NEWS LETTER An ISO 9001:2008 Company and BIMCO Member. Inspired By Excellence. Building Partnerships...

Note: Above news items are extracted from electronic & print media. National Shipping Services (LLC) shall not be responsible for any inaccuracies in print or figures given in the articles. All news articles are given only as indicative & in good faith.

Created on 2/13/2013 8:41:00 a2/p2Created

NEWS LETTER

NATIONAL SHIPPING SERVICES (LLC), DubaiInspired By Excellence… Building Partnerships Worldwide…

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JANUARY/FEBRUARY - 2013

IN S I DE TH I S IS S UE

UAE News

• Khalifa Port Abu Dhabi Officially Opens• UAE – Poland to bolster Trade Ties• Fourth quarter gains rev up auto market• Dubai sees 9% growth in exports• World's largest containership docks at Khorfakkan Port• Dubai ruler approves $898m Nakheel projects• MOL to launch new China-Middle East Express service• UAE oil storage terminal set to start ops in 2014• Dubai's new A380 concourse now fully open• Emirates Steel expands rebar range

REGIONAL DEVELOPMENT NEW

• GCC pipe market to be worth $7.2bn till 2017• Qatar rail to provide $38bn worth of work• Qatar building costs set to rise 18%• Design tender floated for Oman's National Railway Network

News letter

2/14/2013

An ISO 9001:2008 Company and BIMCO Member.Inspired By Excellence. Building Partnerships Worldwide !

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IN S I D E TH I S IS S U E

Port, Terminals, International Shipping and Cargo related News

• Dubai's Jebel Ali port expansion on target - DP World• White sugar exporters switch to boxes• CMA CGM sells stake in terminal business• Kuwait awards $487m port contract• Oman awards $130m port contract• Loesche wins VRM Contract for Dangote Plant in Ethiopia • New ship nose for 5 Maersk container ships • Dubai's Dnata plans Heathrow logistics city• Dry bulk oversupply of tonnage seen waning in the coming months• Bangladesh moves to boost exports to Iran• 22 hostages aboard Dubai-owned MV Iceberg freed• More Ports Seeing Calls by the Biggest Boxships

• Bunker Prices 2nd Jan 2013 ( US$ )• Bunker Prices 31st Jan 2013 ( US$ )

• The Baltic Exchange Indices 10TH Dec 2012• The Baltic Exchange Indices 15TH Jan 2013

http://www.2merkato.com/201302042025/loesche-wins-vrm-contract-for-dangote-plant-in-ethiopia

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UAE News

Khalifa Port Abu Dhabi Officially Opens

The Khalifa port was officially opened at exactly 12:12:12 on 12.12.12. by President His Highness Shaikh Khalifa Bin Zayed Al Nahyan in the attendance of Shaikh Mohammad Bin Rashid Al Maktoum, Vice-President of he UAE and Ruler of Dubai, Shaikh Mohammad Bin Zayed al Nahyan, Prince Al Waleed Bin Talal and other Shaikhs and senior officials. The timing of the opening was quite symbolic for a new Abu Dhabi in line with vision 2030 to have the biggest port with a capacity of 5 million containers in the coming five years. The port has a strategic position in the region as it will be connected with Etihad rail by 2016 and all UAE ports will be connected by 2017. Khalifa Port marks the start of another phase in the country's development as it increasingly diversifies its economy away from hydrocarbons and towards the development of value-added industries. Khalifa Port will initially be able to handle 2.5 million TEU (twenty foot equivalent units) containers and 12 million tonnes of general cargo a year. By 2030, it will be able to process 15 million TEUs and 35 million tonnes of general cargo yearly. Adjacent to the port lies the Khalifa Industrial Zone Abu Dhabi (Kizad), slated to become one of the largest industrial zones globally, covering 417 square kilometres. Its development plays a fundamental part of the Abu Dhabi government's 2030 plan of economic diversification and is designed to attract companies involved in the manufacture of steel, aluminium, engineered metals, pharmaceuticals, petrochemicals, paper and food, as well as logistics. There is 28 sq km of leasable space in the development, a quarter of which is already rented by tenants. Emirates Aluminium was one of the first companies to set up at Kizad. A total of 53 companies are waiting for their final plans to set up in Kizad to be approved; six companies have already started constructing their facilities and a seventh is expected to start soon.

