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, 05 September 14
U.S. PRODUCED 19.2 MMST OF COAL LAST WEEK
COALspot.com – United States the world's second largest coal producer, produced approximately 19.20 million short tons (mmst) of coal in ...
Thursday, 04 September 14
PUNJAB STATE POWER CORPORATION LIMITED OF INDIA HAS DECIDED TO BUY IMPORTED COAL - HINDUSTAN TIMES
COALspot.com: The Punjab State Power Corporation Limited (PSPCL) has decided to buy imported coal to run its thermal plants, as reported by Hindust ...
Thursday, 04 September 14
INDONESIAN COAL MINERS MAY GET MORE TIME ON ROYALTIES - FITCH RATINGS
COALspot.com: Fitch Ratings says that coal miners in Indonesia are likely to get more time to repay the government the royalties that were set off ...
Thursday, 04 September 14
INDONESIAN COAL SWAPS SLIDE THIS PAST WEEK
COALspot.com: Indonesian coal swaps for average October 2014 decreased US$ 0.90 (-1.68%) day on day and US$ 1.80 (-3.31%) per mt week on week. The ...
Thursday, 04 September 14
CAPESIZE : SENTIMENT REMAINS POSITIVE FOR Q3/Q4 - FEARNRESEARCH
Handy
The Atlantic market has experienced more activity this week. Rates for TA´s are up about 8% w-o-w, much lead by an increasing number ...
|
|
|
Showing 3506 to 3510 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Bharathi Cement Corporation - India
- IEA Clean Coal Centre - UK
- Gujarat Sidhee Cement - India
- ASAPP Information Group - India
- Global Green Power PLC Corporation, Philippines
- Bayan Resources Tbk. - Indonesia
- GN Power Mariveles Coal Plant, Philippines
- Banpu Public Company Limited - Thailand
- Wilmar Investment Holdings
- South Luzon Thermal Energy Corporation
- Maharashtra Electricity Regulatory Commission - India
- Orica Mining Services - Indonesia
- Malabar Cements Ltd - India
- Bukit Makmur.PT - Indonesia
- Jaiprakash Power Ventures ltd
- Thai Mozambique Logistica
- Grasim Industreis Ltd - India
- Australian Commodity Traders Exchange
- Leighton Contractors Pty Ltd - Australia
- Neyveli Lignite Corporation Ltd, - India
- India Bulls Power Limited - India
- Central Java Power - Indonesia
- Billiton Holdings Pty Ltd - Australia
- Ind-Barath Power Infra Limited - India
- Makarim & Taira - Indonesia
- PetroVietnam Power Coal Import and Supply Company
- Australian Coal Association
- Savvy Resources Ltd - HongKong
- Bank of Tokyo Mitsubishi UFJ Ltd
- Indika Energy - Indonesia
- Thiess Contractors Indonesia
- Karbindo Abesyapradhi - Indoneisa
- ICICI Bank Limited - India
- Metalloyd Limited - United Kingdom
- Cigading International Bulk Terminal - Indonesia
- Parry Sugars Refinery, India
- Siam City Cement - Thailand
- PowerSource Philippines DevCo
- Renaissance Capital - South Africa
- Sinarmas Energy and Mining - Indonesia
- PNOC Exploration Corporation - Philippines
- Baramulti Group, Indonesia
- Ministry of Finance - Indonesia
- Bangladesh Power Developement Board
- Iligan Light & Power Inc, Philippines
- Global Coal Blending Company Limited - Australia
- Cement Manufacturers Association - India
- CNBM International Corporation - China
- Indian Energy Exchange, India
- Kideco Jaya Agung - Indonesia
- Orica Australia Pty. Ltd.
- Miang Besar Coal Terminal - Indonesia
- Bahari Cakrawala Sebuku - Indonesia
- Essar Steel Hazira Ltd - India
- Rashtriya Ispat Nigam Limited - India
- Indogreen Group - Indonesia
- Posco Energy - South Korea
- Kalimantan Lumbung Energi - Indonesia
- Krishnapatnam Port Company Ltd. - India
- Heidelberg Cement - Germany
- Kobexindo Tractors - Indoneisa
- GVK Power & Infra Limited - India
- Simpson Spence & Young - Indonesia
- Anglo American - United Kingdom
- London Commodity Brokers - England
- Siam City Cement PLC, Thailand
- Holcim Trading Pte Ltd - Singapore
- The University of Queensland
- Commonwealth Bank - Australia
- White Energy Company Limited
- Petrochimia International Co. Ltd.- Taiwan
- Eastern Energy - Thailand
- Chamber of Mines of South Africa
- Indian Oil Corporation Limited
- Offshore Bulk Terminal Pte Ltd, Singapore
- Mintek Dendrill Indonesia
- Latin American Coal - Colombia
- Mercator Lines Limited - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- The Treasury - Australian Government
- San Jose City I Power Corp, Philippines
- Kepco SPC Power Corporation, Philippines
- Pipit Mutiara Jaya. PT, Indonesia
- Planning Commission, India
- Barasentosa Lestari - Indonesia
- Romanian Commodities Exchange
- Tamil Nadu electricity Board
- Directorate General of MIneral and Coal - Indonesia
- Wood Mackenzie - Singapore
- Semirara Mining Corp, Philippines
