment requires maintenance and operators do not have to enter the hazardous area.

Pellets leaving the dome are conveyed approximately 1000 ft to the river port where they are loaded onto barges.

Albioma – Reunion Island, France

Repeat customer and independent renewable-energy provider, Albioma, chose two identical DomeSilos for storing wood pellets at its Bois-Rouge cogeneration unit on Reunion Island.

The design-build project facilitates responsible energy usage and reduced greenhouse gas emissions. Albioma’s leadership has committed to fully abandon coal usage at the site by the middle half of 2023. Instead, the power plant will operate completely on biomass.

The domes are 105 ft in diameter and 85.3 ft tall with a capacity of 9500 m3 apiece. Pellets are stored and burned onsite to produce electricity for the island. A Vibrafloor system was chosen for reclaim.

DomeSilos are well-suited to serve as storage structures for areas prone to natural disaster and can withstand windborne debris, projectiles, and 250 mph winds. According to the Dome Technology site-construction team, these particular domes weathered two cyclones during construction.

Dome Technology’s scope of work for this project included excavation, foundation, concrete work, tunnel installation, mechanical and electrical work, and commissioning. Another important player was Canada-based CIMA+, which assisted Dome Technology in many aspects of the project – from French point of contact and design management with equipment suppliers, to construction support and commissioning.

Customers request custom construction

As bulk-storage companies have become increasingly sophisticated, so have their expectations when planning new storage facilities. Dome Technology has kept pace with customer demands by expanding its own expertise. Dome Technology is one of the original dome builders, but has moved well beyond the hemispheric dome and now champions the DomeSilo for its ability to maximise storage within a small footprint. This model competes with traditional silos for many reasons, vertical storage being the most obvious, but a DomeSilo of similar dimensions to a steel silo can store more because product can be stored all the way to the dome’s ‘roof’. A steel silo cannot withstand that level of pressure when product is stacked that high.

Additionally, Dome Technology’s recent advancements in its Drive-Thru DomeSilo model appeals to customers who value efficiency. For example, Continental Cement Co.’s Drive-Thru allows for trucks to be loaded at the same time barge unloading is replenishing inventory.

Dome Technology’s spectrum of in-house expertise has also increased in recent years with more engineers joining the team to design ideal storage facilities for customers worldwide. Fabrication is another important service the company offers, as well as recommendations about conveyance. These conversations translate into reality thanks to time-tested relationships with industry-leading conveyance providers.

General appeal

Versatility just might be the greatest of all dome virtues. Whether at a portside location with a high water table or a landlocked grain facility, domes boast benefits for all stored products in any environment.

Looking into the future, the Dome Technology team is due to complete several large-scale projects in the US and abroad. Furthermore, a DomeSilo is under construction for a Middle Eastern sugar refinery; and Titan Cement is building a dome in Florida, as well as another in Virginia. Also an international cement company has hired Dome Technology to build a 50 000 t dome in the southern US, as well as a 25 000 t dome in South America.

As more companies learn about dome benefits, Dome Technology’s executive team expects the dome will continue to grow in popularity.

Figure 3. Albioma’s new DomeSilos will allow the company to fully abandon coal usage at the Reunion Island site in 2023.

Rino Bedeschi, Bedeschi

S.p.A, Italy, overviews his company’s historic success and plans for the future in a Q&A with Will Owen, Editor of Dry Bulk Magazine.

8000

Figure 1. Bedeschi shiploaders for coal, with a capacity of

tph each.

In 2023, Bedeschi celebrates its 115 year anniversary.

Established in 1908, the company continues to provide solutions across a Iarge variety of industries – such as bulk handling, container logistics, and bricks – capitalising on synergies and cross competence. Diversification is one of the group’s major assets to nourish its products and services to provide the best tailor-made solutions to meet customer needs.

Founded by Guglielmo Bedeschi in the early 20th century, the group has experienced constant and continuous growth under the Bedeschi family’s leadership, to the point where it is now managed by the fourth generation.

The company’s headquarters is located in Limena (PD), Italy – where the largest production unit is located.

Other locations include Bergamo and Genoa, Italy; London, UK; Perth, Australia; Saarbruecken, Germany; Boca Raton, US; Dubai, UAE; and Hong Kong. The company employs more than 350 people, half of which are engineers.

Bedeschi exports more than 95% of its sales, leveraging on its experience in offering integrated solutions covering any customers’ needs in handling different types of materials.

To find out more about Bedeschi and the global activities it is undertaking in year 115, Will Owen, Editor of Dry Bulk magazine, interviewed Rino Bedeschi, Managing Director.

WO

Why is Bedeschi looking to grow its presence worldwide in 2023?

RB

Bedeschi has always had an international approach, and this has been consolidated in 2023 with the opening of two new branches – one in Australia and one in Germany. The idea being to strengthen and establish, even more so than before, the company’s position as a global player.

We strongly believe that being close to our customers allows us to provide better tailored services and products for new capital investments, not to mention after sales services. Our challenge is to integrate at best the different experiences and know-how that our colleagues have gained to enhance our worldwide service with best engineering and products.

WO

This is a major result considering the challenges the world had to face in the past few years. First the COVID-19 pandemic and now the Russian invasion of Ukraine. What has been Bedeschi’s secret to maintaining stable management and how do you feel about the way you have navigated these challenges so far?

RB

Looking back on the path taken by Bedeschi over the course of 115 years, proud is the best word to express my feelings today. Our story is one of commitment, know how, dedication, and, most importantly, the passion of all the men and women that contributed to the growth of the company over the years. These values allow us to face events that have led to unprecedented and irreversible transformations of the world as we knew it. Always being close to our customers and exploring the new challenges they are facing has helped us to continually develop innovative solutions and offer solutions to help them navigate the turbulence the world, and in particular the global economy, continues to encounter. Our organisation is very lean, ensuring fast decision making and high flexibility – both of which offer a competitive advantage in the changing markets we are operating in. For our customers and partners, I am only a phone call away.

WO

How does Bedeschi manage to serve different clients’ requirements? What benefit does Bedeschi gain from being able to offer turnkey solutions?

RB

Bedeschi has always been known for its ability to differentiate and innovate its range of products. We firmly believe that bespoke solutions are the best choice, as they allow for the real needs of each customer to be fully understood and met. Creating a tailored solution for each project helps to maximise the performance of the equipment involved. They are fit for the purpose because they are designed for a project and approach specific to the client company, providing greater value.

Leveraging its R&D Department, Bedeschi can satisfy a broad range of client requirements with innovative solutions and the most advanced technologies, both in terms of design and manufacturing. Moreover, the customer is able to view the machine or plant in advance, thanks to in-house software capable of creating a virtual twin of the machine being supplied, studying the details, and overcoming constraints.

