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News letteroct 2012
1. NEWSLETTER October 2012
Market News
C DA S
osco wins FPSO
Korea National Oil Corporation (KNOC) has turned to China for a circular Floating Pro-
OT I
duction Storage and Offloading unit (FPSO).
Reports said the company’s UK subsidiary Dana Petroleum is the name on the con-
2x Y
tract at Cosco. The FPSO is valued at around $400m, with storage capacity of 400,000
barrels. KNOC said it selected Cosco as no Korean yard had experience of building a
circular unit, but at least one domestic builder is constructing such a vessel.
Source: Trade winds, 15 October 2012
C hina Shipyard wins Multiple
DA S
Container Ship Orders
OT I
Ship operators Bernhard Schulte and US
banking institution JP Morgan have
2x Y
come together to order a series of me-
dium-size box ships in China.
Zhejiang Yangfan Group will construct up
to eight 2,300 teu box ships for the pair
in a four plus four option deal with deliveries scheduled in 2014 and 2015.
Pricing is thought to be in the region of US$26.5-million per ship.
Zhejiang Yangfan Group is the largest shipbuilding group in Zhejiang Province and
the scope of its business operation includes shipbuilding and marine outfitting.
Source: Sinoship News, Monday, ctober 15, 2012
2. C hina Subsea Contract for Technip
DA S
Technip in a consortium with Offshore Oil Engineering Co. Ltd. (COOEC) wins a
OT I
substantial subsea contract in China.
The contract, value 200 million (Technip share: around 110 million) was awarded by
2x Y
China National Offshore Oil Corporation (CNOOC) Deep water Development Ltd..
It is for the South China Sea deep water gas development project in the Panyu field,
located about 150 kilometres South of Hong Kong.
The development consists in a new production system with six wells and its associ-
ated control system tied up to a new central processing platform.
The contract covers the supply and installation of a 10” and a 6” diameter clad-lined
pipelines, of steel tube umbilicals*, and associated equipment.
Offshore installation is scheduled to be completed in two phases during the third
quarter of 2013 and the second quarter of 2014, using the Deep Orient, one of
Technip’s deep water construction vessels, and the HYSY 201, COOEC’s pipelay
vessel.
Hallvard Hasselknippe, Chief Operating Officer of Technip Subsea Division, Asia
Pacific stated: “This award represents a major step forward to reinforce Technip’s
strong presence in the emerging Chinese subsea market. We are delighted to have
COOEC as our consortium partner to deliver this prestigious project to our key client,
CNOOC.”
Source: Maritime reporter and MarineNews magazines on-line,
Monday, October 15, 2012
3. C DA S
OT I
2x Y angtze River Delta Shipbuilders Floundering
China’s Ministry of Industry and Information Technology reports that orders in
first half 2012 are down by 50.3 % year-on-year.
The volume of handling orders was a mere 125.87 million DWT by the end of
June, down 30.7 percent year-on-year, which can easily lead to the assumption that
some shipbuilders will not be able to keep operating in the following months.
“We have not received any new orders. If the situation continues, we will have
only one ship to build in the second half of this year,” says Pan Haiwei, general man-
ager of Wu Zhou Shipbuilding Industry Co., Ltd. in central Zhejiang.
Shipbuilders in neighbouring Jiangsu province are also barely staying afloat.
Zhang Yuyong, executive deputy general manager of New Century Shipbuilding Corp.
in central Jiangsu, says the company had also not received any orders by August. “The
orders we are handling now will be completed by April or May next year. But my pre-
diction is that the shipbuilding market will not pick up until 2015,” Zhang says.
“Meanwhile, the profits of shipbuilding are much reduced. A 80,000-ton bulk
carrier, for example, was priced at $34 million (28 million Euro) in 2010, but the price
now is merely $23 million. That 30 percent profit is almost gone now,” he says. “Of
course there are shipbuilders fighting for orders. But the profits are so small that it
is like chewing bones for us. Some private shipbuilding companies that have found
trouble keeping their cash flow healthy definitely desire new orders. But for us, we can
make it even if we are out of any new orders.”
