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UASC, Qatargas and Shell Join Forces on LNG as Marine Fuel

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  • ‘Desperate’ Palestinian refugees starve as battle rages in Damascus

Qatargas, United Arab Shipping Company (UASC) and Shell signed a Memorandum of Understanding (MOU) to explore the development of liquefied natural gas (LNG) as a marine fuel in the Middle East region.

Through the joint relationship the partners plan to explore the development of new markets for LNG to be used as propulsion fuel within the Middle East Region and the conversion of UASC’s existing vessels providing the opportunity to use a cleaner fuel.

The MOU envisages LNG supplies for this initiative to be made available from Qatargas 4, a joint venture between Qatar Petroleum and Shell Gas B.V., with United Arab Shipping Company Line potentially using the fuel for its recently built container ships.

“LNG as a marine fuel is gaining momentum in the deep sea transportation industry as the best alternative to meeting increasing environmental standards,” Saad Sherida Al-Kaabi, Chairman of Qatargas Board of Directors, said, adding that the “agreement between Qatargas, Shell and United Arab Shipping Company demonstrates our commitment to building LNG fueled vessels and the supply system to support it.”

This is the second agreement signed by Qatargas and Shell for the development of LNG as marine fuel in the region. The first MOU was linked two months ago with the Maersk Group.

In the meantime, thousands of civilians are trapped in “desperate” humanitarian conditions in a Palestinian refugee camp in Damascus where fighting has been raging for days between Islamic State fighters and other extremists, the UN has warned.

UNRWA, the UN relief agency for Palestinian refugees, said at the weekend that up to 10,000 residents of the Yarmouk camp in the south of the Syrian capital have gone without food or water for more than a week.

“Civilians in Yarmouk are facing starvation and dehydration alongside the heightened risks of serious injury and death from the armed conflict,” said Christopher Gunness, a UNRWA spokesman. People are trapped in their homes, hunkered down to avoid being hit by bullets and shrapnel, he added.

The camp, a sprawling urban neighbourhood that was once home to 150,000 people, has been ravaged by fighting between Isis and al-Qaida’s Syrian affiliate, al-Nusra Front, while government forces regularly shell it from outside. “Whatever supplies of food and water they had have long been exhausted,” Gunness said.

Humanitarian missions are on standby to deliver aid to Yarmouk as soon as the situation allows such access, the UNRWA said.

The plight of civilians across Syria will be on the agenda again for talks resuming on Monday in Geneva between the UN envoy, Staffan de Mistura, representatives of Syrian President Bashar al-Assad’s government and the rebels fighting to overthrow him. A second round began at the end of last week with no sign of any narrowing of the gap between the two Syrian sides, who have not yet met face to face.

Aid deliveries to besieged opposition areas are still being blocked by the Syrian government, the UN has said, amid mounting evidence that the authorities in Damascus are adamant about not discussing the political transition that De Mistura has called “the mother of all issues”. Assad’s future has been described as a “red line” by the regime.

On Sunday Riyad Hijab, the head of the opposition Higher Negotiations Committee (HNC), met diplomats from the US, Britain, France, Saudi Arabia, Qatar and Turkey to plan for the next stage of talks. Last Friday Bashar Jaafari, the chief Syrian government negotiator, again sought to move away from discussion of transition by handing De Mistura amendments to a 12-point plan issued by the UN in March.

“It is the responsibility of Mr De Mistura to make sure that everyone sticks to the agenda,” said Salem al-Muslet, an HNC spokesman. “If the regime does not want to discuss the transitional governing body then they are wasting time.”

The Syrian National Coalition, another mainstream opposition group, hinted at withdrawal from the Geneva talks, saying it “does not rule out any option should the Assad regime carry on with its crimes and the UN special envoy persist with his lack of commitment to the mission entrusted to him by the United Nations”.

Analysts believe that the Syrian government, flatly refusing to make any concessions, may be testing whether it can sabotage these talks by escalating violence, a strategy which may succeed if there is no punitive international response.

On Saturday, a powerful Islamist rebel group warned that the Geneva process was divorced from the deteriorating military situation on the ground, which is threatening a patchy six-week truce agreement brokered by the US and Russia.

Ahrar al-Sham also said there was “a gulf” between the HNC negotiating body and “the revolutionary street with all its military and civilian elements”, calling its performance “weak and stumbling” while Russia and Iran were helping the government make territorial gains.

The Ahrar statement also noted that important opposition conditions for the start of the political process had still not been realised, including an end to government blockades of opposition-held territory as well as the release of thousands of detainees. “We are here for a political solution,” Muslet said. “They can say what they want but we have our principles and we will stick to them.”

World Maritime News with additional report from Guardian

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WAIVER CESSATION: Igbokwe urges NIMASA to evolve stronger collaboration with Ships owners

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…Stresses the need for timely disbursement of N44.6billion CVFF***

Highly revered Nigerian Maritime Lawyer, and Senior Advocate of Nigeria (SAN), Mike Igbokwe has urged the Nigeria Maritime Administration and safety Agency (NIMASA) to partner with ship owners and relevant association in the industry to evolving a more vibrant merchant shipping and cabotage trade regime.

Igbokwe gave the counsel during his paper presentation at the just concluded two-day stakeholders’ meeting on Cabotage waiver restrictions, organized by NIMASA.

“NIMASA and shipowners should develop merchant shipping including cabotage trade. A good start is to partner with the relevant associations in this field, such as the Nigeria Indigenous Shipowners Association (NISA), Shipowners Association of Nigeria (SOAN), Oil Trade Group & Maritime Trade Group of the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA).

