Caribbean Maritime – issue 42 - Guyana special report by Land & Marine Publications Ltd.

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ISSUE No 42

FEBRUARY - MAY 2021

SPECIAL REPORT

GUYANA The world’s fastest growing economy Keeping it local New ports planned Suriname-Guyana co-operation

PROFILE: ERIC A LUKE

C U R A Ç A O M A R I T I M E A S S O C I AT I O N

COMMEWIJNE PORT

www.caribbean-maritime.com Caribbean Maritime is delivered to subscribers in biodegradable packaging and the magazine is produced using paper from PEFC certified sources implementing sustainable forestry policies to help preserve our environment.

Issue No 42 FEB - MAY 2021

CONTENTS

The official journal of the:

caribbean shipping association

2 FROM THE CSA PRESIDENT

MISSION STATEMENT To promote and foster the highest quality service to the maritime industry through training development; working with all agencies, groups and other associations for the benefit and development of its members and the peoples of the Caribbean region. GENERAL COUNCIL 2020-2021 President: Juan Carlos Croston Vice President: Marc Sampson Immediate Past President: David Jean-Marie Group A Chairman: Eduardo Pagán Group A Representative: Yuri Jardine Group A Representative: Sandra Casanova Group A Representative: Nazilia Simone Phillips Group B Chairman: Anibal Ochoa Group B Representative: Mark Williams Group C Chairman: María del Mar Rodríguez Group C Representative: Robert Bosman Group D Chairman: William Brown Group D Representative: Juan Carlos (JC) Barona

4 PROFILE: ERICA LUKE

Committed to succeed

11 SPECIAL REPORT: GUYANA

11 Introduction 12 The world’s fastest growing economy 15 Keeping it local 15 KOTUG contract 17 Suriname / Guyana Port

20 CSA PEOPLE

Alvin Henry, Dionne Mason-Gordon and Michael Jarrett

26 ASTIVIK SHIPYARD

Working hard in a challenging market

28 CURAÇAO MARITIME ASSOCIATION

CSA General Manager: Milaika Capella Ras CSA Secretary: Dionne Mason-Gordon Caribbean Shipping Association 4 Fourth Avenue, Newport West PO Box 1050, Kingston CSO, Jamaica Tel: +876 923-3491 Fax: +876 757-1592 Email: csa@cwjamaica.com www.caribbeanshipping.org

Looking forward with hope and confidence

New maritime association for Curaçao

31 JIFMAR SAIL-ASSISTED VESSEL

Jifmar chooses Dutch yard

32 COMMEWIJNE PORT FACILITY

Publisher:

Suriname lines up new shore base port

34 HUDSON ANALYTICS

Improving Cyber Resilience Through Training - A Call to Action

37 ROUND UP

Land & Marine Publications Ltd 1 Kings Court, Newcomen Way, Severalls Business Park, Colchester Essex, CO4 9RA, United Kingdom Tel: +44 (0)1206 752902 Fax: +44 (0)1206 842958 Email: publishing@landmarine.com www.landmarine.com Views and opinions expressed by writers in this publication are their own and published purely for information and discussion and in the context of freedom of speech. They do not necessarily represent the views and opinions of the Caribbean Shipping Association – The Publisher.

The latest news from around the Caribbean

43 PHOENIX PARK

Phoenix Park takes shape

44 RUSSBROKER CARIBBEAN MARKET REVIEW

Record rates not seen for over a decade!

47 DIGITALIZATION BY ADVANTUM

Digitalization proves immense value to shipping

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FROM THE CSA PRESIDENT

caribbean shipping association

Looking forward with hope and confidence B

e proud of yourself, take a deep breath and enter 2021 with hope and confidence. We look back on 2020 as a year that tested our mettle and we can take heart that we stayed the course. I thank all members of the Caribbean Shipping Association (CSA) and our partners in shipping and allied industries for your perseverance and exemplary efforts during 2020. We kept connected and united and this was facilitated by our industry’s digital transformation that has been encouraged and assisted by the CSA over the years. Also, because our communication and reporting were regular and vibrant, we were able to make our voice heard and contribute to action being taken on a number of crucial issues. Included among these were: the safe repatriation of seafarers; appropriate arrangements for crew change, and the need for greater harmonization of laws and regulations to ensure safe movement of vessels, crew, passengers and cargo. We were also able to host a successful virtual Annual General Meeting in 2020, the year of the CSA’s 50th Anniversary.

2 Caribbean Maritime | February - May 2021

Your strong support and attendance at our AGM and your participation in our Webinars throughout the year helped to galvanize our organization into a strong force based on our shared vision of an efficient, viable Caribbean and Latin American shipping industry. As I write, vaccines are being administered in some countries and may reach ours by the time you read this. I want to encourage everyone who is offered the vaccine to take it so that we can end this pandemic and resume our lives in a safer, healthier and more productive environment. Plans are in high gear for our Caribbean Shipping Executives’ Conference (CSEC) in May and for our AGM in October. CSEC comes fairly early in the year and so we plan to have a blended staging of that event to include virtual meetings and some face-to-face discussions with health protocols observed.

REMEMBERING HARRY I must pause here to remember our dear friend “Harry” Maragh, Past President of the Shipping Association of Jamaica, who recently departed this life. His support for the CSA was exemplary; he served as a

Juan Carlos Croston President Caribbean Shipping Association CSA Council Member and he rarely missed any of our annual meetings, accompanied by his charming wife, Charmaine. We will miss Harry’s wise counsel and warm smile, but we also celebrate his life of tremendous contribution to the development of regional shipping, in both the cargo and cruise sectors. We will keep you informed of all developments regarding our CSA events, and look forward to your continued support and participation as together we step boldly into 2021, knowing that this will be the year we conquer the pandemic. Let us stay safe, positive and united.

We look forward to your continued support and participation as together we step boldly into 2021, knowing that this will be the year we conquer the pandemic

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PROFILE ERICA LUKE

ERICA LUKE:

Committed to success Taking the helm of a traditional family-run business certainly has its challenges – especially one with a long and proud history going back over 50 years. Barbados shipping executive, Erica Luke, talks to Caribbean Maritime about how she has built on the past at Eric Hassell Shipping and made the company relevant in a fast-changing world while retaining its reputation for respect and integrity.

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Q. Where were you born and where did you grow up? A. I was born in beautiful Barbados. My maternal grandfather, Captain Eric Hassell, was from a seafaring family from Saba, a Dutch Territory. My father was born in Sierra Leone where his Barbadian father, an engineer, was working on a project. Growing up in a Barbadian household with these fused cultural backgrounds made for an interesting home life and shaped my openness to persons from different cultures, which is especially important in the global maritime industry where our Agency may represent a yacht sailing from France or a German research vessel. Q. How big an influence were your parents on your early life? A. On reflection, both sides of my family were involved in business which made it natural that I would follow that path. Matters related to business and shipping were often discussed in my family. My grandfather started the Eric Hassell Shipping Agency in 1969, after the vessel he captained sunk in 1963. My grandfather

SeregaSibTravel / Shutterstock.com

to lead the family business as MD, I drew on the many lessons I learnt from my parents and grandparents, their fairness in dealing with staff and customers and their integrity in business.

transformed his life from that of ship’s captain to business owner. His life story was told in the book ‘A Man called Peace: The story of Eric Hassell and His Enterprise’. His story was one of triumph over adversity. My mother who was a home maker, and her siblings all spent some time working with my grandfather. My father owned a small supermarket close to our home and which is currently being operated by one of my three sisters and her husband. Growing up in an environment where my family was engaged in business, I had the opportunity to observe the highs and the lows, their commitment to succeed and the hard work and dedication involved in running a successful business. When it was my turn

Q. Where did you go to school and then to university? A. I attended Queen’s College in Barbados and then Concordia University in Montreal. Q. In which subject(s) did you graduate? A. I graduated with a Bachelor of Commerce in Business Management. Having studied French at “A” Level in Barbados, I became fluent while living and studying in Montreal. Q. Given your family’s long association with the sea, were you always destined to work in the maritime sector and for Eric Hassell Shipping? A. No, my grandfather was not one who felt that the family had to be employed in the business, one had to earn one’s position in the business based on merit. I am now the third generation. Following my grandfather’s passing in 1994 my uncle Frank, who was an engineer, succeeded another uncle Geoffrey as MD. Our Board Chairman is my uncle, Dr Sir Trevor Hassell. Other family members serve on the Board of Directors or have worked in various roles over the

Photo: Belle Imagery

When it was my turn to lead the family business as MD, I drew on the many lessons I learnt from my parents and grandparents, their fairness in dealing with staff and customers and their integrity in business

years, and have contributed to the success of the Company. The Company celebrated its 50th Anniversary in 2019. Q. Was working for the family business your first job or did you work elsewhere before joining Eric Hassell & Son Ltd.? A. I had a short stint at a distribution company before joining Eric Hassell & Son Ltd. I first joined the Sales Department 28 years ago. Q. Eric Hassell Shipping has a long and proud history dating back over 50 years including a leading role in the inter-island schooner trade. So, what was the most important aspect of running a shipping agency business you learned from your forebears such as uncles Geoffrey and Frank Hassell or even from your grandfather Capt Eric? A. Running a shipping agency business is very dynamic but it is much like any other business. I have learnt how very important it is to live the basic values of mutual respect, honesty and teamwork in business. Q. How important to the long-term success of Eric Hassell Shipping is the agency representation in Barbados of Seaboard Marine – a relationship that has been maintained for almost 20 years? A. I am very proud of our association with Seaboard Marine. They are a wonderful

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PROFILE ERICA LUKE

company to represent and work with. We look forward to continuing this relationship for many decades to come. Looking ahead, Seaboard Marine has acquired one of the youngest refrigerated and dry container fleets in the industry. The new refrigerated containers are energy efficient, low in energy consumption and emissions. They are therefore well positioned to service the needs of the tourism and cruise sector, which is the dominant industry in Barbados. It is this forward thinking and progressive approach that is at the cornerstone of the success of our mutual relationship. But it is not all business. Both of our Companies are cognizant of our social responsibility to the local business community. Eric Hassell Shipping has partnered with Seaboard Marine on various charitable events and donations over the years. So the synergies between our Companies extend beyond business. We

6 Caribbean Maritime | February - May 2021

both strive to be good corporate citizens in the communities in which we do business.

task to lead the Company through these challenges.

Q. When did you take over at the helm of Eric Hassell Shipping and why? A. I succeeded my Uncle Frank, who retired in 2007. It was important for me personally and for the family to continue my grandfather’s legacy.

Q. Upon taking charge, what changes, if any, did you make to the company’s dayto-day working and its general business outlook and philosophy? A. Financially the Company was and continues to be on a sound footing. My goal has been to strengthen the internal processes to best serve our Partners. We had moved from representing schooners to container lines. I wanted to align our service delivery with the best in the industry. This required some capacity building in terms of our computer and network services to improve communication and technology links with our external partners. Building people capacity through training and development is another area that was an important focus for meeting our contractual deadlines for service delivery. We have

Q. Was taking charge a daunting prospect for you? A. Yes, in some ways it was. It has always been my dream to see my Grandfather’s legacy live on… that is a daunting prospect. My grandfather had seen the company through difficult economic world situations -the oil crisis of the 1970s, the world recession of the 1980s and the early 1990s. He had steered the helm with success and overcame these challenges. Especially in a post Covid-19 world it is now my

PROFILE ERICA LUKE

always had a great team, very committed and capable. I wanted to ensure that as a Company we are always change ready. Diversification was another key area. We established a warehouse operation in 2011 to meet the demand for better logistics for LCL cargo. Smart phone technologies and online platforms have opened up commerce to a whole new era of entrepreneurs who have created opportunities in the LCL market. In 2016, we moved into our corporate headquarters building in Bridgetown but closer to the Barbados Port. We have also diversified, albeit tentatively, into providing trucking services at the LCL warehouse for a seamless customer experience. I also felt it was important that the Company continues to seek opportunities and build relationships via the regional

8 Caribbean Maritime | February - May 2021

shipping bodies like the CSA and Multiport of which we are members. Q. Do you think it’s important to also be a port agent working across trades and sectors and not be wholly reliant on, say, only liner agency business? A. I spoke on the changing role of the Ship Agent at a CSA conference in 2013. I believe Agencies bring value to the vital role of representation. Locally, we are knowledgeable of the market and have relationships with the customers to perform a vital role for the Lines. Yes, there are opportunities for partnerships and expansion into other areas. However, the value of an Agent remains the advanced local knowledge. In an effort to be more competitive and marketable, agents will

have to demonstrate to potential principals that they are willing to be flexible to the demands of the line, that they have invested adequately in Information Technology, suitable personnel and personnel training and finally that the physical infrastructure is adequate. Previously an agents’ length of time in the industry or reputation was sufficient, this is no longer the case. The availability of smart phones and online advertising platforms has given rise to an increase in online shopping resulting in demand for air shipments. The Eric Hassell Group is poised to provide air cargo services in association with a stateside partner. We have also expanded into warehousing, so we are continuing to diversify from the traditional liner agency business to a logistics company.