UAE – Poland to bolster Trade Ties

The Dubai Chamber of Commerce and Industry (DCCI) signed a Memorandum of Understanding (MoU) with the Polish Information and Foreign Investment Agency (PAIiIZ) to enhance two-way trade and investment between Poland and Dubai. The agreement was signed on the sidelines of the Poland-UAE Investment Forum held at Hyatt Hotel in Warsaw in the first week of February 2013. Hamad Buamim, Director General, DCCI, signed the MoU along with Slawomir Majman, President, Polish Information and Foreign Investment Agency, in the presence of Sultan Al Mansoori, UAE Minister of Economy, and Janusz Piechociski, Deputy Prime Minister, Minister of Economy of Poland. The agreement aims to strengthen and assist co-operation for enhancement of business and investment activities, joint ventures, as well as to develop direct


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contacts between businesses in Poland and Dubai. Buamim stated that the agreement opens the doors of investment opportunities for both the sides, particularly with the launch of the Emirate's daily flights to the Polish capital, which will allow for a stronger two-way flow of trade for businesses on either side. The Director General of DCCI stated that the strategic bilateral co-operation is the continuation of efforts that started with the visit of the country's Prime Minister Donald Tusk for the UAE-Poland-Business Forum at Dubai Chamber last April, which laid the foundation of a long-term trade relationship. Now, the announcement of the opening of a Polish trade office in Dubai will provide further boost to the economic relationship between both the sides, he said. He urged the Polish businesses to benefit from the strategic position Dubai enjoyed as a base to reach out to their customers in the region and beyond as well as its government's unconditional support to all global investors. Buamim also highlighted Dubai's lucrative investment potential as well as its safe and stable business environment which makes the emirate one of the leading centres of global business in the Middle East, adding that trade, tourism, logistics and financial services were the real drivers of Dubai's economic growth and held great potential for Polish investors.

Fourth quarter gains rev up auto market

A strong fourth quarter run and it was enough for UAE’s automotive sector to push as close to — or even pass — the much-anticipated 300,000 unit sales mark for 2012. While retail buyers were snapping up new models as soon as they made it to the showrooms, volumes were helped by a spate of new orders being placed by corporate and fleet customers in the last three months. Even then, sales to individuals made up 70 per cent of the new cars sold in 2012. Interestingly enough, car owners were looking to buy a new one earlier than at any time over the previous three years. This meant that a trade-in would happen on a vehicle that would be three years or thereabouts, whereas earlier owners were holding on for the better part of five years on average. And as any dealership would tell you, that can only mean good things for the automotive market.

Dubai sees 9% growth in exports

Jebel Ali Terminal 2 port in Dubai.

The total value of export and re-export by Dubai Chamber of Commerce and Industry members reached Dh268 billion in 2012, Hamad Bu Amim, Director General of Dubai Chamber, said recently. The chamber’s annual report shows that the value of exports and re-exports rose 9 per cent from 2011, when it was valued at Dh246 billion. ”Our annual figures show that 2012 was a very successful year as our members achieved unprecedented monthly export figures,” Bu Amin said. “Trade, along with tourism, logistics and financial services, continue to play vital roles as key drivers of the emirate’s


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economic growth.” The chamber plans to open three representative offices, in Saudi Arabia, China and India, this year.

World's largest containership docks at Khorfakkan PortKhorfakkan Container Terminal (KCT) became the first port in the Middle East to handle the world’s largest containership today. The CMA CGM Marco Polo, owned by the CMA CGM Group, stretches the length of four standard football pitches (396 metres), has a 54-metre beam and a draft of 16m. And Khorfakkan is one of the few ports in the world able to accommodate Marco Polo’s massive 16,020 TEU capacity. Having seen volumes increase by 26 per cent at Khorfakkan in 2012, Gulftainer, the port’s operator, has ensured it stays ahead of the trend with the terminal prepared to handle mega-containerships beyond the 16,000 TEU handling capacity.

Its arrival at KCT was marked with a presentation from Gulftainer to Captain Igor Sikic of the Marco Polo and CMA CGM representatives. The Marco Polo will continue on to Ningbo, China, having covered a total distance of approximately 20,000 nautical miles since the commencement of its voyage on November 7, 2012. It is the first of a series of three 16,000 TEU vessels from CMA CGM - all of which be named after great explorers.

