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No 10, 3RD Quarter 2012

Mexico:

Nueva Epoca

9

HYSY 278 Complementing the Black Marlin US$ 4,95 | www.dockwise.com

28

36

Mexico braces Customer for critical relation years ahead management


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DOCKSHOT!

Record Breaking! January 23, 2012 - Another record breaking milestone for Dockwise, as the Blue Marlin sails under the Sutong Yangtze River Bridge near Nantong (China), loaded with three enormous pontoons, 13 inland transport barges, two connected hull vessels and one tanker all stacked five high, reaching 42 meters. Truly, a sight to behold.

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CONTENTS DOCKWISER Number 10 Third Quarter 2012

9

The HYSY 278

supporting the Oil & Gas Industry

www.dockwise.com

12 5 from the CEO 6 docknews 24 Dockwise recent projects 26 PASSIONATE TO BRING FLOAT-OVERS TO MEXICO 28 Mexico braces for critical years ahead 32 Experience The Dockwise Difference at OTC2012 34 THE REVIVAL OF PEMEX

Mexcico

36 UNDERSTANDING YOUR CUSTOMER STARTS WITH LISTENING

A leading nation with substantial natural resources

43 Next issue: China

36 Edward Legierse

Customer relation management

40 Greetings from Korea

Update on the ‘Dockwise Vanguard’ Page 4 DOCKWISER


FROM THE CEO

The global economy is going through a stormy phase, whilst the exploration and production activity remains strong. We see bigger and more complex projects on the horizon, which result in adjustment of our sails by critically reviewing existing and desirable resources to meet these customers or customer demands. This results in a challenging but exciting stage for our company. With the significant changes in our fleet composition, we are able to create better focus on our core markets and clients. The three dedicated and valued semi-submersible Yacht Transport vessels - the Yacht Express and the Super Servant 3 & 4 - are being sold to new shareholders who have clear dedication towards these markets. Further the COOEC HYSY 278 and the Dockwise Vanguard will be added to our fleet to meet the challenging customer demands. We will give you an update on these strategic and future oriented new vessels in this Dockwiser. This is yet another step in our long-term strategy to which we committed ourselves a few years ago: working as a preferred partner for the Oil & Gas industry with its growing demand in complex logistical challenges.

‘Weathering storms while building our future’ This edition of the Dockwiser highlights ‘Mexico’. It is one of the bigger and more important countries in the world and it can rely on substantial offshore oil and gas reserves. The regional industry, guided by the Mexican National Oil Company ‘Pemex’ achieves impressive results but also faces exploration challenges. Some background facts regarding the country, its regional Oil & Gas industry and market insights are explored in this magazine. Another item explains how Dockwise invests in customer relations. Master Service Agreements and knowledge sharing partnerships create new market insights and opportunities. Although we sail a stable course, we remain open to adjust our sails to serve clients by investing in new and alternative valuable opportunities. This results in a robust outlook and a growing number of committed projects on our horizon. As mentioned before, we provide an update from the yard in South-Korea of the building of the Dockwise Vanguard. The hundreds of unique building blocks are currently combined to realize this unique vessel in a huge dock at the Hyundai Heavy Industries yard. The vessel is anticipated to be christened by the end of this year. I hope you enjoy reading this edition of the Dockwiser and that it gives you some new insights and thoughts for consideration. Regards, André Goedée

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Dock News Aasta Hansteen Spar Buoy

Third Contract for Dockwise Vanguard Recently, Dockwise won a reservation contract, securing the transportation of a spar buoy for the Statoil operated Aasta Hansteen offshore production field, formerly known as the Luva field. The spar buoy, with an approximate length of 200 meters, a diameter of 50 meter and

weight of 45,000 tonnes, will be transported on the new build vessel Dockwise Vanguard from either Korea or Finland, subject to yard choice, to Norway in 2015. Final contract award from Statoil is dependent on formal project sanction for the Aasta Hansteen development.

Annual Review 2011 This publication is designed to provide readers with an easy to read review of corporate and project highlights along with analyst interviews, financial KPIs and strategic developments. Enjoy the read. Now available on www.dockwise.com.

‘Where the World Meets Australian Oil & Gas’ The 2012 APPEA Conference will be held in Adelaide, South Australia May 13-16, 2012 and is anticipated to attract over 2700 delegates for the premier annual oil and gas event in the Southern Hemisphere. To meet Dockwise at the APPEA conference, please visit our updated booth (#237).

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Follow us on twitter @Dockwise

Entering the Port of Rotterdam

Blue Marlin Experience Spring sunshine welcomed clients, entrepreneurs, media and financial analyst onboard the ‘De Majesteit’ on way to experience the Blue Marlin, the largest semi-submersible heavy-lift vessel, transporting three pontoons, 13 inland transport barges and two connected hull vessels and one tanker all stacked five high, reaching 42 meters, entering the Port of Rotterdam. The 58 day voyage commenced at Nantong heading towards Rotterdam via Cape of Good Hope. A group of about 300 industry professionals were onboard Europe’s largest paddle steamer to experience not only the special event, but also to acquire new industry insight. Topics such as ‘The Future of European Ports, ‘Water Transport’ and ‘Industry Collaboration’ were shared with the audience. “The Blue Marlin Experience was a great opportunity to celebrate a successful project for VeKa,” said André Goedée, CEO Dockwise. “Being able to extend this experience to our clients provided an emotional connection to the sheer size of cargo loaded on our vessels.”

OTC 2012 Reliant Park, Houston (TX), USA

April 30 - May 3, 2012

APPEA 2012 Adelaide Convention Centre, Australia

May 13 - 16, 2012

Mexican Petroleum Congress 2012 Mexico City, Mexico

September 10 - 12, 2012

Rio Oil & Gas 2012 Riocentro, Rio de Janeiro, Brazil

September 17 - 20, 2012

OSEA 2012 Marina Bay Sands, Singapore

November 30 - December 3, 2012

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FLEET

The HYSY 278

Complementing the ‘Black Marlin’ managed by Dockwise

At the end of last year, Dockwise announced a commercial alliance with COOEC to manage the newly built vessel HYSY (Hai Yang Shi You) 278, which is a Chinese abbreviation for ‘Offshore Oil 278.’ The vessel is developed to support the Oil & Gas industry during the major logistical challenges it faces. This semi-submersible vessel was built at the wellknown ´China Merchants´ yard in Shenzhen and enriches the Dockwise fleet with its valuable capabilities, resulting in additional flexibility.