WO

Why it is so important for Bedeschi to invest in innovative and green solutions?

RB

The bulk handling business has been increasingly compelled to meet stringent standards to reduce emissions and pollution. This is not only true for what is directly generated by operations, but also to become a greener system as a whole. Mandated by constraints imposed by legislation, the desire to impact as little as possible on the environment can only be translated into facts by considering efficiency, seamlessness, dust limitation, and sustainability as a single, integrated target, rather than a selection of unrelated and independent issues. Applying known solutions with a ‘think outside the box’ attitude is the key to achieving this goal.

For Bedeschi, there is no improvement without innovation; and innovation represents one of the most significant drivers of our activities. The company’s innovative engineering is the result of sustainability, including emissions reduction, being targeted on a corporate level.

Bedeschi has established a strategic long-term sustainability plan, which, in 2022, led to the first sustainability report for which the company is committed to measuring its performance regularly. Through this report, the company wants to illustrate how sustainability is a key element of its business model. Inside this report, the company has mapped its carbon footprint by accurately defining its impact in terms of GHGs, in order to develop an appropriate compensation strategy and reach 100% of compensation for direct emissions by 2050.

WO

What future plans are there for Bedeschi? RB

Bedeschi aims to establish itself as the global leader in its sector, offering unique solutions and commitment to its customers.

Figure 2. Bedeschi fully automated coal export terminal with a total aggregated capacity of more than 48 000 tph across six loading lines.

Accomplice to this success are the headquarters and manufacturing facilities in Europe and the ability to offer first-class support, thanks to the regional centres around the globe that operate as an integrated solution. This is the direction we are taking and where we aim to be.

The company is continuously growing and will continue to hire and retain the best talent in the industry, who are experts in their fields, in order to provide the best tailor-made solutions and support to the clients.

WO

What makes Bedeschi stand out from its competition?

RB

Bedeschi has a long history of executing complex projects completely in-house from concept to design, engineering, manufacturing, and commissioning. Our solutions can comply with any client’s specifications or local requirements. Half of our team are engineers, and this enables us to have a wide group focused on several projects at the time and a high level of study and customisation.

Inside our manufacturing facilities, we fabricate components and pre-assembled machines that can be shipped from our workshops through direct port access to anywhere in the world. The workshops ensure quality control and inspections, as well as the required labour and better cost management, rather than operating through a third party for fabrication. The result is evident in a higher standard quality product, delivered on cost, and on time.

COMPLY WITH EEXI

The easily installed Becker Mewis Duct®, for vessels with a high block coefficient, reduces SOX, NOX and CO2 emissions. The device is placed in front of the propeller, has no moving parts, reduces noise, and saves energy by 6% on average.

Figure 3. Bedeschi stacking and reclaiming system for coal and pet coke with a stacking capacity of 6500 tph, installed in one of the most advanced and environmentally friendly facilities in Europe.

Right: 176,000 DWT Bulk Carrier Pacific East Owner: Sinokor Maritime Becker Mewis Duct® (retrofitted)

Bernard Cohen, IntelliTrans, USA, discusses best practices in ocean shipping and potential solutions to ocean freight being the black hole of the supply chain.

The ocean shipping sector enjoyed an unprecedented rise during the pandemic, but the outlook for 2023 seems more challenging due to volatile demand and rising fuel costs. Maritime Strategies International mentions that the outlook for trade growth is challenging due to increased inventory levels. Yet, the forecasted growth of ocean fleets is 7% y/y in 2023. Pandemics, natural disasters, socioeconomic, and geopolitical issues have strained supply chains, leaving executives concerned about what to do next.

Many variables and moving parts are involved when moving goods by sea. These variables include the nature of the cargo, weather and sea conditions, port availability and restrictions, insurance costs, time, cost, availability of transport services, the port of loading and unloading, and customs and import/export regulations. With so many moving parts, tracking, managing, and adjusting operations as needed is challenging even in normal conditions.

Shipping routes and times can be unpredictable due to weather, accidents and traffic, leading to costly delays. There is an added layer of complexity because ocean shipping involves international trading partners and legal entities, meaning agreements must be kept, and compliance regulations must be adhered to.

Without real-time visibility into ocean shipments in transit and intelligence on port conditions, supply chain managers lack the flexibility to circumvent bottlenecks and respond to continued volatility in ocean shipping. These executives leave shipments up to chance without visibility into the entire ocean shipping process.

To manage ocean shipping and mitigate risk, having the right tools to manage shipments and provide visibility is critical. Tools exist to seamlessly plan ocean shipping, procure carriers, book shipments, track cargo and manage exceptions from a single platform, so that customers get the products they want when they want them. Modern ocean shipping technology empowers supply chain executives to reroute shipments to faster lanes (i.e. going through less congested ports), find alternative ocean carriers, make adjustments in distribution, and manage supply chain flows. The technology also exists today to quantify sustainability aspects of a shipment and minimises its comprehensive impact.

Why shippers move goods via sea freight

Many companies rely on transporting goods via sea freight in today’s highly globalised world. Dry bulk shippers and distributors often use ocean freight when

shipping to international customers. This convenient and cost-effective shipping method offers numerous advantages over other modes of transport. Not only can large volumes of goods be shipped long distances affordably, but the carbon footprint associated with ocean freight is also considerably lower than that of other methods.

Shipping vessels accommodate large quantities of cargo, which can be very heavy and placed in containers. Ocean ships can handle significant weights and quantities compared to other available modes. Ocean shipping is the best option when shipping heavy goods or a large quantity of product. While maritime transportation is slower than other modes, it is also more cost-effective and eco-friendly.

Why visibility is important in ocean freight

The days when dry bulk shipments were loaded onto a ship and sent off to a far destination to hopefully arrive safely and securely are long gone. Today’s shippers want to know where their cargo is every step of the way, understand the reason for any delays, and have a more accurate estimated time of arrival (ETA) for their goods. They must also be able to plan out, book, and execute their freight without using multiple systems, spreadsheets, phone calls, and emails to get the job done.

Now is not the time to leave ocean shipping visibility up to chance because:

n Visibility is crucial in today’s volatile market and requires monitoring shipments from when the goods leave the dock until they arrive at their destination.

n Ocean freight is often the black hole of the supply chain as the variables in ocean shipping vary.

n Big ocean carriers have been improving their performance while helping shippers see precisely where their shipment is at the container level.

n Demurrage and detention charges are getting higher. To reduce these charges, shippers need proof of when a shipment was loaded, when it left the dock, when it arrived on land, and how much time was spent before it was loaded onto a truck and shipped to its destination.

n It is essential to track single containers on the ship as well as the entire shipment. In addition, seeing the order details within the container enable the shipper to identify freight by terminology the shipper recognises. This allows companies to see their freight in the context of the larger vessel, but also where their individual containers are. This helps improve overall transparency and helps companies plan better for the shipment's arrival, unloading, and delivery.

n Being proactive, rather than reactive, is demanded in ocean freight. An ocean visibility platform notifies shippers and their customers about potential disruptions, allowing all parties to react accordingly.

