Dec

emb

er 2

007

page 3Mid-point reached in huge

fleet expansion programme

page 6Contract success in Kuwait

for SMIT terminals

page 5Major tug order to reinforce

Rotterdam-based fleet

page 7Major wreck removals

for SMIT Salvage

page 4Acquisition expands SMIT’s

global subsea network

page 8Orders placed for more “B Class” work vessels

More

SMIT sheerlegs ‘Taklift 7’ assisted in the construction of the terminal

jetty for the new South Hook LNG terminal at Milford Haven, UK.

2007 looks set to be a record-breaker 2

Tugs named in Rotterdam and Liverpool 4

Gearing up for harbour towage operations in China and India 5

Contract awarded for removal of ‘Hyundai 105’ 7

SMIT prepares for delivery of newbuild barges 9

Brazilian FPUs keep SMIT sheerlegs busy 10

SMIT wins three projects offshore Vietnam 11

June date for installation of MOPU substructure 11

Busy future work programme for SMIT Subsea 12

Exploring advanced Clean Ship Design concepts 13

SMIT Amandla Marine: a model for empowerment 13

‘Smit LiPuma’: new bunker barge to enter service at Durban 14

‘Asian Hercules II’ rescues load 14

SMIT Rebras on course for New Year start-up 15

Two newbuildings join URS Zeebrugge fleet 15

Anniversaries make World Port Days 2007 a special event 16

www.smit.com

ColophonFor any information about specific activities,

equipment and services, please apply to:

SMIT

Waalhaven O.Z. 85

P.O. Box 59052

3008 PB Rotterdam

Tel + 31 10 454 99 11

Fax + 31 10 454 97 77

E-mail company@smit.com

Editor

SMIT Public Relations

Texts

TRS Public Relations

SMIT Public Relations

Design & production

Studio Clarenburg, Schiedam

Photography

SMIT Public Relations

Roderik van Nispen

Rene van der Kloet

EDT Offshore

and various SMIT colleagues

Printing

Schefferdrukkerij, Dordrecht

Copyright

Texts can be reproduced after

permission from the editor.

2007 LOOKS SET TO BE A RECORD-BREAKER

Major contributions to this powerful Group

performance were made by the Salvage and

Transport & Heavy Lift Divisions. Results in

these areas are closely linked, as Transport &

Heavy Lift is a major service provider for the

Salvage Division and, therefore, benefits when-

ever salvage workloads are heavy.

The Salvage Division’s results are remarkable.

SMIT Salvage reported a first half year operat-

ing result well above the historical average.

The long list of major salvage projects this year

include the ‘MSC Napoli’, ‘Rokia Delmas’, ‘Twin

Star’ and ‘Mighty Servant 3’.

The fundamental driver in the market for

salvage services is the significant rise in the

number of vessels in operation, together with

the continued growth in their size and com-

plexity, combined with the dilution of nautical

expertise on board the vessels.

All SMIT Divisions continued to perform to

expectations in the 2007 first half and, in the

case of SMIT Salvage and SMIT Transport &

Heavy Lift, exceeded those expectations.

Furthermore, the important contributions from

associated companies continue to grow, which

underscores our joint venture strategy. Taking

these factors into account, we can expect

record results again in 2007.

Looking ahead, we expect continued growth.

SMIT’s confidence is underlined by the many

orders for new tugs and other vessels. We also

have an appetite for more acquisitions, espe-

cially in the Harbour Towage Division. We have

a major target to meet: to grow the net result

of the Harbour Towage Division by 50 per cent

in the five years commencing 2005.

SMIT made three acquisitions during this

year: Adsteam’s harbour towage operation

at Liverpool, together with Ocean Marine

Services in Egypt and GB Diving in The

Netherlands. We are also looking to the longer

term. In the early second half of 2007 we

opened offices in India and in China. We are

also looking forward to starting up operations

in Brazilian ports soon, under the SMIT Rebras

banner.

The Liverpool operation made a direct con-

tribution to the Harbour Towage Division’s

results from the second quarter onwards. Two

newbuildings were deployed at Liverpool

immediately after the first quarter acquisition.

The change of ownership went smoothly and

the Liverpool activities are progressing well. It

was appropriate to demonstrate our commit-

ment early on, by deploying newbuildings to

Liverpool. We have already shown that we are

prepared to put money in and more invest-

ment will follow.

Meanwhile, higher levels of shipping traffic

in the world’s strategic maritime centres con-

tinue to boost demand for harbour towage

services. These positive trends are visible in

Canadian ports, at major European ports such

as Antwerp and at “crossroads” such as Panama

and Singapore.

Our Terminals Division secured two new long

term contracts in the first half of 2007. One

concerns LNG terminal assistance in Italy,

with the remarkable duration of 25 years. This

project will begin to show in results during

the second half of 2008. The second long-term

contract is in Angola and this will start to con-

tribute to results in late 2007.

The Terminals Division, overall, made a reduced

contribution to the Group results in 2006 and

in the first half of 2007 - the latter mainly due

to the transfer of the subsea activities to the

Transport & Heavy Lift Division. However, we

see important new opportunities here. This

Division is on its way up!

The Transport & Heavy Lift Division main-

tained extraordinarily high levels of utilisation

during the first half of 2007. Contributing fac-

tors included the high internal demands from

the Salvage Division, strong markets in many

external sectors and earnings from new vessels

which joined the SMIT Transport fleet in late

2006/early 2007. The new “L Class” vessels, for

example, hold the promise of stable income

and better margins within the framework of

long-term contracts within the oil and gas

markets.

The improvement in heavy lift activities was

a reflection of ultra-high utilisation levels.

Subsea activities were transferred to the

Transport & Heavy Lift Division, as this activity

has an increasing workload in the spot market

for diving services. This sits more comfort-

ably with the more volatile markets in which

Transport & Heavy Lift operates than with the

very stable Terminals division.

In looking to the future, we have more chal-

lenges to face. There is a shortage of quality

newbuilding capacity. If we can find quality

capacity we will place more orders. We also

need more high quality personnel to support

SMIT’s rapid growth. There is a shortage of

quality crew in Asia and similar difficulties are

emerging now in Europe. These are important

factors as we have every intention of continu-

ing our growth into 2009-10 without interrup-

tion.

Ben Vree

Chief Executive Officer

MID-POINT REACHED IN HUGE FLEET EXPANSION PROGRAMME

SMIT’s net profit rose about 60 per cent,

from EUR 29.7 million to EUR 47.5 million,

in the first half of 2007. This is a huge leap

by any measure. The financial outcome

for 2006 was excellent and, at that time,

appeared quite exceptional. Nevertheless,

these highly positive results continued

throughout 2007 and the outlook for 2007

is an even better outcome than in 2006. On

November 21, SMIT announced in an addi-

tional improved forecast that it expects a

growth in net profit of around 35% for 2007.

SMIT has now reached the mid-point in

its huge fleet renewal and expansion pro-

gramme. Around 100 newbuildings will

have joined the fleet in the 2004-09 period.

Around one-third represent replacements,

whilst two-thirds are for expansion.

Investment in 2006 alone totalled USD 152

million. When this programme is completed

SMIT’s fleet will amount well over 500 vessels.

This is a global programme, with newbuildings

for Rotterdam and Antwerp, Brazilian ports,

Singapore, Panama and other locations world-

wide. The most recent orders include four ASD

3213 tugs designed and equipped for harbour

towage assistance and terminal work, includ-

ing support for large LNG carriers.

These 85 tonnes bollard pull tugs were ordered

from Damen in May. They are to be built by

Damen Vietnam. Equipment will include Class

1 firefighting, spray and gas detection systems.

Other features include a sternroller for towing

and anchorhandling duties. These newbuild-

ings will enter service initially in Rotterdam.

The first pair will arrive in June 2009, followed

by the remaining two a few months later.

During August SMIT’s newbuilding pro-

gramme continued to unfold with orders for

four 84 meter submersible barges placed with

the Chinese yard Jiangmen Nanyang Ship

Engineering at Xinhui. These barges are due for

delivery in August 2008. They are designed for

service worldwide but initial assignments will

be in the North Sea region.