Dubai ruler approves $898m Nakheel projects

Dubai ruler Sheikh Mohammed bin Rashid Al Maktoum has ordered work to start on two major Nakheel projects on the Palm Jumeirah. Sheikh Mohammed, also vice president and prime minister of the UAE, gave the directive after being briefed on plans to build the Nakheel Mall and the Pointe. The two projects will cost a total of AED3.3bn, news agency WAM reported on Saturday. The Nakheel Mall project will be built on the beachfront at the bottom of the trunk of the Palm Jumeirah at a cost of AED2.5bn. Sheikh Mohammed also ordered the commencement of The Pointe project, overlooking


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the Jumeirah Beach hotel and the Atlantis resort at a cost of AED800m. The Pointe will include shops, computer-controlled fountains, a marina and a public walk on the tip of the palm-shaped island. WAM said Sheikh Mohammed expressed his satisfaction with the engineering designs and instructed the addition of new attractive elements to woo tourists and investors from around the world. Debt-ridden developer Nakheel announced a 57 percent profit surge to AED2.017bn for the year ending December 31 2012. The company also saw revenues come in at AED7.8bn, up 91 percent over the same period. Nakheel's plans for 2013 include the handover of around 3,000 units to customers, investment of AED6.5bn in new projects to be completed over a three year period, expansion of Ibn Battuta Mall and continued enhancement of existing communities with local facilities including shopping centres and parks.

MOL to launch new China-Middle East Express service

MOL will launch a new China-Middle East Express, departing Ningbo on March 11. MOL will offer an additional weekly service by joining the existing service operated by APL. . The service will be operated by six vessels and MOL will provide one post-Panamax ship. In addition to the present services, MOL will be able to enrich service coverage as well as frequency between China and Middle East. The CMX port rotation is Ningbo, Shanghai, Hong Kong, Chiwan, Singapore, Jebel Ali, Abu Dhabi, Sohar, Singapore, Nansha, Xiamen, Ningbo

UAE oil storage terminal set to start ops in 2014

Reuters quoted Concord Energy saying that an oil storage terminal being built in the UAE port of Fujairah by Singapore based Concord Energy and a subsidiary of China's Sinopec is expected to start operations by late next year. Asia's strong oil and oil products demand have prompted many oil producers and trading houses such as Litasco, Noble Group and Azeri SOCAR to secure oil storage rights in the Gulf region.

Above photo shows tank farms of various operators. Mr John Stuart CEO of Assets Group Concord Energy in a statement said that construction of the tank farms is expected to start this month with commercial operations commencing in the Q4 of 2014. Concord and Sinomart KTS Development, a wholly owned subsidiary of Sinopec Kantons, each hold 50% of the project. Mr Stuart said that Fujairah Oil Terminals had recently signed binding agreements with a consortium of six international banks for the provision of a USD 252 million senior debt facility.

Dubai's new A380 concourse now fully open


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Dubai International Airport’s new A380 concourse – the world’s first purpose-built facility for the aircraft - has now fully opened, five weeks after the start of a phased launch. All 20 gates capable of handling the double decker Airbus superjumbo are now operational, while Emirates’ first class and business class lounges were recently opened, Dubai Airports said recently. Four gates were the first to open on January 2, when Emirates EK 003 flying from Dubai to Heathrow becoming the first flight to use the facilities. Dubai Airports said the new concourse – called Concourse A - had handled 461,972 pieces of luggage carried on more than 2450 flights serving 589,234 passengers during the first month of operations. Dubai’s airline, Emirates is the largest operator of A380s in the world, with 31 planes and a further 59 on order. President Tim Clark said it was “fitting” that the emirate had “a world class” facility to meet the needs of the aircraft. With 11 floors and a total built-up area of 528,000 sqm, Concourse A is connected to Concourse B and Terminal 3 via an underground train. It is the only airport facility in the world to have dedicated floors for first and business class lounges, which extend the entire length of the concourse, the largest in the world. Dubai Airport intends to increase capacity to 90m passengers by 2018.

Emirates Steel expands rebar rangeEmirates Steel has enhanced its facility in Abu Dhabi’s industrial city to manufacture 40mm diameter reinforcing steel rebar to meet the growing demand on projects across the region. According to statistics released by Emirates Steel, consumption of rebar in the UAE reached 160,000 metric tons per month in 2012, two percent of which only was accounted for by 40mm rebar. However, the rebar size is important many massive structures, including towers, manufacturing units and bridges. "We are happy to announce that we have added a new 40mm size to our existing range of 8mm to 32mm rebar," said Eng. Saeed G Al Romaithi, Emirates Steel CEO.


