OW Bunkers Investors in Legal Action Against IPO Banks
A group of 24 Danish institutional investors in OW Bunker has decided to issue a writ against Carnegie and Morgan Stanley, accusing them of misleading investors ahead of the 2014 listing of the now bankrupt marine fuel oil supplier. The investors, which include two of the largest pension funds in Denmark, ATP and PFA, claim they have suffered a loss of 767 million crowns ($123 million) following investment in OW Bunker shares "on the basis of a prospectus which was insufficient in material aspects". Morgan Stanley declined to comment, while Carnegie said it did not know the details of the alleged claim. Reporting by Stine Jacobsen
OW Bunker Investors to Sue IPO banks
Institutional investors to sue Morgan Stanley, Carnegie. A group of institutional investors in OW Bunker said they plan to sue Morgan Stanley and Carnegie for about $80 million, accusing the two investment banks of misleading them ahead of the 2014 listing of the now bankrupt marine fuel oil supplier. Denmark's OW Bunker was valued at $1 billion when it floated in March 2014, but the company filed for bankruptcy in November that year after suffering hedging losses of almost $300 million, sending shockwaves through the global shipping and oil trading industry. "We are planning a lawsuit against the two investment banks involved in the OW Bunker IPO," Erik Bomans, partner in Deminor Recovery Services representing 30 institutional investors, told Reuters on Thursday.
COSCO Places Large Lubricants Order with Shell
Shell Marine said it has been awarded China Ocean Shipping (Group) Company’s (COSCO SHIPPING) largest marine lubricants order in 2017. This order will include the full range of marine lubricants and technical services for seven out of COSCO SHIPPING’S 10 new generation Ultra Large Container Carriers (ULCCs) with capacities of approximately 20,000 TEUs each, ordered in 2015 and due to be in service from 2018-2019. Shell Marine has supplied marine lubricants and services to over 140 COSCO SHIPPING vessels since 2004.
New Company Takes Over OW Tanker
OW Tanker, a unit of bankrupt OW Bunker and owner of its marine fuel supply ships, has been taken over by a newly-created company, the fleet manager told Reuters on Wednesday. Henrik Pedersen said the takeover by Alba Tanker ApS, which has the trustees of the bankrupt company on its board, is part of the process of securing assets for the estate. Denmark's OW Bunker had been the largest marine fuel supplier in the world. "We are not a very big part of the company," Pedersen said by telephone. "We're the ship-owning part of OW Bunker and Trading.
Total to supply LNG for CMA CGM's Future Boxships
Total to supply 300,000 T of LNG a year for 10 years. Total will supply liquefied natural gas (LNG) to CMA CGM to fuel the container shipping group's future very large vessels, the French companies said on Monday. CMA CGM had said last month it would use LNG to power the nine extra-large vessels it has on order, a first such move in a shipping industry grappling with how to comply with tougher rules on emissions. Under the 10-year agreement, oil and gas major Total will supply around 300,000 tonnes of LNG per year to CMA CGM, starting in 2020, the companies said in a statement.
Denmark Charges Former OW Bunker Manager with Fraud
Denmark's general prosecutor said on Thursday it had charged a former Singapore unit manager of Denmark-based OW Bunker with fraud. The prosecutor said the former manager, a Danish citizen, has been charged with committing fraud of agent for more than 800 million Danish crowns ($122.79 million) by granting credit outside his mandate. The prosecutor also said it did not find legal grounds for criminal prosecution of other management members within the OW Bunker group, the world's biggest marine fuel supplier before it went bankrupt in 2014. Reporting by Stine Jacobsen
Singapore Charges Defunct Bunker Supplier, Staff
A Singapore marine fuel supplier and three executives have been charged with cheating as part of a government crackdown on short deliveries of fuel to vessels in the world's largest bunkering hub. Vermont UM Bunkering Pte Ltd, two directors and a former bunker manager were charged with 150 counts of conspiracy to charge customers for more marine fuels - also known as bunkers - than actually delivered, the Corrupt Practices Investigation Bureau (CPIB) said in a statement. "Through these alleged fraudulent transactions, Vermont Bunkering had dishonestly induced its customers to make excess payments totalling over $8 million," the statement said.
ABB’s First Azipod D Unit Begins Operation
An 8,000 kW rescue tug, the first vessel installed with ABB’s Azipod D electric propulsion system, has been delivered by Huangpu Wenchong Shipyard to customer Guangzhou Salvage Bureau, a division of the Chinese Ministry of Transport. Before delivery, the rescue tug was tested in sea trials where it exceeded design targets in bollard pull, fuel economy, maneuverability and low-load performance, ABB said. The vessel’s captain, Shaohua Liu, said, “We are really impressed with the vessel’s performance. Response time and maneuverability, both of which are critical in our operations, are excellent.