Another order for China followed in

September. A contract was signed with Keppel

Singmarine’s Nantong yard for the construc-

tion of two Robert Allan-designed Rampart

5000 anchorhandlers, earmarked for Southern

Africa service. The 95 tonnes bollard pull ves-

sels will feature comprehensive diving systems,

Wärtsilä main engines and Rolls Royce thrust-

ers and winches. The new vessels will be deliv-

ered in 27 months and 30 months respectively.

Orders placed in September also included six

2810 tugs from Damen, all for delivery over

the end - 2008/first half 2009 period. They are

to be equipped for harbour towage duties

worldwide. Four of these newbuildings will be

constructed at Galatz in Romania. Two more

will be built at the Song Cam yard in Vietnam.

Another two 3211 tugs will be built at the

Penglai yard, in China.

The flow of new orders continued with a con-

tract for four Robert Allan 3200 series tugs for

harbour towage and terminal services world-

wide. Two of the 65 tonnes bollard pull vessels

are to be built in China. The remaining two will

be constructed by Med Marine, Turkey. All four

newbuildings will join SMIT’s fleet in the third

quarter of next year.

At the time of writing, orders placed in October

included three 2500 series multipurpose tugs,

to be built by Damen in The Netherlands.

These vessels will be deployed for harbour

towage and project work in the European

region.

Deliveries during the April-September period

included the small patrol vessel ‘Smit Fibiri’,

now serving as pilot boat at Nigeria’s Bonny

Island LNG Terminal. This Alicat 1605 vessel

was built by Damen Singapore.

Other deliveries included the ‘Smit Barbados’

and ‘Smit Donau’. These 2810 tugs are now

in service at Liverpool. The ‘Smit Donau’

is equipped for two-man operation. ‘Smit

Barbados’ was built in Romania and ‘Smit

Donau’ was constructed at Gdynia, Poland.

The new tugs fly the UK flag.

Another 2810 ASD tug, the ‘Smit Elbe’, is now

operating in Rotterdam-Europoort. This tug,

built in Poland, flies the Dutch flag and is also

outfitted for two-man operation.

Meanwhile, the final quarter of this year saw

the ‘Smit Europe’, 65 tonnes bollard pull,

deploy to South Africa for terminal duties

and coastal towage work. This tug was built

to a Cintranaval design at the Turkish yard of

Bogazici.

65 tbp ‘Smit Europe’ demonstrating her fifi-units.

Newly built 2810 ASD tug ‘Smit Barbados’ assisting

a container vessel in the port of Liverpool.

www.smit.com3

tug magazine

SMIT Harbour Towage’s confidence in the

future of operations at its home port was

underlined in the recent decision to order

four new 85 tonnes bollard pull tugs for

service at Rotterdam-Europoort.

These newbuildings are Damen 3213 tugs,

to be built in the Far East for delivery in 2009.

The design takes account of their future roles,

including assistance for large LNG carriers

and operations at Rotterdam-Europoort’s new

Maasvlakte 2 facilities.

July saw the newbuilding ‘Smit Elbe’ join the

Rotterdam-based fleet. This vessel is designed

and outfitted for two-man operation. It is now

engaged in extensive trials to develop this

concept.

‘Smit Elbe’ is one of a series of 2810 tugs

ordered by SMIT for service worldwide. These

include the ‘Smit Barbados’ and ‘Smit Donau’

(which recently entered service at Liverpool),

four other 2810 newbuildings for service at

Rotterdam and three tugs for Panama.

Loek Kullberg, Managing Director of SMIT’s

Harbour Towage Division, says that activity

levels are busy worldwide. He says: “All sectors

show high utilisation. For example, our work-

load in Panama continues to increase, prompt-

ing consideration of additional tug deploy-

ments in this area. In Europe, meanwhile, URS

is progressing well and will continue to benefit

from its substantial newbuilding programme.

“Elsewhere in the world, the ‘Smit Clyde’ has

been redeployed from Rotterdam to Canada.

It now operates under the Canadian flag at

Prince Rupert. An important new container

port opened at Prince Rupert in September.

This is a new ‘gateway’ into Chicago. There is an

increasingly important rail freight link between

Prince Rupert and Chicago, for cargo entering

North America from the Far East.

“Discussions are now under way for the con-

struction of two new tugs, in a Chilean yard,

for service at Prince Rupert and Vancouver. The

new tugs would be delivered over the next 18-

24 months.”

In September the newbuilding ‘Smit Europe’

departed Rotterdam for Nigeria, to begin a

short assignment. The tug will maintain service

capacity during the successive drydocking of

six tugs and repairs to a seventh. With five ter-

minal (towage) contracts in the Gulf of Guinea,

efficiencies can be achieved during drydock-

ings and repairs. In addition, clients have the

security of back-up tugs operating close by on

similar contracts.

Meanwhile, sister newbuild ‘Smit Africa’ is

being prepared for a two-year contract in

Angola.

MAJOR TUG ORDER TO REINFORCE ROTTERDAM-BASED FLEET

General Manager Shrikant Kejriwal of

SMIT Harbour Towage in India (left).

SMIT Harbour Towage has an ambitious

target - to grow its net result by 50 per cent

in the five years commencing 2005. This

target is to be met by a combination of fleet

expansion and acquisition.

The fleet expansion elements of the strategy

involve a very substantial newbuilding pro-

gramme, with two out of every three new-

buildings representing net expansion.

In addition, SMIT is seeking to acquire quality

operations which will provide a springboard

into new and promising markets for harbour

towage services.

SMIT is also taking

the long view in

planning the expan-

sion of its harbour

towage activities.

It was with this in

mind that it took

decisions earlier this

year to open new

offices in China and

India. These coun-

tries are already

gigantic economies in their own right. They

also have long coastlines, high volumes of

maritime traffic and port facilities which are

rapidly expanding and improving. These fac-

tors create a very favourable environment

for the future development of SMIT Harbour

Towage and related SMIT services.

The Indian office is located in Mumbai. It is

staffed by local managers, who will develop

SMIT activities across India in a step-by-step

process.

The port privatisation process is under way in

India. This is unfolding by means of a series

of public tenders for services in ports and

terminals. SMIT intends to participate in all

significant tender exercises. It will put forward

service packages based around operations

managed by Indian nationals, responsible for

vessels based in Indian ports and flying the

Indian flag.

The new Indian office opened in September.

The first tenders are now in preparation.

Meanwhile, SMIT opened two offices in China

during August, located at Shanghai and

Guangzhou. Once again, local management

teams have been recruited to take forward

SMIT’s commercial plans.

GEARING UP FOR HARBOUR TOWAGE OPERATIONS IN CHINA AND INDIA

During September SMIT announced the

acquisition of GB Holdings B.V., the parent

of GB Diving B.V., a well known name in the

oil and gas sector, and GB Diving - Inshore

B.V., a company engaged in the provision

of services for civil projects. These compa-

nies provide a wide range of project man-

agement, project engineering and related

services for leading oil and gas clients. They

are now being integrated into the global

SMIT organisation as SMIT Subsea Europe

- a third regional centre for subsea services

and expertise, joining SMIT Subsea Africa

and SMIT Subsea Middle East.

In January 2007 SMIT Subsea moved across to

the SMIT Transport & Heavy Lift Division, with

close management and operational links to

SMIT Marine Projects. Over the past 12 months

SMIT Subsea has enjoyed encouraging success

in the world market for subsea oil and gas-

related services and its work programme now

extends well into 2010.

Commenting on the acquisition, Abel Dutilh,

Managing Director of SMIT Transport & Heavy

Lift Division, says: “SMIT Subsea is a rapidly

developing business unit. It has impor-

tant synergies with SMIT Marine Projects.

Geographically, the acquisition of GB Diving

has enhanced our network coverage, adding

the North sea to our existing activity zones

centered in Cape Town and Dubai. This will

further reinforce our service delivery.

“In addition, the acquisition adds ROV (remote-

operated vehicle) capability to SMIT’s service

portfolio. Whilst GB Diving is a relatively

modest operator of ROVs, with around eight

units at present, the purchase marks our entry

into an area of expertise which, in the past, we

have tended to buy in on a project-by-project

basis. This is an important new development,

as there is an accelerating trend towards diver-

less subsea work.

“Thirdly, this acquisition strengthens the pool

of expertise available to the entire SMIT organ-

isation, beyond the specific area of subsea

works.”