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Market With the continuously growing activity in high-end Transport & Installation projects, the demand for purpose-built semisubmersible vessels is significant. At the moment, Dockwise owns and manages four similar open stern vessels with comparable dimensions or capabilities; the Black Marlin, Mighty Servant 1, Mighty Servant 3, and the Transshelf. As of April 2012, the ´HYSY 278´ will be the fifth open stern vessel managed by Dockwise, which can be used in all parts of the world. With this ´armada´ Dockwise is capable to perform virtually every major float-over, installation project, or transport structures and modules of up to 50,000-65,000 tons. As each of

these vessels has its own unique capabilities and advantages, Dockwise can virtually manage any logistical challenge. Special features The ´HYSY 278´ has several capabilities that make it a valuable addition to the market. The vessel has a second-generation DP system (DP2). With this kind of system, the industry gets access to new opportunities in safe installation methodologies that will be more cost-efficient. The ´HYSY 278´ can travel at a speed of 14 knots, which enables the vessel to reduce journey time. The main propulsion is diesel-electric driven, and the

HYSY 278 LENGTH O.A. LENGTH B.P. BREADTH MOULDED / MAX. DECK SPACE (L x B)* DEPTH DRAFT SUBMERGED AT FPP / APP MAXIMUM DRAFT WATER DEPTH ABOVE MAIN DECK FPP / APP DEADWEIGHT SPEED TYPE OF VESSEL * Equipped with movable casings

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221.60 meters 210.88 meters 42.00 meters 179.20 x 42.00 meters 13.30 meters 26.80 meters 10.15 meters 13.50 meters 52,789 metric tons 140 knots TYPE-IIA


FLEET

AndrĂŠ GoedĂŠe, Chief Executive Officer Dockwise

vessel has two retractable Azimuth thrusters that guarantee redundancy and course keeping. The vessel has several other features that are valued by the industry and enables better usage. Two examples are the helicopter deck and two 18-meter cranes, each with a lifting capacity of 15 tons. Synergy Dockwise and COOEC have started this alliance to achieve mutual benefits. The commercial strength and track record Dockwise has to offer, combined with its global network, will bring great value to COOEC in the optimal operation of the

Mr. Zhou Xuezhong, Director/President COOEC

vessel. The large Dockwise fleet also provides flexibility for their projects. For Dockwise, the cooperation with COOEC will add an excellent vessel to its fleet and enables the company to work closely with COOEC and its parent company CNOOC, the third largest oil company in China. Outlook After delivery on schedule at March 15th, the vessel immediately left the yard to pick up its first cargo in Nantong, with destination Singapore. The vessel will be available for Dockwise and COOEC clients for Heavy Marine Transport, Transport & Installation and Logistical Management services, and already has various opportunities on its radar.

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Mexico’s flag is made up three vertical stripes. The left green stripe stands for hope, the middle white stripe represents purity, and the right red stripe represents the blood of the Mexican people. The picture of an eagle eating a snake is based on an Aztec legend from the fourteenth century. Warrior nomads settled in Mexico when they saw an eagle (representing the sun) standing on a cactus (a symbol of the heart) clutching a snake (a symbol of the earth).

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mexico FEATURE

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mexico FEATURE

A leading nation with substantial natural resources Its one of the bigger countries in the world, and it is mainly famous because of its beautiful beaches, tequila and archeological ruins. Yet, Mexico is more powerful than it seems, being the 14th largest economy in the world. Significant natural resources, a rapidly growing economy and an impressive cultural background are just a few of the other aspects that make ´the United Mexican States´ a country we should all keep an eye on. Even though Mexico is not really prominently on the global radar, it does have an estimated population of about 112 million people, which makes it the 11th most populated country in the world. About one fifth of the country’s population lives in the metropolitan capital: Mexico City, which is located at a height of over 2,200 meters above sea level in the center of Mexico, the so-called ´Valley of Mexico´. Its size is also impressive, covering 760,000 square miles. This makes it the fifth largest country in the America’s, after Canada, the USA, Brazil, and Argentina.

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The origins of the Mexican culture: Olmecs, Mayans and Aztecs The oldest remains of human civilization in Mexico are pieces of stone tools found near campfire remains in the Valley of Mexico, the so-called Cuicuilco ruins, which date back as far as approximately 21,000 BC. The earliest piece of Mexican history that is still visible today is much younger: the remains of the Olmecs, the first of the ancient civilizations that lived in Mexico around 1,000 BC. They worshipped a jaguar God, built cities, constructed massive stone head carvings, and spread throughout central and southern Mexico until their civilization mysteriously vanished around 400 BC. It took one and a half century before another major influence on the Mexican culture rose to power: the classic Maya civilization. The classic Maya civilization (250 BC - 900 AC) was a very intelligent civilization, and is nowadays best known for their calendar and hieroglyphic writing system. Many of the temples and pyramids are still visible today in Mexico, and for many people, these represent early Mexican culture. The Mayan’s, reaching millions, created a multitude of kingdoms and small empires. After the Mayas, the Aztecs entered the Valley of Mexico and they quickly became the dominant power in ´Mesoamerica´, a position they held for several centuries. At its pinnacle, Aztec culture had many rich and complex mythological and religious traditions. They also achieved remarkable architectural and artistic accomplishments. The Aztec civilization was not destroyed until the early 1500s, when the Spanish conquered Mexico. Recent history From 1521 till 1810, Mexico was a part of Spain and was called ‘New Spain’. A tough time for the Mexican people: war combined with imported diseases resulted in the death of millions of locals and devastated the population, After a hard-fought 11-year long war, New Spain won independence from Spain. The people of New Spain decided to name their country after its capital, Mexico City, which was founded in 1524 on top of the ancient Aztec capital of México-Tenochtitlan.

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mexico FEATURE UNITED STATES

GULF OF MEXICO

MEXICO

CUBA

SOUTH PACIFIC OCEAN

MEXICO CITY

BELIZE

Geography & Demography Mexico is geographically uniquely situated in the Americas between the United States of America in the north and Guatemala and Belize in the south. Mexico has a 9,500 kilometer coastline, of which approximately 7,000 kilometers face the Pacific Ocean and the Gulf of California. Almost 3,000 kilometers face the Gulf of Mexico and the Caribbean Sea. On its north, Mexico shares a famous 5,000 kilometer border with the United States. This border region is particularly famous because it is the border with the largest number of people crossing it every day, many people try to cross it illegally, with drugs or as refugees. Mexico is ethnically diverse, but the various nationalities are united under a single national identity. A recently conducted census showed a population of 112,336,538 in 2010, making Mexico the most populous Spanish-speaking country in the world.

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GUATEMALA HONDURAS EL SALVADOR NICARAGUA 500 KM

Modern day Mexico is the product of the combination of two cultures, which evolved in the recent centuries and is still developing. During the 19th century, the United States broadened its territory southwards to the current borders between both countries. Until the revolution in 1910, the country remained in a rather instable situation. In the following decades, Mexico developed into a politically stable country with healthy economical growth.