Figure 1. IntelliTrans allows companies to unleash the power of their supply chains to improve customer service, reduce operational costs, and automate business processes.

Figure 2. Optimise your supply chain operations for bulk and break-bulk industries with IntelliTrans.

Rather than letting their cargo shipments enter a vast black hole when they leave port and head out to sea – or waiting for missed deliveries, detention fees, and penalties to add up before doing anything about them – companies are turning to technology for help.

Why a control tower is important technology for ocean visibility

Thanks to technological advancements, good ocean freight visibility is more attainable than ever. Technology allows companies to plan, book, execute, and track ocean shipments all in one place – providing visibility for the entire lifecycle of the ocean shipment.

Of course, businesses cannot effectively and efficiently manage their multimodal shipping on visibility alone. It takes a transportation management system that acts as a ‘mission control’ to plan, execute, and track ocean, rail, truck, and barge shipments all in one place.

Here is why this is important: some software providers may offer ocean tracking capabilities, but if a shipper wants to use those systems to check the shipping schedules to/from a port or book space on a ship, they must go to a different system and enter all of that information manually. With all the information in one place and a single platform to perform these operations, shippers also receive historical shipping, arrival, and cost data needed for analysis.

A single supply chain visibility platform for planning, booking, and execution of ocean cargo shipments

IntelliTrans has built ocean visibility capabilities into its transportation management system in response to customer demand, plus an understanding that the more transportation can be managed from a single platform, the better. From a multimodal perspective, this gives shippers one system for all modes versus having to access different systems,

spreadsheets, and emails to handle tracking and execution.

This is how it works:

n Companies use the platform’s ocean schedules to plan, book, and execute their freight.

n An electronic bill of lading (BOL) is generated, and the container is ready to ship.

n Once the container is put on the ship to start its journey, shippers have complete visibility of the order, container, and vessel levels using GPS location trackers.

n If a shipper also uses a truck, rail and/or a barge, the same capabilities extend across each mode, and all related data is available in the same platform.

Without a unified platform, companies must use different systems, often visiting each carrier’s website

and manually entering all of their shipment information. In many cases, this means visiting 10 – 15 carrier sites that cover their lanes and starting the booking process from scratch because the historical information often is not stored on those sites. With a single platform, the data is retained and can be used repeatedly for execution, to run key performance indicators (KPIs) and access dashboards to monitor progress.

For companies accustomed to managing multiple modes on disparate systems, carrier websites and email, the move to a consolidated platform is a real game-changer. Not only do the planning, booking, and execution processes become significantly easier and less manually intensive, but companies also gain in-depth visibility into their global supply chains. This leads to fewer errors, less risk, and higher assurance that goods will get from point A to point B in a secure and timely manner.

This, in turn, leads to happier customers and gives shippers benchmarks that they can use to make better decisions, improve their transportation approaches, and even attract tech-savvy employees in an era where labour is hard to come by and often even harder to retain. Customers are asking for better visibility and more accurate delivery target times, and employees need automation that helps eliminate manual processes.

Ready to handle any ocean cargo load

Since the invention of containerised freight in 1956, international import/export of goods has grown to millions of TEUs per year. However, managing this mode can be very complex, requiring knowledge of ocean lines, what lanes they serve, what schedules they have, and the processes to work with them.

Connections to hundreds of ocean carriers, NVOCCs, and freight forwarders mean shippers do not have to reach out to each carrier, and they have a wide range of carriers and schedules on deck and ready to cover their loads.

With its industry-leading, state-of-the-art platform, IntelliTrans provides high levels of supply chain transparency; aggregates, completes, and enhances data from a variety of sources; offers visibility into and execution of different aspects of the supply chain; and generates data-driven alerts and analytics that ask more profound questions and deliver meaningful insights.

By leveraging tracking information, a Global Control Tower provides analytics that measures KPIs such as fleet cycle time, origin/destination dwell time, lane and hauler performance, back orders, freight spend, load optimisation, and more. With their rate, equipment, lease, tracking, and invoice data in a central repository accessible 24/7, companies can position themselves for success in any market conditions.

World Coal Online

Simon Hodgkinson, West P&I, UK, reviews the dangers self-heating coal cargoes can present to shipowners and how coal carriers can minimise the risks involved.

The global energy transition will not happen overnight; coal will remain an important bulk commodity for years to come, especially in developing regions with limited green investment options. This in turn means that coal carriers will remain an important part of the global bulk shipping sector.

Yet, the longevity of coal trades only makes it more important that the sector understands the safety risks that coal cargoes can represent for crews, coastal communities, vessels, and the environment – and the dramatic risks associated with self-heating coal. As things stand, many seafarers and staff associated with the loading of cargoes

have some potentially disastrous misconceptions about what these risks are and how they should be handled.

Dangerous loading zones

The epicentre of self-heating cargoes is Kalimantan, Indonesia. However, coal from other countries or regions may exhibit the same problem. The biggest indicator of geographic risk is the quality of the coal; low-quality coal with a high moisture content is more likely to self-heat. This geologically low-rank material is usually sourced from open cast mines and often cheaper than alternatives – making it clear why energy buyers prefer this type of fuel.

Shipowners should be cognisant of geographic differences in risk, especially as those risks can change over time. Resources like West’s Neptune portal can provide members with immediate and easily recognisable geographic information on incidents and notices that can help them to make informed decisions.

However, there is no guarantee that good quality coal will not self-heat, or that coal from one particular region will always be of the highest grade. This is why West recommends temperature checks for any coal loading. Under the IMSBC Code, it is mandatory for shippers to declare coal that could potentially self-heat. As such, shipowners and crews should always respect the risks associated with self-heating.

Identifying and reversing self-heating

No coal should ever be loaded if its temperature is higher than 55°C, per the IMSBC Code. That is why it is prudent to measure the temperature of all coal cargoes prior to loading, notwithstanding the information in the IMSBC Code cargo declaration, which is often incomplete or erroneous.

Temperature measurements are mandatory when the shipper has declared that the cargo is likely to self-heat, or analysis of the atmosphere in the cargo space indicates an increasing concentration of carbon monoxide. Measurements need to be taken independently by the crew or a precautionary surveyor appointed on behalf of the owner.

Cargo declarations must be carefully checked to ensure all key information has been provided. The IMSBC Code requires that as a minimum, the cargo’s contract specifications for moisture content, sulfur content and size shall be stated, as well as whether the cargo may be liable to emit methane or self-heat. Missing or incorrect information is common, making it more difficult for crews and owners to recognise issues.