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These figures are expected to remain unchanged in 2013, but demand for 40mm rebar was previously covered largely by Turkish imports, and the need for these has now largely capsized. Al Romaithi now expects Emirates Steel to seize a substantial share of the market for the 40mm bracket of the rebar, and the subsequent demise of Turkish hegemony.

Regional Development News

GCC pipe market to be worth $7.2bn till 2017The GCC pipe market will be worth around $7.2bn in the next five years, according to organisers of the 3-in-1 show held in Dubai. Organisers of Arabia Essen Welding & Cutting, Tekno Arabia and Tube Arabia (the 3-in-1 show) added that, with the additional pipeline networks in the GCC requiring over 5.3 million tonnes of steel pipes during this period till 2017, an Arab Tubes and Pipes Association is needed to regulate this rapidly increasing sector. The proposed association could would help unify the Gulf's tubes, pipes and steel industries, and boost cooperation in logistic operations, human resource development and standards of their products in international markets. While latest industry figures show that the GCC accounts for 34% of global demand for pipes, the organisers said, future growth will come from necessary investment across the region in a range of sectors. The World Energy Council estimates that the GCC needs to invests up to $100bn over the next decade to meet the growing energy demand, with a significant portion of these investments going to expanding the pipes and tubes networks that serve the oil and gas sector, in addition to other allied sectors such as utilities and transport.

Qatar rail to provide $38bn worth of work

Qatar's rail network will feature US$38bn investment opportunities for potential investors over the next 20 years, according to the head of the project. Qatar Rail CEO Saad Al Muhannadi said, based on a study commissioned from McKinsey, that there are around 200 opportunities, 75 percent of which will be based around rail infrastructure like construction and operation maintenance.


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Supply of some 800,000 tonnes of steel, providing equipment for the excavation planned, contract for operating trains and facilities management of stations are some of the business opportunities related to the rail network. Qatar is investing US$36bn in its railway network, which should be completed in time for the FIFA 2022 World Cup, with Phase 1 of Doha Metro scheduled to be operational by the end of 2019.

Qatar building costs set to rise 18%Despite the call from Qatari contractors to take down the price of raw materials, construction costs in the country will increase up to 18 percent by 2017, according to the Tender Price Index for Qatar by MEED Cost Indices. The rise in costs will put a strain on Qatar’s supply chain and will ultimately have an impact on the value of contract awards from 2013 onwards, reaching a peak of US$40bn in 2017.n Shortages and drastic price increases are the main concerns of construction industry contractors working to deliver the infrastructure for the FIFA 2022 World Cup in Doha. According to the World Bank in January 2013, raw materials increased by 1.1 percent and metals rose sharply by 4.1 percent. The World Bank Commodity Prices and Price Forecast in Nominal US dollars report, released on January 15, sees the price of copper per meter going down from US$7,800 in 2013 to US$6,960 in 2017, before hitting US$6,800 in 2025. Aluminum will increase in its price per meter from US$2,200 in 2013 to US$2,575 in 2017, reaching up to US$2,900 in 2025, according to the World Bank forecast.

Design tender floated for Oman's National Railway Network

A much-awaited tender for the preliminary design of Oman's National Railway Network was floated here yesterday, paving the way for the implementation of the estimated RO 6 billion project to begin in earnest. The Ministry of Transport and Communications is overseeing the execution of the ambitious scheme, which will add for the first time a rail component to the country's multimodal transportation system. The national network will also be integrated with a GCC-wide rail system that will eventually link all six Gulf states. Significantly, the tender comes just over a month after the government formally gave its assent to diesel-based traction as the primary mode of locomotion for Oman's national rail system, abandoning an earlier decision to operate the network on electricity.


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The National Railway System is part of the proposed inter-GCC railway network that will run from Kuwait to Muscat, and onward to Salalah and possibly to Yemen. The 1,061-kilometre national network will be built in phases. Phase 1 will consist of four segments: (i) from Sohar Port to Muscat (comprising a 242km link from Sohar Port to Al Misfah (Muscat), an 8km spur line to Sohar Railway Yard, and a 20km link from Al Misfah to Muscat Central Station; (ii) from Muscat to Duqm Port (comprising a 486km line from Al Misfah to Duqm, and an 84km link from Sinaw to Ibra; (iii) from Sohar to the UAE border via Al Ain (comprising a 136km line from Sohar to Al Ain and a 27km spur to Buraimi. The Duqm -- Salalah section is also proposed to be implemented as part of phase one, although a 58km length from Sohar to Khatmat Malaha on the UAE border has been deferred to a subsequent phase.

