World Maritime News - 18 July, 1997

[Steve Schultz]

World Maritime News - 18 July, 1997
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BUSINESS

I.M.B. on first half piracy: figures down, Southeast Asia still leads

The International Maritime Bureau has reported that during the first
half of the year, seven persons were killed in acts of piracy worlwide in
79 attacks. There were 113 attacks in the first half of 1996. So far this
year, there have been 31 attacks in Southeast Asia, with 13 of them
violent.

Mediterranean countries sign agreement on port state control

On 11 July, several Mediterranean countries meeting in Malta signed a
memorandum of understanding on port state control. The agreement came at
the end of a three-day seminar sponsored by the International Maritime
Organization and the Malta Maritime Authority. Countries that signed the
agreement include Algeria, Cyprus, Egypt, Israel, Malta, Morocco, Tunisia
and Turkey.

Empresa Nacional Elcano to be sold for U.S.$39 million

A consortium of Naviera Murueta S.A., Repolcanosa and Sociedade
Portuguesa de Navios Tanques S.A. will buy Empresa Nacional Elcano de la
Marina Mercante S.A. for 5.77 billion Spanish pesetas/U.S.$38.9 million.
The consortium has said that the Spanish state shipping line will remain
independent, with its personnel retained and extensions to Portugal
planned. The Spanish cabinet must approve the deal, announced 15 July.

Thailand will privatize Thai Maritime Navigation, form new line

Thailand formally announced 16 July it will privatize Thai Maritime
Navigation Co. so it can establish a new firm. Foreigners will not be
allowed to own more than 49 percent in the new company, Thai National
Navigation, and the firm will receive benefits for five years, including
the right to transport cargoes controled by the Thai Ministry of Commerce
and the Petroleum Authority of Thailand. The new line can also get soft
loans and rent terminals at Laem Chabang, Thailand, and at a State Railways
of Thailand port in Songkhla Province.

Thailand to waive corporate tax on ship operators

The Thai government will waive a 30 percent corporate tax on
businesses operating ships to encourage development of a Thai fleet.
Reportedly, the government expects that 2.2 million deadweight tons of
vessels will shift to Thai-registry.

Indonesian-registry ships to pay less in the Philippines

Indonesian-registry vessels calling at Philippine ports will receive a
50 percent discount in port fees, or U.S.$0.40 per gross ton. Ships
registered in Brunei and Malaysia will be added later.

Germany easing regulations on foreign crews

Germany will relax crew regulations and cut social security
contributions by non-German crews in order to prevent ships leaving the
German register.

"Sickout" at Young Brothers

Ninety-eight employees of Young Brothers Ltd. in Honolulu called in
"sick" on 9 and 10 July in Honolulu. The 98 are members of the
International Longshore and Warehouse Union Local 142.

U.S. Supreme Court rules in dockworker disability case

The U.S. Supreme Court decided recently that permanently disabled
dockworkers can continue to receive nominal disability payments, even if
they accept employment that pays more than they earned before their
injuries. The court ruled in Metropolitan Stevedore Co. vs. Rambo, et al.
by 6 to 3 that "a worker is entitled to nominal compensation when his
work-related injury has not diminished his present wage-earning capacity
under current circumstances, but there is a significant potential that the
injury will cause diminished capacity under future conditions." In a
majority opinion by Justice David Souter, the court decided the U.S.
Congress likely intended the U.S. Longshore and Harbor Workers Compensation
Act to "include the injury-related potential for future wage loss" as a
covered disability. John Rambo, of Huntington Beach, Calif., has permanent
partial disability to his back and leg, an injury that occurred when he was
a dockworker. He later became a crane operator, earning three times the
wages, and his former employer tried to change the disability award as a
result.

Turkish shipowners form new brokerage

Four Turkish shipowners have formed a brokerage business in Istanbul,
Turkey. Filo Shipping and Trading will specialize initially in fixing dry
bulk cargoes. The founders are Esref Cerrahoglu of Cerraghil
Shipmanagement, Peken Baran of Denizcilik A.S., Semih Sohtorik of Semi
Sohtorik Shipmanagement and Eser Tumen of TML Construction.

APL in labor agreement with M.E.B.A. and A.R.A.

APL Ltd. said 17 July it has agreed to new labor agerements with
Marine Engineers' Beneficial Association District 1 and the American Radio
Association. The deal affects 45 M.E.B.A. members at APL and nine radio
officers. The unions must vote on the agreements, which include job
security. The agreements last until 2005.

Princess Cruises to pay Philippine crew more

Princess Cruises Inc., under pressure from the International Transport
Workers' Federation, has agreed to pay higher salaries to the Philippine
crew aboard the Crown Princess (Liberian-registry 6,261-dwt passenger ship
built in 1990, operated by Princess Cruises). The federation began to press
the line after complaints from the Philippine crew were reported late last
year.

Martec International buys inventory of Gateway

Martec International, which manufactures and distributes parts to
repair containers, has bought the inventory of Gateway Inc. Gateway will
effectively close. Gateway's owner, Interport Maintenance Corp., has agreed
not to re-enter the container parts distribution business.

OMI to move

OMI Corp. will relocate its corporate headquarters from New York to
Houston in the summer of 1998.

Ukraine investigating Black Sea Shipping

The Ukrainian government has begun an investigation into the finances
of Black Sea Shipping Co., following reported shortfalls in funds the
company holds in other countries.

Wallem Group to open crew recruitment, training center in Singapore

Wallem Group will set up a crew management and training agency in
Singapore next month. Wallem Manpower International Pte. Ltd. will use
local training facilities. It is the first crew agency of Wallem Group.

Keppel issues more shares

Keppel Corp. launched a property rights issue on 14 July of 350,000
new shares on the Singapore Stock Exchange for Singapore$1,000/U.S.$691
each. It will be used for long-term expansion. Keppel Bank has been named
to manage the redeemable convertible cumulative preferred shares.

Clubs change overspill limit

The London P&I Club has reduced the limit on overspill claims from 20
percent to 2.5 percent of the property damage limitation fund for each ship
under the 1976 Limitation Convention. Brittania P&I Club announced the same
change this week.

Eight Italian agents form Logic Cruise

Eight Italian ship agents have formed Logic Cruise, an organization to
promote traveling by cruise ships. It will promote less well known
destinations and smaller ports, using services including theme cruises.

McDermott International units being investigated

McDermott International Inc. said 15 Juky that a federal grand jury is
investigating "anti-competitive activity" in the heavy-lift barge
businesses of J. Ray McDermott S.A. and HeereMac, a joint venture it is
involved in. The U.S. Securities and Exchange Commission has made informal
requests for information on HeereMac. McDermott International said earlier
this year it is working on an internal investigation into actions of former
employees at the units. The grand jury investigation began in June and the
request for information was made earlier this month.

M.M.A. to get bridge simulator from Nichols Research

Nichols Research Corp. has received a contract from the Massachusetts
Maritime Academy to build a full-mission bridge simulator. Part of the
Virtual Ship series of equipment from Advanced Marine Engineering, the
simulator will be delivered in January and will begin operating in
February. It is being funded by M.M.A., the Massachusetts Board of Higher
Education and the Seaport Bond Bill.