These temperature readings should be taken underneath the surface of the coal, using a grid pattern on the loading barge, to ensure that temperatures are uniformly below the IMSBC Code’s threshold. Shipowners and crews should be mindful that self-heating coal is unlikely to have a uniform temperature. As such measurements should be made when barges are one-third, two-thirds, and completely full.

Some cargo owners or charterers will, in West’s experience, push for cargo to continue to be loaded from other areas of a barge – or for loading to resume after the

coal has had ‘time to cool.’ However, a single measurement in excess of 55°C should immediately halt loading so remedial action can take place.

Beware of ‘easy fixes’ to self-heating coal cargoes

Meanwhile, shippers will often push for coal loading to continue from other parts of a barge after an excess temperature reading, simply waiting for ‘hot’ areas to cool down during the process.

Given that the coal will have come from the same source, even cargo found to be at or below 55°C will share the same characteristics and thus be prone to self-heating. There is also a basic misunderstanding of how coal self-heats; coal can continue to heat for days without remedial action, even if ‘hot spots’ have been moved elsewhere. Coal is also thermally insulating, and temperatures can vary widely over a short distance.

Other shippers will spray the cargo with water, usually pumping salt water onto the barge. Some may instead use chemicals that are designed to stop oxidisation reactions. Either can have a measurable localised impact, with any effect limited to surface layers only and failing to cool the bulk of the cargo. In West’s experience this effect is at best only temporary and does not reverse or stop coal from excessively heating.

West has also seen some shippers try to cool coal on a barge by using a payloader to ‘turn’ the coal over, or pick up coal and move it to other areas on the barge. This also fails the test because it does not change the self-heating tendency of the cargo, nor stop the internal, thermally insulated temperature of the coal from rising to dangerous levels, even if external temperatures fall.

Recent cases have proven this point. West has seen incidents where coal has been loaded from areas of a barge where no temperature above 55°C was recorded, but where excess temperatures were registered onboard other parts of the barge and in the vessel’s cargo the coal self-heated.

West has also noted incidents where cargo initially found to be above 55°C was cooled using one of the above methods onboard the barge. Once the coal was transferred to the cargo hold, it self-heated to temperatures over the threshold and began giving off smoke and steam.

The unfortunate reality is that coal which begins to show signs of self-heating cannot be effectively treated while onboard a barge, using any method.

How should you prevent and treat self-heating coal?

Charterparty agreements are the first line of defence for a shipowner. In West’s experience, a charterparty contract for the bulk carriage of coal will often define the allowable cargo as “harmless lawful coal in bulk only”, or similar. However, owners can include better wording in contracts when fixing vessels – and a better description for allowable cargo would be “coal that is not known to be liable to emit methane or self-heat.”

This measure would stop a vessel from carrying the lowest quality, highest risk cargoes, providing the cargo has

been accurately declared. Yet, as self-heating can affect higher grade coal, this is not enough on its own. Owners must also ensure that their charterparty agreements allow for the ship’s Master to have the final say over the loading of coal, and that they have the discretionary power to stop loading when they see signs of self-heating.

Such a clause would empower a ship’s Master to demand the appropriate temperature checks take place. Where the IMSBC Code leaves some ambiguity on this issue, our advice is that a barge must be rejected in full as soon as a reading exceeds 55°C – even if other readings are below the limit. The same actions apply to coal that has been cooled or is smoking, steaming or exhibiting any other signs of self-heating, even if all temperature readings are below 55˚C. When loading has been stopped, a Master must ensure that remaining coal on the affected barge goes through appropriate remedial actions before accepting it for loading.

In West’s experience, the only effective way to reverse the self-heating of coal is to unload the cargo from a barge onto a wharf or similar shoreside area, and spread it out to a thin layer. This allows the coal to uniformly cool over time, but can be sped up by crushing the coal with a roller and/or dousing it with large amounts of fresh water.

A Master must also know how to act when presented with signs of self-heating from coal that has already been loaded. Any sign of smoking or steaming from cargo already onboard the vessel, for example, should also trigger loading to stop. The affected cargo hold(s) should then be

closed immediately with no ventilation to starve a potential fire of oxygen, and gas monitoring carried out as per the IMSBC Code.

Most ships are supplied with gas detectors that determine flammable gas using a catalytic sensor. If the oxygen levels in hold atmospheres are below 10%, methane levels will not give an accurate reading when checked. If that happens, either a splitter device or a gas meter with an infra-red sensor (for detecting flammable gas levels) should be used. Expert advice on the next steps must then be sought.

The carriage of coal carries inherent risks. The IMSBC Code classifies coals as group A and B unless certain particle size distribution parameters are met. For groups A and B, the IMSBC Code stipulates that the cargo declaration needs to be accompanied by separate certificates for moisture content and Transportable Moisture Limit (TML). For safe shipment, the cargo moisture level must be below the percentage of TML.

Conclusion

Safety must be a priority for coal carriers, and cargoes should always be properly inspected and handled throughout loading – in order to spot signs of hazards. As such, shipowners and charterers who encounter issues or discover gaps in their processes should always contact their P&I Club’s loss prevention department for expert, actionable guidance.

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Todd Swinderman, Martin Engineering, USA, considers passive dust control in conveyor loading zones.

Historically, transfer points have been designed primarily for material throughput and secondarily for fugitive material control. However, dust control and spillage have come to the forefront as serious workplace safety issues, and have also been linked to a greater cost of operation from cleanup and equipment fouling. This makes addressing dust and spillage through engineered transfer chute design both critical and practical.

The testing and application of ‘passive dust control measures’ in a wide range of bulk handling applications using dust curtains and skirting have proven to be an effective control measure for dust. However, this equipment needs to be installed correctly and strategically to maximise results and the return on investment.

When redesigning a dust control enclosure at a conveyor belt transfer point, skirtboard extensions (wear liners, polyurethane skirting, clamps, etc.) to seal the environment and the placement of dust curtains to control airflow are essential. Most engineering firms use the American Conference of Governmental Industrial

Hygienists (ACGIH) Industrial Ventilation Handbook design criteria for active dust control (dust machines, dust bags, sprayers, etc.). The design rules for skirtboard extensions are based primarily on lump size and the length necessary for the bulk material to settle down into a stable profile. By understanding the environment inside the transfer point and how the structural components work together during operation, dust and spillage can be mitigated and the external environment will improve.

Dust dynamics

Air is very compressible and will find the path of least resistance. With current enclosure designs, the air is sped up significantly to flow under or around a single exit dust curtain with narrow slits, resulting in re-entraining the dust particles in the exhaust. Therefore, it is necessary to create recirculation regions inside a transfer point to improve dust settling.

