We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Wednesday, 13 August 14
WHAT DOES PROJECT CARGO REALLY MEAN TO INSURERS?
 KNOWLEDGE TO ELEVATE
Richard Kamppari-Baker, claims manager of FP Marine Risks, explains the challenges of project cargo risk assessment from an insurer’s point of view.
Project cargo is the large, oversized, overweight heavy lift cargo or critical pieces of equipment that may be high value or time sensitive and sometimes both. Project cargo insurance covers against loss or damage in transit for critical components of large civil, production facility, infrastructure, and/or construction projects.
Considerations
In addition, there are considerations to be taken into account for Delay in Start up (DSU) and Advanced Loss of Profits (ALOP) against loss of income and profit arising from late or non-delivery of critical components due to an accidental occurrence in transit.
Failure of a shipment to arrive, or not arrive intact, can turn a USD10 million cargo loss into a claim ten times its value when factoring in the knock-on effects of one piece of equipment not being ready at a particular date, which then causes disastrous consequences to the project as a whole. Whilst failure of any cargo to arrive has an enormous impact on operations, for project cargo this has far reaching ramifications.
For this reason the assured look towards insurers to cover the additional economic cost when something goes wrong.
Evaluating risk
Insurers will only compensate the assured for the loss or put it back in the same position. So how does an underwriter even start to evaluate the risk when the consequences are not easily apparent? Project cargo is specifically dependent on transport logistics and tight timeframes, so missing any goal or target will have serious knock-on effects.
To begin a proper assessment of the exposure, a few crucial factors need to be considered. The time and costs for re-fabrication as well as for reshipping the item need to be calculated, which is not an easy task when the bespoke nature of these items is considered.
During this time, insurers will need to calculate the knock-on effects when other goals or targets cannot be met. This means they need to evaluate the loss of profit and/or other operational costs at each stage affected until the project is completed. This is by no means guesswork and there is a complex system involved in calculating each risk.
Appraising the exposure is only part of the problem to insurers because one must consider how to move such an item. Project cargo will most likely be out-of-gauge or exceed regular weight limits, so the question is how the transport is to be done. Moving pylons across muddy roads in India during monsoon season, or loading reactors onto vessels, need the highest level of expertise. The services of engineers, surveyors, mariners, naval architects, consultants and government officials will be required. Careful consideration is essential in deciding who to employ.
Relevant experience
A major factor is to ensure the right people with the relevant experience are chosen. A team of international experts may need to be flown out at each stage of the transit. A key role is an individual who will be in charge of coordinating all communications amongst the team, ensuring all members are properly informed whilst avoiding any misunderstanding whatsoever.
Once the determined route has been scrutinised, the next stage is to ensure all requirements are met. Inland transits often require special authorization or conditions and vessels might need special clearance from their P&I clubs or insurers.
Insurers are very reliant on the assured and other experts to advise on stowage and on whether an item is capable of withstanding the rigours of transit. Items that protrude or carry extreme weights present a huge problem while stationary, but these complications are magnified tenfold when combined with extreme forces of rolling and pitching while in transit.
Calculations need to be carried out by professionals, securing contractors to ensure correct fastenings, buttresses, and so on, are used. Stability during the voyage is essential, so great care is taken to ensure the centre of gravity is evenly distributed.
All the advice from the experts is only as good as Mother Nature permits. A final weather routing will often need to be agreed before the shipment can commence.
No matter how fastidious insurers, carriers, freight forwarders and shippers are, there is a chance that an accident will happen. Claims will of course arise when route surveys are not properly carried out of when stowage of fittings are not adequate.
There will always be unforeseen events that cannot be predicted. The role of the insurer is not to take a gamble on whether a shipment will arrive in time and good order, but to know the risks and eliminate the uncertainties. For project cargo this is critically important, given the high cargo values and the potentially enormous claims involved.
Source: FP Marine / Hellenic Shipping
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Friday, 19 September 14
PRICES FOR DRY BULK CARRIERS HAVEN'T CORRECTED ENOUGH, DESPITE LOWER THAN EXPECTED FREIGHT RATES - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING
A lot has been said and written about the looming dry bulk market recovery over the past few months. However, even if this hasn’t been materi ...
Thursday, 18 September 14
INDONESIA'S JULY COAL EXPORT VOLUME DROPPED 5.13% M-O-M
COALspot.com: Indonesia, one of the world's largest coal producer and the global leading multi grade coal exporter shipped around $1.65* ...
Thursday, 18 September 14
PANAMAX : US GULF/CHINA FRONTHAUL ARE NOW PAYING TYPICALLY 14.5K + 450K BB - FEARNRESEARCH
Handy
We still see a firming tendency in the Atlantic and it is still ECSA and USG leading on. USG/Cont now up in about USD 17/18k for a Smax whi ...
