danish maritime magazine 03-2012

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M ARITIME MAGAZINE DANISH 3 - 2012 ERHVERVSMAGASINERNE Minister for Business and Growth: Piracy is slowing down Dry bulk operator sailing against the tide Quality shipping is the key to sustainable growth

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Quality shipping is the key to sustainable growth - Dry bulk operator sailing against the tide - Piracy is slowing down.

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Page 1: Danish Maritime Magazine 03-2012

MaritiMeMAGAZINE

DANISH

3 - 2012

ErhvErvsMagasinErnE

Minister for Business and Growth:

Piracy is slowing down

Dry bulk operator sailing against the tide

Quality shipping is the key to sustainable growth

Page 2: Danish Maritime Magazine 03-2012
Page 3: Danish Maritime Magazine 03-2012
Page 4: Danish Maritime Magazine 03-2012

Our focus on quality shipping also means that we have knowl-

edge and expertise to construct the ships of the future. Be it

the optimum use of fuel, the perfect hull design or technology

enhancing navigational safety, Danish companies offer some

of the world’s most modern and innovative solutions.

The Danish maritime cluster possesses the know-how neces-

sary to create the solutions that will form the future of quality

shipping. This position has been gained through continuous

research and development over a long span of years. As a

small country with long maritime traditions, the Danish mari-

time cluster is also well-known for its strong ability to cooper-

ate and use the strengths of one another.

The maritime world is concerned about the environment and

the climate. And we are all facing a great challenge in meeting

new demands and standards that will ensure sustainable mari-

time transport in the future. Therefore, I am pleased that Dan-

ish technology and knowhow not only contribute to improved

finances and increased growth, but also to environmentally

friendly solutions. By focusing on green shipping both the fi-

nancial and the environmental bottom lines are lifted. I believe

that green shipping is the future – and those who dare aim

at climate and environmentally friendly solutions will gain a

competitive advantage. A competitive advantage that can be

estimated in euros, dollars and yen and that will also be of im-

portance to the world around us.

Ole Sohn

Minister for Business and Growth

Quality shipping is the key to sustainable growthIn Denmark, we have for many years aimed at high quality across the entire

spectrum of shipping – health, safety, the environment and the climate. This

has given Denmark a unique position as a significant maritime nation

characterised by growth and a sound development.

Quality shipping is the key to sustainable growth4 Daily news on www.maritimedanmark.dk

Page 5: Danish Maritime Magazine 03-2012

ISSN: 1903-5888

EditorRené Wittendorff [email protected]

AdsPhone (+45) 7020 [email protected]

PublisherErhvervsMagasinerne ApSJaegergaardsgade 152, Bygn. 03 I8000 Århus CPhone.: (+45) 7020 4155,Fax: (+45) 7020 4156

Printing: PE offset A/SLayout: Michael Storm, DesignuniversNext issue: 5th of October 2012

Advisory Board:Chairman CEO Klaus Kjærulf, SeaMallJan Fritz Hansen, Vice Executive President in the Danish Shipowners’ AssociationChairman Per Jørgensen, Federation Interna-tionale des Cadres des Transport - FICT CEO Jenny Braat, Danish Maritime CEO Lars Thrane, Thrane & Thrane CEO Kurt Skov, Blue Water Shipping CEO Bjarne Mathiesen, The Port of Aarhus CEO Steen Sabinsky, The Maritime Development Center of Europe Editor Martin Uhlenfeldt, MaritimeDanmark.dkEditor René Wittendorff

Copyright

3-2012 4 Quality shipping is the key to sustainable growth

6 Dry bulk operator sailing against the tide

8 New EU initiative to built capacity in pirate areas

10 From shipyard industry to advanced technology

12 Frederikshavn leads the way to the future

of the maritime industry

14 Piracy is slowing down: Now is the time to hold on

16 A2SEA meets the future sailing

18 Efficient green approach to the future

Daily news and free E-mag on:

WWW.DANISHMARITIMEMAGAZINE.DK

MARITIMEMAGAZINE

DANISH

3 - 2012

ERHVERVSMAGASINERNE

Minister for Business and Growth:

Piracy is slowing down

Dry bulk operator sailing against the tide

Quality shipping is the Quality shipping is the key to sustainable growth

Ultrabulk Shipping A/S

Page 6: Danish Maritime Magazine 03-2012

Several times during the conversation, CEO Per Lange stress-

es that Ultrabulk is in the dry bulk business as an operator

- not speculators - but they have an obligation to renew the

fleet in line with customer needs.

- Our investments follow the development in our cargo book,

where long term contracts indicate that we will need a future

fleet of 26 vessels to balance the loads. Furthermore, we want

to minimize the environmental impact of our activities, and

the new generation super ECO-type bulkers can improve the

fuel efficiency with up to 15% and reduce CO2 emissions cor-

respondingly, Per Lange explains.

SIZE IS NOT AN OBJECTIVE

Long term customer relations are the result of Ultrabulk’s phi-

losophy. Since 2006 they have built their business around

the core values Excellence, Integrity and Enthusiasm in order

to become ‘A Partner You Can Trust’. And the market has re-

sponded with confidence.

- For us size is not an objective in itself. We have already

got the critical mass we need in key markets, so there is

no need to force further expansion. Our aim is to grow and

increase our business through the positive development of

our partners in their industry. Growth will improve our com-

petitive edge, but it is not an end in itself, and it must be

achieved on the right premises, says Per Lange.

Today, Ultrabulk has the commercial control of 90-125 ves-

sels of which 25-27 are long term commitments. 10 remain

to be delivered by the end of 2014. The cargo commitments

linked to these vessels comprise all kinds of dry bulk but

the main commodities are coal, fertilizer and steels.

READY FOR A NORMALIZATION OF THE MARKET

As most other ship owners in the dry bulk industry Ul-

trabulk faces immediate challenges in terms of a high

risk partnerships. In the present market some play-

ers will inevitably perish, and all business associates

bleed if one company files for bankruptcy protection.