Today’s Economy Nowadays, Mexico is a global player with strong indicators of an economic power as well. With an average GDP growth of 5%


Crime The crime activity in Mexico is a constant challenge and area of focus for the country. On average, approximately 12-13 people per 100,000 inhabitants are killed each year and many other illegal activities as smuggling, fugitives and organized extortion take place in Mexico. The murder rate is about 20% higher than the global average. A significant portion of the criminal activity is drug-related and well organized by cartel activities. Drug trafficking and related activities are a major concern in Mexico. The country’s current president, Felipe Calderón, started with a crusade against the drugs cartels immediately after he became president in 2006. He actively used the military staff against the cartels, a course of action that was strongly disputed by his opponents. With this dedicated approach, he achieved unprecedented results. Since President Felipe Calderón started his war against cartels, more than 28,000 alleged criminals have been killed and crime and drugrelated activities have decreased considerably.

to approximately 1,040 billion US Dollars in 2011, Mexico is outperforming its main trading partner; the United States. Major industries that stimulate this growth are tourism, agricultural, automotive and, of course, the oil & gas industry. Mexico’s labor force consists of approximately 78 million people. The Mexican workers are often ranked among the hardest working in the world, in terms of the number of hours worked yearly. In the urbanized regions, the average annual income was 26,000 US Dollars, which is comparable with advanced countries in the western world. Yet, in rural areas the annual income was less than a third of this amount, which is comparable with average incomes in developing countries in Eastern Europe. Important imbalances Although the economic growth seems healthy, there are still important imbalances in the country´s economy. One of these is the impact of the natural resources. The export of oil will probably remain an important factor in Mexican prosperity, however, the dependency on oil as an export product has decreased in the past decades. In 1980, the export share of oil was over 60%, while nowadays it accounts for approximately 7%, which gives the Mexican economy a healthier long-term perspective. The export share has been taken over by a variety of alternatives, such as manufactured products, electronics, fruits, meats, coffee and products from numerous other developing industries. Another imbalance is the dependency on the United States of America. Mexico and the USA have robust connections that have resulted in significant trade dependence. This is crucial, especially for Mexico, given the fact that around 70% of its export products are shipped to the USA. While this may seem unbalanced and dangerous, the countries have strong relations that do not result in noticeable activity to change this apparently unbalanced situation.

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Fun facts In Mexico the Consejo Regulador del Tequila (Tequila Regulatory Council) reported 901 registered tequila brands from 128 producers.

Mexican cuisine, a style of food that originates in Mexico, is known for its varied flavors, colourful decoration and variety of spices and ingredients, most of which are native to the country. The Mexican cuisine was added by UNESCO to its lists of the world’s “intangible cultural heritage”.

In Spanish, the word sombrero means any hat with a brim. It derives from the Spanish word sombra, meaning “shade”; thus a literal English translation would be “shade maker”. Spanish speakers refer to what English speakers call a sombrero as a sombrero mexicano (“Mexican hat”). In Mexico, it is known as sombrero charro, since “sombrero” is the actual word for any hat with a brim.

Day of the Dead (Día de Muertos) is a holiday WHICH is particularly celebrated in Mexico. The holiday focuses on gatherings of family and friends to pray for and remember friends and family members who have died. A common symbol of the holiday is the skull (in Spanish calavera), which celebrants represent in masks, called calacas (colloquial term for “skeleton”).

Tourism the Mexican economy does not rely on natural resources and the USA alone. The tourism industry is enormous in Mexico. With the ancient ruins, colonial cities, and especially the beach resorts as major attractions, 22 million, foreign tourists visit Mexico every year. Mexico City, the ancient capital, is one of the main places to visit for tourists, with many popular attractions such as the Museum of Anthropology and the National fine arts palace. near Mexico City there are the Pyramid of the Moon and the Pyramid of the Sun.

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Guadalajara, Jalisco, the second city by population, is famous for tequila, mariachi music and Mexican cowboys. Its similitude with western European countries mixed with modern architecture and infrastructure makes Guadalajara very attractive to tourists. Other major touristic attractions are the beach destinations Cancun, Puerto Vallarta and Acapulco.


mexico FEATURE The Energy Industry in Mexico Energy also plays an important role in the Mexican economy. The production of the key energy sources electricity and fossil fuels is vital for the economy and therefore is managed by two state owned companies: the Federal Commission of Electricity (CFE) and Petroleos Mexicanos (Pemex). The main sectors in the Mexican energy industry are Electricity and Oil & Gas. Electricity Mexico has a strong background in the generation of energy and is strictly organized and managed by the CFE. Mexico has the third largest geothermal energy production with the largest geothermal power stations in the world, the Cerro Prieto Geothermal Power Station. CFE also operates the largest hydro plant in Mexico. This is the 2,400 MW Manuel Moreno Torres Dam in Chicoasén, Chiapas, in the Grijalva River. It is the world’s fourth most productive hydroelectric plant. Oil & Gas The Oil & Gas industry is well developed in Mexico and vital for the economy, which makes it a key market that deserves a closer look at its history, its current state, and its future.

Encouraging deal between US and Mexico the OIL & GAS industry is presented with opportunities. Recently, the United States and Mexico agreed to work together on oil and gas development in the Gulf of Mexico, paving the way to end a long-running conflict on their maritime border. The deal encourages companies from the United States and Mexico to collaborate on projects over the Gulf maritime border, but it also gives the possibility to go ahead on their own if they do not find a partner. “These reservoirs could hold considerable reserves that would benefit the United States and Mexico alike,” Secretary of State Hillary Clinton said at a signing ceremony on February 20th, 2012 with Mexican President Felipe Calderon.

Exploring the Oil & Gas history Oil has played an important role in Mexican history for more than 150 years. The first oil wells were drilled in Mexico in 1869, but it took until around 1900 before any actual oil was found. By 1901, the production of oil in Mexico began. By 1910, prospectors had identified fields located near the central Gulf of Mexico coast town of Tuxpan. This first success led to many foreign companies (mainly American) taking over the uncoordinated efforts of speculative prospectors. Mexico started exporting oil in 1911.

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In 1917, the Mexican government granted itself the permanent and complete rights to all subsoil resources. This caused conflicts between the Mexican government and foreign investors - especially American oil companies. This issue was resolved in the 1930s. During the 1920s, Mexico followed the USA in petroleum output and became one of the leading countries in terms of oil exports. However, as a consequence of global depression, limited new oil discoveries, political instability, and Venezuela becoming a more attractive oil source, output during the early 1930s had fallen to 20% of its 1921 level. In 1935, Lázaro Cárdenas, the president of Mexico, intervened by expropriating the oil industry, giving the government the monopoly in the exploration, production, refining, distribution of oil and natural gas, and in the manufacturing and sales of petrochemicals. This was the start of what is now one of biggest companies in the world, Pemex. Between 1938 and 1971, Mexico’s oil output expanded at an average annual rate of 6%. It was not until 1973 that Mexican oil production surpassed the peak of 190 million barrels, an achievement reached in the early

1920s. In 1974, Pemex announced petroleum discoveries in Veracruz, Baja California, Chiapas, and Tabasco. Between 1976 and 1983, numerous new discoveries resulted in proven reserves of over 72 billion barrels. Pemex further expanded by building onshore processing facilities, enlarging refineries and improving its production capabilities. These investments led to a significant increase in petroleum output and the so-called peak oil of over 3,500 million barrels per day in 2004. In recent years, production has stabilized at a level of around 2,600 million barrels per day.