Ports, Terminals, International Shipping and Cargo related News

Dubai's Jebel Ali port expansion on target - DP World

In a special ceremony at Jebel Ali, DP World chairman H.E. Sultan Ahmed Bin Sulayem formally oversaw the installation of the last of the 2752 65-tonne blocks that made up the foundation of the extended quay wall of the one million TEU (twenty foot equivalent container units) Jebel Ali Container Terminal 2 expansion. The expansion project, scheduled to open for business in the second quarter of 2013, extends the quay wall by 400 metres to 3000 metres, allowing the simultaneous handling of six 15,000 TEU mega ships. Meanwhile, across the harbour from Terminal 2, work is also well underway on the brand new, state of the art, 4 million TEU capacity Terminal 3, set to open in 2014, taking Jebel Ali’s total capacity to 19 million TEU.


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Mohammed Al Muallem, senior vice president and managing director, DP World, UAE Region, said: “For well over a year now, DP World, UAE Region has been handling volumes of more than 1 million TEU every month. With our customers now deploying ultra large container ships (ULCS), Jebel Ali is racing ahead with its capacity expansion to meet their demand. The expansion of Terminal 2 and the development of Terminal 3 will allow us to offer customers not just greater efficiencies but also economies of scale to match changing trade patterns.” When the expansion work is complete, Jebel Ali Port will be able to handle ten of the next generation 18,000 TEU mega vessels at the same time – the only port in the region able to do so. The expansions also will create more than 1,000 jobs directly. In the first nine months of 2012 DP World, UAE Region, handled 9.98 million TEU, 4.6% ahead of the same period last year.

White sugar exporters switch to boxes

The white sugar market is increasingly switching to containers for shipment because they are cheaper and more flexible than conventional bulk vessels, reported Reuters. In recent years there has been a growing push towards using container ships rather than traditional dry bulk ships, boosting scope for volume growth in the box ship market, which is struggling with a surplus of vessels due to stagnating demand in crisis-hit Europe and the United States. "As overcapacity haunts all shipping sectors the hunt for new commodities is on-going," said Peter Sand, chief shipping analyst with trade association BIMCO. "The box industry is always on the hunt inside the dry bulk market."

Sugar industry sources say for bagged white sugar cargoes, container transportation is increasingly the preferred option. "For a start sugar arrives in better condition because it is not being handled so much. You can tailor the tonnages much more precisely. There is also greater security from theft using sealed box containers,” one international sugar trader said. Containers are usually shipped in 20 foot boxes and a standard container can hold around 22 to 27 tonnes of white sugar, another trade source said. Using a container is cheaper by about US$25 a tonne because of the costing – there are no


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discharge or loading fees and it's a much faster despatch. In Brazil, the world's top sugar producer and exporter, containerised sugar berths have expanded in recent years and occupy dedicated areas at ports, facilitating efficient movement of the sweetener.In contrast, conventional shipments carrying bagged white sugar not in containers would struggle for quayside space in Brazil. They are competing against much more efficient larger bulk carriers, which are quicker to load with raw sugar.

CMA CGM sells stake in terminal business

CMA CGM, the world's third-largest container shipper, is to sell a 49 percent stake in its Terminal Link division for US$535 million to China Merchants Holdings (International). CMA CGM had put the stake up for sale as part of measures to boost its finances as the group emerges from a turbulent three years in a volatile global freight market, reported Reuters. The French family-owned firm, based in the Mediterranean port city of Marseilles, said the agreement with CMHI was the first step in a wider cooperation with the Chinese company in the global container shipping business. The French company had said in December it expected to conclude the sale of the Terminal Link stake to a Chinese investor in the first quarter of 2013. Terminal Link operates a network of 15 port terminals and ranks as the world's 12th-largest operator in terms of volumes handled, CMA CGM said in a statement. CMHI is the largest public port operator in China and controls 32 percent of the container traffic in the country, the statement said. The companies expect to complete the transaction during the first quarter

Kuwait awards $487m port contract

Kuwait Oil Company (KOC) announced it had awarded a US$487m contract to Turkish Engineering and construction group, STFA, to build a port and expand its facilities. KOC’s deputy managing director Ahmad Al-Rushaid told Kuwait’s state news agency KUNA that STFA would establish a 70-boat capacity port to hold more oil tankers as well as refurbish and expand the existing harbour at Mina-Al-Ahmadi. “This vital project will be able accommodate the large increase in oil cargo that will result from the increase in oil exports as a strategy to raise oil production capacity to four million barrels per day in 2020,” said Al-Rushaid.