- All agreements and contracts have to be scrutinized to

access the risk, and it is better to be safe than sorry. We’d

rather turn down good business than accept depreciations,

Dry bulk operator sailing against the tideIn July, Ultrabulk confirmed the order of three up to five newbuilt

handysize bulkers of 36000-38,000 DWT scheduled for delivery in 2014.

The announcement stands out in a market characterized by over capacity

and severe rate pressure, yet Ultrabulk is not a company to take undue risks.

Dry bulk operator sailing against the tide6 Daily news on www.maritimedanmark.dk

Page 7: Danish Maritime Magazine 03-2012

but you need deep market insight to know when to stop

and when to go. It’s not a healthy business environment.

But through exposure control we have managed to ensure

a stable development.

Still, Per Lange believes the tide will turn in 2-3 years’ time,

so that the over capacity will be absorbed and international

trade relations will normalize. That trend will coincide with

the inauguration of our Ultrabulk’s vessels. Meanwhile,

long term contracts and a conservative growth strategy re-

duce economic vulnerability.

BUILDING TRUST

The mutual trust needed to establish long term relations

is based on personal knowledge and an impeccable track

record. Through the years Ultrabulk has proved its worth as

a reliable operator with an ability to optimize operations to

the benefit of all parties involved.

As an example of Ultrabulk’s optimization efforts, Per

Lange mentions investments in load handling systems or

storage facilities in certain ports, where old equipment or

insufficient warehousing may slow down or jeopardize op-

erations.

- In most cases, relatively small investments can lead to

huge improvements for the customers. The most important

thing is our ability to listen to the customer’s needs and

requirements and to use the knowhow and experience we

have gained from similar operations elsewhere to improve

the general setup, Per Lange states.

The emphasis on experience and integrity means that Ul-

trabulk strives to maintain a low turnover on the staff of

90 employed at 8 strategically located offices around the

world.

INCREASED FOCUS ON THE FAR EAST

Per Lange points to location as one of the main challenges of

the future. The dry bulk carriers have their headquarters in

Copenhagen, but most of the traffic growth is in the Far East,

which means increased focus on the branch offices in Beijing,

Hong Kong and Singapore.

Ultrabulk is also represented in Hamburg, New York, Rio de Ja-

neiro and Santiago di Chile, and the South American connec-

tion reveals the corporate ownership. Ultrabulk is fully owned

by the Ultramar Group which is one of the leading companies

in the Latin American shipping industry. Yet the Ultramar

Group has decided to place the HQ for their dry bulk division

in Copenhagen in recognition of the expertise accumulated

here over the years.

Same team and management behind changing names

Ultrabulk traces its history back to the 19th century with East

Asiatic Company and ‘Rederiet Myren’ that initiated shipping

activities in the 1890s.

In an effort to increase focus on core business, EAC sold

off the shipping activities in 1997 to Tschudi and Eitzen. In

2003 the dry cargo bulk activities became Eitzen Bulk Ship-

ping A/S which merged with D/S Orion A/S, before being sold

to the Ultragas Group in Chile. In 2010, the company changed

name to U-SEA Bulk and in January 2012 to Ultrabulk Ship-

ping A/S following a merger of all the dry bulk activities in the

Ultragas Group.

But despite the rapidly changing names, the management

and team behind the enterprise has remained more or less

intact, and with a new global marketing platform and a large

and renewed fleet Ultrabulk is stronger than ever and better

able to meet client’s needs within the handysize, supramax

and panamax segments.

Dry bulk operator sailing against the tide

FACTS

1 January 2012 U-SEA Bulk Shipping A/S merged with a Latin American, dry bulk, sister

company under the name Ultrabulk Shipping A/S. In 2011 Ultrabulk’s consolidated total

cargo carryings amounted to 34,6 million tons generating revenues of around USD 800

million.

Ultrabulk is a part of the Ultramar Group - one of the leading companies in the Latin Ameri-

can shipping industry

The Ultramar Group covers four business areas:

Ultragas

Tankers, Product Carriers, Gas Carriers,

Chemical Carriers, Bulk Carriers (Includ-

ing Ultrabulk) Liner Services and Ship-

management

Ultratug

Harbour Tugboats, Salvage and Offshore

Support

Ultramar

Shipping Agencies, Container Terminals,

Stevedoring, Port investments and opera-

tion, Airline representation

Ultraterra

Energy, Real Estate, Stocks and other

shipping related investments.

7Daily news on www.maritimedanmark.dk

Page 8: Danish Maritime Magazine 03-2012

EUCAP Nestor is part of the EU’s comprehensive approach to

fighting piracy and instability in the region. A team of around

175 people will work to reinforce the capacity of states in the

region to effectively govern their territorial waters. Djibouti,

Kenya, the Seychelles and Somalia have accepted the EU’s

offer of assistance. The mission will be extended to support

Tanzania as soon as possible.

EU High Representative Catherine Ashton said: - By launching

this new mission in the Horn of Africa, the EU is highlighting

once again its leading role in the fight against piracy. Under

the leadership of the countries themselves, I hope that EUCAP

!estor will create lasting solutions to the scourge of piracy.

The new mission has two main objectives: strengthening the

sea-going maritime capacities in the countries in the region

(with the exception of Somalia) and, in Somalia, the training

of a coastal police force as well as of judges. It will give expert

advice on legal, policy and operational matters concerning

maritime security, deliver coast guard training and help to

procure the necessary equipment.

HORN OF AFRICA

EUCAP Nestor is embedded in the EU strategic framework for

the Horn of Africa and

complementary to the other two CSDP missions in the region:

EU NAVFOR Atalanta, contributing to the repression of piracy

and to the protection of food aid shipments, and EUTM So-

malia, which is training Somali security forces. In order to

facilitate coordination between the three missions, the EU

Operations Centre has been activated. It will also support the

Civilian Operation Commander with military expertise during

the planning and conduct of EUCAP NESTOR.

EUCAP Nestor will initially last for two years and have its

headquarters in Djibouti. Training is to take place both in the

Djibouti regional training centre as well as in the countries

concerned. A budget of EUR 22.8 million has been allocated.