The current situation After Peak Oil in 2004, production fell by 25% and the proven reserves declined, which presented Pemex and the Mexican government with a difficult challenge. Ambitious reforms were vital, as about 40% of the governmental income was based upon the Oil & Gas revenues. In recent years, the figures have shown signals of recovery and due to quadrupling investments in the last decade, expectations are high. Currently, Pemex, which is responsible for all up-,

Oil production According to iea, Mexico was one of the top oil producers in 2009.

4% CANADA 8%

UNITED STATES

4% MEXICO 3% VENEZUELA

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13% 5% IRAN 12% SAUDI ARABIA

RUSSIA

5% CHINA


mexico FEATURE mid- and downstream activities within the Mexican territory, is among the largest companies in the world by revenue, making approximately 100 billion US Dollar a year in sales. Mexico is the among the largest oil producers in the world, as can be seen in the illustration at the previous page.

it produces once legal hurdles are cleared, and give the company a little more freedom from political interference. But many analysts and energy executives say the reforms are not enough to entice international oil companies, such as ExxonMobil and BP, to help Pemex find and produce more oil. Pemex needs that help especially to search for oil in unchartered deep-waters and to develop its tricky Chicontepec field, which, despite huge drilling efforts, still pumps only 67,000 barrels a day, which is short of expectations.

Outlook for the decades ahead Mexico has sought to stop declining output at its biggest oil field Cantarell by injecting gas and using other recovery methods. Cantarell was the world’s third-largest field when it was discovered in 1976, but in the past decade, its production slid with 74 % to approximately 400,000 barrels a day, dragging the country’s daily output to its lowest level since 1990. However, in the past decade also some major oil fields were discovered and Pemex plans to drill 82 fields and install 17 oil platforms in the Ku Maloop Zaap oil field.

Pemex still has the problem that Mexican law does not allow joint ventures for the kind of work that needs to be done and the kind of agreements and incentives that deep-water production requires. The recent reforms definitely have not gone far enough to meet the country´s ambitions. Yet, Pemex´s CEO Mr. Suarez Coppel remains very positive; he expects to ´increase production to 2.7 million barrels in the next couple of years and produce 3 million barrels a day by 2017 or 2018, which should be doable, given

Realizing its predicament, in 2008 Congress passed reforms to improve Pemex’s situation. Those reforms could give Pemex the ability to reward a contractor for each barrel of oil

Oil production Crude oil production, mexico: thousand barrels per day

3,575 3,350

3,425

3,150 3,000 2,750

2000

2002

2004

2006

2008

2010

2,600

2012

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mexico FEATURE our investments.´ The company’s forecasts are usually taken with a grain of salt by analysts, given its repeated inability to meet its own predicted production levels. The expectations of the analysts are confirmed by the reports of the governmental National Hydrocarbons Commission (CNH). According to CNH,

MEXICAN OIL PRODUCTION BARRELS PER DAY (M)

SOURCES > COMPANY: BP / STATISTICAL REVIEW: IEA

4.0 3.5 3.0 CANTARELL FIELD

2.5 2.0 1.5

OTHER PEMEX

1.0 0.5

OTHER MEXICO

0 1998

2000

2002

2004

2006

2008

the majority of the mature fields in Mexico is or will be in decline in the years ahead. Only 46 out of the 223 fields show growth potential. An important part of these fields with growth potential can be found in the Chirontopec fields, which have challenging exploration conditions due to difficult geological circumstances. A majority of the analysts expect Mexico to slow the rate of production decline that has plagued its vital oil sector over the short term, but that the downward trend will persist without new discoveries or further reform - with the country potentially becoming a net oil importer by the end of the decade. The Calderon administration has had some success in pushing through liberalization measures but has not gone far enough. There is still time for Mexico to alter this outlook, but without more urgency in oil sector reform and new exploration efforts aimed at tapping deepwater Gulf of Mexico (GoM) reserves the country faces the loss of its crucial oil export revenues.

2010

Comisión Nacional de Hidrocarburos

An independent commission to regulate the Mexican Oil & Gas market These insights were given during a brief interview with Mr. Juan Carlos Zepeda, General Manager of the Comisión Nacional de Hidrocarburos.

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MARITIME Industry

mexico

The maritime activity is focused on the east coast, because of its strategic position with access to other key harbors in the Americas and Europe and as a logistic support center to the oil and gas industry. Besides several medium sized harbors, the biggest port of the country is located in Veracruz. Veracruz is home to Mexico’s largest port, which is well connected with its history. During the colonial period, it played a key role in New Spain, exporting turkeys, corn, beans, avocados and cotton to Spain. Currently, the port handles all kinds of cargo, moving over 16 million tons  per year. This figure is expected to increase once the surrounding infrastructure is further enhanced. Veracruz is crucial for Mexico’s automobile industry, which is concentrated around Mexico City. Acapulco is located in the southwest area of the country and is the port for cruise boats in Mexico. Though surrounded by lush mountains and forests, the port and city are in good balance. Progreso is a port city in the Mexican region of Yucatan. Progreso is a center for both the fishing industry and the container industry.

In the past decades, the Mexican energy markets were managed by Pemex. To establish optimal usage of the scarce and valuable natural resources, the government proposed to divide responsibilities between government and Pemex via an independent body. In 2008, the congress of Mexico decided to form the Commission National des Hydrocarbons (CNH) to define and enforce the regulation in the E&P market. This allows Pemex to clearly focus on optimizing its operations, whilst this independent Commission could monitor all activities on crucial aspects. CNH cooperates closely with comparable governmental bodies in other countries that supervise their (national) oil companies and the E&P activity within its territories. The CNH is responsible for all supervision on regulation created by the government. Examples are control with regard to safety measures taken

into account, environmental conditions and the reduction of pollution. The CNH is basically in between the Mexican government on one side and the operators and contractors on the other side, whom are clearly led by Pemex in Mexico. However, the control goes further, as all (sub)contractors who work for the government, Pemex or work within the territories of Mexico in the field of hydrocarbons have to comply with standards set by the CNH. Furthermore, the CNH analyzes potential regions for development and assigns land or regions for exploration and production activity to designated companies. In general, the CNH is a strict but also transparent body. It tries to serve the market to optimize the developments in the interest of Mexico and of the industry. It cooperates very well with the industry and is committed to provide all relevant information upon request for contractors operating in Mexico.

