Currents Shipping Digest Logo

The shipping industry is constantly changing, and it’s essential to stay in the loop. That’s where ‘Currents’ comes in handy! It’s a daily summary of the most important news stories from the shipping world, so you can keep up-to-date without wasting time sifting through endless articles.

You’ll be the first to know about the latest trends, challenges, and opportunities that could impact the maritime sector. With ‘Currents,’ you can stay informed, make smarter decisions, and stay ahead of the competition.

You may submit your contact details below to receive ‘Currents’ daily in your inbox.

April 8, 2023

Image Source: Port of Long Beach

The Pacific Maritime Association (PMA) has announced that the ports of Los Angeles and Long Beach were largely shut down on Friday, following a coordinated action by the International Longshore and Warehouse Union (ILWU) to withhold labor as contract talks drag on. A substantial number of port workers, including operators needed to load and unload cargo, failed to show up on the job, resulting in major retailers shifting cargo to East and Gulf Coast ports to avoid disruptions. The ILWU and PMA have recently said they reached a tentative agreement on key negotiation sticking points and were committed to resolving the contract matter expeditiously.

Image Source: CMA CGM

CMA CGM has signed a $3 billion agreement with China State Shipbuilding Corporation (CSSC) for the construction of 16 box ships, comprising 12 methanol dual-fuel ships and four LNG dual-fuel powered vessels. This deal, which is said to be the largest ever in monetary terms for China’s shipbuilding industry, underlines the growing importance of methanol as part of the future marine fuel mix. This order sees CMA CGM continue to back methanol, having already ordered similarly sized methanol box ships, while its immediate peers have also ordered methanol-powered tonnage.

Image Source: Gibraltar Port Authority

The wreck of the OS 35 bulk carrier has shifted slightly from its position due to adverse weather conditions, causing a complete separation of the hull that was damaged previously. Some oil residue has been observed escaping from the wreck, and coastal cleanup operations are underway. However, the government stresses that all possible extractable oil was removed from the OS 35 last year, and the observed oil is just residues contained in a duct connecting a fuel tank to the engine room.

The Tuvalu-flagged bulk carrier had collided with the unladen LNG carrier Adam LNG in the Bay of Gibraltar in August 2022, causing a release of fuel oil. Authorities have given the ship’s owners and insurers until the end of May to complete the wreck removal, which at this point seems unlikely.

Image Source: The Philippine Coast Guard

The owner of the Princess Empress product tanker, RDC Reield Marine Services, is likely to face criminal charges in the Philippines following the worst oil spill in the country since 2006. The Maritime Industry Authority (MARINA) found probable cause for the filing of administrative charges against the owner for failing to have the right paperwork in order to sail. The tanker’s cargo of over 800,000 liters of industrial fuel oil gradually seeped into the sea following the ship’s sinking off the island of Mindoro. The vessel, which was in fact very old and a candidate for scrapping, had been modified twice and previously traded as an LPG carrier. Remote vehicles have wrapped bags around some of the leaking parts of the tanker, but oil has been found far away from the site of the sinking, including in areas prized for their marine biodiversity.

Image Source: REUTERS

Russia threatens to work outside the UN-brokered landmark grain export deal and have Ukraine export grain over land if obstacles to its exports of grain and fertilizers are not removed. The deal allows for the export of food and fertilizer, including ammonia from Ukraine’s Black Sea ports. Moscow claims that insurance and payment hindrances are compromising their exports. Russia has set its grain harvest plan for 2023 at 120 million tonnes, and further extensions to the grain deal require a host of demands, including the reconnection of Russian Agricultural Bank to the SWIFT payment system.

Image Source: AKASAKA Diesels

Japan Engine Corporation and Akasaka Diesels are developing hydrogen and ammonia ship engines, supported by funding from the Green Innovation Fund project by NEDO. Japan is among the world leaders in developing ships and required infrastructure for ammonia and hydrogen.

Image Source: Rusdi Sembak — Shutterstock

The floating liquefied natural gas (FLNG) sector is expected to have $35bn in engineering, procurement and construction (EPC) contract awards through to the end of 2027. Energy market research and consultancy firm Westwood estimates 18.3 mtpa of additional FLNG capacity to come onstream by 2027, with an associated EPC award value of $13bn. Africa will account for 56% of the additional FLNG capacity onstream over the 2023-27 period, with other projects in the Americas, Israel, and Australia. The strike of about 1,350 workers servicing North Sea oil platforms for energy majors such as BP, Shell, and TotalEnergies on April 24 will put the UK’s production of oil and natural gas at risk just as Europe tries to pivot away from a dependency on Russian supplies.

Image Source: Stuart Conway — Shell

About 1,350 workers from five companies servicing North Sea oil platforms for energy majors such as BP, Shell, and TotalEnergies will go on strike from April 24 to 26 over jobs, pay, and conditions, bringing installations to a standstill. The strikes also affect Harbour Energy, CNR International, Enquest, and Ithaca Energy. The workers involved include electrical, production, and mechanical technicians, deck crew, crane operators, pipefitters, platers, and riggers. This “tsunami of industrial action” follows 150 workers who agreed to start strike action on April 5 for 48 hours. The strikes put the UK’s production of oil and natural gas at risk as Europe tries to pivot away from a dependency on Russian supplies.

You can read yesterday’s issue of ‘Currents’ here.

Disclaimer: ‘Currents’ is an online shipping news service by Earl’s Rock Trading (Pvt) Ltd that reports on the latest developments and trends in the maritime industry. We do not take any responsibility for the accuracy or completeness of the information provided in our news stories or for any opinions expressed by the people quoted in them. Our aim is to provide our readers with up-to-date news and insights from reliable sources. However, we do not endorse or take any responsibility for any actions taken by our readers based on the information provided in our news articles. We also want to make it clear that we do not own any of the images used in our news stories, unless stated otherwise. All images belong to their respective owners, and we use them solely for illustrative purposes. If you are the owner of any image used in our news stories and want it to be removed or credited, please contact us, and we will take the necessary action.