Panama canal work to resume on Thursday

The Panama Canal administrator has announced that work to widen the canal, which was halted two weeks earlier over a disagreement with a contractor on USD 1.6 billion in cost overruns, will resume on Thursday. Canal Administrator Jorge Quijano said that the European-led construction consortium, Grupo Unidos por el Canal (GUPC), will return to its work even though they haven't reached a final agreement on how to finance the remaining work. Spain's Sacyr, who is leading the consortium, made poor planning responsible for the cost overruns. However, Panama said that the company is responsible for any unforeseen costs. The century-old waterway handles 5% of global seaborne trade. GUPC wants Panama to add that sum to the initial contract fee of USD 3.2 billion. GUPC claims unforeseen geological difficulties have forced them to spend much more on cement than expected. They said that they based their estimates on data provided by the Canal Authority that were incorrect. The canal expansion is one of the world's most ambitious civil engineering projects and was due to be completed this year in time for the 100th anniversary of the fabled canal. The original canal, built by the US, mostly with workers brought in from the Caribbean, was opened in 1914. Following the delay, the deadline for completing the work is now December 2015. (with inputs from AFP)

IMO summarises 2014 regulationsThe International Maritime Organisation (IMO) has issued a statement summarising various amendments to international maritime conventions that entered into force on January 1, 2014. "The amendments cover passenger ship safety (in relation to safe return to port after a flooding casualty); testing of free-fall lifeboats; minimum safe manning levels; prohibition of blending onboard; revised MARPOL Annex III; the US Caribbean Sea Emission Control Area (ECA) and the Winter Seasonal Zone off the southern tip of Africa," the IMO statement noted. The SOLAS amendments include the following: an amendment to SOLAS regulation II-1/8-1 - to introduce a mandatory requirement for new passenger ships for either onboard stability computers or shore-based support, for the purpose of providing operational information to the master for safe return to port after a flooding casualty and amendment to SOLAS regulation III/20.11.2

regarding the testing of free-fall lifeboats, to require that the operational testing of free-fall lifeboat release systems shall be performed either by a free-fall launch with only the operating crew on board or by a simulated launching. Source: IMO

Greek frigate joins EU counter piracy operation off Somalia

Hellenic Navy warship HS Psara has formally joined the EU Naval Force Somalia, Operation Atalanta on February 20. The Greek Navy frigate left Salamina Naval Base on February 13. The frigate has been deployed for three months as part of the EU's counter-piracy operation in the Horn of Africa and Western Indian Ocean. HS Psara, a Hydra class frigate, previously participated in EU Naval Force between December 2008 to April 2009. The multi-role frigate was commissioned into the Greek Navy in 1998. The frigate is capable of carrying a wide mix of sensors and armaments, including one Sikorsky S-70B Seahawk helicopter. In the meantime, Greek Shipping Minister Miltiadis Varvitsiotis met with members of the Greek Seamen's Federation administration and discussed all the problems pre-occupying their sector. They discussed various issues, including collective labour agreements in coastal shipping and ocean going shipping, seamen's unemployment and the regulation on a security ship during strikes.

IMO promotes Flying Angel Ride 2014The IMO has recently hosted a reception to promote "The Mission to Seafarers Flying Angel Ride 2014". Shipping professionals and their families hailed last year's event. Following the success, this year the industry will host the programme on May 25 in the New Forest, England. IMO Director of Maritime Safety Division, Andy Winbow said: "The evening was a great way to promote the Flying Angel Ride 2014 and to encourage shipping professionals to get fit. The mission is an important charity that supports the seafarers that keep our industry afloat." The Mission to Seafarers Secretary General, Revd Andrew Wright said: "We would like to thank the IMO for holding the reception and for those who signed up to the challenge event that will raise vital funds for the mission to continue supporting seafarers across the globe." So far, 37 shipping professionals have signed up to take part in the ride. All participants will be sent a fund-raising pack with useful tips for training and ways to get sponsorship and will be raising vital funds to help the mission ensure seafarers are cared for in the 260 ports in 71 countries operates in.

2 US security officers found dead in Seychelles

Two American security officers have been found dead on a ship made famous when it was hijacked by Somali pirates, according to a statement by Seychelles police on Wednesday. The two Americans - Jeffrey Reynolds and Mark Kennedy, both 44 - were found dead on Tuesday in a cabin on the ship, according to the police. The ship was hijacked by pirates in 2009, an event dramatised in the movie "Captain Phillips" starring Tom Hanks. The two men's bodies were found on Tuesday in their cabin on the ship where it was berthed in Port Victoria in the Indian Ocean island nation of Seychelles. The police gave no cause of death but said a post mortem has been scheduled. The US Coast Guard stated from its headquarters in Washington that it is also investigating the deaths. But is "not related to vessel operations or their duties as security personnel", sources confirmed after initial investigations. The two men worked for US-based Trident Security, according to the Seychelles police statement. Former military personnel frequently provide security on board ships sailing through the waters off Somalia to provide security against pirate attacks. (AP)

Bali boat captain held over Japan divers' accident

Indonesian police have arrested the captain of a boat that took a group of Japanese divers on an ill-fated expedition off Bali in which at least one woman died, an official said on Thursday. The man has been named a suspect and is accused of "negligence, which caused the loss of life" by leaving the female divers alone in the open seas during the trip, said Handoyo Supeno of Bali Marine Police. The news came as officials called off the search for the final missing diver, Shoko Takahashi - one of seven women who took part in the expedition which set off last Friday from an island east of Bali. The divers quickly became lost and drifted for miles in stormy seas before five of them managed to clamber onto rocks in the ocean and were rescued three days later. The body of a sixth diver was found floating near a beach on Tuesday.

Supeno, the head of law enforcement at the marine police, said the captain, whom he did not name, had been named a suspect on Wednesday following interviews with four of those rescued. The women told how they "dived for 30 minutes and came to the surface but the Ocean Express was not there," he said, referring to the boat. The captain has been detained, added Supeno. (AFP)

Ocean Safety bags UK defence contractThe UK's Ministry of Defence (MOD) has signed a four-year contract with an independent safety supplier Ocean Safety. Following the contract, the safety suppliers will keep on supplying, service and repair MOD's commercial life-rafts and DBC marine evacuation systems. Ocean Safety will provide direct support to the Royal Navy's current flagship HMS Bulwark and to the new fleet of Type 45 destroyers, which are based in Portsmouth. Ocean Safety's Operations Director Richard Besse said: "Being awarded this contract is a fantastic achievement for us at Ocean Safety and a testament to the overall level of service that we provide on a national scale. We look forward to continuing the support and developing the great working relationship that we already have with the MOD."

Greek-owned freighter rescues 125 migrants

A Greek-owned freighter rescued 125 migrants who were on a boat in danger north-east of Tripoli off the Libyan coast, following an order by Rome's Search and Rescue Centre. Two migrants were found dead. The ship was due to drop off the foreign nationals at the port of its final destination - Augusta in Italy - on Tuesday. (ANA)

US Navy removes fuel from grounded Japanese vessel

The US Navy along with other federal and local agencies has successfully removed approximately 540 gallons of the remaining diesel fuel from the grounded Japanese commercial fishing vessel in outer Apra Harbour. Efforts, however, are currently underway to remove the remaining fuel. Earlier, the divers informed that the port-side and bow fuel tanks were ruptured. Approximately 60% of the estimated 7,500 total capacity was lost in the wreck and aftermath, the experts said.