Class action against Premier Cruise Lines advances

A class action lawsuit against Premier Cruise Lines Ltd., seeking
refunds for port charges collected from passengers, advanced last week when
the Brevard County, Fla., Circuit Court certified the class of all
passengers who live in or purchased their tickets in Florida. The action
states that passengers were led to believe that the charges are higher than
the actual amount charged to the ports. The action is part of lawsuits
involving 19 law firms and more than 80 plaintiffs against 12 cruise lines
in Florida, New York and Washington.

U.S. bill would ban shipment of cargoes on detained ships

U.S. Rep. Bob Clement, D-Tenn., has introduced a bill that would ban
the U.S. government from shipping cargoes on vessels detained by the U.S.
Coast Guard, or aboard vessels owned by firms with multiple ship detentions
in U.S. waters. The U.S. House of Representatives' Coast Guard and Maritime
Transportation Subcommittee approved the action as part of a Coast Guard
authorization bill.

More on Indonesian actions near Singapore

Following the boardings of at least 10 vessels last week off Singapore
by Indonesian government personnel, a notice to mariners issued 3 Dec. has
come to light. Apparently, few knew of the announcement. In it, Indonesia
warned vessels against anchoring or conducting operations around the Nipa
Lighthouse, just outside Singapore, which is near the Traffic Separation
Scheme in the area between Indonesian and Singaporean waters. Last week,
Indonesia boarded the vessels, which were refueling or taking on supplies,
and levied fines and took some masters into custody. The managing director
of a firm that had certificates of a ship confiscated and an agent detained
said the fines were "negotiable" and no receipt was issued. Releasing
documents or personnel reportedly cost Singaporean$35,000/U.S.$24,000 to
S$50,000/U.S.$35,000.

Wilhelmsen Lines restructures two agencies

Wilhelmsen Lines is restructuring its agencies in Belgium and France
as of 1 Aug. Wilhelmsen Lines Agencies (Belgium) will be operated by
Herfurth Group and its counterpart in France will be operated by SDV Group.

"K" Line sets up Nordic offices

"K" Line (Europe) Ltd. has formed representative offices in Denmark,
Sweden and Norway. The offices are in conjunction with Scan Shipping A/S,
Shipco Shipping and Seaway Shipping A/S, respectively.

ROUTES AND SERVICES

Hyundai Merchant Marine in slot-charter with the Global Alliance

Hyundai Merchant Marine has announced that it has agreed to a
slot-charter arrangement with the Global Alliance betwen Europe and the Far
East. Some have speculated that it may be a first move towards joining the
consortium.

Hanjin Shipping to sail betwen U.S. west coast and northern China

Hanjin Shipping Co., in conjunction with Cho Yang Shipping Co. Ltd.
and DSR-Senator Lines, will operate five 2,700-TEU capacity containerships
between the U.S. west coast and northern China starting in September.
Weekly calls will be made at Long Beach, Calif.; Portland, Ore.; Dalian,
China; Xingang, China; Qingdao, China; Yokohama, Japan; Kobe, Japan; and
Pusan, South Korea.

O.O.C.L. to offer U.S. west coast to Europe service

Orient Overseas Container Line will offer service from the U.S. west
coast to Europe on its eastbound service, starting with the departure of
the Mette Maersk (60,900-dwt containership built in 1989, operated by A.P.
Moller) from Long Beach, Calif., on 21 July. Calls will also be made at
Oakland, Calif., and Los Angeles.

N.Y.K. to start new intra-Asia service, R.C.L. restructuring

Nippon Yusen Kaisha will start a new container service on 4 Aug.
betweem Laem Chabang, Thailand; Singapore; and Jakarta, Indonesia. the
ASEAN Pendulum Service will use two Panamanian-registry, 320-TEU capacity
containerships, the ACX Jade and the ACX Ruby. While operated solely by
N.Y.K., the service will be jointly marketed with Tokyo Senpaku Kaisha. As
a result of the new service, Regional Container Lines Ltd. is restructuring
its services from Singapore to Indonesia and Thailand. Calls will be made
at Singapore, Jakarta and Bangkok, Thailand, with 1,000-TEU capacity
vessels.

Blue Star to sail from Europe to South America

Blue Star Line Ltd. will market the EURESA service under its own name
as a weekly service from northern Europe to the east coast of South
America. In April, CMB Transport N.V. said it was withdrawing in October,
leaving Blue Star and Compagnie Generale Maritime to operate it.

Conference postpones planned surcharge for Jaharlal Nehru Port

The India-Pakistan-Bangladesh-Ceylon Conference has postponed plans to
start a surcharge of U.S.$120 per TEU on ships loading containers at
Jaharlal Nehru Port near Mumbai, India. The move was in reponse to heavy
congestion at the port, but after re-evaluating the port's traffic, the
conference changed its decision.

ConFlo Lines offering services to Iraq

ConFlo Lines has announced it its offering breakbulk and container
service to several destinations in Iraq, including Baghdad.

Some services to Cambodia restart

While several services remain suspended, some firms have restarted
operations to Cambodia. Feuding between rival co-prime ministers, Prince
Norodom Ranariddh and Hun Sen, erupted in fighting between forces of the
two on 5 and 6 July while Prince Ranariddh was out of the country. A United
Nations report released 15 July stated that at least 40 people were killed.
Hun Sen is now in power in what many have regarded as a coup d'etat. Many
shipping lines suspended service to the country last week, but links to
Kompong Som, Phnom Penh and Sihanoukville are being restored. Regional
Container Lines Ltd., which operates a fixed-day, weekly service from
Singapore to Sihanoukville, restarted the route 15 July. Maersk Line and
Sea-Land Service Inc. are accepting cargo, but not guaranteeing delivery to
Cambodia. Another service to the country, a fixed-day, weekly service from
Singapore to Sihanoukville operated by Samudera and Thong Soon Lines Pte.
Ltd., remains suspended. Orion Maritime Corp. and ConFlo Lines also have
not restarted service.

Buquebus International expanding ferry routes

Buquebus International Ltd. will begin a ferry service from Buenos
Aires, Argentina, to Piriapolis, Uruguay, in December. It will use a new
vessel being built in Spain by E.N. Bazan that will be capable of 60 knots
using turbines. The voyage will take one hour and 50 minutes and the vessel
will carry 450 passengers and 70 vehicles. Buquebus International will
begin another new ferry service, from Fort Myers, Fla., to Key West, Fla.,
in May. A ferry built by the Pequeot tribe in Connecticut, with Caterpillar
engines for 50 knots will carry 305 passengers. Finally, the company will
start service in September between the Spanish ports of Algeciras and
Ceuta.

Maersk Line adding Port Elizabeth

Maersk Line will start calling at Port Elizabeth, South Africa, with
the departure of the Charlotte Maersk (21,825-dwt, 1,400-TEU capacity
containership built in 1992, operated by A.P. Moller) from Algeciras,
Spain, on 10 Aug. The rotation will be Algeciras; Port Elizabeth; Durban,
South Africa; East London, South Africa; Cape Town, South Africa; and
Algeciras. Every two weeks, calls will be made at Walvis Bay, South Africa;
Luanda, Angola; and Lisbon, Portugal.

