Marine Link
Thursday, October 18, 2018

Eastern China News

China Merchants to Take 21.05% Stake in Dalian Port

Image: Dalian Port

China Merchants Holdings (International) Company Limited, has announced that it has signed a share subscription agreement with Dalian Port (PDA) Co., under which Dalian Port will issue 1.1bn new shares to China Merchants for HK$4.3bn ($554m). Upon completion of the transaction, China Merchants will hold a 21.05% equity stake of Dalian Port, becoming the second largest shareholder. China Merchants Holdings, which will become Dalian Port's second-largest shareholder after the purchase, said the deal allows it to strengthen its ports network within China and enhance its port-service network.

LNG Imports Climb at CNOOC's Zhejiang Terminal

© vladsv / Adobe Stock

CNOOC's Zhejiang terminal will receive 5 million tonnes of liquefied natural gas in 2018 up from 3.58 million tonnes last year, CNOOC Gas and Power Co said on Thursday.The Zhejiang terminal located in Ningbo in Zhejiang province has unloaded 33 LNG tankers as of June, or 2.3 million tonnes, up 94 percent from the same period last year, CNOOC Gas and Power said.Storage tanks linked to the terminal are nearly full, CNOOC said.The terminal is a supply hub of LNG for Zhejiang province in eastern China where gas consumption is surging as households switch to gas for winter heating.(Reporting by Men

Largest Oil Shipment Sent from Vancouver to China Since 2015

© Max Wei / MarineTraffic.com

An Aframax tanker is scheduled to deliver the largest shipment of crude oil from Vancouver to China since January 2015 later this month, Thomson Reuters trade flow data show.For years, Canadian officials have pushed for an escalation in crude exports to rapidly growing Asian markets, but companies in the oil-rich Alberta have limited capacity to move crude to the nation's western coastline.That makes Canadian crude exports from Vancouver to Asia rare, but shipments have picked up in recent months, with oil tankers to China, Thailand and South Korea departing in April and July.

US Oil Exports to Asia May Slide Further

© Anatoly Menzhiliy / Adobe Stock

Rising shipping rates have increased the costs of shipping oil from the United States to Asia and may further the restrict the flow of U.S. oil to the region later this year, multiple trade and shipping sources said on Thursday.Freight rates for tankers that carry crude oil have soared globally, buoyed by peak seasonal demand, weather disruptions and higher bunker fuel costs, the sources said.The cost of chartering a Very Large Crude Carrier (VLCC) capable of carrying 2 million barrels of crude from the U.S.

Maersk Line Gets New Head in China

Mike Fang. Photo from LinkedIn profile

Maersk Line on May 21 announced that Mike Fang become the company's new chief of east - and central China. He joins with effect from 1 July 2015. Fang has been head of Maersk Line North China since 2012. He replaces David Williams, who will become the new CEO of Safmarine. IHS Maritime 360 quoted Tim Smith, CEO of Maersk Line North Asia as saying that Mike had been appointed head of the organization in eastern and central China. Tim said that Mike with his expertise in local market and extensive experience would provide great value to the organization in eastern and central China.

US LNG Exports to Surge South Via Expanded Panama Canal

File photo in public domain

The United States is preparing itself to supply much of the additional gas demand of Asia between now and 2025, looking towards an expanded Panama Canal to help it offer a price that its rivals would find hard to match, reports 'The Bulletin Panama'. An increase in natural gas production in the US, thanks to the shale gas revolution, means that new liquefied natural gas (LNG) projects in Australia, East Africa, Canada and Russia, can no longer count on exports to the world’s largest economy and they will have to focus more on sales to Asia.

PetroChina Unloads First US SPR Cargo

File Image (CREDIT: AdobeStock / (c) Carabay)

PetroChina is this week unloading the first Chinese purchase of crude oil from U.S. strategic petroleum reserves at a port in eastern China, according to shipping data and two industry sources. The move comes as China, the world's No.2 oil consumer, steps up imports from the Americas to diversify supply sources. PetroChina unit, PetroChina International America Inc, bought the 550,000-barrel cargo of Bryan Mound sour crude in a sale from U.S. strategic petroleum reserves in March for $28.8 million. Supertanker Cosrising Lake <C}KV7309834335>, chartered by PetroChina, is unloading the U.S.