Environmental teams have found no visual evidence of fuel residue or sheen on the beach and surrounding waters. All 10 crew-members of the ship were rescued by a Navy aircrew after the vessel ran aground near Spanish Steps on February 13. Dennis Siler, Naval Base Guam Operations Manager said: "Once we finish removing the remaining fuel, the next big challenge the unified command and particularly the salvage teams will face is how to safely remove the vessel."

World's first LNG driven tugboat set for maiden voyage

The world's first LNG driven tugboat has arrived at the port of Zeebrugge for a bunkering operation 'truck to ship'. The new tug boat, which is the first of two identical tug boats ordered by the Norwegian BUBE, emits nearly 30% less CO2 and up to 90% less NOx and fine dust as compared to the conventionally-powered tugs. Leaving the Sanmar shipyard in Turkey, the tug has set sail for Karsto in Norway to begin her long term operational contract for Statoil. To fuel up on LNG for her maiden trip, the ship halted at the Port of Zeebrugge.

BALTIC EXCHANGEMarket snapshot: 1100 GMTDry Index BDI 1160 +14Capesize Index BCI 1690 +23Panamax Index BPI 1282 -16Supramax Index BSI 1068 +19Handysize Index BHSI 678 +1

EXCHANGE RATES New York (Wed Cls) Fgn Currency USD in Fgn in USD CurrencyBritain (Pound) 1.6696 0.5989Canada (Dollar) 0.9027 1.1078China (Yuan) 0.1645 6.0788Euro 1.3745 0.7276India (Rupee) 0.0161 62.2800Indonesia (Rupiah) 0.000085 11778.00Japan (Yen) 0.009774 102.3200Norway (Krone) 0.1650 6.0609Philippines (Peso) 0.0224 44.6300Poland (Zloty) 0.3298 3.0300Russia (Ruble) 0.0279 35.7914Singapore (Dollar) 0.7922 1.2623Ukraine (Hryvnia) 0.1123 8.9050

WORLD TRAVEL

SOUTH AFRICASouth Africa is a country located at the southern tip of Africa. It has 2,798km of coastline that stretches along the South Atlantic and Indian oceans. To the north lie the neighbouring countries of Namibia, Botswana and Zimbabwe; to the east are Mozambique and Swaziland and within it lies Lesotho, an enclave surrounded by South African territory.

Getting thereBy air: Airports Company South Africa operates South Africa's 10 principal airports - including three major international airports - which together handle over 200,000 aircraft landings and 23-million passengers annually. OR Tambo International Airport (formerly Johannesburg International) is the major gateway, offering both domestic, African regional and international connections. There are also an increasing number of international flights direct to and from Cape Town and a few direct to and from Durban. By ship: All the big cruise liners dock in Cape Town and sometimes Durban. For more unusual experience, try the RMS St Helena. Running from Southampton to Cape Town via St Helena, it's one of the last real old mail ships.

Top attractionsCape Town: It is the second-most populous city in South Africa, after Johannesburg. Cape Town and the Cape Peninsula up to Cape Point, are famous for scenic beauty; celebrity beaches; Table Mountain; whale-watching; world-class shopping, nightlife, food and wine and a laid-back atmosphere. Garden Route: Known as South Africa's Eden, the famous Garden Route traverses an area rich in natural beauty and charm, attracting adventure-seekers and outdoor enthusiasts. Kruger National Park: This world-renowned park of nearly 2 million hectares features 16 ecosystems. Spot the Big Five on a 4x4 game drive or walking safari. Table Mountain: Situated within a national park, reaching the pinnacle of the Table Mountain is an thrilling experience that offers phenomenal, birds-eye views overlooking the city of Cape Town, Robben Island to the north and the Atlantic seaboard tothe west and south. Peaking at 1,086m, reaching the top is simple via an ingenuous cableway and each Rotair car features revolving floors allowing passengers to enjoy 360-degree views during the trek to the top.

HELMEPA nominated for Heyerdahl Awards 2014The Hellenic Marine Environment Protection Association (HELMEPA) has been nominated for the prestigious Thor Heyerdahl International Maritime Environment Award 2014.

The shipping industry, which has made an outstanding contribution towards the environment, will receive the award. The award was established by the late Norwegian adventurer and explorer, Thor Heyerdahl (1914-2002), who made first-hand observations of marine pollution during various expeditions. His reports to the UN about the marine environment raised the awareness of the pollution issue throughout the International maritime community. An Academy - Award - nominated documentary, Kon-Tiki tells the story of his journey across the Pacific aboard a papyrus raft. In collaboration with the Norwegian Shipowners' Association, the award was first launched in 2001, with just six winners of this prize since then. After assessing each nominee, a specifically-appointed Expert Committee, comprised of eight members, representing international and Norwegian maritime bodies will pass down their final judgement for who will be the recipient of this award. The award will be presented at a special ceremony in Oslo on March 31, 2014.

SAFETY STUDYCOLLISION

The bridge crew on a container ship sailing at night thought a light just ahead of their ship was stationary, when in fact it was aslowly-moving fishing vessel.

SUMMARYA container ship, proceeding west-northwest to port with a master and 17 crew members aboard, collided with a fishing vessel that was proceeding south-southwest, with a skipper and a single crew member aboard. Prior to the incident, the box ship's master assigned the chief officer to keep watch after the ship left port at about 1720. The third officer came to the bridge for his assigned watch at 1950. The CO, in turning over the watch to the 3O, told him that there was a cargo ship ahead heading leftward and that attention must be paid to this ship. The engine was full ahead, that the course was about 020ø and on autopilot. An ordinary seaman, who was on duty together with the 3O, kept a lookout while standing behind the steering stand. The 3O set the course on about 300ø at about 1955 and sighted a light around 15ø to 20ø off the starboard bow as reported by the OS. But because the light was not moving, he thought that it was a float and proceeded on the same course at 16 to 16.5 knots. At 1955, in response to a report by the OS, the 3O checked and saw the "float" at five to ten degrees off their starboard bow and very close. He ordered 'hard-a-port' which the OS complied with immediately. The 3O thought that the vessel collided with the float and looked behind after passing. After confirming that the light had disappeared and that the time was 2015 on the bridge clock, he altered the course back to the original course and continued to navigate. As a result of the collision, the skipper on the fishing boat was killed and the crew member went missing. The bow section of their vessel was crushed,

and she was capsized. The container vessel suffered a scratch to its bulbous bow on the starboard side.