A.N.Z.D.L. to transship Brisbane cargo

Australia New Zealand Direct Line will transship cargo for Brisbane,
Australia, onto three ro/ros of Union Direct Line sailing from Auckland,
New Zealand. Transit times from the U.S. west coast will be eight days.

P&O Nedlloyd service starts with departure from Thamesport

The P&O Nedlloyd Unity, a 2,636-TEU capacity containership, left
Thamesport, England, on 11 July to start the newly expanded Red
Sea-India-Pakistan Express. The weekly container service of P&O Nedlloyd
Container Line Ltd. will call at Thamesport; Hamburg, Germany; Antwerp,
Belgium; Gioia Tauro, Italy; Port Said, Egypt; Aqaba, Jordan; Dubai-Jebel
Ali, United Arab Emirates; Karachi, Pakistan; Nhava Sheva, India; Port
Said; Gioia Tauro; and Thamesport.

Arawak Line starts Florida to Venezuela service

Arawak Line has begun a new direct service from Fort Lauderdale, Fla.,
to Guanta, Venezuela.

CANALS, PORTS AND STRUCTURES

Los Angeles hit by pilots strike, dockworkers honor picket lines

Eleven pilots of International Longshore and Warehouse Union Local 68
went on strike at 2300 11 July at the Port of Los Angeles, and as many as
3,000 dockworkers, many of whom are members of union locals 13 and 63,
refused to cross the picket lines at three terminals. As a result, the port
became congested and restricted operations. Two management pilots worked
during the job action, which occurred after contract talks stalled. Under
the ILWU's contract, dockworkers can cease work at sites where ships are
docked by management pilots. The contract of the 11 pilots expired 30 June.
They receive a base annual salary of U.S.$113,712 annually and are seeking
a 72 percent raise to U.S.$195,000 over two years. The figure would bring
the pilot's pay in line with the average of major U.S. ports, according to
a study by Mercer Management Consulting conducted several years ago and
cited by the pilots. The port offered a raise to U.S.$133,000 over four
years, contending that unlike many pilots, Los Angeles pilots receive
medical benefits as part of their contract. The pilot's current benefit
package adds about 50 percent to their total compensation, according to the
port. The port's offer also included overtime, a retirement plan and other
benefits. On 15 July, Commissioner Anita Rae Shapiro of the California
Superior Court issued a temporary restraining order against the Los Angeles
Port Association, which prevents the pilots from picketing terminals at the
port and the port's headquarters in San Pedro, Calif. While pilots can
continue to strike, sympathy strikes will not be allowed and dockworkers
who honor the pickets will be in violation of their contracts. A hearing
for a permanent injunction will be held 24 July. The judge refused to act
on a Pacific Maritime Association request to declare the dockworker's
action an illegal secondary boycott. At least two ships have canceled calls
at Los Angeles and the port estimates it lost U.S.$437,000 daily and
private companies lost U.S.$50,000 per ship. Before the judge's order,
about 24 ships and hundreds of containers were stranded. The pilots last
took job action in 1990.

Maersk Line to get its own Rotterdam terminal

After months of discussions, Europe Combined Terminals and Maersk Line
have announced, at the conclusion of the first phase of talks, that they
have agreed in principle that Maersk Line should get its own container
terminal at the Port of Rotterdam, the Netherlands. The two would jointly
operate it. Rotterdam Municipal Port Management was the mediator.
Gemeentelijk Havenbedrijf, the port manager, has dedicated 176 million
Dutch guilders/U.S.$89 million in infrastructure improvements.

Al Blagha, I.C.T.S. win concession for Saudi Arabian terminal

Al Blagha Group's The Maritime Co. for Navigation and International
Container Terminal Services Inc. have won the tender to operate Saudi
Arabia's second largest container terminal. The group will pay the
equivalent of 40.8 percent of the port's revenues for a 10-year concession
for the King Abdul Aziz facility at Dammam. International Port Services
L.L.C., the business the two firms have formed, will take over operations
on 20 Dec. I.C.T.S. has 51 percent and Al Blagha's unit 49 percent. Some
U.S.$18 million will be spent on new equipment over five years. The
facility has four berths, a container yard, inspection areas, ro/ro cargo
capabilities and warehouses. There are 100 mobile creans, 24 straddle
carriers and 10 gantry cranes.

Japanese loans to fund new container terminal at Constanta

Japanese Foreign Minister Yukihiko Ikeda and Romanian Foreign Minister
Adrian Severin, following a meeting in Tokyo on 14 July, announced that the
Japanese government would provide low-interest loans to Romania. The 22
billion Japanese yen/U.S.$194 million in loans includes 12.8 billion
yen/U.S.$113 million for a new container terminal in Constanta, Romania.

New South African port approved in principle

The South African Department of Trade and Industry has, in principle,
given its support to the construction of a port and industrial development
zone at Coega, South Africa, near Port Elizabeth. Current plans include
construction of a bulk terminal. Feasibility studies have recommended that
work begin early next year, with the port and first phase of the industrial
zone completed by 2001. Gencor Ltd. has announced it has plans for a zinc
refinery at Coega, which would process 220,000 tons annually. AECI Ltd.
subsidiary Kynoch has proposed a fertilizer plant and Pretoria Portland
Cement Ltd. may build a cement factory.

Plan for Melbourne terminal dropped

A consortium including China Ocean Shipping (Group) Co. and Orient
Overseas Container Line has dropped plans to build a container terminal in
Melbourne, Australia. Victorian International Container Terminal rejected a
six-day deadline set by the Melbourne Port Authority to resolve a dispute
on how much rent would be paid. The consortium, which had been negotiating
for a terminal at the Appleton Dock, cited excessive demands and
insincerity on behalf of the government. The group's offer, according to
the authority, was a quarter of its commercial value. Development of the
terminal would have cost Australian$140 million/U.S.$103 million. China
Ocean Shipping and O.O.C.L. reportedly began talks last week with New South
Wales for a terminal at Port Botany.

Mersey Docks and Harbour in first international venture

Mersey Docks and Harbour Co. is reportedly planning its international
foreign joint venture. The firm will be involved in construction of a 173
million British pound/U.S.$290 million container port in Bangladesh.

Sixty percent of Cumana destroyed in earthquake

An earthquake in Venezuela on 9 July detroyed 60 percent of the Port
of Cumana. Sixty-eight people were killed and 469 injured in the
earthquake, which was measured at 6.9 on the Richter Scale of Ground
Motion.

Chittagong working around the clock

The Port of Chittagong, Bangladesh, is operating continuously to clear
a backlog of cargo that developed during a strike by dockworkers from 3
July to 8 July. Steady rain since 9 July has also hampered cargo movements.
As of 14 July, some 30 vessels were waiting to unload and the port has
formed a central control facility to expedite the process.

Port of Oakland union local takes job action, talks suspended

The Port of Oakland, Calif. called off a planned meeting with Service
Employees International Union Local 790 this week due to work action taken
by its members. The local has 304 members at the operations of the port,
including clerical, custodial and maintenance positions. On 15 July, about
80 percent of the union's members working the day shift called in sick. The
union's contract expired 30 June but discussions began in the spring.