- TeaM Sual Corporation - Philippines
- Antam Resourcindo - Indonesia
- Toyota Tsusho Corporation, Japan
- Ceylon Electricity Board - Sri Lanka
- Sindya Power Generating Company Private Ltd
- Aditya Birla Group - India
- Alfred C Toepfer International GmbH - Germany
- Tata Chemicals Ltd - India
- Interocean Group of Companies - India
- Larsen & Toubro Limited - India
- Kaltim Prima Coal - Indonesia
- Marubeni Corporation - India
- Indo Tambangraya Megah - Indonesia
- Vizag Seaport Private Limited - India
- Global Business Power Corporation, Philippines
- Bukit Asam (Persero) Tbk - Indonesia
- Energy Development Corp, Philippines
- New Zealand Coal & Carbon
- Minerals Council of Australia
- Aboitiz Power Corporation - Philippines
- Standard Chartered Bank - UAE
- Madhucon Powers Ltd - India
- Ministry of Transport, Egypt
- Vedanta Resources Plc - India
- Sical Logistics Limited - India
- Dalmia Cement Bharat India
- Bhatia International Limited - India
- Edison Trading Spa - Italy
- Singapore Mercantile Exchange
- TNB Fuel Sdn Bhd - Malaysia
- Coalindo Energy - Indonesia
- Therma Luzon, Inc, Philippines
- Formosa Plastics Group - Taiwan
- Karaikal Port Pvt Ltd - India
- Timah Investasi Mineral - Indoneisa
- Rio Tinto Coal - Australia
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Jorong Barutama Greston.PT - Indonesia
- Pendopo Energi Batubara - Indonesia
- Electricity Authority, New Zealand
- Kapuas Tunggal Persada - Indonesia
- Agrawal Coal Company - India
- Binh Thuan Hamico - Vietnam
- Merrill Lynch Commodities Europe
- Bhushan Steel Limited - India
- Independent Power Producers Association of India
- Parliament of New Zealand
- Kohat Cement Company Ltd. - Pakistan
- Medco Energi Mining Internasional
- Gujarat Mineral Development Corp Ltd - India
- Meenaskhi Energy Private Limited - India
- Sojitz Corporation - Japan
- Vijayanagar Sugar Pvt Ltd - India
- Central Electricity Authority - India
- Oldendorff Carriers - Singapore
- Uttam Galva Steels Limited - India
- Electricity Generating Authority of Thailand
- Globalindo Alam Lestari - Indonesia
- Star Paper Mills Limited - India
- Sree Jayajothi Cements Limited - India
- Borneo Indobara - Indonesia
- Ambuja Cements Ltd - India
- The State Trading Corporation of India Ltd
- LBH Netherlands Bv - Netherlands
- Videocon Industries ltd - India
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Sakthi Sugars Limited - India
- SMC Global Power, Philippines
- Attock Cement Pakistan Limited
- Deloitte Consulting - India
- Mjunction Services Limited - India
- Altura Mining Limited, Indonesia
- Eastern Coal Council - USA
- Meralco Power Generation, Philippines
- Manunggal Multi Energi - Indonesia
- Indonesian Coal Mining Association
- Power Finance Corporation Ltd., India
- GAC Shipping (India) Pvt Ltd
- GMR Energy Limited - India
- Carbofer General Trading SA - India
- Gujarat Electricity Regulatory Commission - India
- SN Aboitiz Power Inc, Philippines
- Africa Commodities Group - South Africa
- International Coal Ventures Pvt Ltd - India
- McConnell Dowell - Australia
- IHS Mccloskey Coal Group - USA
- Riau Bara Harum - Indonesia
- Sarangani Energy Corporation, Philippines
- Semirara Mining and Power Corporation, Philippines
- Maheswari Brothers Coal Limited - India
- Xindia Steels Limited - India
- Intertek Mineral Services - Indonesia
- Straits Asia Resources Limited - Singapore
- CIMB Investment Bank - Malaysia
- Asmin Koalindo Tuhup - Indonesia
- OPG Power Generation Pvt Ltd - India
- Economic Council, Georgia
- Bhoruka Overseas - Indonesia
- Coastal Gujarat Power Limited - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Directorate Of Revenue Intelligence - India
- Port Waratah Coal Services - Australia
- Samtan Co., Ltd - South Korea
- Bulk Trading Sa - Switzerland
- AsiaOL BioFuels Corp., Philippines
- Bukit Baiduri Energy - Indonesia
- Trasteel International SA, Italy
- Lanco Infratech Ltd - India
- Coal and Oil Company - UAE
- Price Waterhouse Coopers - Russia
- SMG Consultants - Indonesia
- Goldman Sachs - Singapore
- Georgia Ports Authority, United States
- VISA Power Limited - India
- European Bulk Services B.V. - Netherlands
- Salva Resources Pvt Ltd - India
- Ministry of Mines - Canada
- Petron Corporation, Philippines
- MS Steel International - UAE
- Kartika Selabumi Mining - Indonesia
- Mercuria Energy - Indonesia
- Energy Link Ltd, New Zealand
- PTC India Limited - India
- Jindal Steel & Power Ltd - India
- Chettinad Cement Corporation Ltd - India
- Kumho Petrochemical, South Korea
|
| |
| |
|