“For the low-end shipbuilding companies, the historic low in the shipping mar-
ket will pose much threat to them. But for companies specializing in high-end ocean
engineering, the lull means nothing,” he says.
C DA S
Source: China Daily, Friday, August 17, 2012
OT Irder situation in China and Japan
2x Y
China’s new orders drop nearly 47%
CHINA’S yard sector is continuing to shrink, according to the industry ministry. 23 Oct
Japanese yard orders surge 272.5%
JAPAN’s shipbuilding orders rose 272.5% year on year in September, thanks to more
contracts with compatriot shipowners. 23 Oct
4. Our On-Going Projects
Projects at Shanghai Zhenhua Heavy Industry(ZPMC):
2 X Cable Laying Vessels for BOSKALIS-SMIT are still
under construction.
Alphatron’s navigation equipment
delivered at the warehouse.
Engineers from ZPMC and
BAKKER SLIEDRECHT
are checking the delivered equipment from BAKKER.
Block sections erected on a floating pontoon.
5. Orders We Booked Recently
• Assisting the customers of SDT INTERNATIONAL (e.g. TTS Marine Shanghai)
to purchase conventional parts and support customers for product calibration.
• Assisting JAN DE NUL to purchase the Chinese domestic conventional ship
spare parts, such as valves and hydraulic pump.
Our Follow-up Projects
• Offshore Ship Design (OSD) delivered the basic design for 32 m and 50 m Tugs
to Wuxi Shipyard. The owner is POET Singapore. The CARICH team is busy with
contacting the owner now.
• Wuhan Jiangbei Shipyard signed a contract to build a 500 m3 self-
propelled split hopper barge with Yangtze River Waterway Administration
on August 31 this year. The vessel was designed by Wuhan Jinding Marine
Engineering Design. The CARICH team is busy with contacting the shipyard
for RDM SMEERTECHNIEK grease pumps, INA Bearings and ERIKS seals now.
• Several Platform Supply Vessels (PSV) projects of 60 m, 75 m and 83 m have
been designed by OSD for Fujian Dong Nan Shipyard and another shipyard
located in South of China. All the purchases for these projects are handled by
Sun Ocean Marine. Our principals ALPHATRON MARINE and VETH PROPULSION
are preparing the technical proposals and quotations.
• Our product “Vibracon” from SKF MACHINE SUPPORT is highly recognized by
CNR Dalian Locomotive Rolling Stock Company. Our offer is waiting for
approval.
6. • Afai Southern Shipyards (Panyu Guangzhou) are now requested to build two
water taxi catamaran ferries for a Dutch owner; the design company is
Cocoyachts from Holland. Our principal VETH PROPULSION has already offered
their proposal and quotation. We are still waiting for the result.
• Axis Offshore has ordered a semi-submersible accommodation vessel satisfying
the stringent North Sea operating requirements. The unit will be delivered in
the first quarter of 2015. Axis Offshore has selected Global Maritime’S GM500A
design.
It will be built by COSCO Qidong Offshore which has a strong track record of
building similar units. The contract with COSCO includes options for two more
units, valid for 12 months and 24 months respectively.
• The CARICH team keeps close contact with Dalian Shipyard Offshore Division
for the project of ocean 500 which is a semi-submersible platform.
The owner is OSM Group, a Norwegian company.
• We just got the news that on 18th September, Dalian Shipyard Offshore Division
signed the official building contract with NORSHORE for building up a drilling
vessel. We are trying to learn more about this project.
• Several Chinese shipyards are bidding for a 5000m3 cutter dredger for China
Railway Construction Harbour Channel Engineering Bureau Group.
We learned that Wenchong shipyard will most probably win this order.
This vessel is designed by Shanghai Jiaotong University Design Research
Institute of Ship and Ocean Engineering. We are trying to convince them to
purchase our equipments.