Santos forecasts planned money from concessions, plans tunnel

The Port of Santos, Brazil, said it will receive 1.5 billion Brazilian
reals/U.S.$1.4 billion through the end of 1998, two-thirds of which is from
companies bidding for concessions. Eleven of 33 piers have been leased and
private firms are now investing 220 million reals/U.S.$204 million.
Copersucar is investing 35 million reals/U.S.$32 million, Logos Engenharia
and Sucresp are investing 26 million reals/U.S.$24 million, Cosan is
investing 16 million/U.S.$15 million in a terminal, Santista Alimentos is
investing 10 million/U.S.$9.3 million, Libra is planning 30 million
reals/U.S.$28 million, and Cargill 50 million/U.S.$46 million. At the end
of 1997, it is planned that 60 percent of the port will be under private
management. Meanwhile, the port's operator, Companhia Docas do Estado de
Sao Paulo, is planning to build a tunnel under the Santos estuary to
Vincente de Carvalho, Brazil. It will cost 173 million reals/U.S.$160
million and enable trucks to carry cargo between the two.

Greece allocates credit for second phase of Patra, terminal elsewhere

Greek Environment, Town Planning and Public Works Minister Costas
Laliotis has allocated credit totaling 7.5 billion Greek drachmas/U.S.$27
millionfor construction of the second phase of the Port of Patra, Greece.
The second phase includes building a 400-meter/1,300-foot long breakwater.
This is in addition to the 13 billion drachma first phase, which includes
building a breakwater 900 meters/3,000 feet long. The port is being funded
by the European Union's INTERREG II program and the Greek government.
Laliotis has also approved 1.15 billion Greek drachmas/U.S.$4.09 million in
credits for the construction of a passenger terminal at Irakleio, Greece.

Argentine port to be cleared

The entrance to the Port of Quequen, Argentina, was expected to be
cleared of silt and debris by 11 July. Heavy winds and rain had blown the
debris into the 1,500-meter/4,900-foot channel. Two Panamax ships were
stranded, one which loaded 20,000 metric tons of corn for Indonesia on 19
June and one that loaded 17,000 metric tons of corn for Malaysia on 23
June.

Russian holding company seeks to stop CS First Boston

Gennadi Zhebelev, general director of the Vostochny Port, a holding
company in the Russian Far East, has sent a letter to the Russian
government, asking that it prevent CS First Boston from acquiring 41
percent of its shares. Twenty percent of the Vostochny Port's shares were
recently transferred from the local government to the central government.
Zhebelev believes the move came during a securities deal, and that the
buyer is CS First Boston, which already has 21 percent of the shares.

New bridge and tunnel in Virginia?

Two committees of Virginia are recommending to the Hampton Roads
Planning District that a new bridge and tunnel be built from the Norfolk
International Terminals to the Portsmouth and Newport News Marine
Terminals. A new port at Craney Island in Portsmouth has also been
suggested. The structures from southern Hampton Roads to the Tidewater
peninsula would cost U.S.$2.4 billion.

Work on entrance to Dar es Salaam begins

Work to widen the entrance to the Port of Dar es Salaam, Tanzania,
began 11 July. The U.S.$24 million project will take 40 weeks and will move
2.5 million cubic meters/3.3 million cubic yards of material. Vessels are
not allowed to enter or leave the port during darkness at present. This
restriction will be eliminated through a wider, deeper and straighter
channel. The depth will go from 7.4 meters/24 feet to 10 meters/33 feet.
Due to the changes, the city's fish market will reportedly be relocated.

Two Brazilian ports reach agreements with dockworkers

The Ports of Aratu and Salvador, Brazil, have resolved a dispute with
dockworkers. Wages will be increased 10 percent and a court has ordered
personnel back to work.

A.C.L. signs deal with Maryland authority

Atlantic Container LIne has signed a new contract with Maryland Port
Administration for dock and terminal services at the Universal Terminal in
the Dundalk Marine Terminal, Baltimore.

SHIPYARDS AND EQUIPMENT SUPPLIERS

Three killed aboard aircraft carrier under construction

Three persons were killed 12 July after a methane and sewage leak
aboard the CVN 75, a Nimitz-class nuclear-powered aircraft carrier being
built for the U.S. Navy by Newport News Shipbuilding Inc. at Newport News,
Va. About 1,800 people aboard the vessel were evacuated after the leak from
a ruptured sewage pipe. Two people were treated after inhaling the gas.
Those killed were Roosevelt Eure Jr., 42; James Morris Jr., 40, and Richard
Thompson, 45. The three were working on a pipe valve near a sewage tank six
decks below the flight deck.

Schichau-Seebeckwerft to close

Schichau-Seebeckwerft AG, the shipard in Bremerhaven, Germany, will
close once its current work is completed. Formerly part of Bremer Vulkan
Verbund AG, the yard has been in bankruptcy for 14 months and has not
received any new orders. An attempt to secure loan guarantees from the
German state of Bremen to build a 40,000-gt ferry for Compagnie Tunisienne
de Navigation S.A. failed. The yard's former repair unit, trading as BREDO,
will also apparently cease operations.

Joint shipbuilding venture to begin in Indonesia next month

P.T. Kunangan Asiapac Marine, a joint venture of Nichimo and V.C.
Chin, will start building high-speed ferries, fishing vessels and small
supply vessels at the end of next month at a new shipyard in Batam,
Indonesia. The venture is capitalized at Sinagporean$1.5 million/U.S.$1.0
million. V.C. Chin holds 70 percent, with Nichimo holding the rest. The
four-hectare/10-acre yard will be able to build four 35-meter/115-foot
ferries simultaneously. Orders have already been received for two fishing
vessels and a supply vessel.

Preussag and Thyssen in shipyard discussions

Preussag AG and Thyssen AG are in talks on their shipbuilding
divisions, possibly with a goal of merging their shipbuilding operations to
form Germany's largest such business. It would have 6,500 employees and
annual sales of 3.5 billion German marks/U.S.$1.8 billion.

Italian police arrest several in connection with shipbuilding scheme

Italian police announced 12 July they had stopped two organized crime
rings in southern Italy and Sicily and arrested several people. Included in
the action were the arrests of 15 people as part of an investigation into
the Mafia's reported control of shipbuilding in Palermo, Italy. According
to magistrates involved in the investigation, a former leader of a trade
union and several former Mafiosi have stated that the Mafia repeatedly won
contracts from Fincantieri Cantieri Italiani Navali SpA.

China Ocean Shipping, Kawasaki Heavy Industries venture to start early

Kawasaki Heavy Industries Ltd. has announced it will start a joint
venture with a Chinese firm to build vessels in China in September 1998
rather than 2000. Along with the repair division of China Ocean Shipping
(Group) Co., Kawasaki Heavy Industries will build vessels up to 150,000 to
160,000 tons at the mouth of the Yangtze River in a 350-meter/1,150-foot
long graving dock. The dock is being built by Nantong Ocean Ship
Engineering Co., the joint venture of the two firms. The venture hopes to
build eight 70,000 to 80,000-ton ships annually and already has an order
for a 47,000-ton vessel.

Chantiers de l'Atlantique and Leroux & Lotz Naval finish preliminary deal

Chantiers de l'Atlantique has announced it has completed a preliminary
agreement to take over the two main shipyards of Leroux & Lotz Naval.