Q. Do you foresee Eric Hassell Shipping continuing as a family business and further generations of Hassells and/or Lukes taking over in the years ahead? A. After 50 years, our foundation is strong. The shipping industry has provided careers to my family for four generations. The Company has demonstrated resilience, the capacity to respond to changes in the industry. I believe that these tenets will serve the Company well for the future. Q. Have your own children shown any early interest in working in shipping? A. Many family members are active in supporting the Company: serving as Directors, participating in charitable activities, general goodwill. From time to time, family members work with the Company during university vacation and other periods. My son, Liam currently works in the Sales and Marketing Department. Every year we have a family luncheon on Christmas Day for all the children, grandchildren and great grandchildren of Captain Hassell and their families. Due to Covid-19 this year the luncheon was limited to smaller gatherings. I feel confident that from among the family group a leader is in the making to whom I can pass the baton. Q. What’s the best advice you have received during your career and what advice would you give to any young person seeking a career in the maritime sector? A. I highly recommend a career in the Maritime Industry to any young person who has an interest in this area. I have a rewarding career in an area that is dynamic and one in which there are always opportunities for learning and growth. I think the best advice I have received has been

to value people. I live the basic values of mutual respect, honesty and teamwork in my business life. As a woman, I encourage other women to keep striving to overcome traditional obstacles or viewpoints that have created barriers to success. Q. Are you a member of any Civic or Charitable Organizations? A. Yes, being active in my community and giving back is an important personal choice. In terms of service to the wider society, I was a member of the Board of the Grantley Adams International Airport Inc for seven years and served on The Finance, Tenders & Audit Committee. It was also an honour to receive the recent appointment as Honorary Consul for Norway in Barbados. The Rosemary Hassell Charitable Trust, named after my late aunt, was established by the Hassell Family to benefit children with Disabilities. As a Trustee I work along with other family members to execute the objectives of the Trust. From inception, the Company had a

culture of family and community. Giving back is not limited to monetary donations as service is also emphasized. Q. What do you enjoy most about living and working in Barbados? A. Barbados is a great place to live and work. Over the years we have attracted many international companies and expatriate workers due to the stability of Government and the availability of a fast communications network and resources like good schools and a high educational standard. Barbados has a high number of persons living to 100 years and beyond. It is a special place with many positives. I enjoy swimming in our beautiful ocean. Q. Finally, can we ask you something about your personal life? What are your main interests outside of work in terms of hobbies, sports and leisure activities? A. I have a family so work life balance is very important. My husband, Douglas, heads his own architectural firm and we have three children: Liam, 24, Mackenzie 21, and Savannah, 18. Shipping is a 24-hour business so I have often had to merge my family or personal time with work. I think it is important to periodically have time away to recharge and have personal space. I enjoy yoga and swimming to relax and recharge.

SeregaSibTravel / Shutterstock.com

I think the best advice I have received has been to value people. I live the basic values of mutual respect, honesty and teamwork in my business life

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Guyana SPECIAL REPORT 11 12 15 15 17

Introduction The world’s fastest growing economy Keeping it local KOTUG contract Suriname / Guyana Port

GUYANA INTRODUCTION

A transforming nation An eight-page special report In a year overshadowed by the global coronavirus pandemic and the world’s response to the impact of the virus, one nation in particular had a slightly different focus. And that was Guyana.

oronavirus didn’t exactly pass Guyana by (it’s had its fair share of deaths and infections), but there were even bigger fish to fry in South America’s only English-speaking country. The nation’s first oil exports got underway and further large discoveries during 2020 are set to transform this nation over the next decade. Caribbean Maritime takes an early look at how oil exports and a booming economy are benefitting Guyana’s ports and shipping sectors.

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GUYANA SPECIAL REPORT

THE WORLD’S FASTEST GROWING ECONOMY IN 2020

doubt that many Guyanese would have believed you if you had told them in, say, 2010 that, within a decade, their country would be home to the world’s fastest growing economy. But that was the reality in 2020 as much of the rest of world reeled from the impact of the global coronavirus pandemic, Guyana, by contrast, saw its economy rack up growth (albeit from a lowish base) estimated at a staggering 26.2 %. What’s more, the overall size of the local economy is expected to triple by 2025. At one point early last year, the IMF was even forecasting growth of 51% for 2020 and on the back of recent major oil discoveries and following the nation’s first crude exports. In short, this economic expansion is set to transform Guyana from one of South

12 Caribbean Maritime | February - May 2021

America’s poorest countries into its richest on a per capita basis. At the same time, Guyana will eventually become the second or third largest oil producer in the western hemisphere. But to cope with its new-found wealth, Guyana has a lot of catching up to do in terms of its infrastructure – especially in the transport sector – and to avoid the chaotic scenes witnessed in Nigeria and the Arabian Gulf in the 1970s where limited port capacity could not cope with a massive influx of imports (especially cement) and visiting business people were forced to sleep in hotel corridors or to share rooms due to the lack of accommodation. Yet, and as things currently stand at the start of 2021, the port of Georgetown remains woefully under-maintained and there are still

only vague-ish plans to design, construct and finance a new deep-water harbor in Guyana. And, only then, well away from the economic heart of the country, Georgetown.

LIMITED So, for the time-being, the size of container vessels entering Georgetown is limited by a chart datum draft of just 7.4 metres and, even worse, a pier draft of only 6 metres in most places. Even then, most piers and the navigable access channel have lost depth due to a lack of dredging. The end result is that the port currently struggles to accommodate container vessels larger than 2,600 TEU. Aside from handling containerized imports, there is a clear and immediate need to service the burgeoning offshore oil and gas sector. The size of the task is enormous.

DEMAND So, despite the access restrictions, work continues apace on various privately owned shore base facilities to meet the anticipated demand to service and supply the FSPOs; although many terminals will also be able handle regular, project and other similar types of out-of-profile cargoes. Perhaps the most notable of these is Guyana Shore Base Inc (GYBSI), which has started construction on the Demerara River of the nation’s first heavy-lift berth. The company believes that this new berth will dramatically change the industry, enabling a range of products and services previously unable to enter the country. In particular, GYBSI has a big contract to provide shore base services to ExxonMobil's offshore operations, and it will be responsible for the operation of a shore base facility Muneshwers Houston Terminal. The 28-acre warehousing and logistics base is part of ExxonMobil's Liza Field project and will provide port facilities and a range of services such as bunkering, bulk cementing and mud plants as well as container handling and repair. GYSBI has invested over US$ 100 million in the terminal and expects to spend a further US$ 50 million on additional facilities. GYSBI is a consortium comprising long-established local firm Muneshwers, TOTALTEC Oilfield Services, Pacific Rim Constructors, and LED.

EXPERIENCED Another offshore base is being built by a joint venture comprising the experienced InterOil Group and the local Mings Products & Services. The base will comprise 330 acres

Wikimedia Commons | U.S. Department of State | Public Domain

London-based research company Rystad Energy estimates that one new FPSO will be stationed off Guyana every year for the next ten years – and that’s just to serve the already producing Starbroek block. This will involve a total investment estimated at around US$ 50 billion over the coming decade. Forecasts vary, but Guyana could ramp up oil production to 1.2 million barrels a day by 2025; rising to 1.4 million barrels a day by its mid-2030s peak.

Guyana president Dr Irfaan Ali

Guyana is about to become the investment colossus of the Caribbean. It will become the region’s most exciting investment destination. Now, therefore is the right time to be doing business in Guyana of land with 460 meters of waterfront on the east bank of the Essequibo River. Known as the Isika Shore Base will include industrial areas, offices, warehouses, workshops, spool base, a liquid-mud plant, equipment and construction laydown areas. Compared to similar facilities in Georgetown, the Isika Shore Base will have several major advantages such as being developed on land above sea level – a significant factor in a nation that experiences flooding. By late last year, the tendering process for civil, marine and dredging works was finalized. Phase 1 is expected to be completed within the fourth quarter of 2020 and full operation within the first quarter of 2021. It’s planned that the navigation channel and the jetty will have an impressive 12-meter draft. Then there’s Italy’s Saipem, which is proceeding with the final phase of the US$

9 billion Payara development for EEPGL. This authorization allows for the finalization of the detailed engineering and procurement activities and the full execution of the contract scope, the company said. Saipem’s flagship vessels Saipem FDS2 and Saipem Constellation will perform the offshore installation while a soon-to-be completed construction yard in Guyana will take on the local fabrication of part of the subsea

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GUYANA SPECIAL REPORT

items. The yard will feature a heavy load bearing jetty, the largest heavy lift crane in Guyana and specialized welding and testing equipment. All construction work for the new facility is being awarded to Guyanese contractors and is yet another example of the push for local content (see P15).

INVESTMENT But these new facilities are just the tip of the investment iceberg. Guyana, for so long seemingly half-forgotten but one with almost limitless potential, now sees a steady stream of wealthy would-be investors from Russia, the Middle East (Qatar and the UAE in particular), the US, Canada and elsewhere beating a hasty path to Georgetown. In his address to the Association of American Chambers of Commerce and Latin

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America and the Caribbean in October last year, Guyana president Dr Irfaan Ali said: “Guyana is about to become the investment colossus of the Caribbean. It will become the region’s most exciting investment destination. Now, therefore is the right time to be doing business in Guyana.” Adding that the multi-billion-dollar investments into the offshore developments represent “a major opportunity especially for businesses involved in this sector and those providing support services.” Luxury hotels, a Demerara harbor bridge, a deepwater port (see separate story) and new highways are all under discussion and are expected to go to tender in 2021. The president’s words were echoed by Minister of Natural Resources Vickram Bharrat, who late last year said: “Almost every single day we have investors come in.

The government has proposed establishing a sovereign wealth fund similar to Norway’s for “transformational projects that will benefit generations to come.” And I want to say, it’s not only oil and gas. There are also forestry, gold, and bauxite (at Tarakuli) ventures under consideration." Investor interest is such that meetings with government officials are taking place almost on daily basis. How times have changed and when in years past a Guyana government

Keeping it local

minister might have to go cap-in-hand in order to woo inward investment. Not only is fresh investment being funnelled into Guyana, but previously stalled and half-forgotten infrastructural projects have suddenly sprung back into life. For example, Canadian oil and gas exploration company CGX Energy, announced late last year that it is finally ready to recommence work on its proposed and much delayed Berbice Deep Water Port scheme.

ne of the most pressing issues for the Guyana government is promoting local content. This not always easy in a nation of just 780,000 people and when some skills are in short supply or were not previously required in a largely agriculturally based, non-oil, economy. But at a political level there is a clear desire to see local companies and local people gaining access to major contracts and to good jobs. There is also a large and skilled Guyanese diaspora that may now see opportunities to return home to take up new positions in the local labor market. So that’s when the issue of local content kicks in. Guyana has previously lacked or even really needed the broad range of maritime and offshore-support services seen in other parts of the Caribbean such as in Curaçao or Trinidad. But this is already changing and there are moves to build or install additional facilities such as a drydock for vessel repair and maintenance to cater for the oil sector, while improving the software in the form of local training and upgrading technical expertise, which initially will in some cases come from beyond Guyana. Georgetown’s Matpal Marine Institute (a satellite of the Jamaica’s Caribbean Maritime University) clearly has a role to play here.