Rob Zwaga, one of the two former owners

of GB Diving, took up a new appointment

as General Manager of SMIT Subsea Europe

on October 1. The other principal, Caspar

Domstorff, has been appointed Salvage

Director for SMIT. He will assume this post on

January 1, 2008.

ACQUISITION EXPANDS SMIT’S GLOBAL SUBSEA NETWORK

TUGS NAMED IN ROTTERDAM AND LIVERPOOL

The 1959-built tug ‘Elbe’ met the 2007-built

‘Smit Elbe’ in Maassluis on a stormy, rainy

Friday in July of this year. The encoun-

ter was arranged for July 20, to mark the

naming of the new 2810 ASD tug. The new

generation ‘Smit Elbe’, rated at 60 tonnes

bollard pull, has now joined

SMIT Harbour Towage’s

Rotterdam-based fleet.

The Lady Sponsor was

Ms M. A. Karssen-Voordouw,

spouse of Maassluis’ Mayor.

SMIT’s prayers were answered:

the rain stopped and the wind

dropped right on cue for the

ceremony.

Given the special character of the venue and

the presence of the former ‘Elbe’, the guests

attending the ceremony included many volun-

teers and representatives of historical and con-

servation foundations. They included Stichting

Elbe, Stichting Maritieme Collectie Rijnmond,

Stichting Sleepboothaven Maassluis, Stichting

tot behoud van de Bruinvisch, Stichting

Hollands Glorie, Stichting Help de Hudson and

Stichting Nationaal Sleepvaartmuseum.

Ms Karssen-Voordouw presented the chairman

of the Stichting Maritieme Collectie Rijnmond

with a cheque and the Captain of the ‘Smit

Elbe’ with a framed photograph of the old

‘Elbe’.

During August a further two new 2810 ASD

harbour tugs were named. This ceremony took

place at their home port of Liverpool. ‘Smit

Barbados’ was named by Judith

Feather, Director of the Maritime

Events Liverpool Culture Company.

‘Smit Donau’ was named by Karen

Roberts, Director of Care Claire

House Children’s Hospice.

The double ceremony, on August

30, took place very close to SMIT’s

Liverpool offices. There was a

good attendance, with representa-

tives from SMIT’s Head Office, col-

leagues from SMIT Harbour Towage

Liverpool and many clients.

Captain Van de Gaag shows sponsor lady Ms Karssen-

Voordouw and her husband around the ‘Smit Elbe’.

The ‘Thamesbank’, ‘Smit Aruba’ and ‘Fairplay 23’ assisting the just converted

pipelay vessel ‘Audacia’ at departure from Keppel Verolme, Rotterdam.

Representatives from both SMIT and Damen at the contract

signing for 11 newly built vessels at Europort Maritime 2007.

General Manager Peter Zhang of SMIT Harbour Towage in China.

www.smit.com5

tug magazine

SMIT Salvage successfully salvaged the heavy transport vessel

‘Mighty Servant 3’, which sank off the port of Luanda, Angola.

SMIT Salvage continued to add to its for-

ward workload over the past half-year. One

notable award was the wreck removal con-

tract for the vehicle carrier ‘Hyundai 105’.

Abel Dutilh, Managing Director of SMIT’s

Salvage Division, says: “This vessel was lost

following a collision with a Japanese tanker off

Singapore in 2004. We reached an agreement

with the P&I Club concerned for the complete

removal of the wreck. Work on site will start

shortly, with the return of the 1,000 tonnes lift

capacity sheerlegs ‘Smit Cyclone’ to Singapore.”

In parallel, preparations were under way in

the final quarter for the removal of the stern

section of the container vessel ‘MSC Napoli’,

beached off the Devon coast. Abel Dutilh says:

“Earlier this year we removed bunkers and

containers from the ‘MSC Napoli’, a phase of

work completed in May. We then prepared the

vessel for removal by refloating. We succeeded

but had no choice but to rebeach the casualty

due to the extreme weakness of the hull.

“Having removed the bow section - which is

now being scrapped in Belfast - we continued

work on preparations for the removal of the

stern. The 8,500 tonnes stern section is being

reduced to around 4,000 tonnes, by removing

the accommodation block, main and auxiliary

engines and non-structural components. The

stern will be lifted in the New Year and posi-

tioned over the main deck of the semi-sub-

mersible heavy transportation barge ‘Giant 4’.”

Meanwhile, SMIT Salvage reached a landmark

in the third quarter of this year, when a project

team removed the last in a series of nine legs

torn from jack-ups in the US Gulf when hurri-

canes Katrina and Rita hit the region in 2005.

Abel Dutilh comments: “These hurricanes

caused widespread devastation. Offshore oil

and gas facilities were especially hard-hit.

Beyond the immediate emergency response

work, in the aftermath of these great storms,

we were tasked to remove the remains of nine

legs from three jack-ups which were set adrift.

These works, spanning two full seasons off-

shore, were undertaken on behalf of Global

SantaFe.”

With the final leg removed in September, the

sheerlegs ‘Smit Cyclone’ and the ‘Smit-Lloyd 27’

returned to Singapore. Meanwhile, the sheer-

legs ‘Taklift 1’ returned to Venezuela, to con-

tinue a long-standing programme of work in

the Maracaibo region.

CONTRACT AWARDED FOR REMOVAL OF ‘HYUNDAI 105’

In a major contract success, SMIT Terminals

is to provide assistance to tankers call-

ing at oil terminals in Kuwait, on behalf of

Kuwait Oil Company (KSC). Whilst this is the

first terminal assistance contract in Kuwait

awarded to SMIT, the organisation has a

long track record of service provision in this

area, especially in the salvage sector.

Under the contract, SMIT Terminals will take

responsibility for KSC’s existing fleet, deployed

to berth and unberth tankers calling at shore

terminals and a number of Single Point

Moorings (SPMs) offshore. The main base of

operations will be at Mina Al-Ahmadi.

The contract has a duration of 4.5 years. It will

eventually require a total of 10 vessels, includ-

ing five tugs with bollard pulls ranging from 35

to 70 tonnes. The majority of the units in the

Kuwait-based fleet will be SMIT newbuildings.

This fleet will include three pilot boats, crew

boats and a crane-equipped work barge.

The KSC contract will commence in July of next

year, with the delivery of the first two SMIT

tugs and one pilot boat earmarked for serv-

ice in Kuwait. More newbuildings will take up

station in Kuwait over the following half year,

synchronised with the progressive phase-out

of the existing KSC units.

In Europe, meanwhile, good progress is being

made by SMIT Terminals and Italian partner

Rimorchiatori Riuniti Parfido in preparing for

the start-up of the Adriatic LNG offshore termi-

nal support contract, scheduled for the third

quarter of 2008. This contract has a 25-year

timespan.

Four tugs of 70 tonnes bollard pull are now

under construction in Italy and Turkey for

service on the North Adriatic coast, in an area

near Venice. These ASD type, 5,222 bhp tugs

will support a gravity base structure located

offshore Porto Levante - the first LNG facility

of its type in Europe. The Adriatic LNG opera-

tors are Exxon Mobil (lead operator), Qatar

Petroleum and Edison.

There will be twice weekly calls at the new

terminal, which will have a total net capacity of

250,000 cubical meters of LNG. SMIT Terminals

will provide towage services, together with

stand-by, security, firefighting and other emer-

gency cover.

In late September SMIT decided to order

another Rampart 5000 (Robert Allan design)

tug for its long-standing SPM management

service contract at Durban. The client is

SAPREF, a joint venture between energy mul-

tinationals, Shell SA Energy and BP Southern

Africa’s largest refinery.

These activities commenced over 30 years

ago, in 1972. This is now SMIT’s longest dura-

tion contract of its type. One of the two exist-

ing vessels deployed on behalf of SAPREF, the

116 tonnes bollard pull anchorhandler ‘Smit

Madura’, 9,000 bhp, will eventually be suc-

ceeded by a Rampart 5000 newbuilding.

Elsewhere in Africa, SMIT has signed a con-

tract with Total Gabon (18 months duration,

with options) to deploy the SMIT Terminals

newbuilding in the “L Class”, the ‘Smit Laisa’.

The new vessel will be engaged in wide-rang-

ing offshore support duties under a contract

scheduled to commence in August of next

year.