By Finn Bruun

New EU initiative to built capacity in pirate areasA new civilian Common Security and Defence Policy (CSDP) mission, EUCAP

Nestor, is now going to support regional maritime capacity-building in the

Horn of Africa and Western Indian Ocean states.

New EU initiative to built capacity in pirate areas

The Danish warship “Absalon” operates

close to shore to intercept pirate vessels.

8 Daily news on www.maritimedanmark.dk

Page 9: Danish Maritime Magazine 03-2012

www.maritime-network.dk

Serviceat the Gate

to the Baltic

F R E D E R I K S H A V N

Forside_A4.indd 1 03/02/11 13.36

Page 10: Danish Maritime Magazine 03-2012

The siren has not been silenced. Its hooting still sounds over

the port and the city of Frederikshavn every day after work.

Even if the times with two big shipyards are now a thing of the

past, the well-known sound of the siren brings back memo-

ries of what once was. Like an echo of a time gone by. Like a

reminder of what has come instead. And at the same time, like

a promising signal about everything which is to come.

Frederikshavn, Denmark’s proud, old shipyard city at the gate

to the Baltic, inside the Skaw, is also in 2012 a city with a

strong maritime industry. And thereby, Frederikshavn is living

proof of the old saying that it possible to emerge strength-

ened from a crisis. The enterprises in the maritime cluster in

Frederikshavn have managed to build on the best of the exist-

ing foundation, with the maintenance shipyard Orskov Yard as

the central player.

For generations, the lives of the inhabitants of Frederikshavn

were closely linked to the two shipyards: Danyard and Orskov.

Fathers and sons had worn the blue boiler suit and had lived

their working lives based on the regular hooting of the siren.

But towards the end of the 1990s, the iron fist of globalisation

hit with one single blow right down in the middle of the city’s

strong life nerve – and left an open wound. The city – and a

whole region – lost more than 7000 jobs, at the same time.

The fact that the inhabitants of Frederikshavn, their city, their

region, and their workplaces were able to recover at all after

this hard blow is an achievement without comparison. An

enormous effort, which was not just made possible because

of the well-known perseverance of the inhabitants of the re-

gion. The biggest player in the change process has actually

been the willingness to change, which has been shown and

which is still being shown by the inhabitants of Frederikshavn

and by the maritime enterprises.

Ship engines are still being built at MAN Diesel & Turbo.

Ships are still setting out from the family-owned Orskov Yard,

which, with success, has transformed itself into a modern re-

pair yard. Engines, equipment, and propellers are being sold,

and assembling, repair work, fitting, and renovation are being

performed. And even if the most recent new ship left the old

yard more than ten years ago, new marine equipment is still

being built in Frederikshavn.

At the old yard areas at the port, there is still a wealth of life.

Signs on the fronts testify to a diversity of enterprises which

each fills a niche in a still more global market – and which to-

gether make up a strong unity, which can meet any requirement

from clients in the maritime business all over the world.

To not just survive, but to develop into a success on the ruins of

a defeat – that is an achievement which is very much based on

local enterprises and local labour. Together with the ability and

the will to have new ideas they still possess the same core com-

petencies as ten and twenty years ago. Qualifications, which it

From shipyard industry to advanced technology

Frederikshavn has always been a city with a strong maritime industry. It used

to be the two shipyards which made the city famous outside Denmark’s bor-

ders, but today, a unique combination of various suppliers to the maritime

market all over the world puts the city on the world map.

From shipyard industry to advanced technology10 Daily news on www.maritimedanmark.dk

Page 11: Danish Maritime Magazine 03-2012

would be foolish to throw away when the abilities, just as well,

can be used with a new – and more future-proof – purpose.

Maritime Network Frederikshavn have put new innovative so-

lutions and production forms on the agenda. All competen-

cies in the area of ship repair and equipment are here, and

the new enterprises, which were established in the wake of

the closing down of the shipyards, are all highly specialized

in each their area. This means that the enterprises in the mari-

time network are extremely competitive, when they pull to-

gether both with regard to time and quality.

Today, there is an incredibly strong maritime sector in and

around Frederikshavn. A large number of sub-suppliers employ

a growing number of people in the region. And the maritime in-

dustry is doing well. In the wake of the global financial crisis,

the maritime industry is again back at full power. At the same

time, the whole Frederikshavn area is experiencing a consider-

able growth in the number of entrepreneurs. Many of the new

enterprises establish themselves in the manual trades, which,

in many instances, also support the maritime industry.

But the greatest strength of Maritime Network Frederikshavn is

that everybody is able to co-operate – and do it – in many differ-

ent combinations. Both main and sub-contractors and sub-sup-

pliers differ from job to job, and this freely flowing co-operation

is something completely unique, which creates great value – not

just to the enterprises involved, but also to their clients.

Maritime Network Frederikshavn is building on a strong story

with proud traditions. Both men and women in blue boiler suits

are still cycling at the port. The timeless hooting of the whistle

is still carried off by the wind and signals the end of another

working day every day – and, at the same time, the hooting car-

ries with it the memories of a proud era, which is definitively

over, and the promise of a new future, which, against all odds,

has lifted the maritime industry of Frederikshavn well into a new

millennium.

By Anne Falck

FACTS ON MARITIME NETWORK FREDERIKSHAVN:

Maritime Network Frederikshavn consists of 40 different en-

terprises, which together are able to deliver a broad range of

solutions primarily to the maritime industry and the interna-

tional off shore industry.

All enterprises in Maritime Network Frederikshavn carry out

their activities from the port of Frederikshavn.

The port of Frederikshavn is placed at the crossroads be-

tween the Baltic states and the North Sea and is therefore a

very important link in the international trade chain.

Read more on: www.maritimenetwork.dk

Phone +45 98 45 80 14

E-mail: [email protected]

From shipyard industry to advanced technology 11Daily news on www.maritimedanmark.dk

Page 12: Danish Maritime Magazine 03-2012

There are almost no limits to what they are able to do when

they join forces. Maritime Network Frederikshavn is a unique

network, where solutions which create value for the client are

more important than competition between the network mem-

bers. Maritime Network Frederikshavn is taking the lead when

it comes to quality solutions, delivery guarantee, new technol-

ogy, environmentally friendly steps, and product innovation in

international shipping.