Armawa Shipping & Trading orders five new ships

Armawa Shipping & Trading B.V. has ordered five new ships from Dutch
shipbuilders. Tille Shipyards B.V. will build three Conofeeder 300 ships in
Rootstertille, the Netherlands. Each has a 300-TEU capacity. The firm has
also ordered to 160-TEU capacity ships from Damen Shipyards at Bergum, the
Netherlands. The first order will cost 60 million Dutch guilders/U.S.$30
million and the second 22 million Dutch guilders/U.S.$11 million.

Ermis Maritime to get new U.L.C.C.s

Ermis Maritime Corp. has placed an order with Samsung Heavy Industries
Co. Ltd. for two double-hull ultra large crude carriers. They will be
delivered in 1999 at a cost of U.S.$189 million.

Naval Gijon to build three chemical tankers

Naval Gijon S.A. has received an order from Knutsen OAS Shipping A/S
for two chemical tankers. Hull 552, a 19,000-dwt tanker, will be delivered
in late 1999, while hull 555, a 30,000-dwt vessel, will be delivered in the
first quarter of 2000. Hull 553, a 22,000-dwt chemical tanker, is being
built for MT Marine Management of Singapore for delivery in the third
quarter of 2000. Meanwhile, 11 Spanish banks are providing 3.71 billion
Spanish pesetas/U.S.$24.6 million in loans to cover a previously ordered
30,000-dwt chemical tanker for Knutsen OAS Shipping. Hull 554 will be
delivered in January 1999.

Daewoo Heavy Industries to build five new ships

Daewoo Heavy Industries Ltd. will build two Suezmax tankers for
Nordstrom & Thulin A.B. for U.S.$110 million. The 158,000-dwt vessels will
be 274 meters/899 feet long, have a beam of 48 meters/157 feet and a depth
of 23.3 meters/76.1 feet. Each will be capable of 15.2 knots. They will be
built at the Okpo Shipyard in South Korea for delivery in September 1999.
The shipyard will also build three other ships for U.S.$115 million. OMI
Corp. has ordered a 156,000-dwt tanker from Daewoo Heavy Industries, and
P.T. Berlian Laju Tanker of Indonesia has ordered two 30,000-dwt product
tankers. All will be delivered by April 1999.

Chandris (Hellas) orders two Aframax tankers

Chandris (Hellas) Inc. has ordered two Aframax tankers from Daewoo for
U.S.$86.5 million and has an option for a third. The first will be
delivered in September 1999.

Festival Lines taking over passenger newbuilding

Festival Lines has paid U.S.$250 million to take over a new passenger
ship being built by Chantiers de l'Atlantique. The ship will have 600
cabins for 1,200 passengers, and will be delivered in the third quarter of
1999.

Italian owner orders Danish design from Italian builder

Bottiglieri di Navigazione SpA has ordered two 72,200-dwt bulk
carriers from Fincantieri Cantieri Navali Italiani SpA. They will be built
to a design by Burmeister & Wain A/S, a shipbuilder that no longer exists.

St. John Shipbuilding constructing ships on speculation

St. John Shipbuilding Ltd. will soon start construction of two
1,200-TEU capacity containerships in New Brunswick, Canada. Some 400 people
will build the two. They are being built on speculation, and if a buyer is
not found, will be transferred to Kent Line Ltd.

Port Weller Dry Docks to refit Canadian destroyer

The Port Weller Dry Docks Division of Canadian Shipbuilding &
Engineering Ltd. in St. Catharines, Ontario, Canada, has won a contract to
refit the Canadian Maritime Command Iroquois-class Destroyer H.M.C.S.
Athabascan (DDH 282). The work will employ 125 people and will cost
Canadian$6.4 million/U.S.$4.7 million.

Photograph of Vietnam's new Spratly Islands supply ship published

The Vietnam News, the country's official English-language daily
newspaper, published a photograph of a vessel on 11 July that it said is a
new supply ship for the Spratly Islands in the South China Sea. A poor
quality photograph of the HQ 996 showed a 1,200-ton passenger vessel with a
flat superstructure area that is likely a helicopter pad. The HQ 996 was
built at a shipyard in Haiphong, Vietnam. The Spratlys are claimed to some
extent by Brunei, China, Malaysia, the Philippines, Taiwan and Vietnam. It
is unclear what impact the building of a dedicated supply ship will have on
future plans of Vietnam for the islands.

TDI-Halter to work on drilling unit

TDI-Halter Inc. will convert a drilling unit for Diamond Offshore
Drilling Inc. It will retool the Levingston III slot drilling unit Ocean
Warwick (3,621-dwt, built in 1972, operated by Diamond M-Odeco Drilling) to
a cantilevered drilling unit. The North Yard in Port Arthur, Texas, will do
the work over eight months.

Hanjin Paris in service

Hanjin Shipping Co. recently christened the Hanjin Paris, a
68,500-dwt, 5,300-TEU capacity containership, at Yong-do Shipyard in Pusan,
South Korea. Now on a route to North America, the ship is 279 meters/915
feet long and has a beam and depth of 40 meters/131 feet. With a
75,000-horsepower engine, it can sail at 26 knots.

Rickmers-Lloyd installs cranes in eight days

Rickmers-Lloyd Bremerhaven GmbH recently installed three Krupp cranes
on the St. Vincent and the Grenadines-registry, 2,300-TEU capacity
containership Maersk Santos in eight days. The ship, owned by Herm
Davelsberg, is on charter to Maersk Line.

EVENTS, INCIDENTS AND OPERATIONS

Three people killed aboard vessel docked in Miami

The bodies of three people were found 14 July aboard the Vanderpool
Express (Belize-registry 529-dwt general cargo ship built in 1962, owned by
Benjamin Darvil) which was docked on the Miami River. All had bullet
wounds, and a fourth person is in serious condition with stab wounds.
Witnesses reportedly heard gunfire near the ship around dawn. The
Vanderpool Express had recently arrived from Haiti.

Through AMVER, Chilean-registry ship rescues two from demasted boat

The Pacific Explorer (Chilean-registry 17,800-dwt, 213-meter/700-foot
long ro/ro built in 1978, operated by Chilena Interoceanica) rescued two
German citizens at 0500 17 July, 1,900 kilometers/1,200 miles south of Cabo
San Lucas, Mexico. Their 22-meter/73-foot catamaran, the Fritz, lost its
mast, reportedly after the vessel was hit by a whale on 16 July. While the
two were not injured, the vessel sustained damage to its mast, rigging,
hull and main compartment. The U.S. Coast Guard contacted the Pacific
Explorer through the Automated Mutual Vessel Emergency Rescue (AMVER)
service, and the ship located the catamaran through radio calls by the two
aboard, Herman Schmidt, 39, and Jutta May, 31. The Fritz is registered in
Kiel, Germany.

More on hijacked North Korean-registry ship

A crewmember of the Morang Bong (North Korean-registry general cargo
ship) was killed when the Liberation Tigers of Tamil Eelam (LTTE), a group
fighting for the creation of a Tamil state in what is now northern Sri
Lanka, hijacked the ship late 7 July. The ship was sailing from Point
Pedro, Sri Lanka, to Colombo, Sri Lanka, empty. The crewmember was
reportedly killed when the ship at first failed to stop off Hvettilaikerni,
Sri Lanka. The ship is reportedly still anchored of Chalai, Sri Lanka, with
its remaining North Korean crew of 38.