The basic concept is the trajectory of a dust particle can be modeled based on the terminal velocity (Vt) of the dust particle settling in still air and the velocity of the airflow in the transfer point (Vair). The result of these two velocities using the enclosure height (H) as the vertical drop distance indicates the length (L) necessary to settle the dust particle. If the terminal velocity of the particle is very small and the transfer point air speed is relatively large, the settling distance can be quite long (Figure 1).

Using the commonly applied Stoke’s Law, a 10 μm (micrometer) respirable limestone dust particle in an air stream traveling 1 m/s (3.2 ft/s) is predicted to take 75 m (246 ft) to settle by gravity alone. This makes a well-designed enclosure with the proper height, seal, and air control with curtains essential to controlling dust.

Preferred embodiments

When reducing dust emissions, field tests have shown the difference in performance for longer and taller skirtboards of 4800 mm (15 ft) long and 900 mm (3 ft) high, compared to 3600 mm (~12 ft) long and 600 mm high is negligible. It was the placement of dust curtains that had the greatest impact on dust settling.

In both transfer point sizes, enclosures with three curtains spaced 300 mm (~1 ft) apart from the entrance and exit and one in the centre offered superior performance as compared to one dust curtain at the end. The best value for the cost of the skirtboard enclosure and its effectiveness is 600 mm high and 3600 mm long, using either the retrofit or mitered discharge chute-to-skirtboard connection (Figure 2).

The junction between the discharge chute and the skirtboards was found to be an important design detail for creating recirculation. Most conveyor engineers and manufacturers use 300 mm high skirtboards, because this height is about the minimum for installing a sealing system and wearliners.

Figure 1. Dust particle trajectory.

Figure 2. Basic chute configurations.

Figure 3. Preferred chute configuration.

Figure 4. The proper skirtboard extensions and curtain placement drastically reduce dust emissions.

In most of the models, the discharge chute was 200 mm (7.78 in.) narrower than the skirtboards. Making the width of the discharge chute narrower than the width of the skirtboard helps to fold the airflow going into the first curtain, and that encourages the distribution of the airflow toward the top of the enclosure rather than along the surface of the bulk material. Extending the head chute back to the first full troughing idler on the carrying side and using two curtains plus sealing the area between the top and bottom runs is critical in reducing induced airflow.

Height of the tail box

The tail box had little effect on dust emissions out of the exit end of the skirtboards. In most configurations, the height of the tail box was set at 300 mm. The tail box length was set at 600 mm to match the typical 600 mm idler spacing used in the load zone by most conveyor manufacturers and engineers. Very little airflow or pressure increase was observed in the tailbox for most configurations, so its main function should be considered reducing roll back of material and creating a means to effectively seal past the corner of the loading chute.

Consider air flow

In field tests, three different airflow volumes of 0.25, 0.50, and 0.75 m3/s (0.82, 1.64, and 2.46 ft3/s) were used to represent induced air. For reference, 0.50 m3/s is about 28.3 cmm (1000 cfm). As would be expected, the average air velocity through the skirtboards was directly

proportional to the induced airflow. The maximum air velocities in the skirtboard are almost always found where the air flows under the curtains. Air velocities of 30 m/s (98.4 ft/s) were common under the curtains, with up to 90 m/s (295 ft/s) observed. These high air speeds keep the respirable dust suspended, so lowering induced air into the chute is important for improving performance.

The length of the skirtboard had some effect on dust discharges for the standard conveyor with a single exit curtain. With three curtains spaced 25 mm (~1 in) above the belt, there was a similar reduction in the emission ratios but at a much lower percentage of particles escaping. Keeping the airflow (and therefore the flow of bulk material) consistent through the transfer is important to improving dust settling. Different baffle arrangements were tried to encourage recirculation within the discharge chute and the skirtboards, with little effect.

Time to arrange the curtains

Testing has shown that, in most cases, curtain strips were nominally 50 mm (~2 in.) wide with a gap between the strips of at least 5 mm was necessary to cause airflow through the curtain, rather than under it. While it varies by application, it appears that a gap of 10 to 15 mm (0.4 to 0.6 in.) produces the best combination of recirculation and keeping the average air speed inside the skirtboards more uniform and at a lower velocity.

When multiple curtains were tried, the best combination was with a curtain 300 – 450 mm (1 – 1.5 ft) from the

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beginning of the skirtboards, one curtain in the centre and an exit curtain 300 to 450 mm from the end of the enclosure. This pattern was found for all skirtboard lengths, heights, and belt widths. A minimum of two chambers created by the spaces between curtains was necessary to create recirculation patterns within the skirtboards.

Recirculation within the chambers created longer settling paths for the respirable dust, which improved dust control performance. A slight improvement was found by increasing the number of curtains and evenly spacing them. Configurations of up to six curtains were tried. Staggered curtains and combinations of full width and staggered curtains did not improve performance, and above all, the dust curtain systems must be accessible and maintainable to gain the benefits of passive dust suppression.

Case Study: Coal plant in China

The Yanzhou Dongtan coal plant in Eastern China had spillage and dust issues at two conveyor transfer points. Coal was dropped down 5 m (16.5 ft) sloped transfer

chutes onto 1000 mm (40 in.) wide belts traveling 2.56 m/s (500 fpm), with little control over impact or settling. The result was excessive fugitive dust from belt #111 throughout the facility. Inadequate chute control on belt #185 caused spillage to get caught between the belt and rubber tail pulley, damaging both. In both systems, dust and fines fouled rolling components and machinery causing consistent and disruptive downtime. Increased labour costs for maintenance and cleaning, along with workplace safety concerns, seriously impacted plant production.

After an onsite inspection, technicians in the Martin Engineering China team installed transfer point solutions addressing both conveyors’ dust and spillage issues. On #111, a new enclosure was installed which raised skirtboard and extended it to 12 m (40 ft) long with a sealed loading zone, stilling zone, and settling zone equipped with a full-length Martin ApronSeal™ Skirting and properly placed dust curtains. A Martin Impact Cradle was placed in the loading zone followed by a series of Martin Slider Cradles to create a smooth sealed environment. Belt #185 required a much longer enclosure, which extended 26 m (85 ft) and was also equipped with ApronSeal Skirting and a network of dust curtains. A heavy-duty impact cradle and several slider cradles supported the belt and created a sealed environment down the entire length of the chute. Both chutes also featured a Martin dust bag at the end to collect any unsettled dust.

Since the installation was completed, visible dust within the facility has drastically reduced. Respirable dust has been measured at less than 3.5 mg/m3, and total dust is down to 10 mg/m3. Operators report that onsite safety and the overall work environment have improved and that the significant drop in equipment failure rates has substantially increased plant productivity.

Conclusion

Controlling the amount of airflow through the transfer is also critical. The results of field tests and applied techniques clearly indicate that when dust curtains are properly spaced and kept adjusted close to the bulk material profile, the passive reduction of dust emissions is significant. Retaining a proper seal using skirting set in the modern skirtboard extension configuration will eliminate gaps where air can escape taking dust and fines with it.