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Recent projects Project Name: Contract Party: Loading Date: Vessel: From: To: Cargo Type: LOA: BOA: Leg Length: Weight:

HAFFAR 1 Mexico Jackup S.A. de C.V. February 2012 Dockwise Treasure Sharjah, UAE Dos Boca, Tabasco, Mexico Jack Up Rig 59.74 m 45.00 m 125.29 m 8,955 tons

Project Name: Contract Party: Loading Date: Vessel: From: To: Cargo Type:

Project Name:

MENAdrill 2 Industrial de Servicios & Contract Party: Outsourcing S.A. de C.V. Loading Date: October 2011 Vessel: Dockwise Transshelf From: Sharjah, UAE To: Dos Boca, Tabasco, Mexico Cargo Type: F&G Super M2 Rig LOA: 82.96 m BOA: 60.62 m Leg Length: 125.29 m Weight: 9,825 tons

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MENAdrill1 MENAdrill Investment Company December 2010 Dockwise Mighty Servant 3 Sharjah, UAE Ciudad del Carmen, Mexico F&G Super M2 Rig


mexico Project Name: Independencia I Contract Party: Operadora CISCA, S.A. de C.V. Loading Date: December 2010 Launch and Deck Barge (Crowley Vessel: Marine Services) Charterer: Dockwise Skid-On Veracruz, Mexico Cargo Type: Jack Up Rig LOA: 76.2 m BOA: 70.4 m Weight: 10,276 tons

Swecomex Independencia I Dockwise delivers on Swecomex challenge The load-out operation of the first jack-up rig ever constructed in Mexico was quite a challenge. Dockwise and its engineering arm Ocean Dynamics(ODL) were given the opportunity to conceive, engineer, manage and execute this historic project. During the Swecomex project, Dockwise was responsible for loading out the Independencia I jack-up rig from the Swecomex fabrication yard into the Tuxpan River, directly in front of the Swecomex dock. The load-out location came with depth restrictions that prevented the use of any vessel from the Dockwise fleet. Therefore, the loadout concept turned out to be challenging. The operation commenced with the transverse load out of the 11,200-ton rig onto a 100-ft wide barge, followed by rotating the assembly, and subsequently lowering each jack-up support leg on either side of the barge so that the rig would stand on its own. Finally, the barge was successfully removed from the narrow space under the rig while avoiding any contact with the jack-up support legs.

Project Name: Contract Party: Loading Date: Vessel: From: To: Cargo Type: LOA: BOA: Weight:

Bicentenario 1 Corporativo Grupo R, S.A. de C.V. February 2011 Dockwise Blue Marlin port of Okpo, Korea Willemstad, Curacao Semi-Submersible Drilling Rig 119.20 m 96.70 nearly 40,000 tons

During the operation, a constant collaboration with the client and the subcontracted parties was paramount to adjusting the precise engineering design with the field conditions provided. Coefficient of friction issues encountered were mitigated with good planning and cooperation of team members. As a result, the complexity of combining the land transportation provided by Mammoet with the marine transportation interfaces provided by Dockwise reflected Dockwise’s growing reputation as a skilled project manager that is able to combine the proper marine transportation expertise with the necessary imagination required to successfully execute a “turn key” logistics solution like this Swecomex project. DOCKWISER Page 25


Passionate to bring float-overs to Mexico Currently, Dockwise is active on all key oil & gas exploration and production markets around the world. Some of these markets are given special attention. Mexico is one of these markets. In order to realize the serious ambitions Dockwise has for the Mexican market, the company appointed a dedicated and committed area manager: Mr. Alfonso Wilson. Mr. Wilson is supported by a local, specialized team of RK Consultancy, which is owned by Roberto Keoseyan. Together, they work on a strategy that will meet the local market demands.

Alfonso Wilson, who works at Dockwise since 2009, has built up extensive experience in the Mexican market in the past years. Before joining Dockwise, he has worked with Pemex, BP and Schlumberger. “My main ambitions when joining Dockwise were to create awareness in Mexico regarding the advantages of float-overs and all its aspects concerned in comparison to the traditional lifting operations. I think we have realized significant progression in this field in the last year.” RK consultancy RK Consultancy was founded in 1995 by Roberto Keoseyan. He worked with Pemex as a project counsel during the growth development of the Mexican offshore industrie. Originally, RK Consultancy helped European and Asian companies to get familiar with the Mexican approach and government. However, soon the focus shifted towards brokerage in the maritime industry and providing commercial support to companies working in the Offshore Industry. Solid experience Currently, Dockwise is supported by RK Consultancy in expanding the commercial Page 26 DOCKWISER

Alfonso Wilson

and operational relations with local companies, in order to become a good and reliable partner to them. With a solid track record in the transportation of numerous jack-up and semi-submersible rigs into the Gulf of Mexico, Dockwise has an excellent position to expand these activities, even beyond Heavy Marine Transport into operating as an installation and contract partner. PEMEX The entire Mexican Oil & Gas exploration and production market is focused on the offshore activities managed by state-owned Petroleos Mexicanos (PEMEX). Since Alfonso Wilson and Roberto Keoseyan have been cooperating with multiple departments within Pemex for many years, they are well capable to join efforts on projects in the vital development regions. Alfonso states: “We often work in consortia or partnerships to provide the most optimal solution for Pemex or the EPC contractor involved.” “Our in-depth knowledge on how Mexicans work in this industry, combine well with our proven portfolio and good reputation. This results in a robust basis to support the local offshore industry,” states Roberto.


SERVINGMEXICO

Alfonso adds: “We cooperate with Pemex and its main contractors for example by providing good float-over solutions to ascertain the safest logistical solution at the lowest overall project cost, especially in comparison to traditional lifting alternatives. This is a crucial combined parameter based on which our clients make decisions. This is also in line with our strategy. With our reliable solutions, we are able to lower the costs and risks due to a reduction in the investments in the aligning phases of the transport and a reduction in time to start the operation of the equipment involved. We have case studies to confirm these conclusions, which are always appreciated by the clients.’

float-overs in the Gulf of Mexico. Numerous aspects of the engineering required detailed design, supportive LMU and DSU products and the various aspects of the float-over were discussed and explained.” A number of vital people from Pemex and Swecomex took part in the workshop. During this training, numerous practical and actual projects were featured, which will clearly result in further discussions in the near future. Alfonso: “This is one of the clear outcomes of my ambition to support this region with progression by innovation in the field of Transport & Installation. The float-over solutions explored proof gains in all key aspects, such as cost, safety and project duration, in comparison to traditional lifting operations.”

Workshops “Changing the traditional operations takes time or training,” says Alfonso. ´That is why we organized a workshop in our regional head office in Houston in January this year to provide thorough insights on the advantages of float-overs in comparison to traditional lifting operations.”

Dockwise is committed to support the Mexican Oil & Gas industry in the periods ahead. Alfonso Wilson is convinced that float-over will become the leading standard for the bigger offshore installation projects in the Gulf of Mexico in the next decade.