U.S. Coast Guard locates possible smuggler

On 2 July, the U.S. Coast Guard's Bear-class Medium-Endurance Cutter
U.S.C.G.C. Northland (WMEC 904) located the D Only One (Honduran-registry),
27 kilometers/17 miles north of Haiti. The D Only One circled twice, then
headed toward Haitian territorial waters. After Coast Guard requests, the
vessel agreed to a boarding in international waters. A team found 20
shotguns, two cases of shotgun shells, three vehicles and a jet ski not
listed on the manifest. The vessel and its crew have been turned over to
the Honduran government for investigation.

Catch of fishing vessel confiscated off Massachusetts

The U.S. Coast Guard seized the ctach of the Act II (U.S.-registry
22-meter/71-foot fishing vessel, homeported at New Bedford, Mass.) on 16
July, after the vessel was found fishing inside a closed area 85
kilometers/53 miles southeast of Nantucket, Mass. The U.S. Coast Guard's
Balsam-class Seagoing Buoy Tender U.S.C.G.C. Bittersweet (WLB 389) found
the vessel in the Nantucket Lightship Closed Area and escorted it to New
Bedford. A boarding team found 1,060 kilograms/480 pounds of scallops, 550
kilograms/250 pounds of monk tail and 40 kilograms/18 pounds of lobster.
The catch's value is estimated at U.S.$3,000.

U.S. Coast Guard gives chase to Mexican-registry boats

The U.S. Coast Guard was notified 4 July that six Mexican-registry
lanchas were fishing three kilometers/two miles north of the Mexican/U.S.
boarder. Two rigid hull boats from Coast Guard Station Port Isabel, Texas,
chased the boats as they sailed south, and one of the Coast Guard boats
swerved in front of a lancha to slow it down. While trying to avoid it, the
lancha collided with the Coast Guard boat. An inspection found 38 fish,
with 10 undersized red snapper. The U.S. National Marine Fisheries Service
recommended a written warning.

Flotilla marks 1994 sinking of tug off Cuba

A flotilla of boats sailed across the Florida Straits on 13 July to
mark the anniversary of the sinking of a tug off Cuba in 1994, which killed
41 people attempting to leave Cuba. The group stole the tug and it sank
after reportedly being rammed by a Cuban naval vessel. The 15 boats in the
flotilla stayed outside Cuban territorial waters, and three Cuban naval
vessels were seen about six kilometers/four miles away. The U.S. Coast
Guard seized one of the boats, the Democracia, before it left Florida
because Ramon Saul Sanchez, head of the Democracy Movement, said he would
use it to enter Cuban waters. The rest were allowed to sail south, along
with several aircraft of Brothers to the Rescue, and arrived about 19
kilometers/12 miles off Cuba, where a memorial service was held.

Danube River closed to vessels due to heavy rains

Between 4 July and 8 July, Austria received a third of its annual
average rainfall, some 900 millimeters/36 inches. Due to the level of the
Danube River, all dams were opened and locks shut down. Water rose to
within five centimeters/two inches of the tops of quays.

Mississippi River briefly closed in Louisiana

On 9 July, a waste oil tank exploded and caught fire at the WITCO
Storage Facility in Gretna, La. The Mississippi River was closed from mile
marker 96 to 98 for several hours.

Gulf of Mexico prepares for Hurricane Danny

Hurricane Danny, the first hurricane forecasted to make landfall in
the United States this season, is expected to come ashore late 18 July or
early 19 July from the Gulf of Mexico. British Petroleum P.L.C. said 17
July it has suspended operations at its Ewing Bank platform, and other
drilling operations were expected to do the same.

VESSEL TRANSFERS

Michael Watt donates ship for Antarctic clean-up

Michael Watt, the chairman of CSI, a firm that owns the rights to
market British football matches, has bought an ice-strengthened vessel for
70,500 British pounds/U.S.$127,000. He has donated it to an environmental
program that works to clean-up the Antarctic.

Russian-registry vessel arrested at Pusan

The Topaz (Russian-registry rescue and salvage vessel) has been
arrested at Pusan, South Korea, while returning to its homeport of
Vladivostok, Russia. It has spent the last six months in the Persian Gulf
and stopped at Pusan for fuel, food and supplies.

Doug McKeil arrives in Louisiana

The Doug McKeil (292-gt, 719-dwt, 51.5-meter/169-foot tug built in
1971) arrived at Morgan City, La., on 14 July for its new owners. McKeil
Marine Ltd. bought the tug last year for the Fixed Link Project on Prince
Edward Island, Canada. It has previously worked in the North Sea.

VESSEL CASUALTIES

Eighty-two dead, 26 missing after ferry capsizing in Indonesia

A ferry capsized in Lake Toba, Indonesia, on 13 July, killing 82
persons. Another 26 may be missing, including the master, Opo Siho Tang.
The K.M. Pedaltari, a small wooden ferry, had more than 150 people aboard,
even though it had a capacity of 50 to 60 people. Some 50 passengers
reportedly swam to shore. Most of those aboard were returning to Samosir
Island after attending a cultural festival in Parapat.

At least 54 drown in India

At least 54 persons drowned near Khagaria, India, on 11 July after
their vessel capsized on the Bagmati River. The overloaded vessel had 60
passengers aboard, and six swam to shore.

Two vessels capsize during storm between Belize and Honduras, 22 missing

Twenty-two people are missing after two vessels sailing from Belize to
Honduras capsized in a storm. Most are Honduran farm workers. One vessel,
the Denovve, was found by fishing vessels near Puerto Cortes, Honduras, on
13 July. It had 15 people aboard and left Belize on 8 July. The Nancy, with
seven aboard, left port on 12 July.

Fourteen missing in Aegean Sea

A boat carrying Iraqi migrants from Turkey to Chios Island, Greece,
capsized and sank 9 July. At least 14 Iraqi citizens are missing and 26
were rescued. The boat foundered 15 minutes after leaving Turkey. Each
passenger paid U.S.$1,000 and an Iraqi citizen and a Turkish citizen have
been arrested.

U.S. Navy searching Arabian Gulf for survivors of dhow sinking

Two Iranian citizens, found adrift in the Arabian Gulf, were rescued
by the U.S. Navy's Kitty Hawk-class Aircraft Carrier U.S.S. Constellaton
(CV 64) on 14 July. The two men were found clinging to floating debris
about 130 kilometers/81 miles northwest of Bahrain. They said they had been
adrift for five days, after the Ramazan, an Iranian-registry dhow, broke-up
in heavy seas. Eight other people were aboard and are being sought by
helicopters from Helicopter Anti-Submarine Squadron Light 37's Detachment
9, from the Ticonderoga-class Guided-Missile Crusier U.S.S. Lake Erie (CG
70), and Helicopter Anti-Submarine Squadron Light 42's Detachment 5, from
the Spruance-class Destroyer U.S.S. Thorn (DD 988).

Four killed in chemical tanker fire

The Freja Nordic (Bahamian-registry 6,482-gt, 11,910-dwt chemical
tanker built in 1980, operated by Freja Tankers A/S) had an explosion and
fire in its engine room the night of 15 - 16 July. Four crewmembers were
killed. The vessel is now anchored off Bandar-e Khomeyni, Iran.