REFURBISHING

ENCOURAGING It’s encouraging to see that offshore activity has already helping the local economy. For instance, more than 1,000 Guyanese are

tateyama / Shutterstock.com

According to CGX, the company is now refurbishing a 3.1 km road leading from the Corentyne Highway to the location of the planned port and is in the process of tendering for the construction of a bridge that leads from the Highway. As was previously the case, the Berbice Deep Water Port is being executed through CGX’s wholly owned subsidiary, Grand Canal Industrial Estates Inc. Up until only recently, the Government of Guyana had expressed concerns over the slow pace of CGX’s activity and questioned whether the company actually had the financial resources to invest in Guyana’s oil and gas industry as it had originally claimed. To date, the company has not commenced any oil production in Guyana and despite the way being cleared to do so since 2007 when a long-standing territorial dispute with neighbouring Suriname was settled at a United Nations Tribunal. Meanwhile, like many underdeveloped countries and where oil is discovered, Guyana has little or no experience and few resources to handle the taxation, regulation and environmental control that comes with global-scale energy production and world-scale infrastructural development. The government has proposed establishing a sovereign wealth fund similar to Norway’s for “transformational projects that will benefit generations to come.” Let’s hope that Guyana uses its apparent good fortune to look more like Norway in 10-to-20 years from now and not to succumb to the oil curse that has sadly impacted many other countries – not all of whom are located that far from Georgetown.

employed by ExxonMobil and its subcontractors. In fact, ExxonMobil has made a special effort to develop a Guyanese workforce, collaborating with local companies to supply in-country goods and services, and investing to support health, education and infrastructure programs. Meanwhile, the Guyanese Business Development Centre has also opened to promote the establishment of small- and medium-size businesses in the country.

KOTUG CONTRACT A further example of the immediate benefits for the shipping sector came in October when Rotterdam-based KOTUG was awarded a long-term contract from Esso Exploration & Production Guyana (EEPGL) to provide offshore terminal towage to support its operations in Guyana. This contract marks KOTUG’s first operation in South America. To support its Guyana operations, KOTUG (through the local entity KOTUG Guyana Inc.) will employ its newly acquired vessel “SD Power”, a high-spec 130 tonnes bollard pull, DP-2 azimuth anchor-handling tug, which will provide support to the existing and upcoming FPSOs at the Liza Field.

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GUYANA SURINAME / GUYANA PORT

Mixed reception greets plans for new port The Commewijne shore-base project (or Comport) may already have a head start (see separate story on page 32), but this has not stopped others looking at alternative facilities from which to serve the booming Suriname and Guyana offshore energy sectors.

s is already mentioned elsewhere in this issue, the massive hydrocarbons reserves found in the GuyanaSuriname basin will result in the creation of significant shore base support services. And the proposed Comport project alone in Suriname may not provide sufficient capacity to serve the estimated nine billion barrels of oil discovered off Guyana and a further 1.4 billion so far found off Suriname. For this reason, the Surinamese and Guyanese governments have tentatively proposed establishing a joint venture shore base – and one that would be able to serve oilfields either side of the maritime boundary between the two countries.

The presidents of Suriname and Guyana have confirmed that they are evaluating the potential of a joint deepwater harbour that will provide services for both exploration and production activities in the basin ramp-up.

In terms of the development of a deepwater harbor, President Santokhi said: “The working group will have similar discussions to see what is the best approach for the benefit of both nations because an offshore base is a more than a USD$1 billion investment. There is an opportunity to look at such a huge project jointly.” President Ali meanwhile confirmed: “We are now exploring synergies, and this is where we are.”

DISGUISED Guyana’s president, Dr. Irfaan Ali, said during a visit to Suriname in November that he had discussed the idea with his Surinamese counterpart President Chandrikapersad Santokhi. This new port would form part of the Memorandum of Understanding between the two governments that focuses on infrastructural projects.

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GUYANA SURINAME / GUYANA PORT

EXPRESSIONS OF INTEREST

The case against T

here is some scepticism locally as to the viability of such a joint port. Concerns are founded on both countries – but especially Suriname – having strict “local content” requirements in their contracts with international oil companies and those involved in the sub-region’s maritime sector see neither country being especially willing to give up a large chunk of this local business. As hinted to in the main article: Suriname is looking at generating US$ 10-15 billion in direct oil revenue over the next 20 years, and the same amount in local business revenue, for which the shore base will be a gateway. Some believe that neither country is willing to give up this additional revenue. And, what’s more, for a combined shore base to work a 5 km bridge (across the Corentyne River) first needs to be built. As it is, Guyana’s Environmental

18 Caribbean Maritime | February - May 2021

Protection Agency currently has four Guyanese shore base facility permit requests pending. So, there’s no sign there then that Guyana is "waiting" for a joint government port initiative. Meanwhile and despite the friendly politics, Suriname and Guyana have longstanding and ongoing legal border issues, pertaining to the "Tigri" triangle in the south, and the continuous grumbling about the Corentyne river border being Surinamese territory up to the high tide mark on the Guyana shore. The bridge that’s needed to make a joint shore-base work, would be 100% on Suriname soil, joint project or not. This could prove another bone of contention.

Meanwhile and possibly at variance with the joint venture idea, Guyana’s Minister of Public Works, Juan Edghill, recently announced that the government in Georgetown would be requesting “Expressions of Interest” for the development of a new deepwater harbor in East BerbiceCorentyne. The Guyana-Suriname border adjoins the region and the Corentyne river forms the border between the two countries. A new bridge is to be built across the Corentyne; although planning is at a very early stage. Mr Edghill sees the proposed Berbice port as more than just shore-based; mentioning the handling of cruise ships and vessels that currently operate on the Demerara River. • Under the name Grand Canal Industrial Estates (GCIE), Canadian firm CGX Energy has for some years had plans to build such a Berbice port. GCIE acquired a Government of Guyana Lease of 54.96 acres of Berbice River Front land adjacent to and North of “Crab Island” from CGX Resources Inc in 2012 (see page 14).

SHALLOW Furthermore and, perhaps crucially that very same Corentyne river, where a joint shore base is being looked at on the Suriname side, is extremely shallow. At present, the river has a 4.90 meter maximum draft at high tide / 4.30 meter of draft at mean neap tide. The first possible location for a shorebase, would require at least 40 kilometers of fairway dredging, from the mouth in the Atlantic..... As one locally based expert told Caribbean Maritime: “in a nutshell, and for political, business and technical reasons, we don't see this happening anytime soon....”

The Hon. Juan A. Edghill

IN MEMORY OF

NATHAN DUNDAS

Antigua's sad loss as Nathan Dundas passes

s this issue of Caribbean Maritime was going to press, the Caribbean Shipping Association (CSA) was saddened to learn of the untimely death of Nathan Dundas, Manager of Bryson’s Shipping, in Antigua, and President of the Antigua and Barbuda Cruise Tourism Association. Nathan, who was a regular contributor to Caribbean Maritime magazine, died in Miami on 23 January, 2021. Nathan held various positions within the CSA and was a member of General Council and Group A chairman. For all those who knew him, Nathan was a passionate promoter of Antigua and Barbuda as twin-island destinations and he worked tirelessly to advance the local tourism industry – both at home and internationally. He also maintained the reputation of Bryson’s Shipping as Antigua’s leading agent.

A towering figure both physically and intellectually, Nathan was terrific company, immensely knowledgeable about the cruise sector, a proud Antiguan and a man who consistently stood for honesty and integrity. We offer our profound condolences to the family of Nathan Dundas, and also to

his friends and staff of Bryson’s Shipping and the entire shipping fraternity of Antigua and Barbuda. Bryson’s Shipping is part of Geo. W. Bennett Bryson & Co. Ltd – one of Antigua’s oldest companies with over 180 years of operations.

CSA PEOPLE ALVIN HENRY

In the previous issue of Caribbean Maritime and to coincide with the organization's 50th anniversary, the magazine profiled all past presidents and the current president of the Caribbean Shipping Association. Clearly, these eminent presidents all played an important role in the Association. But mention must also be made of three others who each, in their own unique way and often behind the scenes, have had an equally important impact on the Association’s development and smooth running. These three are Alvin Henry, Dionne Mason-Gordon and Mike Jarrett and their respective stories follow.

Alvin Henry: a man of integrity Alvin Henry joined the staff of The Shipping Association of Jamaica (SAJ) in 1969. In the 32 years that followed, the Association benefited from his keen sense of duty, loyalty, technical and professional competence as well as his finely honed negotiating skills. He led the administration of the SAJ during a period of great challenges. It was a time of historical milestones; an epoch, which produced great men and women; an era of political, economic and technological revolution in Jamaica, the Caribbean and the wider world. The time, the era, the industry demanded of Alvin Henry more than that asked of many in a lifetime. Alvin responded by giving himself completely and unconditionally. He initiated systems and guided innovations which transformed the SAJ in his time, as Financial Controller, and later, as General Manager, in technical fields, but more so, in the areas of industrial relations and human resources development. In 1989 Alvin was cited for his work and awarded the SAJ’s

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Special Award for Dedicated Service. In 1977, Alvin was again summoned by fate, this time to lead the administration of the still fledgling Caribbean Shipping Association (CSA). Through that Association, first as Corporate Secretary and from 1981 to 2001, as Executive Vice President, Alvin served the Caribbean shipping industry well. In 1995, he received the Caribbean Shipping Association Meritorious Award. Alvin is also greatly admired by his contemporaries. Former CSA President Rawle Baddaloo said: “He is a very unassuming, even introverted person. A man of integrity who was always encouraging the younger ones to participate. Meeting him only at conferences did not prevent myself and others from seeing his greatness. He was always supportive of what I did even though I did not choose the well-worn path. He was a diligent worker behind the scenes.”

For all of us outside of Jamaica he was our “Sergeant Major” from the minute we arrived at Kingston Airport. Our comfort was his main concern INVALUABLE Another former president, David Harding, added: “Much has been written about Alvin Henry in the context of his invaluable service to Caribbean shipping. From my personal interaction with him let me say right away Alvin is the embodiment of the amazing hospitality for which Jamaicans are known.” “In particular he brought his ground game that gave him his success in the SAJ to CSA, sharing with the wider Caribbean

caribbean shipping association

national associations the myriad of challenges and remedies for management of labour at ports. The art of getting labour and capital working together harmoniously in ports across the Caribbean commenced in Kingston. “Alvin, from the 1970s, was a part of that effort to raise the bar on the delivery of service to ships. Those of us in the industry in the 1960s and 1970s, especially in stevedoring and port operations, would have experienced a somewhat militant labour that was resisting the changing cargo handling technologies. And we would recall that this, to a large extent, is what brought about the birth of the CSA, becoming the platform that allowed the entire region to ‘get up to speed’ on the modernization of maritime and port management Jamaica was already enjoying. “It was not by accident that the CSA Secretariat is based in Jamaica. The SAJ

was strongly positioned to feed this fledgling body, both financially and managerially. All presidents during the 50 years of CSA would have, in plenary sessions, recognized the SAJ for its strong and unwavering support to CSA. He was the Chief Electoral Officer for our sometimes “lively” elections and in his calm, sure-footed way, kept us all smiling. “For all of us outside of Jamaica he was our “Sergeant Major” from the minute we arrived at Kingston Airport. Our comfort was his main concern. “I got to know him well because of who he is: a quiet, knowledgeable and warm gentleman. My wife, Celia, and I enjoyed the social company of Alvin and his beautiful wife, Janet. He never arrived at Barbados without a bottle or two of Jamaica’s “liquid sunshine” which always kept my fond memories of Jamaica refreshed.

“Alvin is a friend worth having and I am honored to say he is my friend. Thank you, Alvin.”

ARCHIVE KEEPER Meanwhile, ninth President Frank Wellnitz was equally fulsome in his praise. “Alvin Henry has been part of the CSA as long as I remember. There were some intermissions, but in reality, he was still always there. He has been the history and the archive keeper of the Association. In important council meetings, it was often concluded: “We need to ask Alvin first.” He was a mainstay of our organization for many years. I remember well. When we established the Training Trust Fund, before we asked the lawyers to draft the document, it was his advice that we followed. His calm and non-controversial and factual advice was accepted by all.”