FINDINGSAn investigation revealed that the third officer of the container ship did not appropriately keep watch on the starboard side and that the skipper of the fishing boat noticed the much bigger container vessel only when it was already very close. Investigators noted that the 3O thought a light he sighted in the direction of the starboard bow was a float because it was not moving, and therefore there was no danger in that direction. He maintained his observation on the port side ahead, thinking that the OS would keep watch on the starboard side. Source: Japan Transport Safety Board

17 sailors rescued off Cheung ChauSeventeen sailors have been rescued after their cargo vessel began to list badly off Cheung Chau Island on Friday morning. A senior police officer said that the situation had been brought under control shortly before midday. According to the Marine Department, the vessel, which was carrying cement, was en route to Indonesia via Hong Kong from Nansha in Guangdong province. The 90m Vietnam-registered vessel reportedly experienced a mechanical problem when it was 1km east of Cheung Chau. "An initial investigation showed the boat had suddenly begun to list," a department spokeswoman said. "The cargo was moving on board, which caused the vessel to lean significantly to one side," said the police officer. The official said that at one point the vessel was listing at a 45-degree angle and added that the technical fault might have been related to the boat's steering gear. The boat's captain said he issued a distress signal immediately after the vessel started taking on water and the crew members were told to gather on one side of the ship to await rescue. "The crew members were rescued and no injuries were reported," the department spokeswoman confirmed. The Marine Department along with police officers is investigating the cause of the incident.

Saudi at Guantanamo pleads guilty over tanker attackA Saudi detainee at the US prison in Guantanamo Bay pleaded guilty on Thursday to terror charges in connection with the 2002 suicide bombing of a French oil tanker off Yemen. Ahmed Mohammed Ahmed Haza al-Darbi, the brother-in-law of one of the September 11, 2001 plane hijackers, admitted to planning, aiding and supporting an attack on the tanker which killed a Bulgarian sailor, injured a dozen and caused a large oil spill in the Gulf of Aden.

Darbi-who has been held in Cuba for more than a decade-likely faces up to 15 more years in prison, the chief prosecutor, Army Brigadier General Mark Martins, said in a statement. Some of that time could be served in his native Saudi Arabia. Wearing a white button-down shirt and a fluorescent yellow tie and headphones carrying simultaneous Arabic translation, the stout Saudi with a sparse beard admitted to being an "alien unprivileged enemy belligerent." His lawyer Ramzi Kassem announced his client was pleading guilty to charges of terrorism and to attacking civilians and civilian targets before the US military judge at Guantanamo. "This moment is bittersweet," said Kassem, whose client agreed to co-operate with prosecutors as part of the plea deal. They accuse Darbi of having met with and worked for fellow Saudi Guantanamo detainee Abd al-Rahim al-Nashiri, who faces the death penalty on charges he masterminded the tanker attack and the 2000 attack against the USS Cole in Yemen that left 17 dead. By pleading guilty, Darbi, 39, could become a key witness against Nashiri, whose trial is likely to open in September. (AFP)

Dutch govt orders complete removal of sunken Baltic Ace

The Dutch government has ordered a complete removal of sunken Baltic Ace car carrier. The vessel capsized and sank on December 5, 2012 after it collided with a containership near the port of Rotterdam. When it sank, the Baltic Ace was carrying about 55 tonnes of marine diesel and 466 tonnes of heavy fuel oil and 1,400 cars. The sunken vessel continues to pose a threat to the environment and also to ships entering Eurogeul, a busy deep-water shipping lane leading to the port of Rotterdam. The Dutch Department of Public Works plans to award the contract for the complete removal of the sunken Baltic Ace to Dutch maritime service provider Royal Boskalis Westminster.

ENVIRONMENTGothenburg promotes cleaner shipping

The Port of Gothenburg's campaign saved more than 120 tonnes of sulphur emissions in 2013. Many vessels have participated in the campaign for a cleaner shipping industry. The vessels that meet emission standards set by the Port of Gothenburg's campaign committee will receive a reward of up to SEK 250,000 per year per vessel. The campaign calls for switch to fuels like marine gas oil or LNG that have a maximum of 0.1% sulphur content. As part of the environmental campaign, the Port of Gothenburg committee paid out SEK 4 million in 2013.

Anna Jivrn, acting Environmental Manager at the Port of Gothenburg said that the savings of 120 tonnes of sulphur emissions in 2013 is 13 tonnes more than in 2012. On the method of testing sulphur emission, Jiven said: "Flue gas plumes are analysed via a measuring station located on the roof of the Alvsborg fortress. This allows us to measure the level of sulphur in the fuel and to determine how effective the sulphur programme actually is."

RESCUEUSCG rescues man from cargo ship

The US Coast Guard (USCG) has rescued a 54-year-old man, who suffered a seizure while aboard a 200m cargo ship approximately 150 miles southwest of Tampa. Watchstanders at Coast Guard Sector St Petersburg, Fla, were informed about the master's ill health by the ships agent at approximately 9:24am local time. An aircrew was launched by watchstanders aboard a MH-60 Jayhawk helicopter from Coast Guard Air Station Clearwater. After the helicopter arrived on scene, the aircrew lowered their rescue swimmer to lift the man and transported him to Tampa General Hospital for further care. "The mission was well-executed," said Petty Officer 1st Emily Shea, search and rescue co-ordinator at the sector. "It was a great example of a joint effort from multiple parties to effectively ensure the master of the vessel was able to get safely to emergency care," he added.

Fishing rope cut from endangered whale off GeorgiaWildlife experts cut away more than 280 feet of commercial fishing line being dragged by an endangered right whale off the Georgia coast, though some of the heavy rope had to be left tangled in the whale's mouth, officials said on Thursday. Entanglement in commercial fishing gear and collisions with ships off the East Coast are considered the greatest threats to the right whale's survival. Experts estimate only about 450 of the large whales remain. Each winter they migrate to the warmer watersoff Georgia and Florida to give birth to their calves. It was the first time since 2011 that a right whale snared in fishing gear has been spotted offshore in the Southeast, said Clay Georgia, a marine mammal biologist for the Georgia Department of Natural Resources. He was part of the team that got close enough to the 30-foot whale to sever the three-quarters-inch fishing line using a grappling hook equipped with cutting blades. "We feel like what we did gives the whale a fighting chance to shed the remainder of the rope on its own," said George, who estimated the whale is still dragging about 20 feet of the rope woven with lead weights.

"The real take-home message here is we can't just go out and save and fix every whale that shows up entangled. In some cases it's just completely impossible to disentangle that whale," he added. (AP)

GALLEYTunisian grilled salad

Food lovers, who like a little heat in their food, must try this delicious salad. Ingredients: Fresh tomatoes and green chillies; 2-3 garlic cloves; olive oil; salt; coriander; eggs (one or two eggs per person); olives (green or black); tuna. Method: Grill the tomatoes, chillies and garlic on a pan till they turn blackish. Now, take those off the oven, put them in a plastic bag (as it will make the skin come off easily) and peel them. Chop the tomatoes and chillies finely and crush the garlic. Now, mix everything in a plate and keep the salad in the fridge. Before serving, add olive oil, salt, coriander and decorate with olives, tuna and a hard boiled egg.