Passive dust control has gone beyond merely adding some skirting and a dust curtain at the end of a chute. New retrofitted curtain and skirting designs require little monitoring and only occasional maintenance, while significantly improving the work environment around the transfer point. The amount of labour saved in the cleanup around the transfer point and the cost of replacing fouled equipment lowers the cost of operation and improves the return on investment.

References

1. ‘Industrial Ventilation: A Manual of Recommended Practice for Design’, 30th Edition, American Conference of Governmental Industrial Hygienists, Cincinnati, OH, USA, (March 2023), www.acgih.org/ventilation

Figure 5. Access to the #111 transfer point was seriously limited by the lack of visibility caused by dust.

Figure 6. Installers used the Mitered chute design for #185 with a tail box, shirtboard extensions, and curtains.

Pierre Morel, AXSMarine, France, explores some of the solutions available to help the shipping industry comply with the latest emissions regulations.

Since the start of 2023, the IMO implemented its latest requirements to reduce international maritime CO 2 emissions. Consequently, the industry at large is seeking ways to comply with technical measures, such as vessel design and equipment, in addition to operational measures like energy efficiency. With the introduction of parameters such as EEXI, CII, AER, and EEOI this task has become increasingly challenging.

This is where AXSMarine, an experienced provider of advanced solutions for shipping professionals, has focused its efforts. The company is on a mission to help the shipping industry stay compliant with IMO 2023 GHG regulations through several specifically designed tools.

The entire fleet at a glance

One of AXSMarine’s latest additions to its portfolio comes in the form of an interactive report in AXSInsights – the company’s module providing visual aid to big datasets. The dashboard can estimate CO 2 emissions, CII, CII Rating, and EEOI per vessel for an entire dry bulk fleet. The data behind this emissions report in AXSInsights helps users gauge the impact the fleet has on the environment.

The methodology for calculating the CO 2 emissions in this tool starts with the generation of speed and consumption curves for laden and ballast legs based on AXSMarine’s technical description database. It takes into account the standard emission factors of HSFO, VLSFO, and LSMGO fuels and measures total voyage

emissions based on AIS-detected operations carried out by the particular vessel in a particular voyage, detailed in AXSMarine’s Trade Flows module.

CII and EEOI are also estimated through a transparent and consistent methodology using AXSMarine’s proprietary datasets and Trade Flows data for voyage duration, speed, and cargo intake. An individual graph is then generated per vessel, visualising the required CII – its upper, lower, inferior, and superior boundaries – compared to the vessels’ actual CII as calculated by AXSMarine’s tool.

The emissions dashboard gives users full voyage history of each vessel, as well as its CO 2 emissions evolution per year. An overview of an entire dry bulk fleet, broken down by fleet segments, is available with selectable filters for a more macro-focused analysis. Users are thus able to take quick and informed decisions in order to stay within IMO guidelines when either selecting a vessel for a voyage or analysing the impact of any fleet segment on the market.

Voyage calculation in an instant

The emissions dashboard in AXSInsights provides extensive info on AIS-derived completed laden and ballast legs. AXSMarine also provides several other tools for its users calculating CO 2 emissions and cost, EEIO, AER, CII, and alignment deltas for any upcoming voyages.

The Estimator tool in AXSDry has been enhanced to provide all relevant carbon emissions data for any single voyage that one has complete control over. Users are able to select a specific vessel, and set a desired voyage sequence including bunkering, loading, passing, and discharge points. Each stage of the voyage can

also be customised through the input of specific load or discharge quantities and terms.

After providing a CO 2 price, as well as potential bunker quantities and costs, users can see an estimation of total CO 2 emissions and total CO 2 cost of the voyage. EEOI in grams of CO 2 per tonne-nautical mile, AER, and CII in grams of CO 2 per deadweight-tonne-nautical mile are also calculated along with their respective alignment deltas. Finally, an estimated voyage CII rating is also provided by AXSMarine’s Estimator.

Not only does it allow users to be aware of emissions and costs in advance, but also provides them with the ability to easily see how route and other voyage parameter changes affect the end results.

Sometimes all you need is speed

While AXSDry’s Estimator is fully fitted to allow compliance with the IMO GHG guidelines, AXSMarine has identified that speed, which has always been a key factor in shipping, is absolutely vital in the modern age of digitalisation. That is why the company has developed another tool optimised for quick operations when working with multiple vessels at once.

The Smart Calculator in AXSDry takes all the essential information for a voyage and returns its results simultaneously for each vessel in a simple grid. Its users have the option to input commodity types, quantities and tolerance, load and discharge rates, multiple voyage legs including bunkering operations, waiting times and DAs at each port, vessel constants, bunker costs, as well as time charter or freight rates.

AXSDry can return results for an unlimited number of vessels simultaneously, provided they are suitable for

Figure 1. Vessel CII rating and emissions.

the parameters set by the user. On top of time charter equivalent (TCE) and freight costs, it calculates total CO 2 emissions for each vessel, as well as EEOI and AER values.

The Smart Calculator in AXSDry takes the essentials from AXSMarine’s Estimator module and streamlines them for higher rate of work. All the calculations take place within AXSDry’s Ship List vessel managing tool, and one can see how hundreds of vessels would perform in the same voyage at a single glance. It also allows users to individually touch up the results by inputting info such as owners’ ideas of rates for each vessel in the grid.

Making GHG compliance a breeze

AXSMarine claims that its CO 2 -oriented tools are unique, as they require the least manual input from their

users on the market. Thus, a user’s workflow need not change in order to see their output.

AXSMarine is determined to continue providing the dry bulk industry with the tools it needs to stay compliant with environmental regulations. The company plans to innovate further solutions which will help the community responsibly follow the dry bulk fleet carbon emissions as quickly as possible, with as little user work as necessarily possible.

Figure 2. CII rating fleet distribution (basis voyages completed in 2022).

McElvenny, Solent Stevedores, UK, evaluates how companies can create a culture of environmental best practice in order to help the industry meet its net zero goals.

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Figure 1. Solent Stevedores’ bulk terminal at the Port of Southampton.

The familiar term of ‘Stevedore’ is unique to ports and best describes the role of loading or unloading cargo from vessels, it is also the job title of the people who carry out this role.

A Stevedore will handle commodities including grains, animal feed, fertilizer, recycled metals, wood chips, salt, and minerals for import or export. In the case of Solent Stevedores, they also handle cruise passenger luggage and ship stores, as well as containers. So why does this role need to consider environmental best practice?

At every touch point for the cargo along its journey –the people and teams, the infrastructure supporting the operations, and the machinery and plant involved – an environmental management plan should not just be considered, it should be a critical part of a company’s

business plan followed closely to allow for the careful management of environmental impact.