• The CARICH team keeps also close contact with Wison (Nantong) Heavy Industry
for project EXMAR FLRSU. The Project Engineering Manager Sun Yingtao
(Tom Sun) and Coating Engineer Liu Shulian are our main contact persons.
According to owner’s technical specification, the ECOSPEED paint has to be
applied.
• Besides these projects, right now we are also focusing on a Chinese Polar
Research Vessel. We have already got contact with the design company and
have introduced some principals’ products to them.
7. C DA S Build its First Polar Research Vessel
Chinese to
OT I he world’s move north to the Arctic for the exploration of energy resources
has attracted global attention of Arctic and non-Arctic states. The newest
player: China, which last month announced its plan to design and build its
2x Y
first ever Polar Research Vessel.
The plan has been organized by State Oceanic Administration (SOA), China,
Chinese Arctic and Antarctic Administration (CAA) and the Polar Research Institute
of China (PRIC) to build a new ice breaking research vessel to meet the country’s
increased need of polar scientific research. As would be expected, the new vessel
will be equipped with advanced scientific equipment for polar oceans research, an
integrated survey systems including marine geological and geophysical equipment,
marine biological and ecological instruments.
For the integrated environmental science
programs the vessel will have marine and atmos-
pheric observing and sampling capabilities closely
related with climate change monitoring. The ma-
rine geological and geophysical capabilities will
give possibilities for seasonal polar marine geol-
ogy, marine gravity, magnetic and seismic surveys.
For marine biological and ecological programs the
vessel will enable marine organism and ecological surveys and acts as a biological
research platform. The vessel may be used also for the Antarctic station supplies lo-
gistic tasks undertaking some of M/V Xuelong’s mission especially in the heavy sea
ice condition.
To design the new ship China has turned to Finnish Arctic powerhouse Aker
Arctic, an organization with a long and successful record in designs for the harsh
Arctic environment. Aker Arctic will perform the conceptual and basic design of the
new Polar Research Vessel.
The value of the signed contract for Aker Arctic is more than $5m.
8. “After sustained effort, the State Oceanic Administration (SOA) and the Aker
Arctic Technology Inc., agree with all the basic design requirements of the new Polar
Research Vessel of China and sign the contract,” said Qu Tanzhou, Director
General, Chinese Arctic and Antarctic Administration of State Oceanic Administra-
tion. “As the first polar scientific research icebreaker for China, its successful design
and build will not only push forward our polar scientific research career by achieving
more successes, but also will make great development on Chinese ship construction
industry.”
The polar research icebreaker for China will be designed to accommodate
a total of 90 persons and will have a length overall of about 120 m, a maximum
breadth of 22.3 m and draft of 8.5 m. The vessel will have the ability to break
through 1.5 m of level ice at 2 to 3 knots speed, including multi-year ice. The vessel
will be fitted with twin azimuth propeller drives. Ice class will be PC3 and the vessel
will have dual classification from China Classification Society (CCS) and Lloyds Regis-
ter of Shipping (LR).
The design time is expected to take seven months to complete.
Source: MarineLink.com, Sunday, August 05, 2012
During the SMM in Hamburg Germany at BAKKER’s stand, the CARICH team
introduced Kari Laukia from Aker Arctic which is in charge for the design of the first
Chinese Polar Research Vessel. Moreover BAKKER took the chance to introduce their
products and services to him. Kari Laukia showed a great interest in the presentation of
BAKKER.
After the trade fair BAKKER has already got inquiry from Aker Arctic for this Chi-
nese Polar Research Vessel. CARICH introduced also ALPHATRON MARINE, MASCHINEN-
FABRIK BRÖHL and ECOSPEED to the design company and the Owners.
Monica Fu and Amedee Van De Vijver from CARICH and Kari Laukia from Aker Arctic
were listening to Business Development Manager Arie Boer from BAKKER
9. Some other activities
On the 5th and 6th
September 2012, the Carich team
visited the Shipbuilding, Machinery
and Marine technology international
trade fair (SMM) in Hamburg Ger-
many. As usual, the CARICH team
paid visits to different principals’
stands which include BAKKER SLIE-
DRECHT ELECTRO INDUSTRY, VETH
PROPULSION, SDT INTERNATIONAL,
ALPHATRON MARINE, LOGGERS,
WORTELBOER, SUBSEA INDUSTRIES
and MACHINE SUPPORT.