“We did a 5-day workshop to find out more about the optimal jacket design to enable DOCKWISER Page 27


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HEADERCURSIEF NUEVAEPOCA

Mexico braces for critical years ahead Eyes on reforms as massive drop in oil output and costly war on drug cartels hit economy TOM DARIN LISKEY - Mexico City (Upstream)

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Mexico is facing one of its most critical decades since the Mexican Revolution nearly a century ago. The government’s war on drugs, a massive drop in oil production at the Cantarell field and the changing global economy are among the make-or-break hurdles Mexico faces. “The next decade is going to be very critical for Mexico,” says Edgar Rangel, a commission on the National Hydrocarbons Commission (CNH). Pemex provides more revenue for the Mexican economy than any other single corporate tax payer. With Mexico mired in a bloody war with drug cartels that has reined in economic growth by as much as 1%, declining oil production could imperil the country’s financial health, according to one analyst.

Arthritic The Mexican oil industry was born in the heady days of 1938 when the government expropriated foreign operated assets. However, over the decades Pemex has become draped in the ponderous, constitutional mantel of protecting Mexican oil — and the company’s corporate structure has made it arthritic. “Pemex has a lot of highly qualified engineers, but their hands are tied,” says Grupo Diavaz president Oscar Vasquez Senties. Changes, no matter how slow, are winding their way through the state-run apparatus. Energy reform in 2008 helped pave the way for the creation of energy regulator CNH. However, the overall reform lacked the scope to revitalise the country’s critical upstream sector.

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“It’s been a tough six years for Mexico’s oil industry,” says Raul Monteforte, executive director at the Mexican energy company Fermaca Global. “Reform did not meet (President) Felipe Calderon’s more ambitious goals for institutional reform.” More ambitious changes to Pemex and the energy sector are in the making, says Felipe de Jesus Cantu Rodriguez, a ruling PAN party lawmaker. “You will see more reform (initiatives) being pushed forward,” he says. Even so, with presidential elections just around the corner, it is unclear if Mexico’s Congress will throw its support behind even more far-reaching reforms. “The window for a more earnest energy reform is dwindling,” says Robert Donnelly, programme associate in the Mexico Institute at the Woodrow Wilson International Center for Scholars. Vasquez Senties says of Pemex: “What


NUEVAEPOCA

we are facing is the death of a monopoly... without competition, you cannot grow.” Declining output Pemex has grappled with six years of straight declines in oil production, taking output to about 2.6 million barrels per day, down from nearly 3.4 million bpd in 2004. However, a new breed is growing up in the company that hopes to steer Pemex back to growth. Led by managers such as E&P director Carlos Morales Gil, younger, taskoriented managers are emerging, helping to reshape the company. “They’ve really changed their way of doing business,” says Paul Candies, president of Des Allemandes, Louisiana-based Otto Candies. “Mexico’s lifeline is Pemex, but with oil money disappearing, the government is trying to help (the Mexican oil industry).”

best,” says Santosh Mathilakath, senior vice president of National Oilwell Varco’s NOV Monoflo Group. “They’ve made the point clear that they want to be the best national oil company in the industry. The desire to achieve that is pretty clear.” Pemex has placed managers in key energy capitals around the world, as it tries to raise up a new managerial class to help the country meet its energy goals. “They also feel a social responsibility to the country. They take corporate citizenship and responsibility seriously,” says Mathilakath. In the process, the company has also become more open to new technologies and techniques. “Pemex is looking outside the box — they are looking at new technologies and not what they have done traditionally. That’s their mandate,” says Global Geophysical Services president Duncan Riley Jr.

Other industry leaders agree changes in Pemex are becoming evident. “Pemex’s senior leaders are some of the best of the

This article is reprinted with kind permission from ‘Upstream’. It first appeared in the December 16, 2011 edition of said newspaper.

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Experience The Dockwise Difference at OTC2012 OTC’s Spotlight on New Technology Award for the Design of the Dockwise Vanguard The Offshore Technology Conference recognizes innovative technologies each year with the Spotlight on New Technology Award, which is awarded this year to the design of the new build Type-0 vessel, the Dockwise Vanguard. The Dockwise Vanguard technology meets the following five criteria: NEW The first bowless vessel with a starboard steering room/accommodation.  

Winner 2012

INNOVATIVE Maximizing cargo space due to nonconventional design. PROVEN Designed by Dockwise using a specialized shipbuilding engineering agency and extensive model tests performed to confirm vessel behavior. BROAD INTEREST The Dockwise Vanguard received already three firm dry transport orders and several serious contacts are established with oil majors for the dry transport of FPSO vessels. In addition, the vessel gains serious interest as a smart drydocking opportunity from oil companies and contractors. SIGNIFICANT IMPACT Dry-transport of large FPSO, SPAR, TLP, SEMI and Integrated Offshore structures up to a weight of 110,000 MT in a safe, fast and well known, opening a new market for future reliable mega transports. Offshore drydocking allows for inspection, maintenance, and repair activities while keeping the FPSO on location. To find out more about the Dockwise Vanguard, please attend the awards ceremony AT 16:00 HRS ON MONDAY, APRIL 30TH, in the Reliant Center Lobby B Rotunda or visit the Dockwise booth (#5225).

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OTC2012 Dockwise presents innovative new findings on Offshore Discharge opportunities during OTC

Dockwise Vanguard receives an Approval in Principle (AIP) from ABS for the Offshore Dry-docking concept

The Delft University of Technology in the Netherlands cooperates with Onno Peters, Senior Marine Engineer at Dockwise to research how to safely discharge major structures offshore. With an increase in E&P activities taking place in more remote locations, the demand for a proven solution to transport and safely discharge major structures to offshore locations in unsheltered conditions also increases. Mr. Onno Peters will present the most recent, very promising findings during the OTC 2012. If you are interested and want to learn more about the latest developments, please make sure to visit this interesting presentation!

ABS provided technical concept review services during a Hazard Identification Study (HAZID) meeting early March 2012 in Houston resulting in an Approval in Principle for the technical concept of Offshore Dry-docking onboard the Dockwise Vanguard vessel. The HAZID meeting was also witnessed by two undisclosed Oil & Gas majors.

Reserve your seat to learn more about the latest developments in Offshore Discharge during the technical program session ‘Design Issues and Trends For Offshore Service Vessels’ on WEDNESDAY, MAY 2ND, between 14:00 and 16:30 hrs, Room 600.

The dry-docking capabilities enable inspection, maintenance and repair service opportunities, amongst others. A unique feature of offshore dry-docking option with the Dockwise Vanguard is that both the anchor lines and the flow risers remain connected to the FPSO internal or external turret mooring system. Hence, the combination of Dockwise Vanguard and FPSO is capable to freely weathervane around the FPSO turret mooring as shown in the picture below. 