Thursday, 18 September 14
ELECTRONIC BILLS OF LADING: A GUIDE TO PAPERLESS TRADING WHICH HAS TAKEN THE SHIPPING INDUSTRY BY STORM
Bimco has recently developed and published a charter party clause that specifically addresses the use of electronic bills of lading. Increasing use ...
Wednesday, 17 September 14
PANAMAX: LIMITED INTEREST IN BOTH BASINS; RISING TONNAGE - INTERMODAL
With the week starting off at a fast pace and with the positive momentum from the previous Friday seemingly sticking around for a bit longer, most ...
|
|
|
Showing 3481 to 3485 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Singapore Mercantile Exchange
- Indo Tambangraya Megah - Indonesia
- Agrawal Coal Company - India
- Carbofer General Trading SA - India
- Siam City Cement - Thailand
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Bangladesh Power Developement Board
- Bhushan Steel Limited - India
- Kaltim Prima Coal - Indonesia
- Iligan Light & Power Inc, Philippines
- Pendopo Energi Batubara - Indonesia
- Renaissance Capital - South Africa
- Standard Chartered Bank - UAE
- MS Steel International - UAE
- Coalindo Energy - Indonesia
- Mercator Lines Limited - India
- GAC Shipping (India) Pvt Ltd
- Parliament of New Zealand
- GMR Energy Limited - India
- India Bulls Power Limited - India
- Ceylon Electricity Board - Sri Lanka
- Economic Council, Georgia
- Kepco SPC Power Corporation, Philippines
- Romanian Commodities Exchange
- Lanco Infratech Ltd - India
- Kobexindo Tractors - Indoneisa
- Makarim & Taira - Indonesia
- Indika Energy - Indonesia
- Marubeni Corporation - India
- Banpu Public Company Limited - Thailand
- Kohat Cement Company Ltd. - Pakistan
- Manunggal Multi Energi - Indonesia
- VISA Power Limited - India
- Kartika Selabumi Mining - Indonesia
- Thai Mozambique Logistica
- Coastal Gujarat Power Limited - India
- Xindia Steels Limited - India
- Gujarat Electricity Regulatory Commission - India
- PTC India Limited - India
- Karaikal Port Pvt Ltd - India
- Orica Australia Pty. Ltd.
- Petron Corporation, Philippines
- Meenaskhi Energy Private Limited - India
- Vedanta Resources Plc - India
- Indogreen Group - Indonesia
- Power Finance Corporation Ltd., India
- Ambuja Cements Ltd - India
- Altura Mining Limited, Indonesia
- IEA Clean Coal Centre - UK
- Bukit Makmur.PT - Indonesia
- Meralco Power Generation, Philippines
- SMG Consultants - Indonesia
- Bhatia International Limited - India
- Formosa Plastics Group - Taiwan
- Sinarmas Energy and Mining - Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Savvy Resources Ltd - HongKong
- Africa Commodities Group - South Africa
- Jaiprakash Power Ventures ltd
- Sical Logistics Limited - India
- Semirara Mining and Power Corporation, Philippines
- Indian Energy Exchange, India
- PNOC Exploration Corporation - Philippines
- European Bulk Services B.V. - Netherlands
- Salva Resources Pvt Ltd - India
- San Jose City I Power Corp, Philippines
- Asmin Koalindo Tuhup - Indonesia
- Ind-Barath Power Infra Limited - India
- Videocon Industries ltd - India
- Global Coal Blending Company Limited - Australia
- SN Aboitiz Power Inc, Philippines
- Directorate General of MIneral and Coal - Indonesia
- Global Business Power Corporation, Philippines
- Ministry of Transport, Egypt
- Bukit Asam (Persero) Tbk - Indonesia
- ASAPP Information Group - India
- Parry Sugars Refinery, India
- Billiton Holdings Pty Ltd - Australia
- Independent Power Producers Association of India
- Energy Development Corp, Philippines
- Dalmia Cement Bharat India
- Madhucon Powers Ltd - India
- Planning Commission, India
- Ministry of Mines - Canada
- Mercuria Energy - Indonesia
- South Luzon Thermal Energy Corporation
- Commonwealth Bank - Australia
- Kideco Jaya Agung - Indonesia
- Rio Tinto Coal - Australia
- Bayan Resources Tbk. - Indonesia
- Pipit Mutiara Jaya. PT, Indonesia
- The Treasury - Australian Government
- Jorong Barutama Greston.PT - Indonesia
- Grasim Industreis Ltd - India
- Simpson Spence & Young - Indonesia
- Star Paper Mills Limited - India
- Electricity Generating Authority of Thailand
- Chettinad Cement Corporation Ltd - India
- Latin American Coal - Colombia
- Baramulti Group, Indonesia
- Kapuas Tunggal Persada - Indonesia