Some ten strong, maritime enterprises make up the core of

Maritime Network Frederikshavn, which has a broad range of

competencies in production, ship repair, and service. Between

them, they are capable of delivering integrated solutions from

routine maintenance and acute repair of damages to large-

scale renovations and modernisations.

The world’s biggest fishing vessel, Norwegian Kvannøy,

equipped with Humid Air Motor (HAM system), has sailed out

from Frederikshavn. It is also here in Frederikshavn that the

Danish warships are renovated, before they sail out to give pro-

tection in waters filled with pirates. Maritime Network Frederik-

shavn solved an “impossible” task for the Swedish navy – the

building of a non-magnetic crane for the navy’s mine detector

ships. And a large number of enterprises in Frederikshavn were

suppliers when the Norwegian shipping company Siem this fall

had four Anchor Handling Tug Supply ships (AHTS ships) reno-

vated for sailing in Brasil.

- We have just entered into a five-year service agreement on all

lifting and life-saving equipment on Skandi Aker (ship of the

year 2010). We would probably not have been able to win that

order, if we did not have the co-operation possibilities of the

network, says Ian Fleming McCurdie, Sales and Project Man-

ager, Hytek A/S.

Flexibility and quality are the strongest competition

parameters for the maritime network.

- Time, quality, and security of supply mean a great deal to our

clients, and our great advantage is that we meet the high re-

quirements in this area, says Anders Hecht-Pedersen, CEO of

Nicon Industries A/S.

The enterprises in Frederikshavn cannot compete with lower

paid labour in other countries, but, in return, they can do some-

thing else, which is of great value to many of their clients.

- Our co-operation is completely unique, and we have all com-

petencies within quite a short geographical distance. Machine

work, electricity work, insulation, painting, sandblasting, hy-

draulics, steel work, plumbing, and CNC-cutting, just to men-

tion a few, says Ole Nygaard, CEO of Victor A/S.

The enterprises in Maritime Network Frederikshavn are able to

deliver solutions in 95 per cent or more of all normal tasks in

the maritime area. If the physical distance between the mem-

ber enterprises was longer, it would make the co-operation

more expensive and more difficult.

The co-operation works perfectly, because the network is not

bigger than it is. It is possible for everybody to know each other.

The mutual trust is great, and the co-operation works between

all enterprises of the network dependent on the current task.

- We use the network all we can. You could say that we work

for the same clients, but operate in different segments. It also

means that we call each other if we hear of jobs outside our

own area, says Vagner Jensen, Regional Manager of Norisol

A/S.

The fact that the individual enterprise is good at giving jobs to

those enterprises which will solve them best also means that

the network members get something in return. But, first and

foremost, the advantage lies with the clients, who get the best

possible solution every time. And if a problem should occur in

the process, help is close at hand, because if the supplier can-

not handle it alone, it is certain that others in the network can.

By Anne Falck

Frederikshavn leads the way to the future of the maritime industryMaritime Network Frederikshavn is a unique supplier of quality solutions

for the maritime industry. The enterprises in the network are leading in new

technology and product innovation to the advantage of shipping companies

and the off-shore industry around the globe.

Frederikshavn leads the way to the future12 Daily news on www.maritimedanmark.dk

Page 13: Danish Maritime Magazine 03-2012

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Page 14: Danish Maritime Magazine 03-2012

Piracy is slowing down: Now is the time to hold on

The actual piracy problem is tightly connected to the waters

off Somalia and in the Indian Ocean. Here the threat of hijacks

is serious and constant. However, piracy is not unknown in

other parts of the world from Malacca to South America.

A number of attacks and boardings of ships this year has

been reported from of the Brazilian cost as well as on the

western side of the continent off Columbia, Peru and Ecua-

dor. However, these attacks consist of robberies rather than

hijacknings.

The same goes for pirate activities in the Guinea Bay, where,

however, the tendency goes from bad to worse - without

reaching the level of the Somali problem.

The latest update from The IMB Piracy Report Center, which

receives and disseminates reports of piracy and armed rob-

bery 24 hours a day across the globe shows, that the number

of incidents has rapidly dropped in 2012: 177 incidents were

reported in the first six months of 2012, compared to 266

incidents for the same period in 2011.

The optimism is, however, mixed with concern for an increas-

ing number of attacks off West Africa in the Gulf of Guinea.

So far 32 incident including five hijackings has occurred of

which 17 happened in Nigerian waters.

STRONG EFFORT

The Danish Shipowner's Association has ever since the pi-

rate problem gained momentum, been struggling to find so-

lutions on both short term and long term involving shipping

companies, authorities and international organizations. Dep-

uty director Jan Fritz Hansen is pleased that the Somali piracy

problem has been countered by international cooperation.

- The effort has been strong this year and it seems to work. Pi-

rates have not really had the luck. The number and incidents

has fallen by 30 pct. now holding 6-7 ships and less than 200

hostages compared to more than 1.000 in previous years. So

now is the time to stick to it and not allow piracy to gather

new strength, he says naming especially three elements as

key factors:

- Firstly the navies have been very active down there and has

lately moved closer to the coast. The Danish warship “Absa-

lon” has showed the way with interceptions near land and

the EU naval force NAVFOR has followed up by direct action

and destroyed pirate shore installations.

-The international naval forces are working really well to-

gether in spite of many different coalitions and origins. They

are getting better at chasing pirates in line with their growing

experience,

- Meanwhile, owners have been much better using the latest

best practice procedures and actions - barbed wire, electric

fences and other passive defensive measures. A year or two

ago only half of them lived up to everything needed. Today

the naval forces send reports to the flag state and shipowner,

whenever a ship does not have barbed wire or similar. Few

ships do not follow procedures, making it difficult for pirates.