One killed, one missing after vessel capsizes off Nova Scotia

A lobster boat capsized in heavy seas off Donkin, Nova Scotia, Canada
on 15 July. The body of one of the two men was found, while the other is
missing. The vessel drifted ashore where a chainsaw was used to enter its
hull. An empty liferaft was found washed up nearby as well.

One dead after tug sinking off Washington

The Marie M. (U.S.-registry 26-meter/84-foot tug) capsized and sank 3
July after taking a heavy strain from a barge in tow near Point Chehalis,
Wash. One of the crew was killed while the other five were rescued.

Crewmember missing after collision off Japan

A 70-year-old man is missing after the Kazusa Maru (Japanese-registry,
697-dwt) hit the tug Bokka (75-dwt) off Shimokita Peninsula, Japan, early 7
July. The tug was towing a Cambodian-registry vessel in dense fog. The ship
rescued three of the tug's crew, but Chief Engineer Kihachiro Abe is
missing.

Ferry allision injures passengers, one crewmember

The ferry Thomas Rennie, which operates to Toronto Island, Ontario,
Canada, rammed a dock at 1030 11 July. Reportedly, the vessel was not able
to slow its speed. One crewmember and several passengers were given medical
treatment, while other passengers were injured but did not require
assistance.

Freighter sinks off Japan following collision

The Bifuku Maru (499-gt vessel) sank the morning of 11 July after a
collision with the Showa Maru (460-gt tanker), 50 kilometers/31 miles south
of Cape Inubosaki, Japan. The five crew of the Bikfuku Maru were rescued
after the tanker's bow rammed the ship's starboard hull during poor
visibility and mist about 0420. The Bikfuku Maru was carrying "building
stones" and the tanker was empty.

Greek-registry ship disabled in the Mediterranean

The Comet (Greek-registry 16,481-gt motor container/general cargo ship
built in 1978), sailing from Alexandria, Egypt, to Piraeus, Greece, in
ballast, had an engine room fire on 18 July, 288 kilometers/180 miles
southeast of Crete, Greece. The fire has been extinguished but the ship is
disabled.

Passenger ship with 260 aboard aground in Norway

The Hanseatic (Bahamian-registry 8,378-gt, 1,023-dwt motor passenger
ship built in Finland in 1991, owned by Hanseatic Tours and operated by
Hanseatic Cruises GmbH) ran aground on sand and rocks off northern
Spitsbergen Island, Norway, on 13 July in the Hinlopen fjord, west of
Nordaustlandet Island. The ship had 145 passengers, many of whom are German
tourists with an average age of 70, and 115 crew. There were no injuries or
damage. The Hanseatic was sailing from Norway to Iceland. The Origo
(Swedish-registry passenger ship) attempted to tow the Hanseatic free but
was unsuccessful. On 17 July, with two Norwegian Coast Guard vessels
arrived nearby and the passengers were evacuated by helicopters. They were
lowered to a large, flat icefloe at the stern, where the helicopters
landed. Some may also have been taken off by boat. The passengers were
taken to the lead ship of the Norkapp (W 320)-class Patrol Ship. The
Tromsoe (Norwegian-registry) was also nearby. After 480 tons of fuel was
unloaded, Hanseatic was then towed free and the all the vessels sailed to
Longyearbyen, Norway, where the passengers boarded a flight to Hamburg,
Germany.

Engine room fire aboard containership off Japan

The Bunga Suria (Malaysian-registry 53,000-gt, 49,936-dwt
containership built in 1979) had an engine room fire aboard 16 July a few
hours after leaving Yokohama, Japan, for Pusan, South Korea. None of the 49
aboard were injured and it was brought under control. The ship came within
2.7 kilometers/1.7 miles of Yokohama, where Japanese Maritime Safety Agency
and Yokohama Fire Department vessels met it.

U.S. Coast Guard comes to aid of sinking fishing vessel

The Pina (U.S.-registry 22-meter/72-foot fishing vessel, homeported at
Gloucester, Mass.) took on water 17 July, 96 kilometers/60 miles east of
Gloucester. The U.S. Coast Guard's "Island"-class Patrol Boat U.S.C.G.C.
Jefferson Island (WPB 1340) spotted the Pina just before 1800, when its
master, John Prudensy, reported the vessel's engine room was flooding at a
rate of 76 liters/20 gallons to 114 liters/30 gallons per minute. A team
from the patrol boat went aboard the Pina with pumps and worked to stop the
flooding, while a Coast Guard HU-25A Falcon from Coast Guard Air Station
Cape Cod, Mass., dropped three more pumps. The Pina was then towed to
Gloucester in 40-knot winds and steady rain. About 0800 18 July, the tow
was transferred to a 14-meter/47-foot motor lifeboat from Coast Guard
Station Gloucester.

Tow groundings close Ohio River

On 13 July, the John Strong, pushing 13 coal barges, ran aground at
mile marker 926.5 in the Ohio River. Five barges blocked the river and 10
vessels were delayed. They were lightered and refloated the same day, with
most traffic allowed to pass. On 14 July, the Paul, with two rock barges,
grounded at mile 926, closing the river again and delaying 35 tows with 425
barges. A cut in the shoal was marked so that the area could reopen for
one-way traffic during daylight.

Bulk carrier grounds off Australia

The Dakshineshwar (Indian-registry 28,739-gt, 47,277-dwt motor ulk
carrier built in 1987, owned and operated by Shipping Corp. of India Ltd.)
ran aground 12 July in the Torres Strait off Australia. The ship, carrying
coke, had steering problems, which caused it to ground on a sandbar one
kilometer/0.6 miles off Wednesday Island at 10 degrees 30.3 minutes south,
142 degrees 17.9 minutes east. It had loaded the coal at Hay Point,
Australia, and was sailing to Visakhapatnam, India.

Swedish-registry ship grounds en route to Italy

The Hamlet (Swedish-registry 3,638-gt, 610-dwt ro/ro motor ferry built
in 1968, operated by SweFerry A.B.) ran aground 12 July northeast of
Valgrundet, Sweden. The vessel was sailing to Italy and was refloated on 13
July. The Hamlet was towed to Malmo, Sweden, for an underwater hull
inspection.

Fire on the Anafi extinguished, crewmember remains missing

The fire aboard the Anafi (Maltese-registry 40,269-gt, 74,099-dwt bulk
carrier built in 1974, operated by Sougerka Maritime Co. Ltd.) at the Port
of Piraeus, Greece, was extinguised 11 July. The ship, sailing from
Shanghai, China, to Fos, France, with 46,000 tons of coal, had an engine
room fire that spread throughout the superstructure beginning 8 July. The
chief engineer, George Markoulis, is missing, while the remaining 30
crewmembers were uninjured.

Update on the Canadian Navigator

The Canadian Navigator (Canadian-registry 18,788-gt, 31,650-dwt,
12,830-nt, 222.2-meter/729.0-foot motor bulk carrier built in 1967 by J.
Readhead & Sons Ltd. at South Shields, England; operated by Upper Lakes
Group Inc.'s ULS Corp.) ran aground at 2130 10 July in the St. Clair River
near St. Clair, Mich. The ship reportedly grounded on a soft bottom. It was
carrying stone to be unloaded at Courtright Supply Dock Ltd. in Courtright,
Ontario, Canada, and the Mueller Dock of Standard Aggregates Division in
Sarnia, Ontario. After grounding, the ship drifted lengthwise across the
river. A bow thruster problem is suspected.