Lemon-herb potato saladIngredients: 3/4 pound fingerling potatoes; 1tbsp of olive oil; 1/4tsp of grated lemon rind; 1tbsp of lemon juice; 1tsp of Dijon; 1/4tsp of pepper; 1/3 cup of arugula (chopped); 2tbsp of kalamata olives (sliced); 1tbsp of parsley (chopped); 1tbsp of fresh basil (chopped); 1tbsp of fresh chives (chopped). Method: Place a saucepan filled two-thirds with water over high heat. Cut potatoes into 1inch pieces. Now, add potatoes to the pan, cover it and bring to a boil. Reduce the heat to medium-high and cook for five minutes. Now, drain the water. Whisk olive oil, lemon rind, lemon juice, Dijon and pepper together in a bowl. Stir in arugula, kalamata olives, parsley, basil and chives. Add the drained potatoes and toss it gently to coat. Now, serve!

SHIPPING DATABALTIC EXCHANGEMarket snapshot: 1100 GMTDry Index BDI 1164 +4Capesize Index BCI 1680 -10Panamax Index BPI 1261 -21Supramax Index BSI 1087 +19Handysize Index BHSI 676 -2

EXCHANGE RATES New York (Thu Cls)

Fgn Currency USD in Fgn in USD CurrencyBritain (Pound) 1.6659 0.6003Canada (Dollar) 0.9003 1.1107China (Yuan) 0.1644 6.0837Euro 1.3718 0.7290India (Rupee) 0.0161 62.2550Indonesia (Rupiah) 0.000085 11805.00Japan (Yen) 0.009774 102.3100Norway (Krone) 0.1640 6.0975Philippines (Peso) 0.0223 44.8000Poland (Zloty) 0.3293 3.0400Russia (Ruble) 0.0280 35.7725Singapore (Dollar) 0.7908 1.2646Ukraine (Hryvnia) 0.1123 8.9050

Paris MOU: Engines, machineries top latest CIC deficiencies

Preliminary data from the latest 90-day concentrated inspected campaign 9CIC) launched by combined port state control authorities show that most deficiencies found on board ships related to main propulsion systems, emergency generators and lighting, as well as the cleanliness level of engine rooms. The latest CIC, conducted by the Paris MOU and Tokyo MOU from September 1 through November 30 last year, covered 4,126 individual ships. A total of 1,105 deficiencies were related to main propulsion and auxiliary machinery systems, which was the focus of the CIC. According to the advance report released by the Paris MOU on Tuesday, 68 ships (1.8%) were detained as a direct result of the campaign. Forty-one percent of the detentions during the campaign were CIC-topic related. The preliminary report said that in previous years, deficiencies related to propulsion and machineries accounted for about seven percent of the total number of deficiencies within the Tokyo and Paris MoUs, ranking sixth in comparison with all the deficiencies. More than half (54%) of all CIC-topic related detentions involved ships of 20 years or more. This category had a CIC-topic related detention rate of 3.6%, twice higher than the overall 1.8% CIC-topic related detention rate. "This outcome illustrates that wear and tear of propulsion and auxiliary machinery remains an issue, which should be adequately addressed by ship owners," according to Richard Schiferli, secretary general of the Paris MoU. About 34 (50%) of the detained ships were general cargo/multipurpose ships, nine (13%) were bulk carriers and nine were (13%) container ships. Among the other detained ships were six oil tankers, four chemical tankers and three refrigerated cargo ships.

Most inspections were carried out on ships under the flags of Panama with 495 inspections, Liberia (322), Malta (317) and Antigua and Barbuda (246).

SAFETYNI connects habitability to safety

The Nautical Institute (NI) in its latest bulletin, Issue 34, explained why habitability is important for reasons of efficiency and safety. It noted that the new Maritime Labour Convention (MLC) gives port state inspectors power to detain vessels that do not conform to decent habitability standards and provides a strict regulatory framework to ensure that seafarers live in decent conditions. Habitability is a key design criteria in modern ships, with the need to consider matters such as noise, vibration, indoor climate and lighting in living and working spaces. Human-centred ship design recognises both human factors and ergonomics with the aim of providing facilities that are comfortable and promote efficiency. The bulletin usefully summarises the scope of MLC regulations, along with plenty of guidance on the detailed regulations themselves. It explains other benefits, including ensuring that crew can work more efficiently and also introduces a warning about the penalties for not providing a habitable ship, which can go beyond detention and crew problems. The bulletin is packed with useful information on this topic, which is more complex than merely providing each seafarer with a cabin and a bunk. Source: NI

US prepares for laser deployment on Navy ship

Lasers will soon be part of the US Navy's arsenal. An official of the Naval Sea Systems Command said that a laser will be deployed this year on a US ship. A rail gun prototype, on the other hand, will be ready in two years, giving the US Navy's arsenal a huge boost. "It fundamentally changes the way we fight," said Capt. Mike Ziv, a program manager at the Command. The first laser prototype will be placed on the USS Ponce. While the laser system is sophisticated, it can be operated by a single sailor, according to Ziv. The solid-state Laser Weapon System is designed to target what the Navy describes as "asymmetrical threats." These include aerial drones, speed boats and swarm boats, all potential threats to warships in the Persian Gulf, where the Ponce, a floating staging base, is set to be deployed, The Associated Press reported.

Indian court delays Italian marines caseIndia's attorney general on Tuesday sought more time to prosecute two Italian marines accused of killing two fishermen, as Rome recalled its ambassador in protest over delays in the case. The Supreme Court in New Delhi adjourned the case until Monday after Attorney General Goolam Vahanvati said the government was still working on the matter. "The matter was under the consideration of the law ministry and I need more time to work out a solution to the issue," Vahanvati told the court. The case has caused major tensions between the two countries over delays in charging the marines who allegedly shot the fishermen they mistook for pirates off India's southern coast in 2012. The court had been due on Tuesday to decide on whether to accept the attorney general's request the pair be prosecuted under a maritime security law, that attracts a 10-year sentence. Italy on Monday slammed the maritime security charge as "unacceptable", and warned of Italian and EU reaction, AFP reported.

HK eyes new maritime bureauHoping to revive its maritime sector's previous lustre, Hong Kong is set to establish a special bureau to promote shipping services. Aside from prioritising port development, the inter-departmental body will also focus on ship management, brokerage, finance and insurance services. According to lawmaker Miriam Lau Kin-yee, the new maritime bureau is part of efforts to make Hong Kong at par with London in terms of having an international shipping service hub. "Let's forget about attracting more containers to go through Hong Kong" especially since Shenzhen had already overtaken the city as the third-busiest port in the world last year," Lau noted. Hong Kong has been receiving flak over its dismal maritime industry promotion, resulting in shipowners leaving the Chinese-controlled region for Singapore, which offers lower taxes and fewer restrictions in terms of operations. Peter Cremers, chief executive officer of Anglo Eastern Group, said Singapore was able to overtake Hong Kong as a premium maritime hub because its port authority is very systematic in terms of providing services. "Hong Kong is different. Unless the shipowner knows what the tax (requirements are) for shipping, you may get into the wrong hands," he added. Meanwhile, Maritime Industry Committee member Sabrina Chao-sih-ming suggested that the new maritime bureau be headed by an individual who is knowledgeable in handling maritime-related services.