- In addition, the ultimate fact that many of ships today have

armed guards on board. This is an effective defense against

the pirates, and there has not yet taken any ship with these

guards, Jan Fritz Hansen underlines.

Piracy is slowing down:

Now is the time to hold onThe strong international anti-piracy effort off Africa´s Horn now seems to be

successful. The number of hijacked ships and crews has dropped

significantly and pirates so far have been unable to innovate new tactics.

However it’s too early to celebrate – piracy may move to other areas or

re-emerge. “Now, we must hold on”, underlines Jan Fritz Hansen, deputy

director in Danish Shipowner’s Association and chairman of the European

shipowner’s anti-piracy commitee.

14 Daily news on www.maritimedanmark.dk

Page 15: Danish Maritime Magazine 03-2012

Piracy is slowing down: Now is the time to hold on

- Meanwhile there is an ongoing long term effort with capacity

building in the country such as coast guard and security forces

in land etc. This has not yet been completed and neither has the

“follow the money and backers” tactic. But it is all underway.

- We must maintain the long haul, until the situation is resolved

in the country. It’s going to take time, he says adding: No mat-

ter how pleased we are with the improved security results so

far, we cannot allow ourselves to relax.

WEST AFRICA

- Today we also have to keep an eye internationally with West

Africa, where things perhaps are not quite so scary as in Soma-

lia but seriously enough with multiple episodes.

However, opportunities for cooperation with the countries con-

cerned and their navies are probably better, he says.

- So far we are getting rid of the scourge, but we can be con-

cerned that new business models will emerge from the pirates’

side, assuming that their backers are hungry now to grab the

gold. But so far we have seen no new initiatives. We – as pi-

rates’ victims - have been better to step up our expertise and

learning process and have become much better at protecting

ourselves and introduce new kinds of equipment. Pirates have

not come up with innovation since day one - apart from the con-

cept of mother ships, he underlines.

EU UP FRONT

The Danish ship owners prefer to have the UN as much as pos-

sible on the pitch throughout the piracy issue.

- The United Nations has made good resolutions, and work

well in developing standards for security firms. But the UN

has been unable to establish a holistic approach down there

and so have big players such as the Far East, Russia and USA.

And NATO’s effort is militarily only, Jan Fritz Hansen says.

- Therefore we turn to the EU - which has everything from di-

plomacy to military and aid policies - while participating in

the trade itself. The EU external foreign service (High Repre-

sentative of the European Union for Foreign Affairs and Secu-

rity Policy, which is not part of the Commission) has a good

strategy in the piracy issue, which also contains elements

from the Danish strategy, and it now employs about 200 con-

sultants for assistance on land and at sea while NAVFOR has

got a strengthened mandate. So the EU has taken quiet a por-

tion of the challenge.

- The EU Directorate of Transport is satisfied that the EU For-

eign Service has addressed the problem. We’ve always said

that piracy is not only a transport problem, but a trade prob-

lem, and thus a world problem. But one should not forget the

toolbox, he warns.

IMO doing well with Best Management Practice, and we are

pleased that the EU Transport Commissioner backs the certi-

fication by armed guards, which the fall is followed by an ISO

standard, he says.

- We have the issue of permission to sail through the Suez

with guards and negotiations with Kenya, which has strict

weapons laws, and there are problems with calls in India and

South Africa, when carrying armed guards. It would be natural

for the Directorate to step in here, so we can create a model

for use of armed guards based on high quality standards we

operate, he says, and stresses that the whole thing not can

be handled by the EU Foreign service alone. There is a need

here for the industry’s resort directorate, Jan Fritz Hansen un-

derlines.

EXPORT OF PIRACY MODEL

- South American pirate problems mainly exist around the

ports and tend to be more robbery than seizure, where we

in West Africa see a combination of piracy and robbery. Here

they have taken ships and emptied them in an organized

manner, but we also see small canoe attacks. In the Malacca

region, governments have reasonable control over things. So

Somalia remains the biggest problem although there always

will be crime around, says Jan Fritz Hansen, who in spite of

the enormous revenues for backers do not think they have the

capacity to relocate entire pirate organizations to other parts

of the world.

- But it is clear that Somali piracy seems to be inspiring to

others, so therefore there is an important signal in striking

against nuisance, he says.

By Finn Bruun

The strong naval engagement has driven down the

number of pirate’s attacks and dramatically lowered

their success rate.

15Daily news on www.maritimedanmark.dk

Page 16: Danish Maritime Magazine 03-2012

Sea Installer is, as the first of A2SEA’s heavy lift vessels, from

the beginning built to install and service off shore wind tur-

bines. With its heavy crane and a 3,200 square metres big load-

ing area it is able to bring along and install up to 10 large off

shore wind turbines at the time.

- Sea Installer means that we can meet the demand – that we

can still be a factor in the market, says CEO in A2SEA, Jens F.

Hansen.

The vessel’s large loading area means that Sea Installer has to

sail fewer times to and from the supply base to get new wind

turbines. It reduces the time it takes to mount wind farms and

thus reduces the large capital expenditures.

Sea Installer is at the same time equipped with four gigantic

legs, which make it possible for the vessel to operate at water

depths of up to 45 metres – a clear competitive advantage in

a market, where the largest off shore wind turbines move still

further away from the coast.

In beginning of 2014, Sea Installer will be accompanied by a

sister vessel, which is being built following the same drawings

as Sea Installer, apart from the big mounting crane, which will

have a capacity of 900 tonnes – 100 tonnes more than the

crane onboard Sea Installer.

Are you preparing new ship orders?

- No, besides Sea Installer’s sister vessel, which we made a

contract for in March, we have no current plans of ordering

more capacity, Jens F. Hansen emphasizes.

A2SEA is not the only one to take delivery of new, large heavy

lift vessels with much bigger capacity. The competitors get new

vessels as well. Right now it seems, however, that they all will

have enough work.

- A great deal of new vessels are on their way to be delivered in

2012 and 2013, and it therefore seems to be enough capacity

to meet the demand until 2016. At that time, there will probably

be a need for further capacity again, Jens F. Hansen says.