Typhoon Glances off E. China Coast

Typhoon hits China

China's eastern coast took less of a battering than feared after Super Typhoon Chan-hom changed course and lost much of its strength shortly after making landfall near Shanghai late on Saturday. Chan-hom, which Chinese government meteorologists feared would be the powerful typhoon to hit China in decades, packed winds of 162 kph (101 mph) as it landed on the coast of Zhejiang Province but soon veered back to sea and toward the Korean peninsula. Meteorological agencies in China…

China, Taiwan, Agree Shanghai Free Trade Zone Cooperation

China, Taiwan, flag combination: File CCL image

The Chinese mainland and Taiwan adopted 19 joint proposals at the Ninth Cross-Strait Economic, Trade and Culture Forum, including one encouraging the island's cooperation with the newly built Shanghai Free Trade Zone (FTZ) reports China's official news agency, Xinhua. The Shanghai FTZ, which began operating in late September, is a 28.78-square-km district intended as a test site for deepening market-oriented reforms and boosting economic vitality. The proposal, announced by the Kuomintang (KMT) Party's vice chairman John Chiang…

At Least 50 Dead in Chinese Port Blast, 700 Injured

Two huge explosions tore through an industrial area where toxic chemicals and gas were stored in the northeast Chinese port city of Tianjin, killing at least 50 people, including at least a dozen fire fighters, officials and state media said on Thursday. At least 700 people were injured, more than 71 seriously, the Tianjin government said on its Weibo microblog, and the official Xinhua news agency said two fires were still burning. Wednesday night's blasts, so large that they were seen by satellites in space, sent shockwaves through apartment blocks kilometres away in the port city of 15 million people. Internet videos showed fireballs shooting into the sky and the U.S. Geological Survey registered the blasts as seismic events.

Chinese Port Blast Kills 50, Injures 700 More

Two huge explosions tore through an industrial area where toxic chemicals and gas were stored in the northeast Chinese port city of Tianjin, killing at least 50 people, including at least a dozen fire fighters, officials and state media said on Thursday. At least 700 people were injured, more than 71 seriously, the Tianjin government said on its Weibo microblog, and the official Xinhua news agency said two fires were still burning. Wednesday night's blasts, so large that they were seen by satellites in space, sent shockwaves through apartment blocks kilometres away in the port city of 15 million people. Internet videos showed fireballs shooting into the sky and the U.S. Geological Survey registered the blasts as seismic events.

Tianjin Resumes Commodity Port Ops

Oil, gas and iron ore imports resume after disruptions; Strategic oil reserves in the region not affected. Many operations have resumed at China's Tianjin port, trade sources said, after explosions last week that killed more than 100 people and disrupted business at what is an important oil, gas and bulk import harbour for Asia's biggest economy. The explosions on Aug. 12 led to the disruption of all chemical and oil tanker discharges at the port, and imports of iron ore were also affected. But shipping data from Reuters on Monday showed that tankers were discharging again, with traders and shippers confirming that operations had restarted over the weekend. Port officials were not immediately available for comment.

Maersk Reroutes Asia - US Service Via Panama

Map: Maersk Line

Maersk Line will transform its TP12 service in to a standalone, around-the-world service that provides significantly faster transit times between Far East Asia and the US East Coast. From the Far East to the US East Coast the TP12 service will transit the new Panama Canal locks and call the ports of Newark, Norfolk and Baltimore on the US East Coast. On the return leg to Asia, the TP12 will go through the Suez Canal and call the ports of Salalah (Oman), Colombo (Sri Lanka) and Singapore.

China to Import 335 MT of Naphtha, Wants More

China is set to import more than 335,000 tonnes of naphtha and diesel, rare moves for the world's no. 2 oil consumer given it has been self-sufficient at meeting domestic oil product demand, industry sources said on Friday. Unipec, the trading arm of top Chinese oil firm Sinopec, has bought more than 300,000 tonnes of naphtha for delivery into China. Traders said the firm rarely buys specifically for China. State-run Sinochem has bought at least 35,000 tonnes of diesel for October-to-November delivery and could import more, industry sources said. CNOOC and PetroChina have bought 105,000 tonnes of diesel and could buy more, they said, though volumes could not be confirmed. China became a net diesel exporter in 2013.

LNG Tankers Divert to China as Winter Demand Spikes

file Image: In a photo taken earlier this Autumn, an LNG tanker transits the Med (CREDIT: Robert Murphy)

China's LNG demand soars as tankers from the Americas divert to China. Liquefied natural gas (LNG) is being re-exported to China from Japan and tankers are being diverted from as far away as Brazil, with traders rushing to find cargoes in the face of a supply crunch in the world's No.2 economy as winter bites. Following an unprecedented drive to switch millions of households to natural gas from coal for heating, China's imports of LNG have surged as utilities struggle to meet soaring demand as winter gets off to a colder start than usual.