VLCC rates slump in January; Aframax, Suezmax up

January was not a good month for the VLCC market, which saw freight rates post the least gains compared to the Suezmax and Aframax segments. According to an OPEC report, VLCC spot freight rates fell by eight percent last month on the back of lower activities and tonnage oversupply in their routes. Tonnage build-up brought about by sliding level of activities also triggered the decline. Rates for Suezmax and Aframax, however, registered an 18% and 50% on-month increase, respectively, mainly due to bad weather conditions that led to delays, shortage of suitable tonnages and increased activities that spiked demand for such vessels.

DISPUTESSingapore bans disputed Indonesian navy

shipSingapore said Tuesday it will ban from its ports and naval bases an Indonesian navy ship named after two marines who bombed an office complex in the city-state during a period of tense relations in the 1960s, AFP reported. Defence Minister Ng Eng Hen said the ship will be barred in an ongoing dispute over the Indonesian navy's decision to name a refurbished frigate after the two marines, Usman Haji Mohamed Ali and Harun Said, who were convicted and executed in Singapore for the bombing of the downtown MacDonald House in March 1965. The attack killed three people and injured 33 others. It was part of an effort by then Indonesian president Sukarno to stage an armed confrontation against the newly formed federation of Malaysia, which included Singapore. "Singapore will not allow this military ship named Usman Harun to call at our ports and naval bases," Ng said in parliament Tuesday.

DEVELOPMENTBoat captains in PH province get seaman's booksThe Maritime Industry Authority (MARINA) has distributed over a hundred seaman's books to boat captains of tourist motor bancas in Puerto Princesa City, Philippines

Engineer Nelson Sobrepena, chief of the MARINA in Puerto Princesa, said Tuesday that representatives from their head office in Manila arrived early in the week to distribute the seaman's books and to give examination to residents, who want to have it since their livelihood depends on operating motorized boats and bancas for tourists. The seaman's book is important, he said, as it serves also as "their license" to manage and operate boats to bring tourists to the subterranean river at Sitio Sabang, Barangay Cabayugan, and island destinations in Honda Bay, Barangay Sta. Lourdes. Sobrepena added that it also provides a simple and portable method for boat captains to record their sea time, and gives legal identity whenever they are on other vessels for various legal purposes.

INCIDENTSOil spill reported off Busan after bunker mishapAbout 237 kilolitres of oil spewed into the sea off the coast of Busan on Saturday after a Liberian-flagged bunker collided with an oil tanker, the Busan Coast Guard (BCG) reported. BCG chief Bae Jin-hwan said that "high waves were suspected to be the main cause of the accident." "The sea was swelling with a wind speed of around eight to ten meters per second" when the incident happened, he added. After conducting a seaborne patrol, the BCG said that about 800 meters wide of oil sheen was already observed in waters off Busan-si. Another 200 meters of oil sheen was sighted moving northeast from the ships, according to a report by Yonhap. Oil continued to seep out from the vessel three hours after the incident before the BCG sealed a hole in the damaged hull of the Liberian-flagged vessel to stop the leak. Although BCG personnel were able to contain the oil, environmental news website Eco-Business.com reported that the oil continues to spread four kilometers south of the incident location.

MARITIME INSTITUTIONAsian Institute of Maritime Studies

The Asian Institute of Maritime Studies (AIMS) is a merchant marine college located in Pasay City, Philippines. AIMS provides courses in maritime education, and is considered one of the top maritime schools in the Philippines.

On 16 August 1993, AIMS was legally registered as a non-stock educational institution, and was issued government accreditation by the Commission on Higher Education (Philippines) (CHED) to offer Customs Administration and Merchant Marine courses. The AIMS is situated along Roxas Boulevard, A. Arnaiz Street (also known as Libertad Street), Roberts Street, and F.B. Harrison Street in Pasay City. It is composed of seven buildings, namely the Maritime College Building, the AIMS Multi-purpose Court, Maritime College Annex Building, June Five Dormitory, M/V Buffalo wings Laboratory, Capt. Wilijado P. Abuid Foundation Building, and the College of Business Building. The institute is a semi-military, regimental institution. It implements a mix of civilian and military discipline among its students. As a requirement for graduation, a student should undergo the Merchant Marine Cadetship Programme (MMCP), a one month semi-military academy-style training course. Every maritime cadet in the institute is required to finish three years of academics and one year Shipboard Apprenticeship Training on board. They are also required to take the National Service Training Programme (NSTP) 1 and 2 as provided by Republic Act 9163. Business students of the institute are in a four-year degree programme and are also required to finish the NSTP-CWTS curriculum. In 2005, a six-storey building was inaugurated at the Roxas Boulevard campus to house the Maritime College. The facility also hosts the Maritime Knowledge X-Change where libraries and an envisioned museum will be opened to the public.

SHIPPING DATABALTIC EXCHANGEMarket snapshot: (February 17)Dry Index BDI 1130 +24Capesize Index BCI 1625 +71Panamax Index BPI 1308 -3Supramax Index BSI 1026 +28Handysize Index BHSI 676 +5

EXCHANGE RATESNew York (Mon Cls) Fgn Currency USD in Fgn in USD CurrencyBritain (Pound) 1.6701 0.5988Canada (Dollar) 0.9122 1.0963China (Yuan) 0.1649 6.0643Euro 1.3705 0.7297India (Rupee) 0.0162 61.8550Indonesia (Rupiah) 0.000085 11775.00

Japan (Yen) 0.009810 101.9400Norway (Krone) 0.1646 6.0764Philippines (Peso) 0.0225 44.4500Poland (Zloty) 0.3306 3.0200Russia (Ruble) 0.0284 35.2247Singapore (Dollar) 0.7944 1.2588Ukraine (Hryvnia) 0.1131 8.8450

Tanker market to benefit as Asian crude demand upThe tanker market can expect steady progress over the coming months on the back of rising crude oil demand from Asia. According to Gibson's weekly report, China's crude oil imports have increased over the past two months, with the country importing 6.63 million barrels per day (bpd) in January, up from 6.33 million bpd the previous month. On-year, China's oil imports registered a four-percent increase, the report noted. The London-based shipbroker also cited South Korea's recent go-ahead for the construction of two nuclear plants as having an undetermined effect on the country's reliance on fossil fuel. South Koreans are wary of possible power interruptions amid the country's dwindling capability to maintain power supplies. Seoul has been trying to halt operations in several nuclear plants due to safety concerns following the Fukushima crisis in Japan. Gibson's report likewise stated that the VLCC market will most likely benefit from rising US crude oil production. The shipbroker said US shale output is expected to hit about 9.5 million bpd by 2016, marking a 4.5 million bpd hike from 2009 levels, indicating a positive sign for the shipping segment. Overall, Gibson said the tanker market will post a relatively good output this year, although signs of a slowdown in major Asian economies should always be a cause of concern.

SAFETY STUDYPREMATURE RELEASETugboats unsecured from a large container ship, dense fog, a river bend and an old jetty in the way are a recipe for potential disaster.