A2SEA meets the future sailingChinese shipyard workers with shining safety helmets were proud looking,

when big confetti canons at the end of July sent cascades of coloured pieces

of papers up in the sky at the COSCO Nantong Shipyard in Qidong so as to

mark the naming ceremony of A2SEA’s new heavy lift vessel – Sea Installer.

A2SEA meets the future sailing16 Daily news on www.maritimedanmark.dk

Page 17: Danish Maritime Magazine 03-2012

It is a consequence of the fact that some of the heavy lift ves-

sels, which operate at the market today, no longer will be rel-

evant – that means that they will not be able to handle the sizes

of turbines and will not be able to operate at the depths, which

will be relevant at that time.

The founder of A2SEA, Kurt Thomsen, was among the first to

see the big opportunities, which the new market for mounting

of off shore wind turbines would create. He established A2SEA

in 2000, and when the mounting of off shore wind turbines be-

gan to gain momentum for real a couple of years later, A2SEA

were at the proper time and place.

The shipping company’s first two heavy lift vessels, M/S Ocean

Ady – which today is named Sea Energy, and M/S Ocean Hanne

– which today is named Sea Power, were older vessels, which

were rebuilt for their new purpose in 2001. The ships gave

A2SEA a strong position at the market, and from 2002 until

2006, A2SEA won almost all contracts, which were put out to

tender.

When the market for mounting of off shore wind turbines ex-

ploded in 2006, A2SEA were really well-placed with experi-

ences not only from the Danish market, but also from Holland

and Great Britain.

Since then events followed each other in quick succession,

and the shipping company is today global market leader within

installation of off shore wind turbines. All in all, A2SEA has

installed more than 60 per cent of the worlds off shore wind

turbines.

In 2009, the company’s biggest customer, DONG Energy, took

over the majority of the company, and one year later, the wind

turbine producer Siemens was also included in the group of

owners. DONG Energy today has 51 per cent of the shares,

while Siemens has the rest of the shares.

You are owned by DONG and Siemens. Does it mean that you

only work for them?

- Certainly not. We are doing jobs for many other companies

than DONG Energy, and we are also not only installing Siemens

wind turbines, Jens F. Hansen says.

What about the projects that DONG puts out to tender. Are you

from the start sure to get them?

-No, and we don’t necessarily have the capacity to solve all the

needs that DONG Energy has. We place a bid at the same condi-

tions as others, the CEO points out.

Although A2SEA not from the start is sure to get the orders, it is

a clear advantage to have a well-padded circle of owners. Heavy

lift vessels cost much money, and in a financial ice age it is not

a matter of course to get even very profitable projects financed.

A2SEA had to place more than 800 million DKK in China in order

to get Sea Installer built. Before the contract was signed, A2SEA

studied the market very carefully. Only very few shipyards in

the world had the resources and the knowledge, which were

necessary to build such an advanced vessel.

Nantong Cosco Ship Engineering was chosen. It is China’s larg-

est and the world’s second largest shipyard. A2SEA’s experi-

ences with the shipyard are so good that there was no doubt

that the sister vessel also should be built there.

When Sea Installer in the autumn arrives in Europe and start

installing the first off shore wind turbines, it will soon be notice-

able in the books of A2SEA.

How do you expect your sales to develop in the years to come?

- It is relatively simple. In line with the increase of capacity of

vessels, our sales will increase correspondingly, Jens F. Hansen

says, while he does not want to put more precise figures at the

expectations.

FACTS

Sea Installer:

• Length: 132 m

• Breadth: 39 m

• Draft: 5.8 m

• Speed: 12 knots

• Crane capacity: 900 tons

• Loading area: 3200 sq.m.

• Loading capacity: 5000 tons

• Able to jack-up at water depths of up to 45 m

• Capable of carrying eight to ten offshore wind

turbines (towers, nacelles and blades)

• Able to carry up 60 people (crew and installation

personnel)

A2SEA meets the future sailing 17Daily news on www.maritimedanmark.dk

Page 18: Danish Maritime Magazine 03-2012

Efficient green approach to the future

- We are going through a period of change in shipping, to-

wards more ecological propulsion systems, says Jan Volkert

Wibel, Head of Marine Engines & Petroleum at Zeppelin Power

Systems, summing up the focus for many of the maritime

professionals visiting the 90.000 m2 SMM, shipbuilding,

machinery & marine technology international trade fair ham-

burg, at the Hamburg Fair site from 4 to 7 September.

The same goes for Finnish engine builder Wärtsilä who is

changing its two-stroke engine programme over to long-

stroke engines. They use up to 10 pct. less fuel than conven-

tional engines, and run at relatively low engine speeds. That

permits the use of bigger propellers, with corresponding ef-

ficiency benefits. The new X92 series is designed such that

it is also suitable for the largest container vessels currently

planned, Wártsilä informs.

Also the use of LNG is a new challenging focus for the ship-

ping industry. The viability of this concept for container ships

has just been demonstrated by MAN Diesel Turbo, one of the

world’s leading engine manufacturers, in a joint study with

classification society Germanischer Lloyd.

- The LNG plant can pay for itself in less than two years in

smaller ships that spend two thirds of their time in ECAs,”

says Dr. Pierre C. Sames, Head of Research & Development

at GL. The Norwegian classification society DNV has already

presented a number of design studies for future ships pow-

ered by LNG.

SMM in September

Efficient green approach to the future

When will world economy finally return to growth and full speed ahead?

There’s been several ups and downs in the prognoses lately, but one thing

is sure: The SMM in Hamburg is right on track to deliver. Sold out as always

and with a strong maritime future in focus – both when it comes to efficiency

and true green progress - which issues might very well support one another.

18 Daily news on www.maritimedanmark.dk

Page 19: Danish Maritime Magazine 03-2012

Efficient green approach to the future

But not only advanced solutions and equipment for new built

ships are on display at the SMM. The complete cyclus is ap-

proached showing that “refitting” is gaining importance, by

retrofitting new technologies to currently operating ships.