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Oman awards $130m port contract

Hong Kong-based Hutchison Whampoa has secured an OMR50m ($130m) contract to build and operate a new container terminal at the Port of Sohar in Oman. The terminal will spread across an area of 70ha and is expected to be completed by the end of 2013. After completion, the terminal will increase the container capacity of the port from the current 800,000teu to 1.5 million teu. The port can currently handle ships with cargo capacity up to 6,500 teu but with the completion of the new terminal and the installation of additional cranes the port will be able to handle 10,000-11,000teu ships. Sohar Industrial Port Company CEO Andre Toet said: "This puts Sohar in a very competitive position for shipping lines to bring their cargoes with direct lines to the Sultanate and to consider Oman as a gateway hub for their trans-shipment cargo in the region." The Port of Sohar will install three new post-panamax cranes, which are expected to be delivered by summer 2013, and four additional cranes are planned to be added at the beginning of 2014 The port is planning to build a 2.5 million teu dedicated post-panamax terminal by 2018.

Loesche wins VRM Contract for Dangote Plant in Ethiopia

Loesche was awarded the contract to supply four Vertical Roller Millers for the Dangote Cement plant being constructed in Ethiopia. The cement plant is being constructed by Sinoma International Engineering. The plant will install a Loesche Mill Type LM 69.6 to grind raw material with an expected product range of 450tph (maximum 490tph) with a fineness of 10 per cent R DIN 0.09 mm. The capacity for the mill motor will be 6000kW. The second mill is a Loesche Mill Type LM 28.3D for grinding steam coal from domestic sources as well as import. The product range of this vertical roller mill will be 50tph with a fineness of 12 per cent R DIN 0.09mm. The mill motor capacity for the LM 28.3D will be 800kW. The two Loesche Mills Type LM 53.3+3C will be installed in the clinker grinding plant to grind clinker with components such as gypsum, limestone and pumice. The product rate of clinker type CEM I A-42.5 will be 155-168tph at 3200Blaine while the product rate of clinker type CEM II 32.5 will be 230tph at 3500Blaine. The mill motor capacity for the LM 53.3+3C will be 4650kW. Loesche is also expected to supply mill rotary feeders and metal detectors for the Dangote plant according to sources.


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http://www.2merkato.com/201302042025/loesche-wins-vrm-contract-for-dangote-plant-in-ethiopia

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New ship nose for 5 Maersk container ships

Five Maersk Line vessels are getting a ’nose job’: having their bulbous bows retrofitted to improve fuel consumption. For one of these, the operation involved moving the new ’nose’ from Asia to Europe – on a container vessel, of course The change would improve the performance of the vessels significantly, with fuel costs reduced by approximately 8 percent in the current slow-steaming environment.

The vessels were too expensive to use, since they were designed for high speed. If they were retrofitted, however, Seago Line were interested in taking five vessels. Four of these vessels had their ‘nose job’ performed in Qingdao, China, and have now been delivered to Seago Line. But the last one proved a bigger challenge, as it was lying idle in Europe. The cost of bringing the Maersk Brownsville to Asia was too high, but so were the quotes offered by European yards for the operation.

Dubai's Dnata plans Heathrow logistics city

Dubai-based air services provider dnata has revealed details of a plan to build a purpose built cargo logistics centre at the heart of London Heathrow Airport. Dnata City will include a 20-acre cargo complex centred around five air freight warehouses, a transportation facility and yard for airside operations enclosed in a security-fenced area. Two of the dnata City buildings — the 140,000 sq ft Cargo Point and 79,000 sq ft West Point— currently handle 21 wide-body flights daily for Virgin Atlantic, with a 60,000 square foot facility nearby at Bedfont Road dedicated to Cathay Pacific’s passenger and freighter cargo operations. The dnata City complex will also encompass the handler’s existing 60,000 sq ft self-contained transport yard, where it has a fleet of 85 trucks providing 24/7 coverage with 4,000 truck movements currently servicing 656 flights every week. Three additional facilities at dnata City will provide 206,000 sq ft of new cargo space. The new, buildings will consist of a 78,000 sq ft cargo warehouse with 15,000 sq ft of office space; a 54,000 sq ft facility with 11,000 sq ft of offices and a 40,000 sq ft building with 8,000 sq ft of office space. The new facilities will also feature fully automated cargo handling systems as well as chiller rooms, valuable handling facilities and are specially designed to handle peak freighter cargo alongside general cargo flows. This week, dnata officially unveiled a dedicated website for the project including detailed video animations of the complex and ‘live link’ of the site. In December 2012, dnata said it has added Air India to its growing number of clients in the UK. Following on its business wins with Pakistan's Airblue in Manchester and Aeromexico at Heathrow earlier this week, dnata said it has now started ground handling