FACTSA 235-metre container ship, fitted with a single, right-hand fixed pitch propeller was unmooring from a riverside terminal. A pilot was embarked and two tugs assisted. A 53-tonne bollard pull tug was tied to the centre lead forward and a 66-tonne tug was secured aft. The aft tug was slower than usual as her secondary towing gear was being used due to her primary gear being defective. Visibility was about one mile as the moorings were singled up, but reduced to less than two cables when the ship sailed. The pilot's intention was for the tugs to keep the vessel parallel to the berth as she was being pulled about 40m

into the river. But the ship's bow was pulled further than her stern, which resulted in the vessel heading away from the line of berth at an angle of 15ø. The aft tug was then released. The vessel came to dead slow ahead with the forward tug still tied to assist in negotiating a nearby river bend. The vessel entered dense fog. The forward tug was released before the container ship gained more headway. With no tugs tied and as the ship neared the turn in the river, it failed to respond to full port rudder and increased engine rpm. The pilot stopped the engine, went astern and gave full bow thruster to port. The forward tug was asked to push the starboard bow. The ship made contact with a disused jetty. The ship sustained minor damage but the jetty was demolished.

LESSONS1. The state of visibility is key in many operations, and where there are signs that it might reduce considerably, it is frequently better to abort a manoeuvre early rather than risk being caught out halfway through. 2. Although mooring and unmooring are usually achieved using the mark one eyeball, this is not possible once visibility has reduced and visual references are lost. In such circumstances electronic aids, such as compass repeaters and radar are available to enable a vessel's heading to be accurately monitored. 3.Tugs are most effective when secured especially when approaching a berth. Similarly, when leaving a berth, tugs should remain attached for as long as needed. The safety of tugs and the vessel being assisted must be taken into account at all times, but this is usually best ensured by proceeding at a sensible speed, rather than by premature release. Source: UK MAIB

West Africa gets circular on GUARDCON applicationShipowners in West Africa have been issued a special circular regarding the use of the GUARDCON contract in their operations. The guidelines, which were published following consultations with the International group of P&I Clubs, tackle key issues concerning the recruitment of security guards for vessels operating in the Gulf of Guinea. Under current laws, Western African countries prohibit security guards from carrying firearms onboard merchant vessels. Most ships operating in the Gulf of Guinea are "destination-bound" and they are required to only employ local security personnel "under strict agreements." GUARDCON seeks to provide merchant vessels with armed personnel while transiting on the high seas, particularly in pirate-infested areas. But vessels whose operations only cover territorial waters such as the Gulf of Guinea, there are certain rules to be considered with regards to the recruitment of armed security guards. The circular states that if shipowners in West Africa who want to use the GUARDCON contract, they need to be aware about specific policies first.

Sea Shepherd, Japanese whalers trade ambush claimsMilitant environmentalist group Sea Shepherd and Japanese whalers on Monday traded accusations of a potentially dangerous attack in the perilous Southern Ocean.

Sea Shepherd said two Japanese harpoon ships attacked their Bob Barker vessel on Sunday night, using steel cables in an attempt to jam its propellers and rudders from close range in violation of laws aimed at preventing collisions at sea. But officials in Tokyo in charge of the hunt said it was their ships that had been ambushed. Bob Barker captain Peter Hammarstedt said he had been tailing the Japanese factory ship Nisshin Maru since Sunday morning but the harpooners waited until night fell - "launching their onslaught under the cover of darkness". High-seas confrontations are common between Sea Shepherd and the Japanese, who hunt whales off Antarctica under a "scientific research" loophole in the moratorium on whaling. Sunday's incident marks the second such showdown in a month. "We maintain unwavering dedication in the face of an increasingly vicious onslaught from the poachers, the last line of defence standing between these criminals and the protected whales they are targeting to kill," Hammarstedt said. The captain said he radioed the Japanese ships to inform them that his operations were "completely lawful and that any aggressive action on their part would be reported to the Australian government and New Zealand Search and Rescue."

India won't use tough law against Italian marinesIn a reversal, India's government told the Supreme Court on Monday that it will not use a severe anti-piracy law when it tries two Italian marines accused of killing two Indian fishermen in 2012, The Associated Press reported. Attorney General Goolam Vahanvati told the court that the government has decided that the law, which carries the death penalty, will not apply in the case. India had previously ruled out a death penalty but said it would still prosecute the marines under the anti-piracy law. The Italian government strongly protested that position and sought U.N. and European Union intervention in easing the deadlock. The Italian marines, Massimiliano Latorre and Salvatore Girone, were providing security aboard a cargo ship in February 2012 when they opened fire on a fishing boat they mistook for a pirate craft and killed two Indian fishermen. The marines are on bail pending trial, and are living and working at the Italian Embassy in New Delhi. The case has sparked a bitter row between the two nations. Last week, Italy recalled its ambassador to India to protest delays in filing charges against the marines.

REGULATIONSIntl seafarer certification gets boost with new AMSA policiesThe Australian Maritime Safety Authority (AMSA) has taken a step forward to the training and certification framework for international seafarers. AMSA chief executive officer Graham Peachey has approved four marine orders, including policies that involves qualification and certification requirements of Master and Deck Officers and Engineering Officers. "These marine orders also meet the standards set by the International Convention on Safety, Training, Certification and Watchkeeping (STCW) that govern certification standards for the world's 1.5 million seafarers," Peachey said. "They also implement amendments to the STCW convention ratified in Manila."

INCIDENTSRiver closed at New Orleans after barge spills oilA 104-kilometre stretch of the Mississippi River remained closed at New Orleans on Monday following a weekend collision that resulted in crude oil spilling from a barge. Authorities involved in the clean-up and investigation planned a Monday morning conference call as they worked on estimates of how much oil spilled and when the river would re-open, a Coast Guard spokesman, Petty Officer Bill Colclough, said. At last count Sunday night, the river closure affected 26 vessels - 16 waiting to go downriver and ten waiting to go upriver. Officials reported only a light sheen following the accident but river traffic was halted to avoid contaminating passing vessels and to prevent oil from spreading downriver. No injuries were reported in Saturday afternoon's accident involving the barge being pushed by a tugboat and another tugboat near Vacherie, 75km west of New Orleans. The other tugboat was pushing grain barges. Public drinking water intakes on the river were closed as a precaution in nearby St. Charles Parish, officials said. "The water supply in St. Charles Parish remains safe," parish officials said in a news release Sunday afternoon, The Associated Press reported.

Passengers evacuated after boat mishap near AucklandThirty-six people, including a number of children, have been evacuated from a charter vessel near New Zealand's largest city of Auckland on Sunday after it began taking on water, Xinhua reported. Emergency services were told the MV Dream Weaver was in trouble in the Tiri Channel, near the Whangaparaoa Peninsula north of Auckland, just before 2pm, NZ Newswire reported.

Several vessels responded and the police launch Deodar loaded all 36 passengers a short time later. No injuries were reported but some passengers were suffering sea sickness and ambulance staff were asked to wait at Westhaven Marina in downtown Auckland as a precaution.