“A cursory look at their vision, mission and objectives, show that they are willing to improve the maritime sector, not just for their members but for stakeholders in the maritime economy and the country”.

Adding that it is of utmost importance for NIMASA to have a through briefing and regular consultation with ships owners, in other to have insight on the challenges facing the ship owners.

“It is of utmost importance for NIMASA to have a thorough briefing and regular consultations with shipowners, to receive insight on the challenges they face, and how the Agency can assist in solving them and encouraging them to invest and participate in the maritime sector, for its development. 

“NIMASA should see them as partners in progress because, if they do not invest in buying ships and registering them in Nigeria, there would be no Nigerian-owned ships in its Register and NIMASA would be unable to discharge its main objective.

The Maritime lawyer also urged NIMASA  to disburse the Cabotage Vessel Financing Fund (CVFF)that currently stands at about N44.6 billion.

“Lest it be forgotten, what is on the lips of almost every shipowner, is the need to disburse the Cabotage Vessel Financing Fund (the CVFF’), which was established by the Coastal and Inland Shipping Act, 2003. It was established to promote the development of indigenous ship acquisition capacity, by providing financial assistance to Nigerian citizens and shipping companies wholly owned by Nigerian operating in the domestic coastal shipping, to purchase and maintain vessels and build shipping capacity. 

“Research shows that this fund has grown to about N44.6billion; and that due to its non-disbursement, financial institutions have repossessed some vessels, resulting in a 43% reduction of the number of operational indigenous shipping companies in Nigeria, in the past few years. 

“Without beating around the bush, to promote indigenous maritime development, prompt action must be taken by NIMASA to commence the disbursement of this Fund to qualified shipowners pursuant to the extant Cabotage Vessel Financing Fund (“CVFF”) Regulations.

Mike Igbokwe (SAN)

“Indeed, as part of its statutory functions, NIMASA is to enforce and administer the provisions of the Cabotage Act 2003 and develop and implement policies and programmes which will facilitate the growth of local capacity in ownership, manning and construction of ships and other maritime infrastructure. Disbursing the CVFF is one of the ways NIMASA can fulfill this mandate.

“To assist in this task, there must be collaboration between NIMASA, financial institutions, the Minister of Transportation, as contained in the CVFF Regulations that are yet to be implemented”, the legal guru highlighted further. 

He urged the agency to create the right environment for its stakeholders to build on and engender the needed capacities to fill the gaps; and ensure that steps are being taken to solve the challenges being faced by stakeholders.

“Lastly, which is the main reason why we are all here, cessation of ministerial waivers on some cabotage requirements, which I believe is worth applause in favour of NIMASA. 

“This is because it appears that the readiness to obtain/grant waivers had made some of the vessels and their owners engaged in cabotage trade, to become complacent and indifferent in quickly ensuring that they updated their capacities, so as not to require the waivers. 

“The cessation of waivers is a way of forcing the relevant stakeholders of the maritime sector, to find workable solutions within, for maritime development and fill the gaps in the local capacities in 100% Nigerian crewing, ship ownership, and ship building, that had necessitated the existence of the waivers since about 15 years ago, when the Cabotage Act came into being. 

“However, NIMASA must ensure that the right environment is provided for its stakeholders to build and possess the needed capacities to fill the gaps; and ensure that steps are being taken to solve the challenges being faced by stakeholders. Or better still, that they are solved within the next 5 years of its intention to stop granting waivers”, he further explained. 

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Breaking News: The Funeral Rites of Matriarch C. Ogbeifun is Live

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The Burial Ceremony of Engr. Greg Ogbeifun’s mother is live. Watch on the website: www.maritimefirstnewspaper.com and on Youtube: Maritimefirst Newspaper.

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Wind Farm Vessel Collision Leaves 15 Injured

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…As Valles Steamship Orders 112,000 dwt Tanker from South Korea***

A wind farm supply vessel and a cargo ship collided in the Baltic Sea on Tuesday leaving 15 injured.

The Cyprus-flagged 80-meter general cargo ship Raba collided with Denmark-flagged 31-meter wind farm supply vessel World Bora near Rügen Island, about three nautical miles off the coast of Hamburg. 

Many of those injured were service engineers on the wind farm vessel, and 10 were seriously hurt. 

They were headed to Iberdrola’s 350MW Wikinger wind farm. Nine of the people on board the World Bora were employees of Siemens Gamesa, two were employees of Iberdrola and four were crew.

The cause of the incident is not yet known, and no pollution has been reported.

After the collision, the two ships were able to proceed to Rügen under their own power, and the injured were then taken to hospital. 

Lifeboat crews from the German Maritime Search and Rescue Service tended to them prior to their transport to hospital via ambulance and helicopter.

“Iberdrola wishes to thank the rescue services for their diligence and professionalism,” the company said in a statement.

In the meantime, the Hong Kong-based shipowner Valles Steamship has ordered a new 112,000 dwt crude oil tanker from South Korea’s Sumitomo Heavy Industries Marine & Engineering.

Sumitomo is to deliver the Aframax to Valles Steamship by the end of 2020, according to data provided by Asiasis.

The newbuild Aframax will join seven other Aframaxes in Valles Steamship’s fleet. Other ships operated by the company include Panamax bulkers and medium and long range product tankers.

The company’s most-recently delivered unit is the 114,426 dwt Aframax tanker Seagalaxy. The naming and delivery of the tanker took place in February 2019, at Namura Shipbuilding’s yard in Japan.

Maritime Executive with additional report from World Maritime News

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