SMIT has developed a strong track record of

activity in Gabon over the past three decades,

on behalf of Total and other major oil and

gas clients. At Port Gentil, for example, SMIT

Terminals now operates a fleet of four tugs on

Total’s behalf. They include the ‘Smit Ozouri‘

and ‘Smit Mandji’, 3,900 bhp, built in 2006

and 2004 respectively. These units serve tank-

ers calling at the onshore oil export terminal,

under a contract which commenced in 1992.

Terminal support assignments in Gabon in the

past included services at Owendo for OPRAG,

L’office des Ports et Rades du Gabon. Current

activities include operations at Gamba, where

SMIT Terminals operates two vessels providing

support for export tankers of up to 150,000

DWT calling at a SPM. This assignment, for

Shell Gabon, began in 1994. In addition, SMIT

Terminals provides support services for FSO

and SPM operations off Port Gentil, on behalf

of client Perenco. This contract commenced in

2001.

SMIT Terminals also recently secured an exten-

sion to its support contract in Ghana, for the

Takoradi-Volta River Authority. This concerns

an onshore light crude oil import terminal

and a SPM. The contract is serviced by the tug

‘Zeeleeuw’. This assignment commenced in

1999 and has been extended for a further two

years.

CONTRACT SUCCESS IN KUWAIT FOR SMIT TERMINALS

Preparations are under way to remove the

stern section of the container vessel ‘MSC

Napoli’, which was beached off the Devon

coast in January following damage incurred

during the worst storm in the area for many

years.

SMIT Salvage subsequently undertook the

removal of pollutants, including over 3,500

tonnes of bunkers, and then removed all deck

containers - followed by containers in the

holds. The last container was removed in mid-

May.

During the Summer period work progressed

on the plan to remove the vessel by refloat-

ing. This was achieved but, unfortunately, ‘MSC

Napoli’s hull proved too weak to permit a safe

tow. The casualty was rebeached and bow and

stern were separated by means of explosive

charges. The hull was severed just forward of

the accommodation block. The bow section

was towed to Belfast for scrapping; the stern

remains at the scene.

During the final quarter of the year, work

began on scene to reduce the weight of the

stern section. Next was the mobilisation of the

‘Smitbarge 2’, a 200 tonnes crawler crane with

a 60 meter jib and a cutting machine with a

31 meter arm. This phase of work included the

removal of the container vessel’s super struc-

ture, the lifting out of all non-structural steel

parts in the holds and other spaces and the

removal of main and auxiliary engines.

The aim is to reduce total weight by some

4,000 tonnes, leaving the remains of the stern

at a weight of around 4,500 tonnes. The plan

is to lift and remove this section as a com-

plete unit during the Spring of next year - in

March or April. The final phase will involve two

pull-barges, each with a lift capacity of 1,800

tonnes, and a large sheerlegs. The total lift

capacity will be in the region of 5,400 tonnes.

When the stern is raised, it will be manoeu-

vred over the submerged main deck of the

semi-submersible, 24,000 DWT barge ‘Giant 4’,

for transportation to a scrapping destination

which is yet to be designated.

SMIT Salvage is also preparing for another

major wreck removal. This is to be performed

in the Singapore Strait, in Indonesian waters.

It concerns the vehicle carrier ‘Hyundai 105’,

which was in collision with a Japanese tanker

off Singapore in May 2004. The ‘Hyundai 105’

suffered severe damage. The vehicle carrier

subsequently rolled over and sank.

The contract, from the owners, specifies the

complete removal of the 40,000 GT vessel and

its final disposal. At the time of the accident,

the ‘Hyundai 105’ had 4,191 cars on board. This

is a major project, calling for the deployment

of a fleet including the 1,000 tonnes lift capac-

ity sheerlegs ‘Smit Cyclone’, the ‘Smit Andaman’

(in the role of cutting barge), the work vessel

‘Smit Ibis’ and various barges and tugs.

Work on site will commence shortly and the

entire operation is estimated to take around

280 days. The ‘Hyundai 105’ went down in 50

meter of water. The wreck is in fully inverted

condition. The project team will chain cut,

section by section, the upturned lower hull

and bottom. These sections will be lifted onto

barges, for disposal ashore. The remains will

be removed by the sheerlegs, using SMIT’s 600

tonnes capacity HDWI giant grab. This phase

will be followed by the clearance of all remain-

ing debris from the wreck site, which is off the

Batam coast.

MAJOR WRECK REMOVALS FOR SMIT SALVAGE

The ‘Smit Loire’ and ‘Smit Rhone’ assisting a tanker at the

onshore LNG terminal on Bioko Island, Equatorial Guinea.

www.smit.com7

tug magazine

‘Smit Barracuda’ provided support services during the

construction of the new LNG terminal at South Hook, UK.

July 2008 will see the delivery of the first

two of SMIT’s four newbuild barges, to

be built by the Chinese yard of Jiangmen

Nanyang Ship Engineering.

The design of the new barges combines seago-

ing qualities with the ability to operate on all

major inland waterways in Western Europe.

These newbuildings will succeed the “Eerland

6000” barges, but will be larger in size. The

remaining two newbuildings will join the SMIT

Transport fleet in Europe in September of next

year.

The “Giant Class” barges were busy during

2007. Recent assignments for ‘Giant 2’ included

two voyages transporting modules for the con-

struction of a new aluminium smelter at Gove,

in the Australian Northern Territories. Modules

were loaded in Vietnam and in Thailand.

Currently, ‘Giant 2’ is engaged in a 210 days

charter for McDermott in the Far East, with a

duration extending into late February 2008.

This involves the transportation of piles from

Jebel Ali to Kakinada, offshore east coast India.

‘Giant 3’, meanwhile, completed the transport

of dredging equipment from Kobe, Japan, to

Ehoula in Madagascar in the third quarter.

The barge then loaded three large modules

in Singapore for Brazil, for the ‘P53’ turret-

equipped Floating Production Unit (FPU)

under construction at the Rio Grande Yard. The

estimated transit time - via Cape of Good Hope

- will be approximately 50 days.

These modules weighed in at 700 tonnes,

1,300 tonnes and 1,400 tonnes. They were

lifted onto ‘Giant 3’ in Singapore during

September by the 3,200 tonnes lift capacity

floating sheerlegs ‘Asian Hercules II’. ‘Giant 3’

arrived at Rio Grande in late October, where

the modules were lifted and discharged by

the SMIT sheerlegs ‘Taklift 4’ and ‘Taklift 6’, in a

series of dual lifts.

‘Giant 3’s next assignment began this month.

The big barge mobilised from Rio Grande to

New Orleans for a voyage transporting inland

hopper barges and tugs from New Orleans

to the Parana River, Argentina. The client

is Urugrain S.A., a division of Louis Dreyfus

Commodities. A total of 33 barges are being

transported by ‘Giant 3’ in the 45-day voyage.

They are required for the transportation of soft

commodities.

The tugs ‘Salvage Giant’ and ‘Salvage Duke’, in

a tandem tow, towed the 24,000 DWT barge

from Singapore to Brazil. The ‘Salvage Giant’

stayed with ‘Giant 3’, partnering the barge for

the New Orleans/Parana River voyage. After

discharging at the Parana River, ‘Giant 3’ will be

mobilised to the Far East once again.

‘Giant 4’ was in Rotterdam, having completed

its 120 days charter with Maersk, commenc-

ing April 27 this year. The ‘Giant 4’ was booked

for crane moves in the port of Algeciras, Spain.

‘Giant 4’ was also earmarked for a possible

role in the removal of the stern section of the

container vessel ‘MSC Napoli’, in UK waters in

March 2008.

During this year, ‘Smit Anambas’ has been

engaged in the transport of river barges from

New Orleans to the Parana River, on behalf of

SEACOR. It is likely that the fourth voyage in

this series will be completed late January 2008.

A fifth voyage is expected.

During 2007 ‘Smitbarge 2’ was heavily involved

in the transportation of structures required for

the construction of the new South Hook LNG

facility at Milford Haven, in the UK. This assign-

ment ended in October.

The barge is now required for a major, two-

year contract for Bechtel in Angola, which is

also involved in the construction of new LNG

facilities. This contract requires the transporta-

tion of around one million tonnes of aggregate

for the new LNG terminal at Soyo. ‘Smitbarge

2’ will be partnered by a chartered-in barge for

this major contract, which will require over 100

voyages (each with a one-day transit time).