Ocean Alliance Launches Day Two Product

(Photo: OOCL)

The Ocean Alliance has launched its new Day Two Product with an estimated 3.6 million TEU carrying capacity provided by approximately 340 containerships deployed on 41 services. The new offering will commence in April 2018. Alliance partners CMA CGM, COSCO, Evergreen and OOCL will offer 20 Transpacific services, six Asia-Europe services, four Asia-Mediterranean services, four Transatlantic services, five Asia-Middle East services and two Asia-Red Sea services. “Ocean Alliance…

Bulkers to Benefit as China Iron Ore Appetite Grows

Photo: © martinfredy/Adobe Stock

It has been quite awhile since the global bulk carrier market has had much to cheer about, but U.S. dry bulk shippers are set to post strong revenue growth in the next two years thanks to soaring Chinese demand for high-grade iron ore from Brazil and Australia. To combat severe winter smog, China has slashed iron ore output, pushing steel mills in the world's second biggest economy to import more high-grade ore. China also wants to make pollution control a priority for the next three years.

Keppel to Build Jackup for China Waters

The robust KFELS N Plus jackup design is an enhancement of Keppel’s proprietary KFELS N-Class design (pictured), three of which are already in operation.

Keppel FELS Limited (Keppel FELS), a wholly-owned subsidiary of Keppel Offshore & Marine (Keppel O&M) has secured a contract from TS Offshore Limited (TS Offshore), to construct an ultra-high specification jackup rig worth approximately $500 million. Scheduled for delivery in the first quarter of 2017, the jackup will be the first built to Keppel's new proprietary KFELS N Plus design. With its leg measuring 678 feet or about 68 stories tall, and a maximum combined drilling load of 3…

22 Dead as Tug Capsizes in Eastern China

A total of 22 people were confirmed dead after a tugboat with 25 onboard sank on the Yangtze River in east China's Jiangsu Province on Thursday afternoon. Rescuers found the body of the last missing person in the tug's cockpit at around 2pm Chinese Time according to the Jiangsu Maritime Safety Administration (JMSD). The 30-meter-long tugboat, the "Wanshenzhou 67", was extracted from the depths on Saturday morning, 40 hours after it sunk in Fubei Channel, near Jingjiang City. The boat was on a test voyage in the river's Fubei Channel in Jiangsu province when it suddenly turned over. Meanwhile, three people have already been rescued and one person remains missing…

Shell, CNPC cooperating in deep-sea exploration, shale gas

Royal Dutch Shell and the China National Petroleum Corp (CNPC) have signed a deal to boost cooperation in sectors like deep sea exploration as well as liquefied natural gas (LNG) and unconventional gas sources like shale, CNPC said on Wednesday. The two companies had agreed to join forces in the development of both upstream and downstream energy businesses, CNPC said on its website. Ben van Beurden, in his first overseas visit since becoming Shell's chief executive, told CNPC Chairman Zhou Jiping that both sides have set up deep and wide-ranging ties and have huge room for further cooperation. The Anglo-Dutch firm is already one of the biggest overseas investors in China's energy sector…

Torqeedo Powers Electric Workboat Fleet in China

Torqeedo Suzhou River Cleaning (Photo: Torqeedo)

The City of Suzhou in eastern China has deployed a fleet of electric workboats powered by Torqeedo motors as part of a program to clean up its canals and waterways. The ancient city of Suzhou, located in Jiangsu Province near Shanghai, is home to more than 10 million people. Often called the “Venice of the East” the 2,500 year old city is noted for its many canals, rivers, lakes, ancient stone bridges, pagodas and gardens. Suzhou Creek, which flows through the city to Shanghai, was at one time said to be the most contaminated waterway in China, filled with sewage and garbage.

Maersk Expands Online Platform Service Scope

Photo: Maersk Line

Maersk Line takes further steps towards simplifying the supply chains of its customers by expanding the service scope on its online platform ship.maerskline.com to cover more major trades and addressing customers'pain points. The new scope on the platform will cover customers exporting from ports of Shanghai and Ningbo in Eastern China and Qingdao in North China, to all Mediterranean destinations; expanding from the current three Northern China ports (Qingdao, Xingang and Dalian) to West Africa, South Africa and East Coast South America.

China Policy Change Opens Door for Vale Mega-Ships

A Valemax bulk ship at the dock in Japan (photo: Vale)

China has amended rules around ships it will allow to berth at mainland ports, paving the way for Brazilian miner Vale to ship iron ore in its giant 400,000 deadweight tons (DWT) carriers. Vale's mega ships, the world's biggest bulk ore carriers, have been barred from China since January 2012 due to rules which disallowed ships of more than 250,000 dwt in capacity. An internal circular issued last week by the Ministry of Transport and seen by Reuters on Wednesday said it would now recognise ships with capacity of 400,000 dwt.

Maritime Reporter Magazine Cover Oct 2018 - Marine Design Annual

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