TOTE, MARAD Partner on LNG Study

By Mark Edward Nero

The US Maritime Administration (MARAD) said Oct. 5 that it has entered into a $900,000 cooperative agreement with TOTE Maritime to develop knowledge regarding the costs and benefits of vessel conversions to liquefied natural gas propulsion.

The demonstration project on the use of LNG for containership propulsion is a part of an ongoing program to promote increased use of alternative fuels and technology in the maritime industry.

TOTE is converting the containership M/V Midnight Sun to operate on LNG and will work with MARAD to obtain pre and post-conversion air emissions data, and operational information to assist maritime stakeholders in assessing the potential of LNG conversions.

The study is expected to be completed by 2018.

The M/V Midnight Sun is a roll-on/roll-off (ro/ro) cargo ship that provides round-trip shipping service between the Port of Tacoma and the Port of Anchorage. TOTE signed a contract with Finnish corporation Wärtsilä in late 2013 for the conversion of the Midnight Sun and its sister ship, the M/V North Star, to run on LNG. The conversions are expected to be among the largest ever undertaken in North America.

NASSCO Launches Gas-Powered Containership

By Mark Edward Nero

On Aug. 29, General Dynamics NASSCO launched the second in a series of natural gas powered containerships during christening and launch ceremony at the company’s San Diego shipyard.

The ship, the Perla del Caribe, was built for transportation and logistics company Totem Ocean Trailer Express.

The new Marlin Class ships, constructed by NASSCO shipbuilders and measuring the same length as two-and-a-half football fields, are being built to carry cargo exports between US-owned ports.

The ships are expected to reduce particulate matter by 98 percent and carbon dioxide emissions by 72 percent, the equivalent of removing more than 15,700 cars from the road, making them among the cleanest cargo-carrying containerships in the world.

As part of the ceremony, the ship’s sponsor, Emma Engle, a third-generation shareholder of TOTE’s parent company, Saltchuk, christened the ship with a traditional champagne bottle break over the ship’s hull. Alcinda Buirds, a 32-year NASSCO employee, pulled the trigger to release the ship into the San Diego Bay.

As part of a two-ship contract signed in December 2012 with TOTE, the 764-foot long Marlin class containerships will be among the largest dry cargo ships of their kind in the world powered by LNG and are expected to dramatically decrease emissions while increasing fuel efficiency when compared to conventionally-powered ships.

Upon delivery of the first vessel in late-2015, the Jones Act-qualified ships will operate between Jacksonville, Florida and San Juan, Puerto Rico.

NASSCO is the only major shipyard on the US West Coast conducting design, new construction and repair of commercial and US Navy ships.

In the past decade, NASSCO has delivered eleven commercial ships and has orders for ten more. During this same decade, NASSCO has delivered 17 ships to the US Navy.

Totem Ocean Signs LNG Conversion Deal

By Mark Edward Nero

Tacoma-based Totem Ocean Trailer Express has signed a contract with Singapore-based Keppel Shipyard for the conversion of one of its ORCA Class ro/ro ships, the Midnight Sun, to dual fuel liquefied natural gas propulsion.

The deal, which was announced Aug. 4, is one of the world’s first major conversions of a large ro/ro vessel to LNG, according to Totem Ocean. The work is expected to begin in December and be completed within 90 days.

“The removal and replacement of the four engines, adding 2,200 cubic meters of LNG capacity along with the addition of 47 kilometers of new cabling is a complex undertaking,” John Parrott, President of Totem Ocean, said in a statement. “We are confident that Keppel will provide safe, timely, high-quality work.”

Once the conversion is complete, the Midnight Sun would emit fewer air and greenhouse gas emissions, reducing emissions of particulate matter by 91 percent, NOx by 100 percent, SOx by 90 percent and carbon dioxide by 35 percent.

Her sister ship, the North Star, is expected to be converted in the 2016/2017 time frame, according to TOTE.

Michael Chia, managing director of Keppel Offshore & Marine Leveraging, said that due to natural gas’ cleaner burning properties, more and more vessel owners are choosing to have their ships powered by LNG.

“Keppel is well positioned to capture this growing market to meet the industry’s needs for environmentally friendly solutions,” he said.