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services for the Indian carrier.

Dry bulk oversupply of tonnage seen waning in the coming months

It seems that the tide could be shifting in the dry bulk market, in terms of tonnage oversupply, according to the latest data figures. This could explain why some ship owners appear to be positioning themselves in the market, either with direct second hand tonnage purchasing or through new building orders. According to the latest report from shipbroker Intermodal, "on the dry side we are quite close to a more rational orderbook compared to the trading fleet. However, since the trading fleet has grown quite substantially over the past years, we believe 2013 will be another challenging year albeit, a good opportunity to make investments in shipping as prices have become quite attractive" it said.

Intermodal's analyst, Theodore Ntalakos noted that "the dry bulk orderbook today stands just over 1,500 vessels. Although close to 1,000 ships were delivered from shipyards in 2012 the final net growth of the dry fleet was “only” by 580 vessels. This represents a 7% increase of the fleet or 10% in terms of deadweight. Obviously the seaborne trade did not grow at the same pace. We expect the panamax/kamsarmax size to continue to be squeezed the most, since the largest percentage of the orderbook is scheduled to be delivered in 2013 bringing further good buying opportunities. On the supramax segment, the majority of vessels have been delivered, so we believe that the rates and prices are close to the bottom, hence their prices are more resilient than panamaxes", he concluded.

Bangladesh moves to boost exports to Iran

The Financial Express reported that amid continuous downtrend of the export volume Bangladesh has moved forward to increase shipment to Iran. Officials said that Bangladesh mainly exports raw jute and jute goods to the Muslim nation and due to various sanctions export of the items there fell drastically. Export Promotion Bureau statistics said that in fiscal year 2010-11 Bangladesh's export to Iran was worth USD 97.25 million which, in FY 2011-12, fell to USD 83.32 million, marking a 14.32% decline. Alongside jute and jute goods, Bangladesh's exports to Iran also include oil seeds, pharmaceuticals, kitchenware, plastics, vegetables, textile fibers, paper yarn, woven fabric, electronic equipment and stainless steel blade. Recently the EPB suggested the Bangladesh embassy in Tehran to take various measures so that export to Iran is boosted. The Bureau asked the embassy officials to identify potential exportable items


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from Bangladesh to Iran, market size and market trend, sending samples of products marketed in Iran for adaptation requirements, packaging and presentation requirements and quality requirements.

22 hostages aboard Dubai-owned MV Iceberg freed

Forces of Somalia's semi-autonomous Puntland region raided hijacked ship MV Iceberg on Sunday and safely rescued 22 hostages who had been held captive for nearly three years, authorities said. The Puntland government said their forces captured the Panama-flagged MV Iceberg 1 after a two-week siege, which was docked near the Gara'ad coastal village in Mudung region. "After two years and nine months in captivity, the hostages have suffered signs of physical torture and illness. The hostages are now receiving nutrition and medical care," a statement said.

After a two week seige, forces from Puntland in Somalia rescued 22 hostages who had been held captive for 32 months aboard the MV Iceberg

Hassan Abdi, a pirate commander, who was in touch with the ship's hijackers, said eight pirates on board the vessel were able to escape as Puntland soldiers closed in. "None of us has been harmed," Abdi said. Puntland authorities said they had laid siege to the MV Iceberg 1 on December 10. The rescued crew members include eight Yemenis, five Indians, two Pakistanis, four Ghanaians, two Sudanese and a Filipino, Puntland Ports and Anti-piracy minister Saeed Mohamed Rage told the media. The ship was hijacked March 29, 2010. Alan Cole, the head of the UN's anti-piracy program, said the MV Iceberg 1 is one of the longest held by Somali pirates.