Ship Arrested, More Claims Emerge Against OW Bunker
Fuel barge Laguna, carrying oil sold by Hin Leong to OW Bunker, arrested. Total claims against OW Bunker Far East and Dynamic Oil now over S$5 mln. Oil firms stepped up legal action against the Singapore units of bankrupt ship fuel trader OW Bunker with the arrest of a ship fuel delivery barge Laguna on Wednesday and claims totalling more than S$5 million. Court documents seen by Reuters showed that the overall amount of claims made against OW Bunker Far East (Singapore) and Dynamic Oil Trading…
Sydney’s Newest Ferry Begins Operations
A newbuild 27-meter catamaran passenger ferry has been delivered to the Australian Public Company Sealink, and has commenced operations on Sydney Harbor. Designed by Incat Crowther and built by Aluminium Marine, Nancy Wake is a 280 passenger vessel accommodating 198 passengers inside and 82 outside. Nancy Wake is the fourth vessel of this design, which includes Incat Crowther’s new generation propeller tunnel which reduces draft and offers a flat transom to integrate with standard fixed or active interceptor systems. Fuel consumption is also reduced, the designer said.
OW Bunker to Meet Liquidator; Ship Arrests Continue
OW Bunker owes financers more than $750 million-creditor data; six more vessels arrested; 7 in total. The Singapore arm of bankrupt Danish shipping fuel trader OW Bunker will meet with its liquidator KPMG in early December to discuss the firm's outstanding debt, which totals almost $1.5 billion globally. OW Bunker, a leading supplier of marine fuel oil known as "bunker", filed for bankruptcy in Denmark earlier this month after it revealed losses of at least $125 million at one of its Singapore-based subsidiaries Dynamic Oil Trading, sending the bunker fuel market into turmoil. Oil firms have stepped up legal action against OW Bunker's Singapore units since the announcement with the arrest of ships, now totalling seven, Singapore court documents show.
Wärtsilä Launches Fuel-saving VER System
The technology group Wärtsilä is introducing its Voyage Emissions Reduction (VER) system as a means for increasing oil tanker revenues, while also significantly aiding the environment through reduced emissions. The system effectively eliminates the problem of volatile organic compound (VOC) emissions from tankers during laden voyages. VOC’s are organic chemicals having a high vapour pressure resulting from their low boiling point, which leads to extensive evaporation. On average, an oil tanker will emit 0.085 percent of its contained cargo per each week.
Ships to Divert to Hong Kong for Bunkers
Hong Kong bunker suppliers are expecting up to 20 percent more inquiries from shipowners who have had fuel contracts cancelled after the world's largest supplier announced its bankruptcy last week, sources said on Friday. Since the fall of OW Bunker, marine fuel prices in Singapore have climbed steadily and spiked to their highest in more than two years on Thursday, as tightening of credit led to a supply crunch amid prompt demand. "My impression is enquiries have gone up 20 percent, though it's hard to put a figure to it. There were more prompt orders for delivery between five to ten days," said a Hong Kong-based marine fuel seller. Hong Kong's 380-cst marine fuel was at least $10 a tonne cheaper than that in Singapore, on a delivered basis, on Thursday.
Oil Recovery Ops in Houston Ship Channel
The oil spill responders continue clean up efforts today after the 458-ft tank vessel Chemical Supplier allided with a barge and spilled approximately 10,500 gallons of oil in the Houston Ship Channel early on Sept. 25. Responders, as of 5:00 p.m., recovered approximately 4,280 gallons of oil. The source of the leak was secured at approximately 1:25 a.m. Sept. 26. The fuel tank contained an estimated 22,500 gallons of fuel oil. The Houston Ship Channel remains closed to all vessel traffic north of the I-610 bridge. Watchstanders from Sector Houston-Galveston received a call at approximately 9 p.m. Friday, Sept. 25, 2009, reporting that the Chemical Supplier allided with Buffalo Barge #251 in the vicinity of Brady's Island near the I-610 bridge.
Dynamic Oil Trading Urges Greater Due Digilence
Dynamic Oil Trading, a global trading company for marine fuels and lubricants, has highlighted the important role of fuel suppliers in helping shipping companies to reduce their exposure to fuel quality and quantity risks, including bunker fraud. Dynamic Oil Trading welcomes the steps taken to drive up professional standards within the industry and the use of the latest technology, such as Mass Flow Meters. However, it believes that ship owners can achieve even greater assurance over fuel quality and quantity by developing longer-term, partnership-based relationships with bunker suppliers that will work with them to reduce their exposure to disputes and fraudulent behaviour.