Operation in ECAs is a key reason for using LNG propulsion

systems, and above all for retrofitting scrubber systems to re-

move emissions from exhaust gas. And from 2016 onwards,

following majority ratification of the ballast water convention,

its rules could be applicable to nearly the whole of the world’s

merchant fleet – an enormous market.

- A scrubber, including its installation, costs several million,

and the cost of a ballast water treatment plant can also go

into seven figures, says Rüdiger Pallentin, Managing Director

of Lloyd Werft, Bremerhaven. Equipment suppliers such as

MWB, Alfa Lavalle, Mahle and RWO present their latest solu-

tions for this purpose at SMM.

DENMARK AT SMM

SMM has always been an important showroom for advanced

Danish suppliers to the shipping industry. The year is no ex-

ception with a total of 90 exhibitors from Denmark. This is

quiet an improvement compared to last year’s 77 participants.

And Mark Lerche, Business Sector Manager, Danish Ma-

rine Group, underlines that also the new event at DMM, the

MS&D 2012 international conference on maritime security &

Defence, has Danish participation as qualified security firms

have emerged to deal with the serious threat that piracy im-

pose on international shipping. Among the speakers are Risk

Intelligence and deputy director of Danish Shipowner’s Asso-

ciation, Jan Fritz Hansen, chairing the EU shipsowner’s comity

on piracy.

The conference of green shipping, global maritime environ-

mental congress (gmec), on 3 and 4 September will have as

Jenny Braat, Maritime Denmark, managing director of indus-

trial association Danish Maritime as speaker, and the Danish

initiative Green Ship of The Future will be present.

Reduction of the greenhouse gas CO2 is one of the key goals

which the global maritime industry has set itself. That is re-

flected in the programme of gmec. The first session of the sec-

ond conference day will address “CO2 and Greenhouse Gas

Emissions”, chaired by Torsten Schramm, CEO of the classifi-

cation society Germanischer Lloyd; it starts with an inventory

of the current situation and covers the international regula-

tions and market requirements, including the possibilities of

trade in CO2 emission rights and the vision of zero emissions.

Director of Hamburg Messe und Congres, Bernd Aufderheide:

Green shipping is an important issue at SMM 2012.

By Finn Bruun

F R E D E R I K S H A V NPhone +45 96 20 47 18

Euro Zone

0 km 250 500 750 km

equal area projection

Service and Repair at the Gate to the Baltic

www.maritime-network.dk

The Port of Frederikshavn has a long history of ship-building and maritime service; from dockyards that undertake the repair and maintenance of engines and propellers to electrical, hydraulic and metalwork work-shops and maritime training and education centres.

Phone +45 98 45 80 14 • E-mail: [email protected]

19Daily news on www.maritimedanmark.dk

Page 20: Danish Maritime Magazine 03-2012

The Vestergaard Group covers all aspects of service, project handling, marine engineering projects, spare parts, repair and maintenance within the shipping and maritime and offshore industries.

The Vestergaard Group has facilities in Denmark, Norway, Sweden, Brazil and Turkey.

The Vestergaard Group consists of:

• Vestergaard Marine Service• DT-Interlink• VMS Turbo• VMS Technology• VMS Denge Technology• VMS SafePort• VMS do Brazil

The Vestergaard Group – the world’s best alternative – worldwide Combined, the six companies within the Vestergaard Group form one single strong unit, offering customers in the maritime industry world-wide an extensive, 24/7-service within the following specialities: marine engines, gears and propellers, turbochargers, marine engineer projects, project handling, consultancy on-site and a wide range of spare parts.

The Vestergaard Group

Service, expertise and quality – always on time – are keywords for the Vestergaard Group, situated in Denmark and Norway and with workshop facilities in Frederikshavn (Denmark), Mongstad (Norway), Landskrona (Sweden) and Rio de Janeiro (Brazil).

80 service engineers are ready to meet our customers’ requests day and night, no matter where assistance is required. Several of our service engineers hold visa to countries like Brazil, the USA and China. The various visas are updated regularly, and the Vestergaard Group has appointed an internal employee to deal with everything concerning visa applications, contact to embassies, etc., ensuring that everything is ready, whenever an urgent job arises in areas requiring a special entry permit.

Operating within the maritime and offshore sector, the Vestergaard Group is subject to a number of international laws and regulations, which ensure high quality of the work carried out on board, and also provide safety regulations for the crew and employees.The Vestergaard Group strives to respect and meet the international set of rules, and all our employees are certified according to the prevailing rules. The safety of our customers and employees is of utmost importance to us. The approvals and certificates obtained guarantee that our employees only provide high-quality work for all our customers.

VMS in SwedenIn spring 2012, Vestergaard Marine Service established service facilities at the repair dock Øresund Drydocks in Landskrona in Sweden, offering complete service on engines, gears and other mechanical equipment on ships docking in Landskrona or the area nearby.

The manager of this facility, Peter Weesgaard, has been employed by Vestergaard Marine Service for several years. He has profound experience with all kinds of repair work and maintenance of mechanical equipment on ships.

DT-Interlink, based in Frederikshavn, is a sister company with many years’ experience in import and export of spare parts especially for high-speed engines and fittings for diesel engines. We have our own import of e.g. original Caterpillar spare parts from the USA.

The Vestergaard Group has received the following approvals and certificates:

• HUET (offshore)• Basic Offshore• Magnetic particle examination• Special welding certificate• Rina Workshop Approval

The Vestergaard Group has the following agencies/partners:

• Erma First Ballast Water TreatmentComplete units for treatment of ballast water

• Westmark BV Equipment for piracy protection of ships

• Baudouin Moteurs Marine engines and generator units

• Masson Marine SA Marine gear from 250 to 5000 hp

• Citadel Solutions Total solutions within piracy protection of ships

DT-Interlink

Vestergaard Marine Service

Page 21: Danish Maritime Magazine 03-2012

The Vestergaard Group covers all aspects of service, project handling, marine engineering projects, spare parts, repair and maintenance within the shipping and maritime and offshore industries.

The Vestergaard Group has facilities in Denmark, Norway, Sweden, Brazil and Turkey.