During the visits, the team
members exchanged market and
project information with the prin-
cipals and learned about the new
products which were presented at
the stands.
Amedee Van De Vijver had a meeting with a Chinese private dredging com-
pany in Belgium and the CARICH team is going to make a visit to them again
at the end of this October for discussing further cooperation in China.
On September 31, Amedee Van De Vijver has organized for a delegation of
China Shipping Industry (Shanghai Pudong) (CIC Shipyards), a visit to
several Belgian ship-owners and management companies. Both parties also
discussed further cooperation opportunities.
10. UW (Under Water) Air-filled Submersible Motors
Jiangsu Haihong Construction Engineering (Ship Owner) made the FAT on AEM-
Anhaltische Elektromotorenwerk Dessau GmbH and visited BAKKER SLIEDRECHT
ELECTRO INDUSTRY during July 17 to 24. The CARICH team gave full support to
this visit which is highly appreciated by Jiangsu Haihong.
Reference List
Shipyard Owner Ship Description
Commodity Description Quantity Status
1 Tianjin Xinhe Shipyard Qingdao Beiya Construction Co., Ltd., 4500m3 Cutter Suction Dredger
TH630 M6 1200 kw/3x690V/1000rpm 2 sets Delivered
2 Tianjin Xinhe Shipyard Qingdao Beiya Construction Co., Ltd., 4500m3 Cutter Suction Dredger
TH630 M4 1650kw/3x690V/1500rpm 2 sets Delivered
3 Jiangsu Haixin Ship 4500m3 Cutter Suction Dredger
Heavy Industry Co., Ltd Jiangsu Haihong Construction Co., Ltd.,
(belongs to Haihong)
TH 630 L6 1400KW/3X690V/1000rpm 2 sets Delivered
4 Jiangsu Haixin Ship 4500m3 Cutter Suction Dredger
Heavy Industry Co., Ltd Jiangsu Haihong Construction Co., Ltd.,
(belongs to Haihong)
TH 630 L6 1400KW/3X690V/1000rpm 2 sets Delivered
5 Nanjing Cutter Suciton Dredger
High Accurate Marine Equipment Co.,Ltd
Nanjing High Acc. Mar.Equipm. Co., Ltd.,
TMU-225/4-290 15KW/3X400V 2 sets Delivered
6 Nanjing Cutter Suciton Dredger
High Accurate Marine Equipment Co.,LTd
Nanjing High Acc. Mar.Equipm. Co., Ltd.,
TMU-225/4-290 15KW/3X400V 2 sets Delivered
7 Guangzhou Wenchong Shipping 5000m3 Cutter Suction Dredger
China Railway Construction Co., Ltd.,
1200kw/3x660V/1000rpm 4 sets Pending
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11. Visits to Shipyards
Ouhua shipbuilding
In July, CARICH team visited Ouhua Shipyard for discussing the specification of doors
and windows for a Supper Heavy Lift Vessel. NAVAL SUPPLIERS (HET ANKER) has
made a quotation for Ouhua shipyard. Owner Spliethoff (The Netherlands).
Dalian Shipbuilding Industry
In August, CARICH team made a regular visit to Dalian Shipbuilding Industry and
exchanged some market information.
ZPMC shipyard:
In the beginning of July, during the stay of Van de Vijver in China, the Carich team
visited the shipyard of Shanghai Zhenhua Heavy Industry (ZPMC) on Changxing Is-
land, where the 2 cable laying vessels from BOSKALIS, division SMIT are being con-
structed. At that moment, CARICH team saw the bloc section’s construction of the
first vessel and in the storehouse Carich team checked also with ZPMC about
the delivered goods from BAKKER.