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CSA PEOPLE DIONNE MASON-GORDON

An experienced hand on the tiller F ew people have been involved in the Caribbean Shipping Association (CSA) longer than Dionne MasonGordon – or, for that matter, achieved more from quietly behind the scenes. In fact, no conference or CSA AGM over the last 25 years or so would have been run by something approaching clockwork without Dionne’s air of unflappability and experienced hand on the tiller. But Dionne’s roots in the Caribbean maritime sector pre-date her role within the CSA and remain unchanged, in many ways, to this day. Dionne joined the Shipping Association of Jamaica (SAJ) in Kingston back in 1986 and fresh out of secretarial college (now there’s an institution from the past). She arrived at the SAJ as a junior secretary to deputy training and welfare manager Carl Young. It was to be some years later, in 1994, before Dionne also began assisting with the CSA; attending her first AGM up the road in Montego Bay the same year.

LEGENDARY No-one who has worked at the CSA Secretariat during the 1990s can have done so without acknowledging the legendary presence of the late Monica Silvera. Dionne is no exception. Dionne says: “For me it was an honour to have worked with Monica. Monica was a stickler for perfection so she would always be giving advice on how to carry out our tasks in the most efficient manner. Monica was like our grade school teacher, firm when she needed to be but also a mother hen when that was required. I was always amazed how Monica could remember all the names of the members at the conference

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and would always enquire about their family and knew all their children by name. I found myself trying to do the same, but I must confess, I can’t hold a candle to her in that area. “I remember when we were preparing for the last meeting Monica ever attended, which was in Guyana, she came into the boardroom where we were working and she said ‘you know why I am so hard on you ladies at times, because I want you to get it right all the time’ and that stayed with me.” In addition to Monica, Dionne has worked for or alongside a series of eminent CSA general managers and an Executive Vice President (EVP).

GOOD ADVICE “Alvin Henry was the first EVP I worked with. He was also the SAJ’s General Manager. Alvin was like a father to us – always giving good advice and encouraging us to further our education and to own a home. This was important to me as I started at the SAJ as a youngster and spent all my working life at the Association. “On the CSA side, Alvin was like Monica. Everything had to be done right and he would come into the Secretariat each day to ensure the preparations were progressing smoothly. In October 2001 when Alvin retired, Monica was appointed EVP. But she passed within a year of being appointed. Next was Pauline Gray and I worked directly with Pauline as she was also General Manager of the SAJ. Pauline was a nurturer and, like Monica, was a stickler for perfection. I recall one day she came in and said to me, ‘why are you not furthering your education?’ Then she

called our projects officer and said ‘help her get enrolled in some classes’ and I didn’t stop until I finished my Masters. “Sadly, Pauline passed away in 2003 and the CSA appointed its first General Manager, Stephen Bell. Working with Stephen was fun. We worked hard and played hard. He was a hands-on type of GM and was involved in everything as much as possible. Clive Forbes was appointed GM when Stephen resigned in 2008 and he brought his own style to the position. “My recollection of Clive is that he improved the conference registration process by introducing Regonline, the platform that CSA would implement to collect conference and membership fees and promote the conferences. When Clive resigned in 2011, Fernando and I became a part of an executive committee that eventually led to Fernando being appointed General Manager. “Fernando. . . . what can I say about Fernando? I love him like a dad. Fernando was the first GM who was not resident in

caribbean shipping association

Jamaica; proving the regional character of the organisation. Fernando was very inclusive; always including Shorna-Kay and me in whatever was happening in the Association. He would call and say: ‘Hey ladies, tell me what you think about this’ and he encouraged ideas from us and, most times, our ideas were incorporated into the bigger plan. “When he announced that he was retiring, we were apprehensive about his replacement and this was due to the kind of relationship we enjoyed with him, however, Milaika (Capella Ras) has now been appointed and while we are in the ‘getting to know each other’ stage, so far, she is just as inclusive as Fernando. We are already working closely with Milaika as she started in March as Deputy General Manager and we organised the CSA’s first ever virtual AGM which was a success.” Dionne is accustomed to wearing two hats – one involving her work for the CSA and her substantive role with the SAJ, and pays tribute to the SAJ and CEO, Trevor Riley. “As many may know, I am Operations Manager with responsibility for Property and Administration with the SAJ and Trevor has allowed me the time to be involved with the work of the CSA. When

Clive Forbes resigned and then President Carlos Urriola asked if I could be a part of the Executive Committee, Trevor agreed without hesitation. I’m allowed the time to travel for the meetings and site visits and this is in addition to providing oversight for the CSA’s Secretariat which is based in Jamaica. For me, this is a great opportunity, which has afforded me invaluable exposure to port operations in the various territories and in addition to making lifelong friends in a number of the places we have visited.”

EFFICIENCY As is clear, getting a conference or an AGM organized requires hard work and tremendous efficiency. Dionne says she relies upon a detailed action plan and an effective contact/resource person in the hosting territory. “Planning a conference is a lot of work and it is even more tedious when it has to be done remotely. You have to liaise with the hotel, the host, and the suppliers remotely, which means

we have to rely heavily on the point of contact in the territory along with the internet, which facilitates the constant communication required.” As mentioned earlier, there is also Dionne’s ability to appear as a swan, serene on the surface while paddling frantically under the water. “I can’t say that any of our meetings have gone off without a hitch, it’s just that it’s not seen. I recently shared with Milaika that at one of our meetings, the night before the conference, we discovered that there was no conference banner. This was Sunday night at about 7pm., and the conference was scheduled to begin 8.30am. Monday morning. So, you know we had to have someone work through the night to get the banner done, but by Monday morning, a banner was in place. We have had items stuck in customs, which has resulted in us to traveling with the very important items and also ship items well in advance. So, I would say each meeting and each territory will come with

Getting a conference or an AGM organized requires hard work and tremendous efficiency. Dionne relies upon a detailed action plan and an effective contact/ resource person in the hosting territory

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CSA PEOPLE DIONNE MASON-GORDON

challenges or uniqueness, as I like to say, so we prepare for the unexpected and improvise where possible.” Having been around and been involved in the CSA and its conferences for so long, it’s only natural that subtle, maybe imperceptible changes have taken place over the years. As Dionne explains: “The AGMs and the CSECs have definitely changed over the years. When I started assisting with the CSA, the May meetings were actually Semi-Annual General meetings and had about 80 persons attending. That has changed to the Caribbean Shipping Executives’ Conference and now, depending on the territory, sees over 200 attendees. The AGMs used to attract about 120 persons, we now have AGMs with over 350 in attendance. Attendees were normally from the Caribbean, now we have participants from Europe, Canada, and the US. Technology has factored significantly in the change as we now collect fees through our online registration platform and we are able to promote the conferences through our website and social media. We are now sharing presentations with participants which was not possible in the 1980s and 1990s.

CAMARADERIE And as for dealing with the delegates. “All I will say is what happens in the CSA Secretariat stays in the CSA Secretariat. One thing I will say is nothing happens that a little “spirit” couldn’t fix. I must say that the camaraderie among the Secretariat and the membership of the CSA has been, and still is, a great experience. I recall our meeting in Fort Lauderdale in May 2018 and when my good friend, Nazilia Simone Phillips, current Vice President of the Shipping Association of Barbados, arrived. So happy I was to see her that I ran and literally jumped on her and we both fell to the ground… hilarious, but that’s the love we have for our members.” Dionne believes the CSA is just that little bit different from other similar

24 Caribbean Maritime | February - May 2021

We are indeed a family. Through the relationships formed at CSA, we have access to some the most influential executives in the regional maritime sector associations. “I have been to a few conferences and the experience with those secretariats is totally different to what is experienced at CSA. As our Vice President, Marc Sampson, has said many times, ‘we are a family and if you cut one of us, the other one bleeds’. We are indeed a family. Through the relationships formed at CSA, we have access to some the most influential executives in the regional maritime sector. Past CSA President Carlos Urriola is the President of a major maritime operation and I am able to take up the phone and call Carlos at any time. This just demonstrates how

the friendships created in the Association facilitate partnerships and the more serious business of cooperation among the various territories, organizations and individuals.” Finally, looking ahead to the rest of 2021, Dionne reflects on the disappointments of last year but is bullish about future prospects. “We already had certain plans in place for St Lucia and Puerto Rico and we had even done our site visit to St Lucia prior to the Covid-19 pandemic. Therefore, we would be ready to roll if the world can get Covid-19 in check.” That’s something everyone is wishing for in 2021.

CSA PEOPLE MICHAEL JARRETT

In praise of Michael Jarrett I first met Michael Jarrett in October 1983… 37 years ago. It was a CSA AGM held in San Juan. A time when all of us were young and eager. A youthful Luddy Stewart was President and was ably supported by a General Council of well-known Caribbean shipping executives. (I had the honor to write about that AGM several years after under the heading “Coming Full Circle” for Caribbean Maritime magazine no.16… October 2012. Michael Jarrett sat at that General Council table and along with his colleague Tony Gambrill he ensured that the happenings in CSA were reaching all of the region’s print media. CSA was 12 years old at that time and it was still evolving to meet the changing needs of the industry while creating a platform upon which the voice of regional shipping could be heard. Michael Jarrett (Mike) was the thinker and driver of many of these events that gave CSA its recognition and from these early years onwards he quietly progressed the development of the CSA, taking ideas of the various Presidents he served and turning them into strong pillars upon which CSA grew. I knew him first as a colleague then as a trusted friend whose calm and quiet persona belied a brain chiseled by his formal training in the print media business and a genuine love for the Caribbean maritime transport business.

GENERAL COUNCIL In planning sessions on General Council he listened well with a slight tilt of his head in a manner that said he cared for what you had to say....eventually modifying the particular plan like a gem smith bringing a rough stone to life as a diamond. He and Luddy Stewart were inseparable and I got to know later on that the relationship was built on trust first and then on love of this business.

Mike developed Caribbean Maritime magazine… it is his baby, born out of passion and bred out of love… He kept abreast of all regional and international happenings that were of value to CSA and with the birth of the World Wide Web he pushed to ensure that CSA took its rightful place on that highway. A lot of this was developed in my Presidency and Mike’s enthusiasm and support helped develop our email address. He conceptualized the notion that the experiences of older members would be of tremendous benefit to CSA going forward and such experiences could be quietly harnessed as a marker for new members to understand the value of CSA. The Silver Club was born in 1995 and the inaugural event was held in Barbados during the Banquet Night of the AGM in October 1995.

SILVER CLUB Mike wrote the Charter for the Silver Club, designed and had the silver pins struck. Later on, in the life of the Silver Club he developed the Silver Club Roast, a not-to-be missed dinner where SC members, their spouses and guests enjoyed great a dinner and drinks, camaraderie and the “roasting of a hapless member” During the investiture of Mike into the Silver Club, I made some remarks that Mike had the knack of knowing where we were going wrong long before we knew it and he was never afraid to tell us that we were wrong… a characteristic that made him invaluable.

This is borne out in the fact that at no time in his 30 years at General Council did the CSA ever make a “wrong step” in public. He nurtured the idea of an exhibition held in the halls of AGMs allowing suppliers to the industry to showcase their products... I was very much a part of that developing idea and can testify to Mike’s herculean effort in creating what over many years was a successful feature to our AGMs generating much needed income for CSA. Mike however continues to give his talents to the maritime community through his magazine, a medium he developed following his retirement from the CSA.

David Harding 11th President, CSA

Mike had the knack of knowing where we were going wrong long before we knew it and he was never afraid to tell us that we were wrong… a characteristic that made him invaluable

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ASTIVIK SHIPYARD

WORKING HARD in a challenging market

It was a tough year for many and the Caribbean ship repair sector in 2020 certainly had its ups and down. One shipyard working hard in a challenging market is Cartagena-based Astivik Shipyard.

aribbean Maritime spoke to the yard’s business development manager Cristhian Mar González about current market conditions and how Astivik has had to adapt its working practices in light of the coronavirus pandemic. First off, Astivik acknowledges that it has been tough. Says Mar González: “Given market demand, Astivik has concentrated its efforts on ship maintenance, ship repair and ship conversion projects. However, we have extensive experience in newbuilds, which includes barges, tugboats, push boats, self-propelled vessels and floating drydocks. These newbuilds have been delivered to companies such as Drummond, Glencore, Seacore, Impala/Trafigura among others. All were built to international standards set down by the American Bureau of Shipping (ABS), Lloyd's Register or Bureau Veritas (BV).”