SMIT’s three “B Class” newbuildings also remain

fully committed. ‘Smit Bison’ was busy with

the ‘Rokia Delmas’ salvage operation at La

Rochelle, France, during the third quarter. ‘Smit

Barracuda’ was deployed for the Besix charter

at Milford Haven until the end of the year.

These vessels will then be deployed for service

in Angola (Soyo) and the Robin Rigg wind farm

project in Scotland. ‘Smit Bronco’ is also required

for the Robin Rigg contract.

Given the highly successful market debut

of the “B Class” vessels, another three of this

type have just been ordered from Damen

Gorinchem, for delivery in the May-September

2009 period.

Meanwhile, the ‘Smit Orca’ continues with the

Octomar charter, on behalf of Angolan Drilling

Company. The ‘Smit Orca’ is acting as a diving

support platform. It will continue in that role

until April.

Returning to the European region, the ‘Smit

Kamara’ continues to operate successfully in

the North Sea, under its five-year contract for

platform maintenance duties in the Dutch and

UK sectors.

SMIT PREPARES FOR DELIVERY OF NEWBUILD BARGES

Three new multipurpose work vessels, for

the support of oil and gas and civil con-

struction projects, have been ordered by

SMIT. Abel Dutilh, Managing Director of

SMIT’s Transport & Heavy Lift Division, says:

“The new “B Class” hulls, according to the

design of IHC Beaver Dredgers B.V., will be

built by Damen in Poland and the vessels

will be finished in The Netherlands. The first

of the newbuildings will join the fleet in

2009. All three will be deployed in the North

West European region.”

The first three “B Class” vessels have proved

to be strong performers in the market. They

have been equally effective in the construction

support and salvage support roles. Abel Dutilh

adds: “The B Class represents a proven con-

cept - a new generation vessel type with many

exciting attributes. There is every probability

that we will order a further two B Class vessels.”

During the course of this year the ‘Smit Bronco’

and ‘Smit Bever’ contributed to the ‘MSC

Napoli’ salvage operation off the Devon coast,

whilst the ‘Smit Bison’ assisted in the ‘Rokia

Delmas’ salvage at La Rochelle.

Looking ahead, there are plans for more fleet

additions, in the shape of a larger class of work

vessel. Abel Dutilh says: “We have a concept for

a larger work vessel with some very advanced

environmental features. Currently, we have

active enquiries with a number of yards and

we may well be in a position to place orders

this year.”

In May of next year, the last of the current

series of “L Class” newbuildings, the ‘Smit Laisa’,

will be delivered. The new vessel is earmarked

for a long-term contract with Total in Gabon.

This contract has a start date of July 2008.

It provides for a range of rig support duties,

together with towage and anchorhandling

services. ‘Smit Laisa’ will join the other “L Class”

vessels: ‘Smit Lombok’, ‘Smit Langkawi’, ‘Smit

Lingga’, ‘Smit Lumut’, ‘Smit Luzon’ and ‘Smit

Lumba’.

In the heavy lift sector, two SMIT sheerlegs

completed an extensive work programme

associated with the outfitting of the semi-sub-

mersible Floating Production Unit (FPU) ‘P51’

at Angra dos Reis, the Brasfels yard near Rio de

Janeiro. The project called for 24 heavy lifts,

performed by the sheerlegs ‘Taklift 4’ (1,600

tonnes lift capacity) and ‘Taklift 6’ (1,200 tonnes

lift capacity).

In November, the sheerlegs began a series of

heavy lifts for another FPU, the ‘P53’ turret-

equipped tanker building at the Rio Grande

Yard, Brazil. ‘Taklift 4’ and ‘Taklift 6’ are engaged

in this work, for the offshore construction

group QUIP.

Meanwhile, the 1,200 tonnes lift capacity

‘Taklift 7’ has been working at Milford Haven,

where a new LNG facility is being constructed

at South Hook. This sheerlegs’ forward pro-

gramme includes the lift of a bridge section at

Valencia.

ORDERS PLACED FOR MORE “B CLASS” WORK VESSELS

Work vessel ‘Smit Bronco’ assists in the salvage of ‘MSC Napoli’.

‘Giant 2’ transported various modules from Vietnam and Thailand to

Australia for the construction of a new aluminium smelter at Gove.

‘Smit Anambas’ loaded with river barges on the Parana River, Argentina.

‘Giant 4’ in Algeciras, Spain.

www.smit.com�

tug magazine

Ahts newbuildings ‘Smit Luzon’and

‘Smit Lumut’ after their launch.

SMIT Marine Projects has secured a major

contract for the diverless installation of the

43,000 tonnes substructure for a Mobile

Offshore Production Unit (MOPU) in the

Norwegian sector of the North Sea.

The Single Buoy Moorings’ Talisman MOPUstor

is to be installed on location in June of next

year. The “topsides” - a jack-up production plat-

form - will be installed in January 2009.

The contract was awarded to SMIT Marine

Projects in October. The client is Single Buoy

Moorings Offshore. In the first phase, SMIT’s

scope of work includes both tow-out and

installation. The port of departure will be from

Olsenvagd, in the Olsfjorden. The offshore loca-

tion is 120 NM south west of Haugesund. The

waterdepth on location is 93 meter.

The two and a half day voyage to location will

be undertaken by two 150 tonnes bollard pull

anchorhandlers. The convoy will be under the

command of SMIT Marine Projects Operations

Manager Captain Gerrit Toes. He says: “A fur-

ther two anchorhandlers and a DP-equipped

installation vessel will join us on location. The

installation vessel will be equipped with a con-

trol room, for the operation of ballast pumps

and valves, a grout mixing plant and two ROVs.

All subsea operations will be controlled by

means of remotely operated valves and ROVs.”

When the convoy arrives at location and is

assembled, each vessel will hook into a pre-

laid four-point mooring system. The next

stage will be to hook-up all control umbilicals

to the MOPU substructure’s manifold from

the installation vessel. It should take around

a day to ballast down the substructure to the

seabed and another two and a half days to fill

the remaining tanks and achieve the required

seabed penetration. Once the substructure

is installed within the target parameters the

underbase will be grouted - which will take

approximately four days. The installation is

then completed.

In January 2009 SMIT’s project team will return

for the float-over of the jack-up. There is a

single main caisson, extending from the top

of the substructure and rising some 25 meter

above the surface of the sea. The jack-up will

be positioned within pre-laid moorings, in

correct relation to the caisson, and its legs will

be lowered into the substructure’s reception

columns. The legs will then be grouted into

place.

Angolan contract award

SMIT Marine Projects has also won a major

contract for the transport of sand and aggre-

gates in Angola. The contract, awarded by

Bechtel, involves the transportation of the

materials, over a two-year period, from Dande

to Soyo. The sand and aggregates will be used

for the reclamation of the site of a major LNG

facility near Soyo.

This is an important contract, not only in

terms of its work content and value but also

in relation to the high level of integration

between many SMIT Group activities. The

project involves Octomar - SMIT’s Angolan

partners (a 50:50 joint venture) - together

with SMIT Transport (the provision of barges),

SMIT Terminals (the deployment of tugs) and

wide-ranging support from SMIT Engineering

and SMIT Vessel Management Services. SMIT

Marine Projects will manage the complete

project.

The LNG terminal is to be built on behalf of

Angola LNG, consisting of partners Sonangol,

Chevron, Total and BP. Bechtel are the main

contractors for this first LNG train in Zaire

province. The new facility will include stor-

age for LNG, LPG and condensate, together

with a loading jetty capable of accommodat-

ing gas carriers of up to 205,000 cubic meters.

Around one million tonnes of various grades of

aggregate are required for site reclamation at

Kwanda Base. SMIT’s scope of work includes all

management services, vessels and equipment

required for the transport of aggregates from

the load port of Dande, around 200 miles away.

The programme will commence shortly. The

contract provides for over 100 voyages (with a

one-day transit time). Each voyage will trans-

port some 8,500 tonnes of sand/aggregate.

This material is trucked to Dande from quarries

in Central Angola.

SMIT’s marine spread will include one tug

of 67 tonnes bollard pull and two tugs of 28

tonnes bollard pull and two large barges of the

“Smitbarge” type. The transport barges will be

equipped with side walls, a concrete deck and

ro-ro ramps. The cargo will be handled using

trucks, a large CAT 988 frontloader and con-

veyors.