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12. At the end of July and at the beginning of August, CARICH team paid a visit
again to ZPMC shipyard, during this visit, CARICH team had chance to join the meet-
ing in which representatives of BAKKER, SMIT, OSD and ZPMC were present.
During this meeting several technical issues were discussed, and after the meeting,
some additional orders have been placed by ZPMC to BAKKER.
Visits to principals and ship-owners
In the beginning of September, CARICH made visits to BAKKER SLIEDRECHT,
VETH PROPULSION, RDM SMEERTECHNIEK and JAN DE NUL GROUP in Holland and
Belgium. During the visits, the CARICH team had meeting with J. Noorlander BSc
from BAKKER to speak about several issues with regard to the on-going projects
which are at ZPMC shipyard. During the meeting with RDM, we learned about the
changes in their partnership with Demeyer. We visited also the warehouse and
workshop of VETH and had meeting with JDN to see if there would be new vessel
which is planned to be built in China again in short term.
Later on CARICH team had also a meeting with representatives from
MASCHINENFABRIK BRÖHL in Hamburg to discuss several issues for the OSM
Group’s semi- submersible platform (Ocean 500).ऀ
2013 Holiday Arrangement in China
In China the longest National Holiday (8 days) is just finished. In order to let you
have an overview for the coming official holidays in China, we show here a draft of
the holiday arrangement for 2013, which is waiting for the approval by the State
Council of China. The final version will be announced by the end of this year.
New Year * December 30, 2012 - January 1 (three days in total)
* December 29, 2012 (Saturday) is an official working day
Spring Festival * February 9 - 15 (seven days in total)
* February 16 (Saturday) and February 17 (Sunday) are
official working days
Tomb * April 4 - 6 (three days in total)
Sweeping Day * April 7 (Sunday) is an official working day
Labor Day * April 29 - May 1 (three days in total)
* April 27 (Saturday) and April 28 (Sunday) are official working days
Dragon Boat * June 10 - 12 (three days in total)
Festival * June 8 (Saturday) and June 9 (Sunday) are official working days
Mid-Autumn * September 19 - 21 (three days in total)
Festival * September 22 (Sunday) is an official working day
National Day * October 1 - 7 (seven days in total)
* September 28 (Saturday) and September 29 (Sunday)
are official working days
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13. Ecospeed on
China Market
In the past 3 months, the rudders and the bow thruster
tunnels of container vessels and reefer /car carrier (RCC),
owned by several different owners, were coated with
ECOSPEED at shipyards in China.
(please see the example list as below).
The rudders and bow thruster tunnels of these vessels
are given lasting protection by ECOSPEED against cavitations
for the remainder of their sailing life.
Vessel CMA CGM Swordfish
Owner CMA CGM Group
Customer CGM Group
Applicator/Shipyard CIC Shanghai Changxing Shipyard
Location Changxing Island, Shanghai, China
Vessel CMA CGM Blue Whale
Owner CMA CGM Group
Customer CMA CGMz Group
Applicator/Shipyard Yiu Lian Shipyard in Hong Kong
Location 1-7Sai Tso Wan Road,Tsing Yi IsIand,Hong Kong
Vessel CSCL Dalian
Owner
Customer Seaspan Ship Management Ltd. Vancouver
Applicator/Shipyard CIC Shanghai Changxing shipyard
Location Changxing Island, Shanghai, China
Vessel M/V Kota Layar
Owner PIL
Customer PIL
Applicator/Shipyard HRDD Shipyard
Location Chongming Island, Shanghai
Vessel Norgas Carine
Owner
Customer Norgas Carriers Private Limited
Applicator/Shipyard HRDD Shanghai
Location Chongming Island, Shanghai, China
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15. This summer, Tianjin Xinhe Shipyard delivered the 28th engineer-
ing vessel to Jan De Nul. These 9 years’ cooperation between the Ship-
yard, the Owner and all our equipment suppliers meant a lot for CARICH.
All people who have been involved in the building these vessels still
remember the good times they spent together. For this edition of our
Newsletter we had 2 short interviews with people who worked for these
projects. We hope the suggestions from these interviewees may be use-
ful for all parties involved.