WORKLOAD The yard’s current workload comprises projects for local clients. “We are currently developing a newbuild project for the Colombian gold mining industry, and although the local demand for these types of projects is limited, and companies abroad don’t often see Colombia as a possible source for newbuilds, we want to be internationally recognized – especially with our 48 years of expertise in the field, our certified personnel and our high-quality standards. These, alongside strategic alliances with the world’s leading manufacturers of propulsion and manoeuvring systems, supervision and certification

26 Caribbean Maritime | February - May 2021

of most IACS member class societies established in Colombia and competitive prices, make us one of the best options for newbuilds in the Caribbean.

ADAPT In addition to working in a tight market, Astivik – along with many others – has had to adapt working practices and been impacted by national and international travel restrictions and onerous new health protocols. “It has been a very challenging year, during which we have attended the national market mostly, however, a large part of our sales come mainly from vessels from Caribbean countries such as Panama. Due to Covid-19, maritime borders were closed for about a month and international flights were only re-opened comparatively recently. During this period, we focused our efforts on national projects and the maintenance of our infrastructure in order to generate job opportunities in the region. Once the maritime border was re-opened, and thanks to the trust we have built, on 16 May we received our first US-flag ship, complying with strict biosafety protocols, and ever since, we have continued working in what we called the “new normal”, constantly updating our biosafety protocols, and getting excellent results through the service we have provided. “The ship repair and ship maintenance market is increasingly competitive, customers not only expect good prices, they also demand optimal delivery times. We are

focused to continue offering our clients a service that exceeds their expectations by combining quality, safety, delivery times and competitive prices, consolidating not only their trust in our work, but also establishing our position as one of the main shipyards in the Caribbean.” And prospects for this year? “We feel very optimistic that we will be able to reach our 2021 commercial objectives and will continue to establish ourselves as one of the main shipyards in the Caribbean,” Mar González confirms.

We have continued working in what we called the “new normal”, constantly updating our biosafety protocols

LIFTING CAPACITY ‘Astivik offers Colombia’s highest dock lifting capacity at 4,000 tons. This represents a vessel of approximately 120 m LOA and 17 m beam. Including subcontractors and depending on the production level the yard employs between 300 and 500 people daily.

contract was the 1975-built Don Oscar P, a US-flag tugboat belonging to the South Puerto Rico Towing Co, classified under ABS and which during its special drydock, the yard worked on the propulsion system, performed hull painting, undertook 13 tons of steel renewal, changed pipes etc.

In 2020, Astivik handled more than 80 repair and maintenance projects from clients from around the world. One particular highlight was the 94-meter length, BV-classed, Panamanian tanker Kelly Trader, which had its intermediate drydock at the yard and which included hull, deck and superstructure painting, 10 tons of steel renewal as well as other work. Another notable

Last year Astivik began to execute its master plan which includes the modernization of the infrastructure, acquisition of new equipment, implementation of high technology, and in 2021 the yard will begin the construction of a new floating drydock that will have a lifting capacity of 8,000 tons. Once operational, Astivik will seek to position the yard in the tanker, cargo, and fishing vessel segments.

ASTIVIK SHIPYARD FOUNDED IN 1972, Astivik Shipyard has clients from more than 30 countries around the world, and bases its service on international standards and procedures that are certified by IACS. Astivik Shipyard has four floating docks and two high-performance docks for small vessels with different capacities, with the aim of offering support to varying types of projects.

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CURAÇAO MARITIME ASSOCIATION (CMAR)

t’s a formation that was, perhaps, long overdue, but the Curaçao Maritime Association (CMAR) is now a reality. Formally registered last November, CMAR is a new member-based association comprising both domestic and international maritime service providers, carriers, stevedores, terminal operators, shipping agents, tug and barge operators, and other related organizations. The Association is working closely with local Government agencies, the Chamber of Commerce & Industry and the island’s private sector to promote the growth and wellbeing of the maritime-related community. And its formation has already received a warm welcome by the authorities. Says CMAR president Johan Stegmeijer: “The Government response was very positive to the foundation of our Association. We have presented ourselves officially to the Ministry of Economic Development (MEO) and to Minister Steven Martina and his staff. He has kindly requested if we could work together with them to develop and provide

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substantial content to the Maritime Section of the Curaçao Export Strategy. As such, we believe we will need to frequently discuss with the MEO, Ministry of Traffic, Transport & Urban Planning (VVRP) and the Prime Minister’s Office several challenges faced by the maritime sector.

INITIATIVES CMAR promotes initiatives to advance the interests of its members, and to achieve world-class safety and technology levels

CMAR’S VISION To be the premier professional, client-oriented, economically attractive service organization in the maritime industry, growing ports across Curaçao with a professional and economic labor force, efficiently providing services, efficiently moving cargo in sustainable harbors flourishing with natural resources.

tateyama / Shutterstock.com

NEW MARITIME ASSOCIATION FOR CURAÇAO in terms of standards and practices. The programs and initiatives toward the development of industry professionals have played a pivotal role in the evolution of Curaçao’s business sector. CMAR already has around 30 members, and its board is made up of various wellknown local industry figures comprising the aforementioned Johan Stegmeijer, Lodewijk Franken (vice president), Stephan van Dijk (treasurer), Ronald Hania (secretary), and Rob Sint Jago. The board will

serve a two-year term before standing for re-election. Its first AGM was due to take place 21 January 2021 (but was postponed due to Covid-19) and there was a New Year cocktail party at the CMAR head office where there is also the “maritime Palapa Bar” meeting point for members. The Association has been impressively quick out of the starting blocks and has already announced the signing of a memorandum of understanding (MoU) with Holland House Mexico. The aim of this MOU is to support the member companies of both organizations as well as build relationships between the associates. Members of CMAR and Holland House Mexico (an independent trade promotion and investment body) will have access to events set up by both organizations and the two aim to further strengthen the relationship among Dutch companies in the wider Caribbean region.

APPEAL CMAR aims to have broad appeal. Says Stegmeijer: “Any company with specific interest in maritime business in Curaçao can become a member. Being a member means an opening of a network of maritime organizations in Curaçao. We open doors for the members.” In this regard, CMAR has applied for and then attained membership in December of the Caribbean Shipping Association (CSA). This membership has huge benefits for all CMAR members who can now join both of the important CSA Conferences each year. Besides that, each member can use the training platform offered by the CSA. For low cost or no cost, members can benefit from a broad range of different maritime industry training schemes. In fact, training is a key aim of the CMAR in order to improve skill levels among the employees of its members as well as the employees of non-members.

A LONG-TIME COMING CMAR president Johan Stegmeijer explains why there has been no such Curaçao association until now: “The Curaçao maritime sector consists of a few dozen smallto-medium size service providers. Historically these were connected to influential families and, as such, there was no real need to unite. “Nowadays, the number of service providers has grown significantly and with the decline in the oil and gas market and the stand-still at the refinery, the challenges have increased. Specifically, during a coronavirus dominated 2020, we have felt the need to join forces to speak as one voice and communicate our needs in order to become a stronger market. “So, we started organizing maritime get togethers in our local Palapa Bar every three months where one company is hosting and presenting themselves. This was very successful. We knew that there was an organization already on the island but its kind of sleeping and non-active. Also, the MEO told us that they can’t talk to the private sector if we are not organized. So, we decided to set up CMAR.”

The Association is a group of leaders from the maritime/shipping industry who bring to the table a variety of talents, experiences and expertise. There are specialist committees that assist the Board in terms of specific assignments within the industry. In particular, CMAR wishes to bring more international maritime business to Curaçao by working together and offering attractive proposals to execute work in or even

This membership [of the CSA] has huge benefits for all CMAR members who can now join both of the important CSA Conferences each year

beyond the island. Negotiation of collective agreements with waterfront trade unions, port pilots in the control of maritime traffic and the imposition of industry charges or tariffs by either the Curaçao Port Authority, the Legislative Assembly, federal agencies and or by the Government of Curaçao. CMAR also aims to play an important role as representative of an industry crucial to Curaçao economic success, maintaining a positive image, while showing leadership in regard to social responsibility and the environment. CMAR clearly has lofty ideals and ambitions, but these will be needed as Curaçao seeks to position itself for a changed postCovid-19 maritime world.

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JIFMAR SAIL-ASSISTED CARGO SHIP

Jifmar chooses Dutch yard for sail-assisted vessel NEPTUNE SHIPYARD

urther to the story in Caribbean Maritime issue 39 and somewhat later than originally planned, French shipowner Jifmar Guyane has now selected the Dutch shipyard Neptune to build its revolutionary sail-assisted vessel Canopée. When delivered in 2022, Canopée will operate for the ArianneGroup between Europe and the Kourou Spaceport in French Guiana/Guyane located some 60km from Cayenne. The vessel will actually be managed by Alizés (a joint venture between Jifmar Offshore Services and fellow French firm Zéphyr & Borée) which had previously won a maritime transport tender from ArianeGroup. The Canopée is specially designed to transport the Ariane 6 – the latest launcher from ArianeGroup and which is being built in Europe. The first test flight of Ariane 6 is set for 2Q 2022.

CONCEPT The construction of the 121-meter length vessel will take place at Neptune’s Hardinxveld-Giessendam yard in the Netherlands and also in Poland. To fulfil the original design concept, Neptune approached Groot Ship Design, a firm specializing in ‘Open Top’ cargo vessels which is also located in the Netherlands and Poland. This was based on the original architectural project completed by VPLP design which had enabled Alizés to win the ArianeGroup tender.

The vessel will be equipped with four wingsails which together cut fuel consumption by around 30 per cent Ayrowhich, a VPLP Design subsidiary, will supply the wing-sails for the ship. The vessel will be equipped with four wing-sails which together cut fuel consumption by around 30 per cent. The wing-sails, measuring in total 1,450 m2, will mean a reduction of up to 7,200 tons of CO2 a year compared to a ship of the same size fitted with standard propulsion.

Images: Zephyr & Borée / Jifmar

www.caribbean-maritime.com 31

SURINAME

COMMEWIJNE PORT FACILITY

Suriname lines up new shore base port I

n 2020, amid the worldwide Covid19-induced economic downturn, Suriname reached second place, only behind Russia, in terms of discovered oil and gas reserves. And all this from just one offshore find in Block 58, and without counting a first promising recent discovery in Block 52. Major stakeholders, including the Government of Suriname, have committed themselves to the commencement of commercial offshore oil production within the next five years. As such, dedicated port facilities are required to address the needs of the offshore oil and gas exploration and production industries, as they steadily ramp up their operations. Furthermore, and to secure maximized local industry involvement in the sector – involvement that could basically equal national income from direct oil revenues – dedicated port facilities will be required, of which to date, Suriname has none. In broad terms, and through such a shore base port facility, it’s estimated that more than US$ 12 billion in local revenue can be generated over the next 25 years from activities in offshore Block 58 alone. Within five years, the Suriname offshore oil and gas sector is projected to create at least 2,000 local jobs, of which a minimum of 250 will be directly employed at a shore base port facility, with countless more in supporting industries and businesses. At the same time, a local shore base significantly benefits operations at sea by cutting

32 Caribbean Maritime | February - May 2021

up to four days off the duration of a round trip when compared to the use of Trinidad as a location for operations. So, this is the reason Commewijne Port Facility (ComPort) NV is being set up in Suriname to specifically address the needs of the offshore oil and gas sector, to progressively expand with the industry as is needed, and to maximize the creation of local content and participation in the emerging Surinamese offshore energy sector. ComPort has been established by a group of local entrepreneurs, with close to 60 years cumulative leadership experience in engineering, construction, marine operations, building materials and finance.