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´The revival of Pemex´

This edition of the ‘Dockwiser’ features Mexico. Talking about Mexico, one rapidly talks about its strong position in natural resources and subsequently the national, state owned oil company Petroleos Mexicanos, Pemex. A brief introduction on the world’s fifth largest oil exporter and most important enterprise of Mexico. Pemex was established in 1938 by President Lazaro Cardenas, after nationalizing the foreign companies that owned and managed the oil wealth of Mexico. As a result, many foreign countries banned the import of Mexican oil. Mexico managed to tap new markets and in time became the fifth largest oil exporter in the world. Pemex not only fuels Mexico’s automobile engines but is also the most important contributor of the government, accounting for approximately 40% of the Mexican revenues and about 7% of the country’s export earnings with an annual revenue stream of approximately 100 billion US dollars. This revenue shows a stable and healthy growth and is realized by the 150,000 employees who work at Pemex. Furthermore, it is likely that a similar number of people find indirect employment via (sub)contractors who work in the industry. Revival Although Peak Oil occurred in Mexico almost a decade ago and the production and results fell back significantly, Pemex has gone through a strong and impressive growth curve in a variety of fields since then. Where in 2004 the replacement ratio of newfound reserves was

Page 34 DOCKWISER

only 23%, renown exploration activity resulted in an impressive growth of this ratio towards a forecasted 100% this year! Furthermore, Pemex is, according to its own figures, the most efficient offshore oil company in the world when it comes to realizing the lowest production cost per barrel of oil in 2010. This $5,22 production cost per barrel is between 20% and 80% less than most alternative market players! Pemex also realized a reduced dependence on the major but aging oilfield ´Cantarell´. Where in 2004 approximately two out of every three barrels produced in Mexico came from this field, nowadays, Pemex only depends on this field for one out of five barrels. An impressive rebalancing of usage of its resources, which also resulted in increased production in recent years for Pemex. Organization PEMEX operates by the conduct of a Corporative Office and four Subsidiary entities:  PEMEX Exploración y Producción (Exploration and Production)  PEMEX Refinación (Refining)  PEMEX Gas y Petroquímica Básica (Gas and Basic Petrochemicals)  PEMEX Petroquímica (Petrochemical)


The biggest entity is the Exploration and Production division, which is responsible for 85% of all investments, made within the group and is also the main source of input for the three other entities. Investments The overall investments made by Pemex have doubled between 2005 and 2010 to approximately 18 billion US Dollar. This can be explained by the ambitious goals the company sets to increase both production and reserves. According to analysts, the number of drilling rigs that work under the supervision of Pemex will more than double in the coming three years to over 90 rigs. The vast majority will of course be jack-up rigs, but also more semi-submersible rigs are expected to arrive for deep-water exploration activity. Another important part of the investments made will be used to erect new production topsides offshore. Although most of the 45 planned topsides will be smaller platforms, Pemex also wants to install approximately 10 larger topsides to realize its ambitious goals. Some facts on Pemex  In recent years, the average production of crude petroleum was between 2.5 and 3 million barrels a day.  The company is engaged in the exploration, production, transportation, refining, storage and sale of hydrocarbons and derivatives. Its products include petrochemicals, natural gas, liquid gas, sulfur, gasoline, kerosene, and diesel.  Pemex operates: 344 production fields;

6,382 production wells; 225 off-shore platforms; 6 refineries; 8 petrochemical complexes; 7,896km of gas pipelines; 4,548km of oil pipelines; 19 LPG distribution terminals and operates more than 8,350 service stations throughout Mexico.  The integrated company’s operations, spread throughout Mexico, range from exploration and production to refining and petrochemicals. Pemex’s Key Oil Reserves

 One of the world’s largest oilfields and the

largest in Mexico is located in the Bay of Campeche. This is Cantarell field, where oil was first discovered in 1976. In 2003, production in this field had peaked to 2.1 million barrels per day, but gradually began falling in subsequent years. The decline of Cantarell field continues which is compensated by alternative fields as the nearby Maloob-Zaap field, which has the potential of producing up to 800,000 barrels per day by 2010.  Northeast of Mexico City lies the Chicontopec basin where oil was discovered in 1926. The area has reserves of approximately 33 billion barrels of oil. It is estimated that a little more than half of it can be recovered. Pemex owns the field and has announced its intentions of excavating the hydrocarbons reserves of the area. This area will produce one million barrels per day.  PEMEX reports to have proven reserves of 14 billion barrels of oil equivalent.

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In 2005, Dockwise launched its growth strategy to add value to its customers by offering additional services to its core business, heavy marine transport. To become a fully dedicated Oil and Gas services provider, Dockwise commenced offering offshore transport and installation along with logistical management services. To support this growth strategy, Edward Legierse joined the company in 2006 to setup the marketing department. With his experience in marketing of strong brands in companies like Sara Lee, Douwe Egberts, NestlĂŠ and Volkswagen, he introduced a customer oriented approach. According to Edward, the main purpose of marketing is to support the company with a process by which it can create an added value for customers and build strong customer relationships.

Understanding your customer starts with listening Marco van der Hijden interviews Edward Legierse, VP Corporate Strategy and Marketing at Dockwise.

A sustainable business is created by building strong customer relationships with services exceeding customer expectations. But if you want to exceed customer expectations you have to know first what these expectations are. Expectations can differ from one customer to another. Active listening to each customer is the essence of a successful company. Our organization is now increasingly focusing on understanding these individual customer needs.

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HEADERCURSIEF

Edward Legierse: “In my private life, I regularly experience difficulties communicating with companies. A great deal of the problem lies in their inability to listen to my needs. Those companies that are able to address my needs often get my business.� DOCKWISER Page 37


The marketing department plays a central role in capturing relevant market insights, understanding customer’s needs, and creating services with a competitive advantage. The marketing team supports sales management to communicate with and manage their customer relationships. In communication with customers, sales and marketing managers should raise critical questions to unearth the underlying challenges our customers are confronted with:  What is it that keeps customers awake when it comes to the 

critical aspects of their projects?  What are our customers’ obstacles in all areas connected 

to the marine transport and/or installation of an extreme heavy cargo?  How can we help our customers with innovative solutions for 

these issues?  How can we increase our service scope to contribute to our 

customer’s success? On time and safe delivery of the cargo is not good enough anymore. We want to offer a tailor-made ‘one-stop-shop’ approach for our customers. Therefore, we often operate in multidisciplinary partnerships to support our customers’ projects. In doing so, we not only meet, but exceed their expectations by offering a comprehensive solution. If you exceed a customer’s expectation, it is very likely he will promote you to other potential customers. This ‘Promoter Score’ is an important KPI for our success. Dockwise is in the mist of introducing a collection of strategic programs to strengthen customer relationships, understanding customer satisfaction and ultimately contributing to our customers’ success. For example, Dockwise is currently implementing a Customer Relation Management (CRM) program throughout the company to support its customer focus. The program is a global information system, being kept up-to-date by all commercial and operational departments. The intranet based CRM system contains all pertinent client information: e.g., contact details, business roles, project information - executed and upcoming - meeting reports, client expectations and satisfaction ratings. The CRM platform