Puget Sound Energy, in partnership with Totem Ocean and the Port of Tacoma, has plans to construct an LNG liquefaction terminal at the port that will serve Totem Ocean, residents of Puget Sound and the broader transportation industry in the Pacific Northwest. This facility is scheduled to be complete by late 2018.

In the short term, TOTE and its partner WesPac are building North America’s first LNG bunker barge to deliver fuel to the ships once converted.

Christening Scheduled for LNG-Powered Containership

By Mark Edward Nero

A special event to christen and launch the world’s first LNG-powered containership built by General Dynamics NASSCO for Totem Ocean Trailer Express is scheduled Saturday, April 18 in San Diego.

The ceremony will also commemorate NASSCO’s 100th ship launch.

The ship’s sponsor, Mrs. Sophie Sacco – wife of Michael Sacco, president of the Seafarers International Union of North America, AFL-CIO – will christen the ship with a traditional champagne bottle break over the ship’s hull. A fireworks display is planned to commence immediately upon the christening and launch of the ship.

The name of the vessel is expected to be revealed during the ceremony.

The 764-foot long Marlin-class containership, which is part of a two-ship contract signed with TOTE in 2012, is expected to be among the largest dry cargo ships of any kind in the world powered by liquefied natural gas when completed.

Operating on LNG is expected to significantly decrease the vessel’s emissions while increasing fuel efficiency as compared to conventionally-powered ships. Both LNG-powered ships will also include a ballast water treatment system, making them among the greenest ships of their size anywhere in the world.

Upon delivery in late-2015, the Jones Act-qualified ships are planned to operate between Jacksonville, Florida and San Juan, Puerto Rico.

The christening and launch event is planned for 8 pm to 9 pm April 18 at General Dynamics NASSCO, 2798 E. Harbor Drive, San Diego, CA 92113. The gate opens for visitors at 7 pm.

Those seeking further information on the event may email staci.ignell@nassco.com.

Keynote Speaker Named for LNG As Fuel Conference

By Mark Edward Nero

Anthony Chiarello, President and CEO of TOTE, is scheduled to provide luncheon remarks at the inaugural Pacific Maritime Magazine/USCG LNG As Fuel Conference, set for Jan. 29, at the Renaissance Seattle Hotel in downtown Seattle.

Chiarello is expected to discuss TOTE's LNG conversion project, and new LNG vessels destined for their Puerto Rican trade.

The event is an opportunity for the maritime industry to hear from the regulatory and policy making community on the anticipated national and local regulatory environment for LNG fueled vessels, LNG fuel bunkering operations and LNG maritime fueling facilities.

Those considering LNG as a fuel source, considering entering the market as a supplier, or are curious about LNG regulatory, policy and technical developments are invited to attend the conference.

The event, which begins with a 7:30 am breakfast, also includes sessions on vessel design, terminal design & operations and LNG operational aspects. In addition to Chiarello, other scheduled speakers include US Coast Guard Capt. Joe Raymond, who’ll give the opening remarks, and closing remarks from John Dwyer, Officer in Charge, Marine Inspection (OCMI) for the Puget Sound sector.

More information about the conference including the full agenda and registration information, can be found at http://seattlelngconf.com/index.php.

Port of Anchorage Dock Construction Could Be Undone

Most of the work to build new dock areas at the Port of Anchorage as part of an expansion project could be undone because of improper construction, the city and port officials say.

The deconstruction option was one of three possibilities discussed by officials during a three-day session regarding the project.

The mid-December work session came weeks after a report found that three of four new sections built at the port were not constructed correctly, and due to shifting land, could fail during an earthquake.

The $2.2 million, 2,200-page sustainability study was conducted by engineering firm CH2M Hill on behalf of the US Maritime Administration (MARAD) and the US Army Corps of Engineers. It says the danger comes mainly from a foundation system called Open Cell Sheet Pile, or OCSP, where instead of building a traditional dock on piling, interlocking sheets of steel are hammered into the sea floor to form U-shaped cells, which are then backfilled with dirt and gravel.

Due to the problems, most construction of the project was halted in 2010.

The Corps requested the study be conducted after it assumed control of the Port of Anchorage expansion project from MARAD on May 31.