Paramaribo

ESTUARY ComPort is located in the wide estuary of the Suriname and Commewijne rivers, close to the Suriname river fairway and the Atlantic coast, with ample surrounding real estate for shore base expansion and for establishing a zone for industry dedicated to offshore supplies and services. Unfortunately, much of Suriname’s Atlantic coastline and its other major rivers are extremely shallow. And the sheer amount of continuous dredging required to make a port of this size and scope work, renders most of these potential locations less than economically viable. Suriname’s existing harbor facilities, can, at most, only be upgraded to service the first phase of offshore oil production, and with a single FPSO. In neighboring

Guyana, within the first year of oil production, two additional FPSOs have already been commissioned, and port facilities are projected to double, if not triple, in capacity, within the first five years of operation, as the total number of offshore production wells steadily increases. ComPort has been specifically designed to allow for much greater vessel draft in the future than is currently feasible with the existing Suriname River fairway depth. In fact, the quay design allows increased vessel draft after additional dredging up to 9.5 meters. ComPort has commissioned a design

COMPORT Comm Nieuw Amsterdam

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for the first phase of port facilities on 50 acres of prime real estate already secured for the project, including a large area of water-front property. Acquisition of additional real estate for future expansion is well under way.

FIRST PHASE The proposed first phase of the shore base is to include two berths, heavy duty paved laydown and open-storage areas, heavy lifting equipment, water and waste treatment facilities, potable water and fuel bunkering, wash bays, warehouses for storage and construction services, offices,

helipad, customs and medical facilities, and ample space reserved for drilling fluid production. With a substantial part of the engineering work already completed and the port permit secured, the current projected timeline for first-phase completion is Q4 2022 and thereby addressing the growing need for dedicated offshore oil and gas port services for both exploration and production operations. In the meantime, ComPortâ&#x20AC;&#x2122;s Serge Tijn Wong Joe told Caribbean Maritime that expressions of interest to partner and to participate in the realization and operation

of its shore base port facility are welcome. The future for the Surinamese economy looks bright and ComPort is striving to play a considerable part, along with all major stakeholders, in ensuring that the nation has the necessary infrastructure to meet the anticipated demand from the oil and gas sector. Suriname is already the location for two privately held ports â&#x20AC;&#x201C; Traymore-operated Moengo on the Cottica River and the 400-meter length multipurpose Kuldipsingh Port Facility, which can also accommodate offshore support vessels.

www.caribbean-maritime.com 33

HUDSON ANALYTICS CYBER RESILIENCE

IMPROVING CYBER RESILIENCE THROUGH TRAINING A Call to Action

s of October 2020, 59 percent of the world’s population – that’s almost 4.66 billion people – used the Internet to access information or communicate, actively selling goods and services, exchanging all forms of data and connecting with friends, family, business connections and communities of shared interest. How do these 4.66 billion people with different education levels and experience, from different cultures, speaking diverse languages, residing in different countries, and perceiving the world through their own values, function securely? More specifically, how do maritime transportation organizations function securely within such a global community? One of the fundamental steps a maritime organization should take is to initiate and sustain a cyber-aware culture. According to the European Union Agency for Cybersecurity Cyber Security Culture in Organizations the “concept of cybersecurity culture refers to the knowledge, beliefs, perceptions, attitudes, assumptions, norms and values of people regarding cybersecurity and how they manifest themselves in people’s behavior with information technologies”. Maritime transportation organizations face a serious challenge in aligning these factors among staff, which may be spread across regions or even around the globe. Creating an organization-wide cyber-aware culture requires, first and foremost, a basic understanding of existing threats, system vulnerabilities, and the potential consequences of a cyber breach. Achieving such

34 Caribbean Maritime | February - May 2021

awareness requires appropriate cybersecurity awareness training among all staff. To this end, HudsonCyber conducted a survey in early 2020 to identify cybersecurity awareness training needs in the port and maritime industry. According to the findings, over 70 percent of respondents affirmed that cybersecurity was important in their daily job activities, and nearly 50 percent acknowledged that they had not received any cybersecurity awareness training.

By Chronis Kapalidis HudsonCyber

A “CYBERIZED” MARITIME SECTOR The risks to the organization generated from staff not having received cybersecurity awareness training have risen alarmingly. Fifteen years ago, the security requirements defined in the International Ship & Port Security (ISPS) Code provided adequate guidance for the protection of vessels and port facilities. However, cyber threats now represent an increasingly significant form of risk to maritime organizations. As the maritime industry rapidly digitalizes, partly due to the Covid-19 pandemic that has only accelerated changes to its modus operandi, most business processes and operational components are progressively interconnected. In this sense, cyber risk management has ascended to an enterprise-wide discipline that executives must understand, own, and advocate across the entire organization rather than relegating it to the

Travel_with_me / Shutterstock.com

information technology department. Overall, the global maritime industry has been, is, and will continue to be affected by cyber-attacks that include malware and denial-of-service attacks, spear-phishing emails, and network penetration or disruption activities. Threat actors no longer

The recent SolarWinds cyber-attack underscores the fact that executives must accept that their organizations are likely already compromised require physical access to an organization to commit harm or gather information for illicit purposes. Malicious activities can go undetected by port authorities, terminal operators, and shipping companies for months and, in some cases, years. For example, the recent SolarWinds cyber-attack underscores the fact that executives must accept that their organizations are likely already compromised and will operate with an ongoing degree of cyber risk “unknowability.” The extent of this attack serves as a disturbing reminder that Advanced Persistent Threats can undermine confidence and trust in proprietary organizational data, client information, intellectual property, and financial data.

CREATE A CYBER CULTURE VIA TRAINING Research consistently reaffirms that human error represents the most common cause behind successful cyber breaches.

Since employees frequently override security measures, humans, not technologies, represent the greatest recurring source of cyber risk. For this reason alone, cyber threat actors frequently target employees. Training employees on cyber risk awareness is one of the most cost-effective and consequential steps a maritime organization can take to create a cybersecurity culture, reduce its organizational cyber risk profile and increase overall cyber resilience. In today’s threat environment, maritime organizations must train staff to understand how to recognize threats and avoid falling victim to malicious schemes that attempt to exploit them in gaining unauthorized access to organizational data. Developing a cyber culture empowers staff to identify, report and, if possible, mitigate vulnerabilities, provide the necessary foundation for achieving organization-wide cyber resilience, and create a sense of shared responsibility and accountability across the organization.

THE CSA 2021 CYBER AWARENESS SEMINAR SERIES To help its members navigate these challenges, the Caribbean Shipping Association (CSA) has partnered with HudsonCyber to deliver a four-part virtual cyber seminar series throughout 2021. Seminar workshops will provide important insights to CSA members regarding organizational cyber risk assessment and management as part of a continuous improvement process; cyber incident response and recovery; managing cyber risk in the supply chain; and cybersecurity awareness for executives. Every day, maritime organizations are falling victim to cyber-attacks, and CSA members are no exception. The question for 2021 is whether your organization is doing enough to empower your people and bolster your ability to withstand and recover from a cyber breach.

www.caribbean-maritime.com 35

The latest news from around the Caribbean

ROUND UP

FLORIDA

Panama's Ministry of Commerce & Industries has issued Executive Decree No. 274, which establishes incentives for cruise ships which adopt the Republic of Panama as a home port. This Decree was effective from 20 November.

Port Everglades has taken delivery of three low-profile Super PostPanamax container gantry cranes – the largest of their type worldwide. The new cranes form part of the port’s US$3 billion 20-year master plan, which also includes new cargo berths, expansion of its cruise and energy capacity as well as improvements to its navigation channels. The three gantry cranes are valued at US$13.8 million each and the port has options on three more.

The tourist promotion benefit entails the reimbursement of the toll paid for transiting the Panama Canal, for each operation carried out by the cruise operator with a home port in Panama, according to the official rate set by the Panama Canal Authority.

China’s Shanghai Zhenhua Heavy Industries Co (ZPMC) designed and manufactured the cranes as special “low-profile” models that extend out rather than up in order to avoid the flight path in and out of nearby Fort Lauderdale-Hollywood International Airport.

JAMAICA

The Port Authority of Jamaica claimed two awards from the Jamaica Institute of Engineering in November. The Port Royal Cruise Development project was chosen as Engineering Project of the Year for 2020 and the Engineering Project of the Year was awarded to the Ocho Rios Fishing Village Project.

The reimbursement will be made by the Tourism Authority of Panama, according to the date of operation of the cruise, provided that the cruise company proves that 80% of the passengers on board are foreign nationals.

artemu kopylovk / Shutterstock.com

In addition to purchasing the new cranes, the port’s seven existing low-profile Post-Panamax gantry cranes in Southport will each be upgraded to a lift capacity of 65 tons from the current 46.5 tons that will add the capability to perform twin-picks.

PANAMA

CAYMAN ISLANDS

The Cayman Islands government is being asked to consider the construction of an LNG terminal at Breakers, Grand Cayman. The locally registered BreakersLNG (Cayman) Ltd and Texasbased Eagle LNG Partners are jointly proposing the establishment of the floating LNG terminal moored off Scott’s Quarry. The project, which is still in its early stages, solely deals with the creation of an LNG terminal, including off-shore moorings, and is unrelated to previous plans for a cargo and cruise port that have since been halted. The project involves the delivery of LNG from ship to shore through a marine mooring and land connection, similar to the fuel trans-shipment process currently in operation at Jackson Point in George Town, as well as the construction of a storage tank in an existing quarry.

SVITZER

Svitzer has appointed Rutger Thulin as new managing director of its Terminal Towage Cluster in the Americas. The Cluster includes Svitzer Americas’ operations in Canada, Peru, Costa Rica, Statia and The Bahamas. Mr Thulin comes with a proven track record from different management positions throughout his 14 years

with the AP Moller-Maersk Group. He has been with Svitzer for seven years, and for the past four years, he has been managing director of Svitzer Brazil. Svitzer operates 80 vessels in ports and terminals in 12 different countries in the Americas.

www.caribbean-maritime.com 37

ROUND UP The latest news from around the Caribbean

ANTIGUA & BARBUDA

Eagle LNG Partners has entered into a long-term agreement with the Barbuda Ocean Club in Barbuda to supply natural gas to the island. Sean Lalani, President of Eagle LNG, says: “This project demonstrates our commitment to provide low-cost energy which enables economic growth and recovery in Barbuda and similar places. The Barbuda investment is one of several turn-key solutions Eagle LNG is developing in the Caribbean basin for utility and industrial clients. In providing lowest-cost, fully integrated, US natural gas solutions. Since early 2018, Eagle LNG has loaded hundreds of ISO and trailers loads from its Maxville, Florida LNG liquefaction and marine terminal facility for Jacksonville’s Crowley Maritime and other clients.

THE BAHAMAS

Construction of the new Nassau cruise port has begun and heralds the reconstruction of one of the dock’s oldest berths and the demolition of various buildings. The Port Department building, the last of the buildings remaining on site, was torn down in early January with demolition completed by the second week of February.

38 Caribbean Maritime | February - May 2021

JAMAICA

The Shipping Association of Jamaica (SAJ) has a new president. William Brown, group managing director of Lannaman & Morris (Shipping) Group of Companies, took office as president of the SAJ at the Association’s AGM held in November. The new SAJ president is a chartered accountant and certified international trade professional specializing in fraud, inventory logistics, shipping agency forensics as well as international trade investigations on behalf of the World Trade Organization. Mr Brown is also on the General Council of the Caribbean Shipping Association (CSA) and serves as Group D chairman, a member of the board of directors of the Maritime Authority of Jamaica (MAJ) He also chairs the Government's Enterprise Committee for the privatisation of the MAJ’s Jamaica's Ship Registry.

pandemic. Mr Johnston did not seek re-election after serving two consecutive terms. The SAJ also appointed Corah Ann Robertson-Sylvester to the post of vice-president after Grantley Stephenson, following his retirement from Kingston Wharves, chose not seek re-election. MS Robertson-Sylvester is the CEO of Seaboard Freight & Shipping Jamaica and a past-president of the CSA.

In his outgoing president's report at SAJ, Charles Johnston confirmed that the organization was fortuitously prepared for the “new normal” brought on by the Covid-19

WORLD MARITIME UNIVERSITY

The World Maritime University announced that Bahamian PhD candidate Kristal Ambrose was the recipient of the prestigious Goldman Environmental Prize for 2020. The award is the world’s foremost environmental prize and honors outstanding environmental activism through community and citizen participation on critical sustainability issues facing the planet. Kristal founded the Bahamas Plastic Movement in 2013 to develop solutions to plastic pollu-

tion and to educate young people about the importance of a clean and healthy ocean. She joined WMU in September 2020 to undertake a PhD focused on plastic pollution as part of the WMU-Sasakawa Global Ocean Institute’s Closing the Circle capacity development and research programme on marine debris, sargassum and marine spatial planning in the Eastern Caribbean.