JUNE DATE FOR INSTALLATION OF MOPU SUBSTRUCTURE

SMIT Transport in Singapore has secured a

series of offshore contracts in Vietnamese

waters for 2008. The projects involve the

installation of moorings for an FPSO and

FSOs offshore Vietnam. The first installation

is 200 kilometres south west of Ca Mau and

the second installation in the area south

east of Vung Tau.

Two of the assignments, to be carried out for

MODEC, are scheduled for May and June of

next year. The first calls for the installation of

spread moorings for a FPSO, which will not

weathervane, to be stationed in the Song Doc

Field. These moorings have a nine-leg configu-

ration.

The second project for MODEC concerns the

Rangdong Field, located approximately 300

nautical miles north east of the Song Doc Field.

In this instance, the requirement is for the

installation of moorings for a weathervaning

FSO. These moorings have a nine-leg configu-

ration.

The scope of work in the Song Doc Field calls

for the installation of a twelve anchors spread

mooring system. Once installed, the legs will

be tensioned to 365 tonnes, using a tension

anchor. In the case of the Rangdong Field,

SMIT’s Singapore-based project team will

install a nine-mooring legs system together

with the installation of the PLEM. They will

then tension the legs to 300 tonnes.

The third project involves a substantial work-

load. It concerns moorings for the installation

of a FPSO in the Su Tu Vang Field, on behalf of

client Tanker Pacific Oil Terminals. In this case,

the contract provides for the installation of

nine piles, mooring legs and the hook up of

the FPSO, together with the installation of the

riser and spoolpiece. This project will be under-

taken in August - September next year.

The Song Doc and Rangdong projects will be

undertaken with a spread including a large

installation barge - which has yet to be des-

ignated. The Su Tu Vang project will be car-

ried out by a project team based on the ‘Smit

Borneo’, a construction barge equipped with a

500 tonnes crane. This spread will also include

a cargo barge and two anchorhandlers. An

additional three tugs will attend for the FPSO

positioning phase.

Over the past year, SMIT Transport in Singapore

has played a significant role in providing ves-

sels, equipment and personnel for a series of

major salvage operations round the world.

One project during the first half of 2007 was

the removal of the wreck of the general cargo

vessel ‘Twin Star’. This vessel was lost off Callao,

Peru, in 2006 as a result of a collision.

This project was an early commitment for the

newbuild workbarge ‘Smit Andaman’. Also

present at Callao from SMIT in Singapore was

the 1,000 tonnes lift capacity sheerlegs ‘Smit

Cyclone’ and the ‘Smit-Lloyd 27’. The sheerlegs

had been working in the US Gulf, helping to

clear debris resulting from the 2005 hurri-

canes Katrina and Rita, when it was deployed

for the ‘Twin Star’ operation. On completion

of this operation, ‘Smit Cyclone’ returned to

the US Gulf for the final phase of its lengthy

work programme. ‘Smit Cyclone’ is due back in

Singapore at the very end of this year.

In the salvage sector, SMIT Transport in

Singapore also provided extensive support for

the more recent operation to refloat the laden

chemical tanker ‘Bow Star’. This vessel went

aground at a position off Batam in September.

This casualty required a major salvage

response. A lightering tanker was mobilised

to take off around 3000 tonnes of cargo. The

chemical tanker was refloated successfully

later in the month.

Next year will see the delivery of a number of

newbuildings for Singapore. SMIT purchased

seven 75 tonnes bollard pull anchorhandling

tug supply vessels from Hadi H. Al-Hammam

Est and the first four - ‘Smit Lombok’, ‘Smit

Langkawi’, ‘Smit Lingga’ and ‘Smit Lumut’ - were

delivered in 2006-07. The final three will join

the fleet next year.

The first three “L Class” newbuildings are cur-

rently engaged in exploration and drilling

support for Saudi Aramco, under a long-term

contract.

Meanwhile, the construction barge ‘Smit

Borneo’ has been working in Saudi Arabia but

recently commenced a third season of work

offshore India, for client Global Industries. The

current programme of activities includes riser

and spoolpiece installation, free-span correc-

tion, platform extension and heavy lift services.

SMIT WINS THREE PROJECTS OFFSHORE VIETNAM

Current assignments programmed for SMIT

Heavy Lift’s floating sheerlegs include the

installation of the flare tower for the ‘P51’

Floating Production Unit (FPU) in Brazil.

Two sheerlegs, ‘Taklift 4’ and ‘Taklift 6’, per-

formed the dual lift of the flare tower of ‘P51’.

This operation completed a long series of

heavy lift assignments at Angra dos Reis, the

Brasfels yard near Rio de Janeiro building this

semi-submersible FPU. The work programme

opened in December 2006 and continued with

the lift of column sections and modules. Some

lifts involved the loadout of heavy modules at

Brasfel’s Niteroi yard.

‘Taklift 4’ (1,600 tonnes lift capacity) and ‘Taklift

6’ (1,200 tonnes) were also booked for the

heavy lifts required for the integration of the

‘P53’ FPU at the Rio Grande yard, Brazil, on

behalf of offshore construction group QUIP.

This work included the dual lift of modules

transported to Brazil by SMIT Transport’s heavy

transport barge ‘Giant 3’, 24,000 DWT. The

modules were loaded in Singapore and arrived

at Rio Grande in late October. The dual lifts

were then performed.

There are good prospects for further heavy lift

work in Brazil, connected with various offshore

construction projects. A number of projects

involving new FPUs are scheduled for 2009.

Meanwhile, another SMIT sheerlegs, ‘Taklift 1’,

completed its long programme of work in the

US Gulf in October. This mainly concerned the

removal of leg debris, in the aftermath of the

Katrina and Rita hurricanes. ‘Taklift 1’ has since

returned to Venezuela, to undertake further

work in the Maracaibo region.

‘Taklift 7’, 1,200 tonnes lift capacity, is back in

Europe, having successfully participated in two

major salvage operations in West Africa. These

cases involved the heavy transportation vessel

‘Mighty Servant 3’ and the dredger ‘Nautilus’.

‘Taklift 7’ went on to participate in works at

Milford Haven relating to the construction of a

new LNG terminal at South Hook, on behalf of

clients CB&I/John Brown.

BRAZILIAN FPUS KEEP SMIT SHEERLEGS BUSY

‘Taklift 1’and Smit Cyclone’ removed the remaining leg debris

in the aftermath of hurricanes Katrina and Rita.

Work vessel ‘Smit Barracuda’ also assisted in the

construction of the South Hook LNG terminal.

‘Taklift 7’ lifting a pipe-rack for the South Hook LNG terminal jetty at Milford Haven.

www.smit.com11

tug magazine

SMIT Engineering is exploring a range of

“clean ship” design technologies, as part of

the Group’s overall commitment to reduce

environmental impact. SHE-Q General

Manager Aart de Glopper explains: “The aim

is to increase our understanding of these

technologies, to provide a firm foundation

for tomorrow’s investment decisions.”

The studies now under way are examining the

whole life cycle of vessels, from design to ship

breaking/dismantling. Aart de Glopper says: “It

is important to consider different approaches

to issues such as emission reduction. This is a

timely exercise, as a Clean Ship Notation is now

available from Class and the oil majors show

increasing interest in advanced clean ship

concepts. It seems reasonable to assume that

vessels with a Clean Ship Notation will enjoy a

competitive edge in future years.

“Environmentally-benign lifecycle issues

include use of recyclable materials, low-energy

solutions, environment-friendly operational

procedures and low-impact shipbreak/

dismantling.”

As might be expected, technological progress

in this area does not follow a smooth curve. In

common with all other vessel operators, SMIT’s

options are restricted by a global shortage of

main engines with environmentally advanced

characteristics. Aart de Glopper comments:

“This is a significant concern. In essence, it has

an influence on choice and, for the moment at

least, it acts as a limiting factor.”

A number of SMIT’s business units have, or

are working towards, ISO 14000 environmen-

tal certification. They include SMIT Transport

& Heavy Lift, SMIT Marine Projects and SMIT

Terminals. These certification programmes

have an important context: the accelerated

“greening” of shipping. There are new regula-

tory initiatives concerning issues such as bal-

last water and atmospheric emissions.

These factors have an impact when consider-

ing new additions to the SMIT fleet. They affect

areas ranging from the use of low sulphur fuels

to the installation of centrifuge systems for the

onboard treatment of ballastwater. In these,

and other areas, it is important to identify new

regulatory requirements which are likely to

emerge in future years.