PORT OF THE WEEKPort Klang

Port Klang is a town and the main gateway by sea into the southeast Asian country of Malaysia. Known in colonial times Port Swettenham, it has become the largest port in the country. The complex is located about six kilometres southwest of the town of Klang, and 38kms southwest of the national capital of Kuala Lumpur. Located in the District of Klang, it was the 13th busiest transshipment port in 2004 and the 16th busiest container port (2007) in the world. It was also the 26th busiest port in by total cargo tonnage handled in 2005. The state-owned Port Klang Authority administers the three ports in the Port Klang area, namely Northport, Southpoint and Westport. Before the Port Klang Authority was organised, South Port was the only existing terminal. It was administered by the Malayan Railway Administration, also a state organisation. Both Westport and Northport have been privatised and managed as separate entities since they were organised. The total capacity of the cargo complex is 109,700,000 tons of cargo in 2005. This compares favourably to its old capacity of 550,000 tons in 1940. Northport is owned and operated by Northport (Malaysia) Bhd and comprises purpose-built port facilities and services. Westport is managed by Westports Malaysia Sdn Bhd. It is composed of a passenger port, Port Klang Cruise Centre, which was opened in December 1995 at Pulau Indah. This facility is located next to the cargo terminals of Westport. The terminal complex is served by the KTM Komuter service and the trains stop at the Port Klang Komuter station. The electric train service links to Klang, Kuala Lumpur, Petaling Jaya, Shah Alam and other parts of the Klang Valley. A passenger ferry terminal to Pulau Ketam and an international passenger and cargo terminal to Tanjung Balai and Dumai in Indonesia are also located in the area. The old ferry terminal provided berths and services to passenger boats to Pulau Lumut and Telok Gonjeng terminal until the completion of Northport Bridge link.

The main roads that link the Port Klang town, Southport and housing area are Persiaran Raja Muda Musa and Jalan Pelabuhan Utara.

SHIPPING DATABALTIC EXCHANGEMarket snapshot: (February 21)Dry Index BDI 1175 +11Capesize Index BCI 1701 +21Panamax Index BPI 1244 -17Supramax Index BSI 1098 +11Handysize Index BHSI 677 +1

EXCHANGE RATESNew York (Thu Cls) Fgn Currency USD in Fgn in USD CurrencyBritain (Pound) 1.6659 0.6003Canada (Dollar) 0.9003 1.1107China (Yuan) 0.1644 6.0837Euro 1.3718 0.7290India (Rupee) 0.0161 62.2550Indonesia (Rupiah) 0.000085 11805.00Japan (Yen) 0.009774 102.3100Norway (Krone) 0.1640 6.0975Philippines (Peso) 0.0223 44.8000Poland (Zloty) 0.3293 3.0400Russia (Ruble) 0.0280 35.7725Singapore (Dollar) 0.7908 1.2646Ukraine (Hryvnia) 0.1123 8.9050

Piracy attacks off Somalia dwindling further: US officialEnhanced naval operations, coupled with improved security in maritime ships, have been effective in clamping down on piracy-related activities off Somalia's coast last year. According to the United States and the European Union, piracy attacks in both the Red Sea and Arabian Sea plunged in 2013. There has also been no reported hijack attempt on any vessel in the area since May 2012. US State Department counter-piracy co-ordinator Donna Hopkins said the figure is the lowest rate in six years. The official also stressed that no vessel is currently under control by Somali pirates, although at least 49 individuals are being held hostages. She assured that the international community is doing its best to pursue their release. Some 1,430 pirates face prosecution in 21 countries. "The remarkable drop in piracy is due primarily to two things - first, proactive counter-piracy operations by the many national navies and missions that are preventing and disrupting pirate attacks off the coast of Somalia and in the eastern Indian Ocean, and

better self-protection by commercial ships, including the use of embarked armed security teams," Hopkins said. Officials also attribute the continuous decline in piracy-related activities off Somalia to the concentrated efforts of the EU, with the help of countries such as Egypt and China, in deploying a task force to pirate-infested areas and providing battleships to foil attacks. But Francois Rivasseau, an EU official, warned that piracy could re-emerge in the Middle East and its surrounding region but noted that the international community is always prepared to carry out more measures to fend off the illegal act.

SAFETYSOx regulationsSulphur oxides (SOx) and particulate matter emission controls apply to all fuel oil, as defined in MARPOL regulation 2.9, combustion equipment and devices onboard and therefore include both main and all auxiliary engines together with items such as boilers and inert gas generators. These controls divide between those applicable inside Emission Control Areas (ECA) establishedto limit the emission of SOx and particulate matter and those applicable outside such areas and are primarily achieved by limiting the maximum sulphur content of fuel oils as loaded, bunkered, and subsequently used onboard. These fuel oil sulphur limits (expressed in terms of % m/m) are subject to a series of step changes over the years, regulations 14.1 and 14.4. Inside an ECA established to limit SOx and particulate matter emissions: 0.10% m/m on and after January 1, 2015; outside an ECA established to limit SOx and particulate matter emissions: 0.50% m/m on and after January 1, 2020. Depending on the outcome of a review to be concluded in 2018 as to the availability of the required fuel oil, this date could be deferred to January 1, 2025. Most ships which operate both outside and inside these ECA will therefore operate on different fuel oils in order to comply with the respective limits. In such cases, prior to entry into the ECA, it is required to have fully changed over to using the ECA compliant fuel oil, regulation 14.6, and to have onboard implemented written procedures as to how this is to be undertaken. Source: IMO

India launches MAPSIn a bid to provide more information regarding the role of the maritime industry in India, the government has formed the Maritime Awareness Program Society (MAPS), which will initiate several events to brief the public on the industry's special role. MAPS, a non-profit organisation, is eyeing development programmes that will involve experts in the shipping industry. Dedicated forums and books are also part of MAPS' plan to further educate the public on the maritime industry.

"The shipping industry has tremendous untapped potential and through this event our industry will receive the right exposure and public awareness," said Sabyasachi Hajara, a Doehle Danautic India board member.

Ship-building boom likely as demand increaseRising demand for new vessels will likely boost the ship-building sector over the coming months, according to industry experts. More than 150 large new cargo ships were reportedly ordered in 2013, indicating the need for more efficient vessels. Analysts also say that prices of cargo vessels are more affordable now, resulting in many shipping companies to invest in them. According to a Danish company that specialises in ship-building, the cost to assemble a new vessel has plunged to a ten-year low to about USD1,400 per ton in 2013. Cargo volume, on the other hand, are forecast to go up by 5.8% and experts say this will lead to cargo volume exceeding ship capacity for the first time since 2008. The ship-building industry is likewise expected to receive a shot in the arm from a Chinese government programme meant to encourage shipowners to scrap ageing vessels. The measure is in line with efforts to reduce excess shipping capacity and experts believe that demand for new ships will rise further if more older vessels are scrapped.