Recognising the need for environmental management

At the very highest level, recognising a need for greater environmental management is driven by targets and ambitions set by the Government.

Coming from its Future of Freight plan published in June 2022, the Department for Transport, has set a target to be Net Zero by 2050 with additional ambitions to support and encourage a shift to multimodal transport. On a wider scale, at the Conference of the Parties (COP26) in 2021, the International Maritime Organisation (IMO) set a target of a 50% cut in greenhouse gas emissions from the global shipping fleet by 2050, with increasing political

pressure to improve on this further. It cannot be forgotten that 90% of global trade is transported by sea.

On a more localised scale, of the 1.6 billion t of goods transported in and around the UK each year, this Net Zero target involves every partner involved with handling and transporting cargo to play their part. In supporting the push for multimodal transport, rail freight saw an increase of 12.5% between April 2021 and March 2022. With domestic freight activity via HGV decreasing, it is widely considered that each freight train takes 76 lorries off the road.

Where stevedores are an important part of the cargo handling process once it moves from land to sea, or even from sea to land or rail, and onwards to its final destination, there are many opportunities for demonstrating the effectiveness of environmental management.

There is certainly legislation in place for handling waste products, but does government guidance go far enough to support stevedores with playing their part in the drive to a Net Zero target?

Developing a plan for environmental best practice

Beyond the required licenses necessary for handling and storing waste products and dangerous goods, Stevedoring companies should also be looking at what can be done; not because of any statutory requirement, but simply because it is the right thing to do.

The nature of the Stevedores role involves working alongside natural environments full of plants and wildlife. For example, the Western Docks in the Port of Southampton sits between the River Test and the River Itchen. Both rivers are fed by chalk streams considered to be some of the most important in the world. A pollution event could be devastating, and as such companies working alongside such areas have a duty to ensure environmental management is taken seriously and disasters are avoided.

At one end of the scale sits large capital investments into boosting the infrastructure around moving bulk and cargo by rail instead of road. On the other is the smaller and far more localised impact of encouraging staff to arrive and leave work via low carbon methods. A plan needs to accommodate enough positive and proactive action at both ends of the scale.

Of course, handling heavy loads and cargo from ship to quayside, or with intermodal transport, cannot be done by sheer person power alone. A team handling bulk cargo commodities typically operate mobile harbour cranes of 420 t, capable of lifting 125 t. Such a set up can be found at Solent Stevedores at their Port of Southampton operations.

Careful environmental best practice needs to consider the stevedores themselves, and the equipment and infrastructure supporting them in order to carry out their role effectively.

Looking at laying the groundwork and setting some boundaries to work within, in order to help set standards for best practice, is a great place to start.

There are a number of environmental standards companies need to adhere to, for example ISO 14001 – an internationally recognised certification specifically for Environmental Management. With this standard in place, a company has a set framework of procedures to follow to achieve good and effective environmental management and address any significant risks. It is worth stating that this is not a compulsory standard.

Electric Forklifts are in operation at the Port of Southampton’s five world-class cruise terminals, with Solent Stevedores’ handling luggage and stores loading and unloading. Where the technology is not quite there for low emission reach stackers, or are not a practicable or feasible option at the container facilities, telematics is in place to calculate and analyse efficiencies with driving. Telematics also help with running a plant smoothly bringing efficiencies with time and fuel.

Increasingly, the industry is expecting a proactive approach to environmental management. Customers are aligning their values with their industry and port partners and consistently seek out solutions, so it has never been more important for stevedores to have effective environmental management plans in place and to show how effective they are.

Creating a lasting culture

It is one thing having a plan, a framework, and procedures to follow but it is another to embed a culture of lasting environmental best practice. After all, machinery and plants can be the most environmentally effective to run

Figure 2. Crane views of bulk handling operations.

Figure 3. Operations at Solent Stevedores’ bulks terminal.

and complying with all the relevant standards and certifications in place. But, as long as people operate the machinery, it is essential that the team members have bought in to the culture and commit to the best practise, so that every small change can lead to a greater change on a larger scale.

Why should companies be embedding a culture of environmental best practice? Not least because the maritime industry has targets to achieve with driving a transition to zero emissions, and we all have an important part to play here. It is also the right thing to do. Every business in the maritime industry has a role to play in doing their bit to reduce emissions.

Environmental best practice is not just a tick box exercise, accreditations like ISO 14001, while a voluntary standard, requires companies operating in the maritime and cargo handling space to provide evidence of an ongoing commitment to upholding environmental management responsibilities – embedded into both day-to-day operations and long-term strategy.

Conclusion

A solid and robust investment programme for upgrading plants, infrastructure, and equipment to ensure fuel efficiency, as well as time efficiency, is as essential as taking the time to educate teams.

Encouraging a behaviour change from staff can also help support a switch to better environmental alternatives.

A cycle to work scheme will not work if you do not provide suitable changing facilities at work to facilitate the behaviour change. Educating teams to uncover the impact of not doing anything versus the impact of real change.

Working with local community groups and schools to take the education piece to young children who then take the message home to parents is also an effective step, as embedding strong environmental values in young people will reap rewards for future generations.

What if nothing is done? We simply do not have the privilege of ignoring our responsibilities towards limiting our impact on the environment, and it will take more than switching to electric vehicles or opting to walk instead of taking the car. Everyone must consider what changes they can make within their means; what changes, big or small, can achieve quick wins; and what we can do now to invest in a long-term future.

There will always be more that can be done, but it is critical to start now if you have not already.

References

1. ‘Future of Freight: a long-term plan’, Department for Transport, (2022)

2. ‘Ocean shipping and shipbuilding’, The Ocean, www.oecd.org/ ocean/topics/ocean-shipping/#:~:text=The%20main%20transport%20mode%20for,are%20carried%20over%20the%20waves.

3. ‘Freight rail usage and performance: January to March 2022’, Office of Rail and Road, (9 June 2022)

4. ‘Road freight statistics 2020’, Department for Transport, (29 July 2021)

The ways in which shipping builds commercial relationships need an overhaul. Henrik Wihelms, Wärtsilä Marine Power, Finland, details how introducing long-term, transparent collaboration and outcome-based partnerships can accelerate decarbonisation.

Globally, an estimated US$1 trillion, or more, will be required to decarbonise shipping. This realisation is already complicating commercial relationships as owners, charterers, and equipment suppliers need to make tough choices to balance environmental benefits and financial performance.

With the IMO’s Carbon Intensity Indicator (CII), for the first time, owners and charterers need to share responsibility for vessel performance and efficient operations. Previously, only charterers paid for fuel; owners were traditionally less concerned with the efficiency of operations. However, now that a charterer’s actions can affect a vessel’s CII rating, owners and charterers are having to negotiate new ways of working together to manage this responsibility.