Aart de Glopper says: “One important example

is the regulation of sulphur levels in fuel. There

are new international requirements, set out in

the IMO’s MARPOL Convention, Annex VI (e.g.

sulphur emission control areas). There are also

EU measures, which will enter into force under

Dutch Law in 2011.

“Under this law, all inland traffic will be

required to use ‘sulphur-free’ fuel, which is

defined as less than 10ppm sulphur. To give

some idea of the radical nature of this require-

ment, typical fuels, now in routine use have a

sulphur content in the range of 2000ppm.

“The rules concerning inland shipping are

aimed principally at river barge and harbour

tug fleets. We have already applied the new

standards to SMIT’s Rotterdam-based harbour

towage fleet. Our Rotterdam tugs are new and

their engines operate successfully with low

sulphur fuels - with appropriate additives. The

more significant issue, of course, is the avail-

ability of low sulphur fuels in the volumes we

require.

“SMIT intends to use as much sulphur-free fuel

as possible, but the key is availability. In the

Rotterdam-Europoort area, for example, there

are several sulphur-free fuel suppliers. In terms

of specification, these fuels are very close to

truck diesel. The availability question centres

on the means of taking fuel onboard. The sup-

pliers have some catching up to do in this area.

They need to provide more sulphur-free fuel-

ling points at bunker jetties.”

EXPLORING ADVANCED CLEAN SHIP DESIGN CONCEPTS

SMIT Amandla Marine, now in its third year

of operation, continues to thrive. The com-

pany is widely regarded as a model in the

South African maritime sector for success-

ful implementation of the government’s

empowerment programmes.

SMIT’s long-established organisation in South

Africa underwent a profound transforma-

tion in 2005. Paul Maclons, SMIT Amandla

Marine’s Managing Director, says: “The process

of change began to take hold after the 1994

elections and the pace quickened in the late

1990s. When SMIT reorganised - and in order

to fully recognise national aspirations - each

dimension of the empowerment process was

addressed, including ownership, equity, man-

agement, preferential procurement and corpo-

rate social investment.

“The new enterprise, SMIT Amandla Marine,

is now engaged in all SMIT activities with the

exception of salvage. This company is owned

jointly by SMIT, the employees and MION

Holdings. The key to empowerment, at a prac-

tical level, is the depth of change. Naturally,

there were some reservations at first - an inevi-

table by-product of change. Yet we have seen

a surprising level of early acceptance blossom

into an enthusiastic buy-in by all staff. Looking

back over the first couple of years, it has been a

rewarding experience for all concerned.”

SMIT Amandla Marine’s operations are located

at Cape Town, Durban, Richards Bay, Port

Nolloth and Mossel Bay. The activities range

from bunkering (at Durban and Richards Bay)

to the management of offshore tanker termi-

nals, subsea services, environmental protec-

tion, coastal towage, offshore support and

supply and marine emergency response.

Paul Maclons says: “Our immediate objective is

to continue to grow in 2008. We have achieved

a better than 15 per cent year-on-year profit

increase since October 2005. We want this pos-

itive trend to continue. At the same time, we

need to recognise that we are an established

name operating in a mature market. As the

level of domestic competition increases, we

must be open to new commercial opportuni-

ties beyond South Africa. It makes good sense

- both for SMIT Amandla Marine and for SMIT

as a whole - to pursue such opportunities.”

SMIT Amandla Marine is heavily committed

to the provision of services for governmental

agencies. The company is responsible for stra-

tegically important activities such as offshore

terminal support and the management of key

facilities at Durban and Mossel Bay. In the case

of Durban, over 80 per cent of the nation’s

crude oil imports enters through SAPREF’s

SPM, which has been managed by SMIT for

over 30 years.

Paul Maclons adds: “Some of our major activi-

ties are approaching renewal. They include the

significant National Department of Transport

contract, scheduled for renewal next October.

We will be preparing for this in the New Year.

We also hope to secure the renewal of the

Mossel Bay offshore terminal management

contract for PetroSA. Meanwhile, a new Durban

bunkering contract has been awarded to us

and our capabilities here were enhanced by the

arrival in November of the Durban-built ‘Smit

LiPuma’. This 5,000 tonnes capacity, double-

hulled newbuild is now working with three

other barges providing bunkering services at

Durban and Richards Bay.”

SMIT AMANDLA MARINE:A MODEL FOR EMPOWERMENT

SMIT Subsea Africa provided compre-

hensive diving services to main contrac-

tor Saipem during the recently com-

pleted installation of Chinese Petroleum

Corporation’s TTT 36 inch offshore gas

pipeline supplying natural gas to Taiwan’s

Tatan power station. The installation was

performed by a semi-submersible pipelay

vessel.

The installation programme was completed

in November. It involved four shore pulls and

two above-water tie-ins (AWTIs), together with

additional subsea works such as buoyancy

tank removals and stinger checks.

The first of the two main offshore sections was

finished by early September, with the comple-

tion of the first AWTI. The second section of

pipelaying, from Tunghsiao to Taichung, then

commenced with the third shore pull.

This was a challenging project. Divers con-

fronted strong currents and an intensifying

monsoon season. The work was punctuated

by weather-related delays, including several

typhoons. Nevertheless, the final shore pull

and AWTI was performed in November, fol-

lowed by the completion of outstanding

diving works, including pipeline cutting and

surveys. SMIT Subsea’s project team then

returned to Singapore.

One particular feature of this project was dic-

tated by the prospect of hostile weather. The

contract specification required a capability to

“quick release” the pull-head on the 36 inch

pipeline in deteriorating weather conditions.

The maximum depth along the pipelaying

route is 62 meter, which is beyond air diving

range. Therefore, SMIT Subsea also provided

surface mixed gas diving.

The buoyant global offshore oil and gas market

is reflected in SMIT Subsea’s forward work

programme. This now extends far into 2010.

Recent projects, completed in September,

include SMIT SAT 2 modular saturation diving

services for the installation and commissioning

of a CALM Buoy in the Timor Sea’s Puffin Field.

SMIT SAT 2 has an IMO Diving System Safety

Certificate issued by Lloyd’s Register. The

system was installed on the DSV ‘Havilla

Harmony’ in July and the vessel then

departed for Australia and the Puffin Field

project - undertaken on behalf of Petroleum

Development Consultants, an Australian

upstream development company.

Another project - still on-going - is the dive

support services contract for Saipem, concern-

ing ENI-Congo’s Awapaloukou and Ikalou Field

Development, offshore Congo. The latter field’s

workscope included the installation of two

tripod satellite platforms and their connection

to existing field facilities via subsea pipelines

and riser and spool connections to platforms

and shore facilities.

SMIT SAT 3, a modular saturation dive system,

and three air dive spreads were mobilised for

this project, together with a large team of over

50 dive personnel. They were deployed to

three work centres. The first, requiring a six-

man air dive team, provided pipelay support

to the Saipem-owned ‘Castoro 2’ pipelay barge

- engaged in the installation of three 10 inch

diameter subsea pipelines connecting new

installations to existing offshore and onshore

facilities.

A second air dive team provided near-shore

air dive support for the installation of a 10 inch

riser and spool at Pointe Noire Djeno jetty. This

team also assisted in the laying of concrete

protection mattresses at this location.

The main activities, however, were focused on

the Saipem construction vessel ‘S3000’ and

the provision of air and saturation diving sup-

port for the installation of the two new tripods,

together with the retrofitting of risers to exist-

ing platforms. Riser-to-platform connections

utilised a telescopic riser clamp system.

The ‘S3000’ team also connected the pipelines

laid by ‘Castoro 2’ to the platform risers. This

phase of works included the installation of a 30

meter long spool-piece by saturation divers.

The final quarter of this year also saw the

conclusion of an extensive dive support pro-

gramme for Horizon Offshore’s installation of

the West African Gas Pipeline (WAGP). SMIT

Subsea commenced work on the WAGP in

early 2006. Since then, over 2000 dives have

been performed free of any serious incidents,

despite an extremely challenging work envi-

ronment.

‘EDT Protea’SMIT and EDT Offshore have signed a term

charter agreement for the DP-3 vessel ‘EDT

Protea’. The vessel owned and managed by EDT

Offshore based in Cyprus, will be operated by

GB Diving BV - in future operating under the

name SMIT Subsea Europe.