Report issued on the Sea Empress

The British Marine Accident Investigation Branch issued its report on
the grounding of the Sea Empress on 16 July. Late 15 Feb., 1996, the Sea
Empress (Liberian-registry, 147,273-dwt, 274-meter/900-foot long
single-hull tanker built in 1993 by Astilleros Espanoles S.A. in Spain;
owned by SeaTankers's Alegrete Shipping Co. and operated by Acromarit
(U.K.) Ltd. with 28 Russian crew) ran aground, 180 meters/600 feet off St.
Ann's Head near Milford Haven, Wales. Ruptured cargo tanks spilled about 72
million liters/19 million gallons of oil, or 72,000 tons. On 21 Feb., 1996,
the ship was refloated with 12 tugs. It was on charter to Dreyfus Energy
and was carrying 140.0 million liters/36.75 million gallons of North Sea
light crude in 17 tanks from Hound Point, Scotland, to a Texaco Inc.
refinery in Wales. The report faults pilot error for the grounding as the
immediate cause, but found several underlying problems. There were no tugs
at the port able to assist the ship, bad weather hampered clean-up and
relations between the pilots and Milford Haven Port Authority was strained.
The master and the pilot also failed to agree on a passage plan. The report
recommends the port authority conduct better training, examination and
management of its pilots. Acomarit (U.K.) should have its masters
understand and follow its standing orders on pilots. And the British Marine
Safety Agency, British Coastguard Agency and British Department of
Environment, Transport and the Regions should ensure that all ships have
spill plans in place and can access computerized information on structural
integrity and damage calculations when an accident occurs. The report also
suggests double-hulls extend to pump rooms and possibly engine rooms.
Finally, MARPOL regulations on bottom raking should be tightened. John
Prescot, secretary of the Environment, Transport and the Regions, has
ordered an independent review of salvage agreements and the port authority.
As a result of the report, the British Environment Agency has started
criminal proceedings against the Milford Haven Port Authority and its
harbormaster, Mark Clive Andrews. Both have received summonses. The
authority is charged with being a nuisance to the public, as it "failed to
regulate navigation" and prevent the spill under the British Milford Haven
Conservancy Act of 1983. It also failed to provide proper pilotage under
the British Pilotage Act of 1987. The authority and Andrews were also
charged under Section 85 of the British Water Resources Act of 1991 for
pollution. Andrews was also charged with being a nuisance to the public.

(AT) LAST...BUT NOT LEAST...

Exploration of wreck finds World War I-vintage champagne, cognac

The first of what is believed to be 5,000 bottles of champagne, 35,000
liters/9,100 gallons of cognac in wooden barrels and 6,000 liters/1,500
gallons wine were brought to the surface 11 July from a vessel torpedoed by
a German navy attack submarine in the Baltic during World War I. Claes
Bergvall and Peter Lindberg discovered the wreck of the Swedish-registry
25-meter/82-foot ketch Jonkoping about 46 kilometers/28 miles from Rauma,
Finland, where it was headed. The champagne has been identified as the
Heidsieck & Co.'s 1907, of Reims, France. In green bottles, it still has
its light golden color, sweet taste and fine bubbles, according to people
who have sampled it in Stockholm, Sweden. The "gout Americain," or
"American taste" champagne, was preserved in ideal conditions of complete
darkness and a temperature of 1 degree Celsius/34 degrees Fahrenheit at 62
meters/203 feet deep. The Jonkoping left Gavle, Sweden, on 28 Oct., 1916,
for Rauma and Petrograd, Russia with wine for the central bank of Finland
and champagne and cognac for the Russian army. The wooden, two-masted ship
was sunk by the U-22, which also sank six other ships around the same time.
Bergvall and Lindberg read of the ship and its cargo in a book and used
Swedish archives to locate it.

Two yacht racing records set in the Pacific

Two Pacific Ocean yacht racing records were broken last weeknd during
the Transpac '97 competition. The Explorer, a 26-meter/86-foot French
catamaran, crossed the finish the night of 12 July after sailing from Los
Angeles to Honolulu. Owned by Bruno Peyron, it sailed the 3,500
kilometers/2,200 miles in five days, nine hours, reaching speeds of 30
knots. The figure broke the record of six days 16 hours set in 1995 by the
Lakota, an 18-meter/60-foot trimaran owned by Steve Fosset. In the monohull
competition, the Pyewacket, a 21-meter/70-foot sloop, beat eight days, six
hours, set 10 July by the 17-meter/56-foot Medicine Man. Pyewacket, owned
by Roy Disney, finished in seven days, 15 hours, arriving early 13 July.

U.S. Navy to commission the Seawolf

The U.S. Navy's lead ship of the Seawolf (SSN 21)-class
Nuclear-Powered Attack Submarine will be commissioned at 1100 19 July at
General Dynamics Corp.'s Electric Boat Corp. in Groton, Conn. U.S.
Secretary of the Navy John H. Dalton is the principal speaker and his wife,
Margaret O. Dalton, is the ship's sponsor. The submarine was authorized
fiscal year 1989, ordered 9 Jan., 1989, begun 25 Oct., 1989, and launched
24 June, 1995. Named to honor two previous Navy submarines, Seawolf is a
solitary fish with strong teeth and projecting tusks. Capt. David McCall is
the commanding officer. Assigned to the Atlantic Fleet, the Seawolf will be
homeported at Groton. The submarine, and the class, have been
controversial, to say the least. In 1991, welding cracks were found in the
pressure hull, adding a year and U.S.$100 million. The submarine will cost
around U.S.$3 billion when finally operational. In additon to monetary
questions, critics have raised the issue of the need for an attack
submarine with Seawolf's characteristics.

Viking knarr leaves Iceland to retrace Ericsson's voyage

After a two-week delay, 12 people set out from Narsarsuaq, Greenland,
17 July to recreate the voyage of Leif Ericsson, 1,000 years ago. The
Viking knarr will sail to L'Anse aux Meadows, Newfoundland, Canada. The
vessel sailed to Qassiarsuk, Greenland, across from Narsarsuaq, first.
Qassiarsuk, an early settlement, may have been Ericsson's depature port.
The 3,058-kilometer/4,893-mile trip will take six to eight weeks. For more
information, see the World Maritime News of 6 June.

Egypt commissions two naval ships

The Egyptian Navy commissioned two former U.S. Navy Oliver Hazard
Perry-class Guided-Missile Frigates on 13 July at the Ras el-Bin naval base
in Alexandria, Egypt. The Mubarak is named for Egyptian President Hosni
Mubarak and the Taba is named for a town in the Sinai.
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in the World Maritime News? Please send a message to (ssch...@execpc.com).
--
Steve Schultz - Whitefish Bay, Wis., U.S.A. - ssch...@execpc.com

"When beholding the tranquil beauty and brilliancy of the ocean's skin, one
forgets the tiger heart that pants beneath it; and would not willingly
remember, that this velvet paw but conceals a remorseless fang" - Herman
Melville from "Moby-Dick; or, The White Whale," Chapter 114, Paragraph two