Intercargo described some of the operational complexity in its December 2022 Statement on IMO Decarbonisation Ambitions: “A number of factors can have a significant adverse impact on a vessel’s CII rating, most of which are outside the vessel’s control. Examples include adverse weather, voyage distance, port waiting times, port infrastructure, and charterers orders. Paradoxically, when considering voyage distances and port waiting times, vessels with longer travel distances can produce more emissions but have a better CII rating when compared to vessels travelling shorter distances and producing less emissions.”

Dry bulk shipping company Oldendorff has highlighted some of the financial ramifications, saying that if charterers insist on a higher CII rating, then shipowners will need to ask for indemnification from charterers for damages to the vessel’s CII rating caused by long port stays.

While its implementation will not be straightforward, one benefit of CII is that it is prompting these two stakeholder groups to collaborate more closely on sustainability related topics.

At the same time, relationships between suppliers, ship owners, and operators are changing. Owners and operators usually approach services as a series of transactions, each of which delivers an agreed outcome. This piecemeal approach looks at services on a short-term basis and loses sight of longer-term goals, thus it is unsuited to the pressures of complying with legislation such as the Energy Efficiency Existing Ship Index (EEXI) and CII. Clearly a new way forward is needed.

A new approach

Intercargo explained its stance on decarbonisation measures such as the CII in its 2021 – 2022 Annual Review: “In order to build a realistic pathway and address the challenges, all stakeholders in the maritime venture should bear the costs of the decarbonisation transition and play their role. This is not just shipowners and operators; it is charterers, fuel suppliers, ports, cargo shippers, and cargo receivers. One step back from these players are other stakeholders like financiers, insurers, shipbuilders, engine and equipment makers. Simply attempting to regulate the owner alone will not achieve the desired effect.”

Outcome-based business partnerships offer a new approach. An outcome-based partnership is a collaboration where several parties are motivated to achieve a common goal. All win if the desired outcome is achieved and all lose if it is not, so they are truly playing for the same side – and both gain more the better the outcome as measured against the pre-agreed KPIs.

This is a completely different business model from traditional partnership agreements, where the supplier gets paid regardless of whether the customer succeeds. In a traditional performance-based agreement the supplier guarantees a certain level of performance will be achieved, for example for vessel uptime or fuel saving, and is then subject to financial penalties if this level is not achieved.

The key difference between an outcome-based partnership and a traditional performance-based agreement is that the financial payment model is directly related to the supplier’s performance against a mutually agreed outcome.

Minimising risk

Outcome-based business partnerships transfer a significant amount of risk away from the customer and onto the supplier, setting a completely new paradigm for the maritime industry, where the supplier guarantees that a certain quantifiable outcome will be achieved – for example, fuel savings, emissions reduction, vessel uptime, or a specific CII rating. If the agreed outcome is realised, both parties share the rewards; if it is not, the supplier is held accountable. With access to finance closely linked to ESG goals, such as the Poseidon Principles, outcome-based partnerships help ensure that suppliers are focused on the same KPIs as a business’ leadership.

This may seem obvious, but there are pitfalls. Speaking at a webinar organised by the International Chamber of Shipping late last year, Arcsilea Principal Consultant, Edwin Pang, noted that fuel efficiency claims made by equipment manufacturers often refer to best case savings on propulsive efficiency only, at a single set of conditions. Pang demonstrated how a claim of 5% fuel savings from energy saving devices can equate to only a 3.5% improvement against the vessel’s EEXI reference line. The impact of propulsion savings is even lower for CII ratings, which consider all energy used on the vessel.

Instead of a customer purchasing a new piece of equipment and the supplier estimating the gains they can achieve if the equipment is operated optimally, an outcome-based partnership is a promise from the supplier that these gains will be achieved and a commitment to supporting vessel owners to operate their assets optimally to maximise the benefit. Take an example where the customer’s main driver is to reduce their vessel fuel consumption. The agreed metric could be fuel efficiency, or perhaps tonnes of fuel burned over a specific period. Should the outcome be positive – for example, fuel consumption has dropped – the financial gains are shared between the two parties according to the agreed ratio.

This stye of partnership requires a complete change in mindset and a firm commitment to working together. Openness and transparency become key enablers for long-term collaboration. Within this framework, a service supplier can add real value and tailor its services according to the shipping company’s strategic priorities. The desired outcome might be to improve the customer’s revenue by maximising vessel uptime, for example. Other outcomes include cost savings thanks to reduced fuel consumption, or de-risking a customer’s investments by cutting emissions.

Evolving goals

Vessel owners may come to the table with a preconceived idea of what their needs or goals are, but these will typically evolve over time as discussions progress and the supplier builds their knowledge of the customer’s business.

Once both parties have identified the area or areas where the outcome-based partnership can support the customer, the next step is to identify a mutually agreed metric to measure the value that is being created.

The process of agreeing on KPIs – as well as the metrics by which they are measured – is also critical in helping the supplier to develop a deep understanding of the shipping company’s business and operations. Almost every case is different; even within the same outcome, for example fuel savings, there are numerous KPIs depending on the vessel segment and age.

For the supplier, securing fuel savings means addressing several different factors. This can include:

n Ensuring proper asset maintenance.

n Solving hardware-related issues such as engine optimisation.

n Installing energy-saving technologies like a hull air lubrication system.

n Optimising the vessel’s propulsion system.

Peace of mind

Outcome-based partnerships offer greater financial predictability by quantifying the return on investment for specific technologies or upgrades. They can also support vessel owners with defining their approach to regulations such as CII, determining when and how to invest in order to achieve the desired rating. This approach provides greater peace of mind for vessel owners, operators and crews by taking a more high-level perspective, focusing on a

quantifiable metric for vessel uptime rather than on micro-managing individual systems and technologies.

Furthermore, outcome-based partnerships offer the opportunity to tailor agreements in a completely new way, with building blocks that can be plugged in and out according to the outcome or outcomes that the agreement is built around. Whether the shipping company’s key business driver is vessel uptime, fuel savings or emissions reduction, the right combination of building blocks will ensure that the agreement has that driver at its core. They also enable a shorter payback time on decarbonisation-related investments, such as hybrid propulsion systems, since the supplier is actively engaged in optimising the operation of new technologies. This will lead to increased fuel savings and, in the future, reduced emissions taxes.

Regardless of a vessel owner’s approach to tackling decarbonisation, it is an inescapable fact that in the coming years their assets will become increasingly complex to operate and maintain, and that they will need a deeper level of support and guidance to maximise their return on investment. By 2050, 60 – 100% of the marine fleet will run on a fuel different from today, which helps put in perspective the immense scale of the challenge at hand, as well as the importance of accelerating progress with a new outcome-based approach to collaboration.

References

Available on request.