WIMAC

The 3rd Annual Women in Maritime Association Caribbean (WiMAC) General Meeting and E-Conference took place in December. This was a welcome opportunity for members to meet, take stock of progress and circumstances as an Association. It was also a moment to plan a strategy for moving forward that engages all members and partners more purposefully. The Association also wanted to celebrate what members had endured and what they had achieved.

THE BAHAMAS

The Bahamas Maritime Authority has unveiled vibrant new branding. Part of the launch features a striking new logo complemented by an eye-catching suite of new and revitalised brand assets which combine maritime heritage with a contemporary twist, including a brand-new website: www.bahamasmaritime.com. The rebrand comes as the BMA celebrates its 25th anniversary and follows its recent announcement of enhancements to the Bahamas Online Registration Information System (BORIS).

CMA-CGM

Late last year, French carrier CMA-CGM launched its new Flamingo Express service, which offers direct connection between Miami, Nassau, St Croix, Sint Maarten, Kingston and Port Lafito.Direct connections to and from The Bahamas with other Group lines is possible via the carrier’s Kingston hub.

THE OCEAN CLEANUP

The Ocean Cleanup (see Caribbean Maritimes passim) has announced that it is partnering with Finland’s Konecranes to handle the manufacturing and series production of its Interceptors at the MHE-Demag facility in Malaysia. Laying the groundwork for global scaleup, Interceptors 005 and 006 are currently being built simultaneously at Konecranes’ MHE-Demag set-up in Klang and are expected to be completed in May. These two Interceptors will be different from the first-andsecond-generation units deployed in Jakarta, Klang, Santo Domingo and Kingston. The third generation is the result of knowledge gained from these early deployments to help improve its collection efficiency and ease of production.

TRINIDAD & TOBAGO

The Trinidad & Tobago Inter-Island Ferry Service has taken delivery of a new vessel built by Incat Tasmania. The 100-meter length Buccoo Reef has entered service between Port of Spain and Scarborough. Buccoo Reef has capacity for 1,000 passengers in three lounges. The vehicle deck will have 175 truck lane meters and capacity for 182 cars, or 239 cars if trucks are not loaded. The vessel has an operating speed of over 40 knots, powered by four MAN 16v 28/33 STC marine diesel engines and Wärtsilä WXJ 1200 SRI waterjets. Meanwhile, Austal Australia is constructing two aluminium monohull 58-meter Cape-class Patrol Boats for the TTCG under a A$ 126 million contract awarded by the Government of the Republic of Trinidad & Tobago. The pair are scheduled for delivery in the first half of 2021.

Konecranes will now handle Interceptor manufacturing, installation, and maintenance; local partners will oversee operations, and The Ocean Cleanup will continue to act as the technology and best-practices provider, lead business development for upcoming Interceptor projects and further conduct scientific research.

The Ocean Cleanup

NATIONAL SHIPPING OF AMERICA

National Shipping of America (NSA) has announced a new service under Marad’s American Marine Highway Program with the M-10 designation. This service is a domestic water service between NSA’s base port of Houston to Port Everglades, which provides customers an alternative to overland trucking. After calling at Port Everglades, the new service continues on to San Juan. The port call in Port Everglades should be welcome news for the Puerto Rico food export industry. The service features a Friday night close in Port Everglades and Wednesday arrival in San Juan.

www.caribbean-maritime.com 39

ROUND UP The latest news from around the Caribbean

DOMINICAN REPUBLIC

The US’ EXIM Bank has signed a US$1 billion MoU with the Dominican Republic for a range of infrastructure projects including new LNG terminals. Under the MoU, EXIM and the local Banco Nacional de las Exportaciones (BANDEX) agree to explore and identify potential opportunities for EXIM financing in a total aggregate amount of up to US$ 1 billion including port and liquefied natural gas (LNG) terminals.

BARBADOS

Kestrel has been appointed agent for Höegh Autoliners in Barbados. Höegh offers roro and breakbulk service with regular sailings from Asia, Europe, North America and intra Caribbean. Andy Thorne Kestrel group CEO says: “We are delighted to be extending our co-operation with Höegh Autoliners in the Caribbean by adding Barbados to St Vincent, where we were appointed last year.”

TRAINING

The Netherlands’ Simwave BV and the Philippine Center for Advanced Maritime Simulation & Training, Inc (PHILCAMSAT), signed a joint venture agreement that will pave the way for a ‘new era of continuous development’ in the maritime industry at a digital signing ceremony last December. The partnership will provide the maritime industry with a customizable learning management system using the Simwave Maritime Assessment Program. The first of its kind, the joint venture signifies a broad partnership, with training centres unmatched in the countries where they two operate. Simwave, Europe’s leading independent maritime simulator centre, and PHILCAMSAT, Asia’s only European certified training centre, will jointly work on technology solutions as well training and assessments curricula of the highest standards in order to provide a global training and assessment solution for the world’s shipping companies. The program will be available both online and onsite through accredited centres. Simwave, which also has an office in Vietnam, provides worldwide training, assessment and applied research solutions for the maritime industry. With a strong focus of the use of digital solutions like simulations, XR (combined VR & AR) and online training solutions Simwave is the innovative market leader in the maritime industry. Through local partnerships, Simwave enables

clients and maritime institutes to use the latest technology and course/ assessment materials. One of the latest is the Infection Preventionist Course for shore-based personnel and crew members to create awareness and competencies in the on-board health domain. In South America, Simwave has carried out several port studies as well, from new port developments through a risk assessment to determine safe operations. Simwave’s portfolio consists of a broad range of ports and ships and every week new ports are added. Simwave, CEO Marcel Kind says: “Our network is gradually expanding and as Simwave we have a strong relationship with South America. We employ specialists from Brazil (offshore) and Venezuela as well as we train a lot of crew members from the region. Through local partnerships we create a worldwide training standard for all seafarers which is truly unique, both online as in on-shore centers. We do not provide a single training but a competence solution. After successes elsewhere in the world, Simwave is now reaching out to the Caribbean maritime community to find joint venture partners in order to increase training opportunities in the region.

Calvin Alkins MD of Kestrel Barbados added: “Our decades of logistics experience in Barbados, and ability to complete customs formalities for consignees in house will enhance Höegh Autoliners service offering from North America, Asia, Europe and the United Kingdom”

www.caribbean-maritime.com 41

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PHOENIX PARK

Phoenix Park takes shape Phoenix Park Industrial Estate – a joint logistics development between Trinidad and Tobago and the People’s Republic of China (PRC) – is the first of its kind in the Caribbean.

he project is part of China’s Belt and Road Initiative. The backers of Phoenix Park believe its unique location for both domestic and international investors will prove compelling. Situated on 144 acres in Point Lisas, the Park is only 10 minutes away from the Point Lisas Industrial Estate which is managed by PLIPDECO. It is also just minutes away from Port Point Lisas, the country’s second largest port with a significant container handling capability. This gives exporters and re-exporters the advantage of easy access to regional and global consumer markets. As it is, the PLIPDECO Estate is already home to over 100 companies – mainly involved in the production of petrochemicals. The Park will be at aimed at those in the freight and logistics sectors, but also at firms involved in assembly, light manufacturing and the ICT sector. A date of December 2021 is being set for construction completion and after which companies can start moving in.

PROMOTIONAL Local promotional agency InvesTT is charged with marketing Phoenix Park and has leasable lots available and for a range

of activities from light industrial to commercial units as well as factory shells. Lease rates are USD 0.75 per square ft. per month. Land lots are USD 15,800 per acre per annum. Additional Value Added Tax and Common Maintenance charges also apply. Being part of the Belt and Road Initiative is key. Sekou Alleyne, President of InvesTT, says: “Coming out of this initiative, we are targeting Chinese exporters to set up at the

Park in addition to local and other foreign businesses.” Despite its closeness to PLIPDECO, Phoenix Park will operate independently as a Special Economic Zone. Alleyne adds: “The proximity of the port of Point Lisas will create value for exporters operating on the industrial estate. Once complete, Phoenix Park will be managed by the local Evolving TecKnologies & Enterprise Development Co (eTecK).

www.caribbean-maritime.com 43

Mabelin Santos / Shutterstock.com

RUSSBROKER CARIBBEAN MARKET REVIEW

RECORD RATES NOT SEEN FOR OVER A DECADE!

CONTAINER MARKET The year 2020 ended with phenomenal charter rate increases and reached record levels not seen since 2008. The “Contex” for example went from a low of 308 points in June to a high of 720 points by very early January 2021. This marks the highest value since the global financial crisis in 2008 and passes the previous “post-Lehmann” high of 600 points in 2010. This development was driven by several factors. First of all, transportation demand rebounded sharply as warehouses had been run empty by early summer and restocking was needed. As a consequence, freight rates between Asia and the United States rose strongly. Additionally, a big imbalance in imports and exports absorbed a lot of containers into the United States and the consequent shortage in equipment further drove freight rates up. Latin America also contributed to the imbalance in containers as during the first nine months of 2020 the number of imported TEUs shrank by 11% while exports remained just above 0%. Higher freight rates in turn led operators to change services and deploy extra loaders in order to maximize the share of high-paying freight. From all this resulted a large demand for container ships starting in the larger vessel size and then filtering down as segment

44 Caribbean Maritime | February - May 2021

after segment had been sold out. By the end of 2020 there was barely any prompt container vessel available in the Atlantic, regardless of size. The demand side push was mainly driven by the Pacific market but at the same time in Europe supply was also shortened. A relatively high number of technical breakdowns, extended shipyard stays due to missing personal or spare parts caused by coronavirus restrictions, ships being quarantined, delays due to bad weather and port congestion either due to lack of shore work or strikes, all reduced the effective capacity. Generally, the Americas “bonus,” normally being paid for the higher operating expenses compared to Mediterranean trade has completely disappeared in this very strong market as ships in Europe are also able to command very high earnings. The disappearance of the “Caribbean premium” led to a higher number of ships than usual, leaving the area towards Asia or Europe for scheduled dry dockings, as higher costs and longer stays at Caribbean shipyards could

not be balanced by higher rates afterwards. At such high charter rates, a lot of options were also declared. Among the typical feeder sizes in the Caribbean, the largest segment of 2500 TEU enjoyed the largest rate increases. In September standard 2500 TEU ships were still fixing between US$ 8000 and US$ 9000 and fuel economic ones just under US$ 10,000. By early November rates had escalated to above US$ 14,000 for standard ships. In Asia rates rose towards the end of 2020 to over US$ 18,000; in the Americas there just were no ships fixed at all during December. In addition to rates not seen for years, owners oftentimes where also able to achieve, or even dictate, longer periods and even two-year periods were not uncommon. Short periods of just a few months came at large premiums, some ships in this size category fixed US$ 25,000 and more for intra-Asian trade. As no ships were readily available in the Americas at the end of 2020 or for early 2021 dates, charterers had to look at tonnage

The 1,100 TEU category provided lots of activity during the fourth quarter of 2020. Charter rates rose from high US$ 6,000 levels to over US$ 10,000

coming open in Europe and also had to offer basis “as is” positions. The segment of 1,700 TEU did not register such large jumps as the other sizes, which however was most likely attributed to the low fixing activity towards the end of the year. The last 1,700 TEU Americas fixture in 2020 occurred in early November and reached just over US$ 9,000. In late summer such ships had gone for around US$ 8,000. Any new fixture should however be well above US$ 12,000 as there were no prompt vessels available at the end of 2020 and similar ships had been concluded at over US$ 12,000 and US$ 13,000 US$ in Europe and Asia respectively. On the WCSA one operator closed its own feeder service run with a 1,700 TEU ship and gave the cargo to a common feeder operator who extended an existing service by chartering in a fourth 1,300 TEU ship. In September the 1,300 TEU high reefer segment, despite relatively low idle numbers, still had to fix rates between US$ 6-7,000 levels. In October earnings improved to mid US$ 8,000 figures and after a sister ship led with a very strong US$ 11,000 fixture in the Mediterranean in November, the ships in the Caribbean also followed suit. At such high levels, operators tried to optimize their costs as much as possible and one ship had been offered for a possible relet of a couple of weeks during the somewhat quieter Christmas season. There was quite some movement in the 1,300 TEU segment. One gearless 1,200 TEU ship which had been trading in the Caribbean for many years was first redelivered in the spring, then went to North Europe in order to pass its class survey and then, after being unemployed for several months returned to trade in the Caribbean again. Another gearless 1,300 TEU ship took advantage of the regular aid cargoes from Turkey to Venezuela to position into the Caribbean where it consecutively started a period charter. Finally, a 1,300 TEU geared ship fixed a one-to-three year charter at an escalating rate, starting in Northern Europe but for eventual trade between the USWC and the Pacific Islands. The 1,100 TEU category provided lots of activity during the fourth quarter of 2020. Charter rates rose from high US$ 6,000