More Ports Seeing Calls by the Biggest Boxships

As 2013 began, the fully cellular containership fleet contained 469 vessels of 8,000+ TEU (VLCS), with a combined capacity of 4.69m TEU. Just six years ago, at the start of 2007, the 134 VLCSs then on the water comprised 1.17m TEU. This rapid growth of the VLCS fleet has driven significant infrastructure dev-elopment, but how many global ports are now seeing VLCS calls, and how has the geographical distribution changed since 2007?


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At the start of 2007, 90% of 8,000+ TEU capacity (and all three of the 12,000+ TEU vessels) was deployed on the Asia-Europe trade. Of the 57 global ports that received calls from VLCSs, 53 were on this trade lane, with 25 ports in Europe, 22 ports in Asia and 6 ports in the Middle EastElsewhere, four ports in North America (LA, Long Beach, Oakland, Seattle) saw calls from VLCSs deployed on the Transpacific trade. Six years ago, just 13 ports received 12,000+ TEU boxships, seven in Asia and six in Europe. Based on start 2013 deployment patterns, the number of ports receiving calls from 8,000+ TEU ships had doubled to 114. As displayed in the Graph of the Month, Europe and Asia continue to dominate, with 34 and 33 ports respectively, but other global ports responded in the interim to the swiftly expanding and upsized fleet. The number of ports receiving calls from 12,000+ TEU containerships has risen to 36. Although these ultra-large vessels are still mainly deployed on the Asia-Europe mainlane, their range has expanded significantly to include secondary ports beyond the traditional mega-ports. A few of these ultra-large ships are also beginning to call on the US West Coast, thus an increasing number of 12,000+ TEU boxships may well eventually be deployed on the Transpacific trade. VLCS fleet growth is set to outstrip overall fleet growth for at least the next few years (1.10m TEU of VLCS capacity is scheduled to be delivered in 2013 alone), and the expanding geographic diversity of VLCS port calls has been encouraged by the cascade of capacity down from the mainlanes, Meanwhile, the range of ports receiving calls from 12,000+ TEU vessels is increasingly becoming wider than many expected.


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Bunker Prices 2nd Jan 2013 ( US$ )

Grade IFO380 IFO180 MDO MGO

Fujairah 659.50 649.00 1010.00

Houston 635.50 668.50 998.00

Rotterdam 628.00 649.50 898.00

Singapore 620.50 632.00 956.00 957.50

Bunker Prices 31st Jan 2013 ( US$ )

Grade IFO380 IFO180 MDO MGO

Fujairah 648.00 657.00 995.50

Houston 646.00 715.00 996.00

Rotterdam 624.00 656.00 990.00

Singapore 640.00 647.00 979.00 956.00

The Baltic Exchange Indices 10TH Dec 2012Baltic Exchange Dry Index TM 937 (DOWN 29)Baltic Exchange Capesize Index TM 1762 (DOWN 70)Baltic Exchange Panamax Index TM 928 (DOWN 8)Baltic Exchange Supramax Index TM 751 (DOWN 9)Baltic Exchange Handysize Index TM 447 (No change)

The Baltic Exchange Indices 15TH Jan 2013Baltic Exchange Dry Index TM 765 (UP 3)Baltic Exchange Capesize Index TM 1365 (DOWN 5)Baltic Exchange Panamax Index TM 768 (DOWN 6)Baltic Exchange Supramax Index TM 740 (DOWN 3)Baltic Exchange Handysize Index TM 454 (UP 3)


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http://www.bunkerworld.com/prices/port/nl/rtm/?tag=1-86831-4558543-0-BW

http://www.bunkerworld.com/prices/port/us/hou/?tag=1-86831-4558543-0-BW

http://www.bunkerworld.com/prices/port/ae/fjr/?tag=1-86831-4558543-0-BW

http://www.bunkerworld.com/prices/port/sg/sin/?tag=1-86831-4558543-0-BW

http://www.bunkerworld.com/prices/port/nl/rtm/?tag=1-86831-4558543-0-BW

http://www.bunkerworld.com/prices/port/us/hou/?tag=1-86831-4558543-0-BW

http://www.bunkerworld.com/prices/port/ae/fjr/?tag=1-86831-4558543-0-BW

NEWS LETTER An ISO 9001:2008 Company and BIMCO Member. Inspired By Excellence. Building Partnerships...

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