The Vestergaard Group consists of:

• Vestergaard Marine Service• DT-Interlink• VMS Turbo• VMS Technology• VMS Denge Technology• VMS SafePort• VMS do Brazil

The Vestergaard Group – the world’s best alternative – worldwide Combined, the six companies within the Vestergaard Group form one single strong unit, offering customers in the maritime industry world-wide an extensive, 24/7-service within the following specialities: marine engines, gears and propellers, turbochargers, marine engineer projects, project handling, consultancy on-site and a wide range of spare parts.

The Vestergaard Group

Service, expertise and quality – always on time – are keywords for the Vestergaard Group, situated in Denmark and Norway and with workshop facilities in Frederikshavn (Denmark), Mongstad (Norway), Landskrona (Sweden) and Rio de Janeiro (Brazil).

80 service engineers are ready to meet our customers’ requests day and night, no matter where assistance is required. Several of our service engineers hold visa to countries like Brazil, the USA and China. The various visas are updated regularly, and the Vestergaard Group has appointed an internal employee to deal with everything concerning visa applications, contact to embassies, etc., ensuring that everything is ready, whenever an urgent job arises in areas requiring a special entry permit.

Operating within the maritime and offshore sector, the Vestergaard Group is subject to a number of international laws and regulations, which ensure high quality of the work carried out on board, and also provide safety regulations for the crew and employees.The Vestergaard Group strives to respect and meet the international set of rules, and all our employees are certified according to the prevailing rules. The safety of our customers and employees is of utmost importance to us. The approvals and certificates obtained guarantee that our employees only provide high-quality work for all our customers.

VMS in SwedenIn spring 2012, Vestergaard Marine Service established service facilities at the repair dock Øresund Drydocks in Landskrona in Sweden, offering complete service on engines, gears and other mechanical equipment on ships docking in Landskrona or the area nearby.

The manager of this facility, Peter Weesgaard, has been employed by Vestergaard Marine Service for several years. He has profound experience with all kinds of repair work and maintenance of mechanical equipment on ships.

DT-Interlink, based in Frederikshavn, is a sister company with many years’ experience in import and export of spare parts especially for high-speed engines and fittings for diesel engines. We have our own import of e.g. original Caterpillar spare parts from the USA.

The Vestergaard Group has received the following approvals and certificates:

• HUET (offshore)• Basic Offshore• Magnetic particle examination• Special welding certificate• Rina Workshop Approval

The Vestergaard Group has the following agencies/partners:

• Erma First Ballast Water TreatmentComplete units for treatment of ballast water

• Westmark BV Equipment for piracy protection of ships

• Baudouin Moteurs Marine engines and generator units

• Masson Marine SA Marine gear from 250 to 5000 hp

• Citadel Solutions Total solutions within piracy protection of ships

DT-Interlink

Vestergaard Marine Service

Page 22: Danish Maritime Magazine 03-2012

DT-Interlink is a flexible organisation. The dedicated and experienced employees work hard to find a solution for any repair job, and co-operation with a large network of suppliers provides the customers optimum expertise within every field of spare parts for engines.

In addition, DT-Interlink has solid experience with reconditioning of different engine parts and consequently, a wide range of spare parts for different engines is always available to our customers.

VMS Turbo is a sister company, highly specialised in repair and maintenance of turbochargers for ship engines. VMS Turbo has broad knowledge of different brands, and a specialised workshop with e.g. equipment for balancing turbo parts.VMS Turbo works closely together with the service engineers from Vestergaard Marine Service, ensuring that the customers benefit from the synergy in connection with service and overhauls.

VMS Technology and VMS Denge Technology are sister companies, specialised in naval architecture and engineering projects and project management within shipbuilding – from design to delivery. VMS Technology is based in Frederikshavn, Denmark and Bergen on the West Coast of Norway. VMS Denge Technology is based in Tuzla, Turkey.

VMS Turbo

VMS Technology

VMS SafePort is the result of a Danish-Norwegian merger between the Danish Vestergaard Marine Service and the Norwegian SafePort.

In addition to the core competencies, offered by Vestergaard Marine Service, VMS SafePort primarily offers mechanical work like repair of cracks, piping, sea fastening and various types of preassembling and construction work. The company has also carried out a number of jobs entailing electrical engineering, isolation, ventilation, diving and repair of coolers.

VMS SafePort

VMS do Brasil

VMS Denge Technology

VMS do Brasil is a sister company based in Rio de Janeiro in Brasil. Two service engineers are permanently stationed in Brasil, and furthermore, a dozen service engineers hold visa for Brasil.

Our workshop facilities in Brasil enable us to carry out cylinder head overhauls and honing of cylinder liners. We also hold the necessary equipment for maintenance of all Caterpillar engines.

Page 23: Danish Maritime Magazine 03-2012

Havnepladsen 12, bygning 14 • DK- 9900 Frederikshavn, Denmark • Phone:+ 45 96 22 11 00 • Fax: + 45 98 42 47 67 Mobile: + 45 20 42 47 27 ( 24 hours ) • E-mail: [email protected] - www.vms.dk • VAT No: DK 27 21 56 29

Vestergaard Group

Keywords for the Vestergaard Group

- The world’s best alternative- Independence- Close co-operation between group companies- Flexible workforce - Represented worldwide- Employees with broad skills- Response within an hour - On call 24 hours a day - 365 days a year- All necessary visas and certificates- On-going training of employees- Extensive experience with on-site machining - 3000 m2 workshop in Frederikshavn- Equipment for welding and reconditioning of propellers- Large gear workshop- Thermal spraying and reconditioning of shafts - Rina approved workshop

Page 24: Danish Maritime Magazine 03-2012

For more details visit: w

ww

.maritim

e-network.dk and w

ww

.fhhavn.dk

Port of Frederikshavn - Service Tow

ards New

Horizons

Page 25: Danish Maritime Magazine 03-2012

For more details visit: w

ww

.maritim

e-network.dk and w

ww

.fhhavn.dk

Port of Frederikshavn - Service Tow

ards New

Horizons