- Anglo American - United Kingdom
- Intertek Mineral Services - Indonesia
- Global Green Power PLC Corporation, Philippines
- Aditya Birla Group - India
- Wood Mackenzie - Singapore
- Timah Investasi Mineral - Indoneisa
- Eastern Energy - Thailand
- Vijayanagar Sugar Pvt Ltd - India
- International Coal Ventures Pvt Ltd - India
- IHS Mccloskey Coal Group - USA
- SMC Global Power, Philippines
- Eastern Coal Council - USA
- Jindal Steel & Power Ltd - India
- Leighton Contractors Pty Ltd - Australia
- Malabar Cements Ltd - India
- Karbindo Abesyapradhi - Indoneisa
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Binh Thuan Hamico - Vietnam
- CNBM International Corporation - China
- Mjunction Services Limited - India
- Uttam Galva Steels Limited - India
- Oldendorff Carriers - Singapore
- Bahari Cakrawala Sebuku - Indonesia
- Bank of Tokyo Mitsubishi UFJ Ltd
- LBH Netherlands Bv - Netherlands
- Rashtriya Ispat Nigam Limited - India
- Sakthi Sugars Limited - India
- Sindya Power Generating Company Private Ltd
- PetroVietnam Power Coal Import and Supply Company
- Ministry of Finance - Indonesia
- Vizag Seaport Private Limited - India
- Borneo Indobara - Indonesia
- Sree Jayajothi Cements Limited - India
- The University of Queensland
- Tata Chemicals Ltd - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- TNB Fuel Sdn Bhd - Malaysia
- Petrochimia International Co. Ltd.- Taiwan
- Cigading International Bulk Terminal - Indonesia
- New Zealand Coal & Carbon
- Essar Steel Hazira Ltd - India
- Central Electricity Authority - India
- ICICI Bank Limited - India
- Bulk Trading Sa - Switzerland
- Globalindo Alam Lestari - Indonesia
- Gujarat Sidhee Cement - India
- Electricity Authority, New Zealand
- Maheswari Brothers Coal Limited - India
- Orica Mining Services - Indonesia
- McConnell Dowell - Australia
- Minerals Council of Australia
- Riau Bara Harum - Indonesia
- Toyota Tsusho Corporation, Japan
- Goldman Sachs - Singapore
- Holcim Trading Pte Ltd - Singapore
- PowerSource Philippines DevCo
- Trasteel International SA, Italy
- Bukit Baiduri Energy - Indonesia
- Antam Resourcindo - Indonesia
- Maharashtra Electricity Regulatory Commission - India
- Bharathi Cement Corporation - India
- The State Trading Corporation of India Ltd
- Mintek Dendrill Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Larsen & Toubro Limited - India
- Coal and Oil Company - UAE
- Deloitte Consulting - India
- Heidelberg Cement - Germany
- Posco Energy - South Korea
- Australian Coal Association
- Price Waterhouse Coopers - Russia
- AsiaOL BioFuels Corp., Philippines
- Cement Manufacturers Association - India
- Merrill Lynch Commodities Europe
- Central Java Power - Indonesia
- Georgia Ports Authority, United States
- Kumho Petrochemical, South Korea
- Krishnapatnam Port Company Ltd. - India
- White Energy Company Limited
- Therma Luzon, Inc, Philippines
- Sarangani Energy Corporation, Philippines
- Neyveli Lignite Corporation Ltd, - India
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Wilmar Investment Holdings
- Samtan Co., Ltd - South Korea
- Metalloyd Limited - United Kingdom
- Aboitiz Power Corporation - Philippines
- Indian Oil Corporation Limited
- Australian Commodity Traders Exchange
- Miang Besar Coal Terminal - Indonesia
- CIMB Investment Bank - Malaysia
- Tamil Nadu electricity Board
- GN Power Mariveles Coal Plant, Philippines
- Kalimantan Lumbung Energi - Indonesia
- Semirara Mining Corp, Philippines
- London Commodity Brokers - England
- Port Waratah Coal Services - Australia
- Energy Link Ltd, New Zealand
- Interocean Group of Companies - India
- Barasentosa Lestari - Indonesia
- Sojitz Corporation - Japan
- Bhoruka Overseas - Indonesia
- Chamber of Mines of South Africa
- Thiess Contractors Indonesia
- Edison Trading Spa - Italy
- Alfred C Toepfer International GmbH - Germany
- TeaM Sual Corporation - Philippines
- OPG Power Generation Pvt Ltd - India
- Straits Asia Resources Limited - Singapore
- Attock Cement Pakistan Limited
- Indonesian Coal Mining Association
- Medco Energi Mining Internasional
- Directorate Of Revenue Intelligence - India
- Siam City Cement PLC, Thailand
- GVK Power & Infra Limited - India
- Gujarat Mineral Development Corp Ltd - India
|
| |
| |
|