China, Vietnam to boost maritime co-operationChina and Vietnam on Monday vowed to jointly promote their cooperation in areas including maritime, onshore and finance, and achieve more substantial progress. The pledge came out of a meeting between Chinese Premier Li Keqiang and visiting President of the Vietnam Fatherland Front (VFF) Central Committee Nguyen Thien Nhan. Li said he hoped the two sides would give full play of mechanisms such as the guiding committee for bilateral cooperation and three working groups on joint maritime development, infrastructure and financial cooperation, to achieve substantial progress. The establishment of the three working groups was a consensus reached by China and Vietnam during Li's visit to the country in November of last year, which was important breakthrough for the two countries on their way to peacefully handle maritime disputes. Li called on the two countries to push forward joint development of larger scale in the South China Sea, appropriately handle disputes through negotiation and consultation, and maintain the peace and stability of the South China Sea with common efforts. For his part, Nhan said the Vietnamese side will work with China to fully implement the consensus they already reached, and promote their maritime, onshore and financial co-operation to score more concrete achievements. Xinhua reported. With regard to the China-Vietnam relations, Li spoke highly of the "positive progress" the two countries have made. He said China will handle relationship with Vietnam from a strategic view, and work with it to promote a sound and stable development of bilateral ties.

SECURITYSeafaring drug smugglers challenging US Coast GuardWhile security has tightened at the US borders, drug smugglers are increasingly turning to the high seas. The area where boats were seized off California and the northwest coast of Mexico tripled to a size comparable to the state of Montana during the 2013 fiscal year, which ended in September. Off South America, traffickers over the years have been traversing territory so big the continental United States could be dropped inside of it. Mexico's Sinaloa cartel has been loading marijuana bales onto 50-foot vessels as far south as the Mexican port of Mazatlan - where its leader, Joaquin "El Chapo" Guzman, was captured early Saturday - and running them up the Pacific coast to the US, deep into California. It's unclear if Guzman's arrest will hinder the maritime runs. Meanwhile, budget cuts have hit one of the lead U.S. law enforcement agencies on international waters - the Coast Guard, the only U.S. military service able to make drug arrests hundreds of miles offshore. To meet automatic federal budget cuts, it reduced its operating costs by 25 percent in 2013. It also lost help from U.S. Navy ships on drug missions off Latin America that were decommissioned and not replaced because of cutbacks, or sent elsewhere because of Washington's new military focus. As such, only a third of suspected drug smuggling boats or aircraft out of South America that were tracked by U.S. intelligence in cocaine-trafficking corridors in the Pacific and Caribbean were stopped last year, the Coast Guard's top officer, Adm. Robert Papp, told The Associated Press.

INCIDENTSLower Mississippi River back open after oil spillThe Coast Guard reopened a normally bustling stretch of the lower Mississippi River to ships and boaters Monday, two days after an oil spill closed the major inland waterway between Baton Rouge and New Orleans, The Associated Press reported. About 31,500 gallons of light crude oil spilled into the river after a tank barge pushed by the towboat Hannah C. Settoon collided with another towboat Saturday afternoon, officials said. At least 30 vessels had been waiting for the river to reopen, Coast Guard Petty Officer Matthew Schofield said of the spill near Vacherie, about 50 west of New Orleans by land. No one was hurt, all vessels were subsequently secured and there were no reports of any wildlife harmed by spilled oil, the Coast Guard said. Schofield said ships had to go as slowly as possible in the area of the accident, where both the Hannah C. Settoon and the other towboat, the Lindsay Ann Erickson, were moored.

Although the Coast Guard said Sunday that the barge hit the Lindsay Ann Erickson, Schofield said Monday that that was still a question for investigation. He said the Lindsay Ann Erickson was not damaged. The river, which twists and turns through southern Louisiana, had been closed earlier from Vacherie to below the Port of New Orleans.

Chile aids stranded Korean ship in AntarcticaA Korean-flagged fishing ship is stranded in Antarctica with 90 passengers aboard. Chile's Navy said Monday that the Kwang Ja Ho struck the ocean floor about 450 metres from the coast while cruising through Antarctic waters. The maritime governor for Chile's portion of Antarctica says that a rescue mission was launched. Officials have confirmed that everyone on board is safe and that there currently is no risk of a fuel spill. The 93-metre trawler was coming from a Peruvian port and carried 817 tons of krill. Officials say the damage to the ship is in an area that holds a tank for drinking water. Chile's Navy has contacted the ship's owners so they can start figuring out how to salvage the vessel, The Associated Press reported.

ISWANShortlist for Intl Seafarers' Welfare Awards namedThe stage is set for the International Seafarers' Welfare Awards, which will be held on April 7 in Geneva. The International Seafarers' Welfare Assistance Network (ISWAN) has already released a shortlist for the various categories, including Shipping Company of the Year, Port of the Year, and Seafarer Centre of the Year. Those shortlisted for the Shipping Company of the Year are BW Maritime Pte.Ltd, Singapore; China Navigation Co. Pte Ltd, Singapore; Royal Caribbean Cruises Ltd, USA; Shell Shipping, UK; Wallem Ship Management, Hong Kong Those vying for the Port of the Year Award are: Port of Antwerp; Kandla Port; Paradip Port; Port of Singapore; Port of Venice Meanwhile, the Seafarer Centre of the Year will be chosen among Duckdalben International Seamen's Club, Germany; Durban Seafarers Mission, South Africa; The Flying Angel Club Fremantle, Australia; Seamen's Club Welcome Bremerhaven, Germany; Odessa Charity "Seamen's Home", Ukraine; Stella Maris Sriracha Seafarer's Centre, Thailand Those shortlisted for the Welfare Personality of the Year are Alan John Mower, Australia; Rev Paul Noel, South Africa; Ms Ruth Setaro, USA, and Ms Apinya Tajit, Thailand.

Seafarers were the ones who nominated those included in the awards for Seafarer Centre of the Year, Port of The Year and Shipping Company of the Year while the Welfare Personality of the Year award is self-nominated, nominated by seafarers' organisations or by individuals involved in seafarers' welfare. ISWAN Executive Director Roger Harris has stressed the essential contributions made by those nominated in the industry. "These awards are about celebrating the work of those companies, organisations, and individuals that go the extra mile to ensure the health and well-being of seafarers. We are privileged to be holding the awards event at the ILO on Geneva in April," he said.

SHIPPING DATABALTIC EXCHANGEMarket snapshot: (February 24)Dry Index BDI 1174 -1Capesize Index BCI 1707 +6Panamax Index BPI 1222 -22Supramax Index BSI 1096 -2Handysize Index BHSI 679 +2

EXCHANGE RATESNew York (Mon Cls) Fgn Currency USD in Fgn in USD CurrencyBritain (Pound) 1.6599 0.6024Canada (Dollar) 0.9024 1.1082China (Yuan) 0.1640 6.0985Euro 1.3713 0.7292India (Rupee) 0.0161 62.0750Indonesia (Rupiah) 0.000086 11694.00Japan (Yen) 0.009746 102.6100Norway (Krone) 0.1655 6.0411Philippines (Peso) 0.0224 44.6500Poland (Zloty) 0.3301 3.0300Russia (Ruble) 0.0282 35.5231Singapore (Dollar) 0.7898 1.2662Ukraine (Hryvnia) 0.1092 9.1550