He Jingang from
Tianjin Xinhe Shipyard
Q: As I know, you were working at the business department when the shipyard
built the first vessel for Jan De Nul and then you were transferred to
the purchase department and now you are back in business department and
working as the manager of the business department. Could you share with us
your feeling about the cooperation with Jan De Nul ?
A: Frankly speaking, Jan De Nul is a very strong, rich and kind company which
is the top dredging company in the World. Through 9 years’ cooperation
with JDN, we deeply think it is very lucky to have chance to cooperate with this
company. Every time when the shipyard met problem, JDN always tried their
best to help the yard solve the problems, not only onsite, but also technical
ways and etc, we sincerely hope to continue the cooperation with JDN
in the future.
Q: After 9 years’ cooperation with JDN, what does the shipyard change the most
compare to 9 years ago ?
A: From 2003 till now, after 9 nine years’cooperation with JDN, the shipyard
benefited much from JDN. Our shipyard has improved a lot; we don’t only speak
about the shipbuilding quality, but also the English language level has been
improved a lot.
Q: On which aspects do you think the shipyard needs to improve in the future ?
A: I think that our shipyard needs to continue improve shipbuilding quality and
after-sale-service level in the future, because quality is an enterprise’s life.
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16. David Ding
Owner’s surveyor
Q: How many years have you been working for JDN?
For which vessels were you busy at Xinhe shipyard?
A: Four years, for the workboats “Multicat”
Q: What’s your advice to the Chinese shipyard and how to improve the project
management?
A: This is really a big issue. At least I have following suggestions:
1. The design department has to make all drawings more practical.
Drawings need to be updated on time during the building process in order to
avoid the same mistakes happen to the sister ships.
2. The Shipbuilding Project Manager is one of the most important persons during
the building. He should have sufficient experience, have a general overview of
the procedures, be able to manage the process/manpower/equipment, etc..
3. The foremen of every workshop need to give sufficient support and have to
cooperate with each other in a good organization lead by the project manager.
4. The follow-up and communication by the quality department need to be im-
proved.
5. The Purchase Department needs to keep close contact with all suppliers and be
familiar with the delivery status of each item. Delay needs to be foreseen and
always keep the shipbuilding manager informed in advance.
Ir. Walter Dietens of JDN at launching ceremony
of the first vessel “l’Aigle”
March 24th., 2005
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17. 6. The Business Department should collect all the feedback from TD, crews as well
as class surveyor and should communicate with yard people in time.
Communication is very important.
7. A new building with good quality and short delivery time only could be expected
when yard, class surveyor and ship owner have good cooperation.
Q: As you know, we
are also agent of some
European marine
equipment suppliers
such as BAKKER, VETH,
RDM, BROEHL and
etc. Could you give
us some advices how
these foreign compa-
nies can work more
effectively with the
Chinese shipyard and
foreign Ship owners ?
A: One local engineer
with technical back-
ground, good commu-
nication capacity and positive attitude will be very helpful I believe.
He (or she) should not only think from supplier’s/agent’s side, but also think from
yard’s/ship-owner’s view.
CARICH MARINE ENGINEERING (HK) CO., Ltd. 联系地址:
Room 1729 Changjiang Plaza 大连市中山区长江路123号长江写字楼1729房间
No. 123 Changjiang Road 邮政编码:116001
Zhongshan District Dalian 116001 P.R. China 电话:+86 411 82529217
Tel: +86 411 8252 9217 传真:+86 411 82529237
Fax: +86 411 8252 9237
电子邮件:carich@carich.cn
E-mail: carich@carich.cn
Website: www.carich.cn 网址:www.carich.cn
CARICH CONSULTANCY TRADING (HK) CO., Ltd. 凯瑞咨询贸易(香港)有限公司
Room 3202, Huaneng Union Tower 地址:上海浦东银城东路139号华能联合大厦605室
N° 958 Lujiazui Ring Road Pudong
Shanghai 200120
P.R. China
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