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centralizes both project and customer knowledge and enables employees to access the information at anyplace, at anytime, to provide best-in-class service. The vast collection of vital knowledge is accessible for our team, enabling a change towards a customer focused mindset and subsequently delivering a tailor-made solution for each and every customer. Next to CRM, we have recently started with issuing a questionnaire to our clients after project execution to evaluate their satisfaction. For many years, we are already asking our customers to evaluate our loading and discharge performance through our superintendants on board our vessels. Currently, our Quality Assurance department contacts every client after a project is finished via a survey. In this survey, we ask our key contacts to evaluate the overall project execution performance. Each survey is reported throughout our company and, if necessary, improvement measures are undertaken. The feedback and the measures are again shared with the respective customer. We have introduced a Master Service Agreement designed to reward loyal customers. Under this agreement our customers have the opportunity to optimize their schedule commitments for future transports. It contains a system of ‘DRILL Credits’ (Distance Related Incentive Loyalty Leverage) that customers accumulate similar to the ‘Air Miles’ in the airline industry. As trust underpins the relationship with our clients, we have started Knowledge Sharing Workshops with customers. In these workshops, we share our extensive knowledge on our Heavy Marine Transport, Offshore Transport & Installation and Logistical Management services. Sharing knowledge to achieve mutual time and cost benefits has resulted in extending project scope, due to better understanding of our comprehensive service capabilities. Dockwise is well positioned to further grow and diversify its business. In order to achieve this, we are building a customer centric organization designed to continuously exceeds customers’ expectations by actively listening to its customers’ needs.


FROM CRUDE OIL TO SMART SOLUTIONS In a world where energy projects are increasingly complex, you need a bank that offers more than just financing. ABN AMRO has a track record in innovative structured finance solutions. But our support goes deeper than dollars. We partner with clients across the full energy value chain. Using our global presence and recognised sector expertise to help you develop the right financial strategy. Add fast decision-making, flawless execution, and strong risk management solutions, and it may explain why we tend to measure client partnerships not in deals but decades. To learn more about how we can support your growth ambitions, please visit abnamro.com/ect


The creation of 21st century vessel After a full year of engineering in the Netherlands, Finland and South Korea, steel cutting started in September 2011 to realize the biggest semi-submersible vessel in the world: ‘Dockwise Vanguard’. The construction consists of several phases and is closely monitored by senior project management from Dockwise and Hyundai Heavy Industries (HHI).

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DOCKWISEVANGUARD After finalizing the basic design and the detailed engineering, the time from first steel cutting till the christening ceremony will be roughly a year. As we are in the middle of this 12-month period, it is nice to give an update on the current status of the realization of the Dockwise Vanguard. An overview of the previous stages and stages we will enter in the months ahead.

BASIC DESIGN

DETAILED DESIGN

STEEL CUTTING

BLOCK PRODUCTION

September 2011- March 2012 Steel cutting results in a total of 520 ´steel building blocks´. Every building block is unique en they vary strongly in size, shape and weight. Every night, 30 trucks arrive at the yard to supply the pre-cut steel plates to the yard required for block production. The vessel consists of a very high number of blocks in comparison with tankers and bulk carriers of the same size, due to the heavily lift nature of the vessel. To carry ‘heavy loads’ the vessel has to be very strong and therefore a huge amount of steel is required. December 2011 The first keel block has been finalized. This keel block has been witnessed and certified by DNV. Keel laying of this block introduces the ‘birth’ of the vessel. The DNV certificate is HHI Hull 2511/ DNV ID No.31662. December 2011-August 2012 Medium sized blocks have been attached to 200 bigger sized elements that will ultimately create the vessel. Subsequently, these 200 mega blocks are

ERECTION

COMMISSIONING

SEA TRAILS

DELIVERY

merged in the dock where the Dockwise Vanguard is currently ´erected´. August 2012 The vessel will be launched, will leave the dry dock and will be moored along the quayside for further finalization and commissioning. During commission, all equipment and systems will be tested for their functionality and communication between systems. An important part of the commissioning phase is the sea trials. During the sea trials, the actual performance of the vessel at sea will be tested. In addition, a submerging trial will be performed to test the vessel’s ballast system. Upon successful testing, commissioning and sea trials the vessel will be delivered by HHI to Dockwise and will be sailing mid December ultimately. The schedule is tight due to the first planned voyage of the Jack St. Malo platform hull that has to be transported from South Korea to the Gulf of Mexico at the end of 2012.

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Mr. Kang, Project Manager HHI and Ronald Goetheer, Project Manager Dockwise

Ronald Goetheer, Project Manager Dockwise responsible for the construction: “We constantly have a team of professionals from Dockwise present at the yard, specialized in a variety of disciplines to monitor the safe realization, quality and progress of the vessel and ascertain all parameters agreed upon to realize this ´inconceivable vessel´”. Mr. Kang, Project Manager HHI: “Of course, HHI’s role is to successfully complete and deliver this quality vessel in a timely fashion. But we cannot do this alone. Thankfully, Dockwise has put together a capable project team to cooperate closely with HHI during the vessel construction period. Throughout the project, and even during the construction phase, the project team will look for opportunities for improvements. For each opportunity,

Greetings from SOUTH KOREA; a construction update on the ‘Dockwise Vanguard’ HHI must rely upon Dockwise’s project team to quickly assess the situation and make decisions, so we can maximize the vessel’s capabilities whilst adhering to the overall project goal in schedule and costs. The Dockwise project team must also participate in many construction activities that require Dockwise representation. Also, the Dockwise project team has shown deep interest in safety and has been actively involved in ensuring safety at HHI and subcontractors. Certainly, safety is OUR responsibility, but we welcome and appreciate the involvement of Dockwise. Without a doubt, Dockwise has played an indispensable part in the zero LTI we have been recording since we have been awarded the contract. Through close cooperation and good partnership between Dockwise project team and HHI, we will complete a quality vessel to the satisfaction of all”.

DOCKWISE Vanguard LENGTH O.A. (meter) LENGTH B.P. [meter] BREADTH MOULDED / MAX. (meter) DECK SPACE (L x B)* (meter) DEPTH (meter) DRAFT SUBMERGED AT FPP / APP (meter) MAXIMUM DRAFT (meter) WATER DEPTH ABOVE MAIN DECK FPP / APP (meter) DEADWEIGHT (metric tons) SPEED (knots) TYPE OF VESSEL * Equipped with movable casings

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275,00 270,00 70,00 275.00 x 70.00 15,50 31.50 / 31.50 10,99 16,00 117,000.00 (expected) 14.5 (expected) TYPE-0


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MASTHEAD The Dockwiser is a publication of the Dockwise Group. For more information, please contact communication@dockwise.com, www.dockwise.com, +31 (0)76-5484100 project management & editing: Marco van der Hijden, Danielle Biermans and Sven Kuil Art Direction/Realization: The Key Agency Contributors: Tom Darin Liskeys, Upstream Printed by: Broese & Peereboom Photography: a.o. iStockphoto, Philippe Roy, van Nispen Fotografie, Onne van der Wal, Robert Govers Worldwide offices The Netherlands, the United States, China, South-Korea, Australia, Brazil, Singapore, Russia, Nigeria, Mexico and Malaysia.


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