Officials from the port, Corps of Engineers and MARAD were present during the study session. One option discussed over the course of the three days was that two major port tenants, Horizon Lines and Totem Ocean Trailer Express (TOTE), would remain at their current berths and that a new deep water berth and a barge berth would be built after the damaged material now there is removed.

Another option was the temporary movement of TOTE and Horizon from their existing terminals while the old terminals are demolished and rebuilt. A third, so-called hybrid option would be to replace two of the existing terminals on the old dock and build a new deep-water berth.

The expansion, which has been in the works for more than a decade, was originally estimated to cost $360 million, and was supposed to be complete by 2011. Instead, cost estimates have jumped to more than $1 billion and continue to climb. A completion date is at least a decade away, according to port estimates.

TOTE and Tacoma Port Kick Off Ship-to-Shore Power System

The race to be the first ocean carrier in the Pacific Northwest to plug a cargo ship into shore power was won Wednesday when a docked Totem Ocean Trailer Express, Inc. vessel switched over to landside power at the Port of Tacoma.

The ceremony kicking off the ship-to-shore power service at the TOTE facility was attended by federal, state and local officials, including representatives from Gov. Chris Gregoire's office and officials from the US EPA. The $2.7 million ship-to-shore power system was funded by a $1.5 million federal EPA grant and a nearly $1.2 million investment from TOTE. Port of Tacoma staff provided environmental permitting, grant administration and project management.

Ship-to-shore systems allow vessels to plug into the landside power grid while docked and turn off on-board emission-generating auxiliary diesel engines that typically provide at-berth maintenance power. These auxiliary engines produce the majority of emissions generated by a vessel during a normal port call.

“By plugging in, TOTE and the Port of Tacoma are using clean Northwest energy instead of fossil fuels,” said Dennis McLerran, EPA Region 10 Administrator. “This project has three major benefits: It reduces greenhouse gas emissions, creates healthier air and spurs job growth.”

TOTE's two state-of-art Orca-class vessels, which call weekly at Tacoma, are both outfitted to utilize the system. The ship-to-shore system is expected to reduce diesel and greenhouse emissions from TOTE's roughly 100 ship calls per year at Tacoma by 90 percent.

“Not only does this shore power plug installation help us clean the air, this project has created dozens of living-wage jobs at a time when we need them the most,” Gov. Chris Gregoire said in a statement. “This is the kind of investment we need to emerge from this recession ready for the 21st century economy – one with a healthy environment and a good supply of clean energy jobs.”

The Tacoma ship-to-shore project supports the Northwest Ports Clean Air Strategy, adopted in early 2008 by the Tacoma, Seattle and Vancouver, BC ports to meet jointly established short- and long-term clean air goals for ships, cargo-handling equipment, rail, trucks and harbor craft. Approximately half of the ships that call frequently at Tacoma already meet the 2010 clean-air goal for ships by using cleaner-burning distillate fuel at berth. TOTE ships, which call twice a week in Tacoma, will boost that number to 64 percent by plugging into the shore power system.

“Almost 35 years to the day since TOTE first introduced service from Puget Sound to Alaska, we are delighted today to again provide leadership in helping to establish this new benchmark for environmentally responsible cargo movement.” said TOTE President John Parrott. “Shore power is simply the next step in TOTE’s ongoing commitment to innovations which benefit our customers … and the communities in which we live.”

Ship-to-shore systems for cargo vessels have been in place in Southern California for several years and several West Coast ports already offer such facilities for cruise vessels.

TOTE Names Parrott as New President

Jones Act carrier Totem Ocean Trailer Express has named John Parrott as president of the firm, replacing outgoing president Bill Deaver, who had been serving in the president's role since early 2002.

Parrott, who has served as vice president of TOTE's commercial division since 2006, rejoined TOTE in 2002 as the Alaska general manager after an earlier stint wit the firm in the late 1990s.

TOTE, which is privately owned by the American Shipping Group holding company, operates Jones Act roll-on/roll-off cargo vessels between the ports of Tacoma, Wash., and Anchorage, Alaska. The ASG family of businesses comprises the blue water domestic and military support shipping businesses of Saltchuk Resources. These businesses include TOTE, Sea Star Line, and Interocean American Shipping.

Deaver's departure is the second major staff loss for the ASG family in less than a month. ASG chair and CEO Bob Magee, a 23-year veteran of the firm, passed away on Nov. 30.