New Bunker Trader at Dynamic Oil
Dynamic Oil Trading, the global trading company for marine fuels and lubricants, has announced the appointment of Jacky Yen as a new bunker trader for its Singapore bunker trading team. Educated at University College Dublin, Jacky Yen brings considerable experience of working with suppliers and buyers in the Singapore bunker market. Prior to joining Dynamic Oil Trading he worked at another marine fuel company in the Lion City for two years, where his responsibilities included bunker trading, operational liaison for fuel deliveries and acting as the point of contact with the Singapore MPA.
ShipServ Launches Monitoring, Analytics Tool
ShipServ has launched of the ‘Supplier Performance Report’, the latest addition to its monitoring and analytics tools. The Supplier Performance Report provides shipowners and managers using ShipServ with a host of key data on the procurement performance of every supplier that they use, enabling them to analyze trends, and identify where improvements can be made, so that relationships with suppliers can be enhanced and fully optimized. The Supplier Performance Report brings together…
ExxonMobil, Imperial Oil Employ DH Barge in Vancouver
ExxonMobil Marine Fuels (EMMF) and Imperial Oil have commissioned a new double-hull barge to complement existing marine fuels services at Canada's port of Vancouver. The state-of-the art ITB Provider, owned by established Vancouver operator Island Tug & Barge, has a fuel capacity of 2,200 tonnes, and can deliver HFO/IFO and MGO simultaneously at a rate of up to 500 tonnes per hour. It will complement the ITB2, which is already refuelling vessels at Vancouver, and the Imperial Oil barge Imperial Nootka, which is supplying marine lubricants and smaller MGO deliveries. Imperial Oil is the only supplier in the Port of Vancouver with bunker storage facilities. network.
LUKOIL Marine Cylinder Oil Approved by MAN and WinGD
Ready for the 2020 sulphur cap? There is a big change in fuels ahead of us and the fuel suppliers are busy looking into several options. However, regardless of whether de-sulphurisation, MGO or distillate blends or any predominantly hydrocarbon blend with a maximum of 0.5 percent sulphur content or a 0.1 percent limit in ECA - “We are ready,” said Stefan Claussen, Technical and Marketing Director of LUKOIL Marine Lubricants. In order to offer the best possible lubricant solutions in the years leading up to 2020 and beyond…
Total Charters in New Barge Capacity in Germany
Total Marine Fuels in Germany has chartered in additional barge capacity to meet growing demand for fuel oil from customers in Hamburg and along the Kiel Canal. Total is the main bunker supplier in the Kiel Canal, and is currently selling in excess of 350,000 metric tons of fuel per year in the region. It has had the double-hulled, 1,450-ton capacity bunker barge Elbingerode on charter since the beginning of 2007. Now, in response to continuing increases in demand, it has supplemented that with the charter of the Spandau DT61, which has capacity for about 1,100 tons of heavy fuel oil and 100 tons of gasoil. TOTAL has a Kiel Canal bunker installation from whose four jetties it can supply all grades of heavy fuel oil…
Singapore Bunker Meter Mandate Targets 'Frothy Fuel'
Singapore, the world's biggest bunkering port, plans to end the so-called "cappucino effect" in ship fuelling through new meters designed to stop suppliers from short-changing customers, although the industry is warning of a short-term sales dip. The Maritime and Port Authority (MPA) of Singapore, which sold more than 42 million tonnes of bunker oil in 2013, will be the world's first port to mandate the use of mass flow meters for fuel oil bunkering. The meters show the actual mass of fuel delivered, preventing suppliers from boosting their profits by injecting air into the fuel as it is pumped aboard. The practice, known as the "cappucino effect"…
Wärtsilä Advice Confirms Castrol Concerns on Single Oils
Castrol Marine said it has welcomed new guidance from Wärtsilä that undermines claims that mid-range base number (BN) oils represent a single cylinder oil solution for marine two-stroke engines. The advice confirms Castrol’s long-held concerns that using mid-range BN cylinder oils with higher sulphur fuels when slow steaming could lead to cold corrosion. The engine major has withdrawn approval for mid-range (50-60BN) cylinder oils when used with many marine engines running on Heavy Fuel Oil of above 2.5% sulphur content. New ‘letters of no objection’ to suppliers limit use of mid-range BN oils on all “Wärtsilä RTA, RT-fl ex and W-X engines as well as Sulzer two-stroke engines” to HFO whose sulphur content is “in the range 0.5<S<2.5 mass %”.
IMO Orders Fuels of the Future
The new sulfur, carbon dioxide limits ewill demand precise understanding by ship owners and operators. Globally, new regulations are coming into effect governing the Sulfur Oxide (SOx) limits and CO2 emissions. The International Maritime Organization (IMO) has updated the maximum amount of SOx allowed in fuels and the European Commission is introducing new reporting requirements to monitor CO2 emissions. Understanding the impacts of these changes on ship owners and operators is critical given the market conditions for maritime services.