CONTEX

12 MONTHS, 1100

12 MONTHS, 1700

12 MONTHS, 2500

Sep-20 441

6175

8038

9663

Oct 20

6572

9066

10701

Nov-20 616

7241

10951

13649

Dec 20

7699

12084

15475

496

690

levels to over US$ 10,000 for the last fixture reported in 2020 at the end of December. A Mexican ferry operator plans to start a new domestic service with two yet to be chartered 1,000 TEU ships in January. This venture however remains questionable as tonnage availability is so low. Other Caribbean charterers were also looking unsuccessfully for 1,100 TEU ships in the Mediterranean during the fourth quarter and had to settle for service reorganizations or even charter in multipurpose vessels. Despite the shrinking fleet and yet continued demand the rate development for sub 1,000 TEU was lagging behind the larger ships. 900 TEU vessels followed a similar path as the 1,100 TEU ships but 600 to 700 TEU ships were still fixable at mid US$ 6,000 thousand levels by the end of 2020. One charterer had to position a 700 TEU geared vessel, which he already had on charter in the Mediterranean, to the Caribbean as a number of those ships were sold to new owners who are no longer interested in container trade. Due to this development the remaining vessels are in a stronger market position and rates should rise in the near future. With owners oftentimes being able to chose from various business opportunities, operators wanting to trade to sanctionburdened countries such as Cuba and Venezuela, found it increasingly difficult to source tonnage.

MACROECONOMICS The overall economic situation is still dominated by the effects of the Coronavirus. Most of the Americas and Europe are in the middle of the second wave and are grappling with extreme strain on their health-care systems. In order to combat the spread of the virus, many countries restricted public

life during the fall and winter. As a consequence, tourism has come to a standstill, disposable income is down for many and spending on services has contracted sharply. Due to all those negative effects, the global economy is projected to contract by about - 4% in 2020, but the consensus amongst economists is that 2021 should bring a recovery of around + 5.5%. Both South America and the Caribbean Area are however forecasted to do much worse than the global average. Not only is the economic downturn in 2020 stronger with about – 8% for South America and – 5.5% for the Caribbean, but the improvement for 2021 is also expected to be much lower with just + 3.5% and + 4% respectively. On an individual country level Jamaica, for example, expects an economic decline of between 10% and 12% for 2020 followed by a recovery of only 3% to 6% in 2021. Colombia, which had been a positive driver for the Central American and Caribbean region in recent years, is struggling with coronavirus, high numbers of refugees, rising violence and private banks coming under pressure. All those factors caused the state’s credit rating to be downgraded and the economic figures paint a similar picture to the area’s averages with -8% and +4%. Venezuela’s importance in terms of trade has all but disappeared with 96% of the population now living in poverty. With a leadership that controls all branches of the government, there is little hope any for change in the near future. Even countries which have a higher share of commodity exports among their economic output, such as for example Trinidad & Tobago, depict a twice as strong decline with over -5% in 2020 and only +2.5% recovery in 2021.

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RUSSBROKER CARIBBEAN MARKET REVIEW

SALE & PURCHASE OF CONTAINER TONNAGE IN THE CARIBBEAN With the rebound in charter rates and the improvement of the coronavirus situation in the summer, the sale and purchase market also came back to life. Physical inspections, crew changes and handovers proved to be very difficult to conduct under lockdown conditions and consequently put many sales on hold during the first half of 2020. But once the coronavirus situation improved during the summer and rising values prompted many lenders and also a quite a number of owners to cash in; more than 100 container ship sales occurred during the second half of 2021. Prices also increased strongly. During the summer, 15-year-old, standard designs such as the CV 1,100 and Wenchong 1,700 went for just over scrap value at US$ 2 and US$ 4 million respectively. By the end of the year the values had almost doubled. Several ships trading in the Americas were also sold; most following the trend of recent years that they changed ownership from German to Greek hands. A package of five vessels of the popular, high-reefer Mipo 1,800 design, as well as two more CV 1,100 types found a new home in Greece. Against the current trend of end users buying second hand tonnage to hedge against the very tight charter market, one 1,100 TEU ship owned by a liner company, which had been trading between the USWC and Pacific Islands, was sold to Asian interests and a geared 900 TEU ship from another operator had been offered for sale, but the asking price could not be achieved. One major operator on the other hand bought more than a dozen ships of 1,700 TEU and larger during the fourth quarter of 2020, though none of them were trading in the Caribbean. Another continued trend of recent years was the exodus of sub-1,000 TEU tonnage. A 600 TEU gearless ship and a 700 TEU geared vessels, both had been trading in the Americas for years, were sold to Mediterranean-based buyers who converted the ships to general cargo vessels. The same development can also be witnessed in Europe were several small container ships were sold to be converted to general cargo ships.

46 Caribbean Maritime | February - May 2021

SELECTED CONTAINER FIXTURES SUB 1,000 TEU - CELLED Sep 20

RS Mistral 712 TEU / 424@14 / 16on24 / 100rp

4 months US$ 5500 p/d

Sep 20

AS Laguna 966 TEU / 604@14 / 18on35 / 252rp

4-6 months US$ 6500 p/d

Nov 20

Delphinus 603 TEU / 327@14 / 16on23 / 150rp

11-13 months US$ 5900 p/d

Nov 20

Vega Juno 966 TEU / 604@14 / 18on39 / 252rp

4 months

US$ 8000 p/d

1,100 TEU - GEARED, CELLED Sep 20

Pacific Trader 1118 TEU / 700@14 / 20on42 / 220rp

4-6 months US$ 6750 p/d

Sep 20

Toronto Trader 1103 TEU / 706@14 / 18on27 / 220rp

1-2 months

Nov 20

Asian Trader 1118 TEU / 700@14 / 20on42 / 220rp

9-11 months

Dec 20

Tampa Trader 1102 TEU / 705@14 / 18on22 / 220rp

1-2 months

Dec 20

Ilios 1118 TEU / 700@14 / 20on39 / 220rp

6-8 months US$ 10250 p/d

US$ 8250 p/d

modern eco ship

US$ 8250 p/d

positioning from Europe

US$ 11100 p/d

modern eco ship

1,300 TEU - GEARED, CELLED Sep 20

Warnow Beluga 1300 TEU / 975@14 / 19on43 / 390rp

4-6 months US$ 6850 p/d

Oct 20

Warnow Dolphin 1296 TEU / 958@14 / 19on45 / 390rp

2.5-3.5 months US$ 8600 p/d

Dec 20

AS Fiorella 1296 TEU / 958@14 / 20on45 / 390rp

9-11 months US$ 10950 p/d

1,700 TEU - GEARED, CELLED Sep 20

RHL Audacia 1732 TEU / 1275@14 / 21on64 / 379rp

6-19 weeks US$ 7950 p/d

Sep 20

San Palliser 1819 TEU / 1300@14 / 22on87 / 462rp

5-7 months

Oct 20

San Amerigo 1841 TEU / 1293@14 / 21on71 / 462rp

1-2 years

Oct 20

San Alberto 1841 TEU / 1293@14 / 21 / 462rp

6-8 months US$ 9250 p/d

US$ 8500 p/d

high reefer trade

US$ 7750 p/d

escalating rate for the second year

2,500 TEU - GEARED, CELLED Sep 20

Cosmos 2572 TEU / 1840@14 / 22on90 / 600rp

9-12 months

US$ 9350 p/d

Oct 20

Nordmaple 2506 TEU / 1984@14 / 19on38 / 750rp

11-13 months

Oct 20

Nordbaltic 2478 TEU / 1912@14 / 23on88 / 400rp

11-13 months US$ 9950 p/d

Nov 20

Pomerenia Sky 2546 TEU / 1905@14 / 22on88 / 616rp

2 years US$ 14000 p/d

high reefer trade

US$ 13500 p/d

modern eco ship

DIGITALIZATION BY

Digitalization proves

IMMENSE VALUE TO SHIPPING

he digital revolution is transforming the world. Data is being generated, shared, stored, and analyzed in amounts, and at speeds, that are increasing exponentially every year. Today, the data we create, access, and control is having an increasing impact both on how we live and on how industry performs. It is therefore fortuitous that, even as the world became immersed in the Covid-19 pandemic, digitalization in some key industries had progressed to the stage where digital information flows were driving the automation of processes

and functions, and was therefore able to positively impact both safety and commercial performance. The Caribbean maritime industry has embraced digitalization and this is proving to be of immense value in keeping the supply chain open, even during the height of the pandemic. Before going any further, it is useful to differentiate between “digitization” and “digitalization”. Digitization is the conversion of analog information to digitized data, while digitalization is the use of digital technologies and digitized data to impact how work gets done, transform how customers and companies engage and

interact, and create new (digital) revenue streams. Automation, for example, has become a form of digital technology.

AUTOMATED SYSTEMS KEEPING THE SUPPLY CHAIN OPEN As Caribbean Shipping Association (CSA) President Juan Carlos Croston noted in his address to the CSA’s Annual General Meeting last year, “because the regional industry has embraced change and new technologies that can improve our efficiencies…we have been able to keep the supply chain open and responsive to the needs of our people.”

www.caribbean-maritime.com 47

DIGITALIZATION BY

Many Caribbean and Latin American countries have implemented the Port Community System (PCS) which, along with ASYCUDA (the Automated System for Customs Data) have formed the foundation of automated systems that have allowed the shipping industry to reduce the need for human interaction. These steps are only the beginning of the digital transformation of the industry. Long gone are the days when shipping companies were forced to manually manage their operations through spreadsheets. Now with digital technology such as the Advantum Software suite which provides workflow automations, these companies can now manage vessel and cargo manifests, billing and invoicing or even the tracking of their warehouse inventory with just a few clicks. The Advantum Software Suite also integrates with Third Party Systems, meaning that it communicates with other business systems, shipping partners (PCS and ASYCUDA) and electronic data interchange (EDI) partners. Advanced solutions such as this are flexible and user-friendly, and

48 Caribbean Maritime | February - May 2021

IMO Secretary-General Kitack Lim said the pandemic demonstrated how important the maritime industry was to the global economy and community, but that a new way of thinking was needed to help it recover customers can choose from on-premises or cloud-based options to access the system from anywhere in the world.

IMO ENCOURAGES DIGITALIZATION Looking ahead, the International Maritime Organization (IMO) is encouraging greater use of digitalization and new technologies. Speaking during a recent webinar on Digital Connectivity and Data Standards, IMO Secretary-General Kitack Lim said the pandemic demonstrated how important the maritime industry was to the global economy and community, but that a new way of thinking was needed to help it recover. “It is crucially important to ensure the functioning of the global supply chains

and the facilitation of the safe and efficient operation of maritime transport,” Lim said, adding that “Digitalization, big data, and new technologies such as artificial intelligence are key in enabling the postCovid recovery and taking shipping into this new era.” It is therefore heartening that the Caribbean has its own ICT professionals who are providing the leading-edge technology and services that are taking our maritime sector further along the communication seaway. You can request a free Advantum consultation to see how your business can benefit from utilising digital technology by contacting 876-923-7022 or email: contact@advantumpcs.com.

Caribbean Maritime – issue 42 - Guyana special report

Articles inside

Digitalization proves IMMENSE VALUE TO SHIPPING

Jifmar chooses Dutch yard for sail-assisted vessel

WORKING HARD in a challenging market

New Maritime Association for Curacao

Suriname lines up new shore base port

Erica Luke: Committed to success

Caribbean Maritime - GUYANA Special Report

Improving cyber resilience through training - A call to action