The ‘EDT Protea’ will support the strategic

North Sea offshore subsea market. The vessel

will be operated as a dynamically positioned

diving support vessel in construction activities,

as well as in supporting its inspection, repair

and maintenance contracts for offshore and

subsea structures.

With this long-term addition of the ‘EDT Protea’

to its operations, SMIT will continue to improve

and expand its services to the North Sea off-

shore oil and gas industry.

BUSY FUTURE WORK PROGRAMME FOR SMIT SUBSEA

The tug ‘Smit Amandla’ tows the FPSO

‘Orca’ into the Port of Cape Town.

www.smit.com13

tug magazine

An “artist impression” of the ‘Smit LiPuma’.

Sheerlegs ‘Asian Hercules II’, the flagship of

SMIT joint venture Asian Lift was recently

engaged to retrieve a 952 MT module which

slipped into the Pandan River, Singapore,

whilst being rolled out from shore onto a

barge.

On the 5th of October 2007, at 9.00 am, the

‘Asian Hercules II’ arrived on site and began

preparations for the lifting operations. In the

evening the compression module was safely

landed onto a barge for onward delivery.

SMIT Rebocadores do Brasil SA (SMIT

Rebras) tugs will commence harbour

towage operations in Brazilian ports very

early in the New Year. Three existing tugs

are already participating in a terminal

assistance project in the south of the coun-

try. The first of the newbuilds will be deliv-

ered shortly by the Detroit yard in Itajal,

Santa Catarina.

There are a total of 18 tugs on order from this

yard - 12 of 45 tonnes bollard pull and six of 70

tonnes bollard pull. The first of the four new-

buildings are of 45 tonnes bollard pull. All the

newbuildings are ASD tugs, built to two Robert

Allan designs. These tugs will be Brazilian-built,

flagged and manned.

It is expected that all 18 newbuildings will rap-

idly find employment at a number of ports. In

that eventuality, there will be a second round

of ordering by SMIT. Meanwhile, work contin-

ues to develop the SMIT Rebras organisation,

both ashore and afloat.

Two new harbour towage tugs joined the

URS fleet in September. ‘Union Jade’ and

‘Union Amber’ were named at a ceremony in

Zeebrugge, Belgium, on September 18.

Mrs Rita Kerckaert-Helewaut, spouse of

Pierre Kerckaert, Chief Executive and General

Manager of Bruges-Zeebrugge Port Authority,

was lady sponsor for the ‘Union Jade’. Mrs

Monique Duthieuw-Baute, spouse of Donald

Duthieuw, General Manager of the Port

Authority’s Technical Department, was lady

sponsor for the ‘Union Amber’. The lady spon-

sors wished the new vessels safe passage.

The joint ceremony was followed by a recep-

tion. In his speech, URS Chairman Marc

Francken referred to the successful develop-

ment of the Port of Bruges-Zeebrugge. Port

Authority Chairman and Managing Director

Joachim Coens responded and underlined the

close relationship between URS and the Port.

The new ASD tugs are now at work in the inner

port of Zeebrugge. URS now operates a fleet

of seven tugs in this port: two in the inner and

five in the outer port.The growth reflects this

coastal port’s expansion and, in particular, the

rise in container vessel and car carrier calls.

Rated at 65 tonnes bollard pull, the ‘Union

Jade’ and ‘Union Amber’ are the most powerful

harbour towage units in the URS fleet and rank

amongst the most powerful currently in service

in Europe.

Both vessels were built at the Spanish yard

Astilleros Armon in Navia and are the first in

a new series of 12 tugs to be delivered in the

2007-2010 period as part of URS’ substantial

newbuilding programme.

TWO NEWBUILDINGS JOIN URS ZEEBRUGGE FLEET

‘ASIAN HERCULES II’ RESCUES LOAD

SMIT REBRAS ON COURSE FOR NEW YEAR START-UPFor many involved in this project, ‘Smit

LiPuma’ is much more than a newbuilding.

It represents a new South Africa - with a

confident maritime industry, second to

none. When SMIT Amandla Marine’s locally-

built new bunker barge was named during

a ceremony at Durban on November 29, the

occasion marked much more than the weld-

ing of steel and the installation of hardware

and sophisticated equipment to produce a

state-of-the-art vessel. It underlined a truly

South African story.

Those involved in the ‘Smit LiPuma’ project -

the shipbuilding team, naval architects, project

managers, technical specialists and future

barge masters and crew - have shown a pas-

sion for this project which extends beyond the

typical delivery of a newbuilding. Representing

a significant local investment, the project has

created jobs, enhanced the skills develop-

ment of over 100 people and promoted the

formation of two new enterprises. It is also in

harmony with the Department of Transport’s

desire to promote a revival of South African

shipbuilding.

‘Smit LiPuma’ was built at Dormac Shipyard,

Durban. As the new bunker barge prepares

to enter service in the early New Year, SMIT

Amandla Marine’s bunker delivery clients in

the Port of Durban will enjoy the benefits.

Paul Maclons, Managing Director of SMIT

Amandla Marine, says: “Our bunker service is to

ensure that the clients are satisfied with effi-

cient, accurate, safe and professional bunker

delivery. At the end of the day, it is about

making sure that economies of scale are right

and that we have at our disposal the best

equipment and barges to do the job.”

‘SMIT LIPUMA’: NEW BUNKER BARGE TO ENTER SERVICE AT DURBAN

‘Smit Tupi’ is the first newbuilding for SMIT Rebras.

The sponsor ladies wished the new vessels safe passage during

the official part of the double Naming ceremony.

www.smit.com15

tug magazine

Rotterdam’s “World Port Days” are well

known, both nationally and internationally.

The 2007 event on 7, 8 and 9 September,

however, was special. It was the 30th festival

in the series and the Port of Rotterdam’s 75th

birthday celebration.

The port selected an appropriate theme this

year: “Working on World Class”. Many partici-

pating companies, including SMIT, made the

most of this theme by emphasising attractive

employment opportunities. This approach

was apparent in the design of the stands and

the displays and activities. SMIT had a strong

employment motto: “The world is still full of

adventures!”

Some 15,000 visitors boarded SMIT’s spe-

cially equipped pontoon. SMIT’s contribution

included a diving tank and a film tent. Visitors

had an opportunity to have a 3D photo taken

of themselves wearing a SMIT outfit. This was

a popular attraction, so much so that the pho-

tographer barely kept pace with demand!

Other popular attractions included SMIT’s

Bluetooth pole. A special SMIT ring-tone

(a bellowing ship’s horn) and an animated

screensaver of the 3110 ASD tug ‘Smit Diare’

were available for download.

Another popular display on SMIT’s pontoon

was the ‘Ampelmann’, a special platform

enabling passengers to transfer from a moving

vessel to a fixed offshore installation. This

system was developed by a research team

at Delft University of Technology, as part of

a project sponsored by SMIT. This platform

can transfer 10 people at a time and can also

be used for cargo with weights of up to ten

tonnes. It remains motionless, by continually

compensating for the vessel’s movement. The

inherently stable platform can be used even

when sea conditions are relatively rough.

During the Friday afternoon SMIT’s pontoon

starred in the official opening of World Port

Days. Dutch singer Gerard Cox performed his

“Port Song” as a tribute to the Port of Rotterdam.

He performed from the ‘Ampelmann’ platform

on the SMIT pontoon, in the presence of a large

gathering of guests and media. He was accom-

panied by the harbour choir ‘De Sleeptros’,

which has a long association with SMIT.

The Saturday evening programme was spec-

tacular, with stunning contributions from

several Dutch performers. They included the

rock-band Di-rect, performing from SMIT’s

harbour tug ‘Thamesbank’. Other performers

included Lee Towers and DJ Ronald Molendijk.

Gloria Estefan brought the evening to an ener-

getic conclusion, in a half-hour concert on the

main stage, in the middle of the Maas.

ANNIVERSARIES MAKE WORLD PORT DAYS 2007 A SPECIAL EVENT

SMIT employees volunteered at SMIT’s

specially equipped pontoon.

A lot of visitors had a 3D photo

taken wearing a SMIT outfit.

Famous Dutch singer Gerard Cox.

Harbour choir ‘De Sleeptros’.